Japan/Asia Long-Short, LightStream Research

Mio Kato

Over 15 years analysing Japanese and Asian stocks from a long/short perspective

I focus on cyclically driven sectors such as Gaming, Factory Automation and Autos

An eclectic background as a long-short analyst, upper management at a financial data startup through its listing, and as the founder of a team analysing big/alternative data, all of which supports independent and differentiated views... we hope

An appreciation for Mathematics drives the development of a "Micro-Quantamental" process which can provide a data-driven, historically-informed and semi-automated foundation upon which to layer more qualitative and judgemental analysis, thus improving investment decision-making speed and accuracy

Japan/Asia Long-Short

JDI: Report of Full Switch to OLED by Apple in 2019 Hits Suppliers, JDI Down 16%

Japan Display (6740)--June Quarter Could Be Quite Strong Given Samsung's Weak OLED Sales

Japan Display--Q1 Beat Is Confirmation that FY18 Consensus Is Too Low

JDI: Long Awaited Big Bath Is Here, Now What?

Japan Display--Strong Orders from Apple & Chinese Customers for Full-Active Displays

JDI: VR Screen Commercialisation Progressing

JDI: The TSE's Principles on Equity Financing

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

<p>Following earnings, consensus OP estimates for JDI have moved up from JPY2.5bn to JPY13.0bn. Despite this, the stock price has languished, down 2.74% despite the company guiding for revenue to grow 10-20% YoY and for OPM to hit 2-3% implying revenue of JPY789bn-861bn (consensus of JPY788bn) and OP of JPY15.8-25.8bn for FY03/19. Based on discussions with the company and investors we believe that most investors consider the company's guidance to be logical but are waiting to assess the true extent…</p>

Following earnings, consensus OP estimates for JDI have moved up from JPY2.5bn to JPY13.0bn. Despite this, the stock price has languished, down 2.74% despite the company guiding for revenue to grow 10-20% YoY and for OPM to hit 2-3% implying revenue of JPY789bn-861bn (consensus of JPY788bn) and OP of JPY15.8-25.8bn for FY03/19. Based on discussions with the company and investors we believe that most investors consider the company's guidance to be logical but are waiting to assess the true extent…

JDI: Investors Waiting for Confirmation of Cost Structure Improvement