Overseas Chinese Equities, Aequitas Research

Ming Lu

A veteran with 19-year experience in equity research.

Geographical coverage:
* Companies operating in China, but listed in Hong Kong and the U.S.
* Previously China A-share (listed in mainland China).

Equity sector coverage:
* Chinese App / Internet-based consumption in China, e.g., Alibaba, Tencent, etc.
* Previously covered education, transportation, telecom, power, bank, advertisement, hotel, etc.

Research methods:
* Generally bottom-up.
* Talk to related people on the ground.  Talk to readers and independent writers for analyzing a news portal.  Talk to parents and teachers for analyzing a tutoring school. 
* Visit stores and show photos as evidence in notes.
* Do technical analysis when finding a short-seller attacking an equity.

Languages:
* English
* Mandarin Chinese (Official language of China)
* Shanghainese (Language of Shanghai, the most developed city in China)
* Cantonese (Language of Hong Kong and Canton Province, one of the most developed provinces in China)

Overseas Chinese Equities

Kuaishou (1024 HK): Weaker than TikTok? Not Exactly

Kuaishou (1024 HK): Denied Office Politics Behind CEO Change, But It’s a Good Change Anyway

Kuaishou (1024 HK): 3Q21, Growth Rates of Active Users Recovered Strongly

Kuaishou (1024 HK): 1Q21, Still in a Time of Change

Kuaishou Lock-Up Expiry - Getting Close to IPO Price, with US$18bn+ Lock-Up. CCASS Movement as Well.

Kuaishou (1024 HK): Opportunity Coming After Lock-Up Expiry

Battle Lines Drawn As BABA Builds Out First/Last-Mile Capacity; But Who Will Fund 75+ Bn CNY CapEx?

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Bottom-Up

<ul>
<li>Kuaishou’s revenue increased by 49% YoY in 2Q21 versus 37% YoY in 1Q21.</li>
<li>Direct-response sales video raised time on site and revenue per user.</li>
<li>The gross margin rose to 44% in 2Q21 versus 34% in 2Q20.</li>
<li>We believe Kuaishou has an upside of 64% for the year end of 2021.</li>
</ul>


Kuaishou’s revenue increased by 49% YoY in 2Q21 versus 37% YoY in 1Q21.
Direct-response sales video raised time on site and revenue per user.
The gross margin rose to 44% in 2Q21 versus 34% in 2Q20.
We believe Kuaishou has an upside of 64% for the year end of 2021.


Kuaishou (1024 HK): 2Q21, Direct-Response Sales Raised Growth and Gross Margin

Kuaishou Technology

Kuaishou (1024 HK): 2Q21, Direct-Response Sales Raised Growth and Gross Margin