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

Gaming Drags Down Sony’s FY03/20 Results; PS5 Is on Track for Launch in 2020

Sony to Buy Out Remaining Sony Financial Stake

Sony – Expect the PS5 to Keep or Increase Market Share

Nintendo – A Visit to the Nintendo Tokyo Store in Shibuya

Nintendo – Micro Quantamental Analysis Following 3Q

Nintendo – ValueAct Won’t Change Much but You Should Pay Attention to Animal Crossing’s Strength

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>Nintendo blew the doors off with OP of ¥352.4bn vs. consensus at ¥314.9bn. Revenue of ¥1,308.5bn was also above consensus at ¥1,273bn, but by a smaller margin, showing the magnitude of the profitability improvements that we have been flagging as a key driver for the stock. Guidance of ¥300bn in OP for next FY looks conservative, and to us so does consensus at ¥369bn. Below we examine exactly how much upside may remain, but in short, it is not too late to buy.</p>

Nintendo blew the doors off with OP of ¥352.4bn vs. consensus at ¥314.9bn. Revenue of ¥1,308.5bn was also above consensus at ¥1,273bn, but by a smaller margin, showing the magnitude of the profitability improvements that we have been flagging as a key driver for the stock. Guidance of ¥300bn in OP for next FY looks conservative, and to us so does consensus at ¥369bn. Below we examine exactly how much upside may remain, but in short, it is not too late to buy.

Nintendo – Deftly Animal Crossing Over the COVID Trap