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

Momo: China's King of Dating Turns to Social Media in Search of Growth

Coronavirus Casualties: China Tech's Ten Biggest Losers

Coronavirus & Commodities – What to Do? (Flash Note)

Momo (MOMO): No Man Admits He Is a User, Price Will Double

Momo (MOMO): Paying Users Up 17%, Benefiting from Bankrupt Competitors, 80% Upside

Momo (MOMO) - Short Seller Not Familiar with Live Video, 120% Upside.

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>The growth rate of the main business line rose for the second quarter.</li>
<li>Paying users increased 14% YoY in 3Q19 versus 2% YoY in 2Q19.</li>
<li>The operating margin improved YoY for the first time in recent 5 quarters</li>
<li>Time-series and cross-sectional comparisons suggest upside of 64%~67% for the year-end of 2020.</li>
</ul>
<p>Our previous coverage on Momo:</p>
<p><a href="https://www.smartkarma.com/insights/momo-momo-paying-users-up-17-benefiting-from-bankrupt-competitors-80-upside" target="_blank" rel="noopener">Momo (MOMO): Paying Users Up 17%, Benefiting from Bankrupt Competitors, 80% Upside</a></p>


The growth rate of the main business line rose for the second quarter.
Paying users increased 14% YoY in 3Q19 versus 2% YoY in 2Q19.
The operating margin improved YoY for the first time in recent 5 quarters
Time-series and cross-sectional comparisons suggest upside of 64%~67% for the year-end of 2020.

Our previous coverage on Momo:
Momo (MOMO): Paying Users Up 17%, Benefiting from Bankrupt Competitors, 80% Upside

Momo (MOMO): See Recovery Signals, More than 60% Upside

Hello Group

Momo (MOMO): See Recovery Signals, More than 60% Upside