Greater China Equity Long/Short Analyst

Eric Chen

With a blend of sell-side and buy-side perspectives, Eric has covered and researched hundreds of Greater China equities in TMT and consumer spaces - two sectors woven together by the overarching thesis of technology empowering consumption. 

Eric is highly experienced in fundamental equity long short strategy. He seeks to produce differentiated and original research that combines holistic qualitative framework, unique angles and robust modelling. The process helps gain deep insights into critical value drivers misunderstood by the market, which results in mis-priced stocks and hence long/short opportunities.

China Online Marketplaces: It Was a Bumpy Journey but the Worst Is Behind Us

Equity Bottom-Up

<ul>
<li>The market has lingering concern about substantial slowdown in PDD’s growth and has been pricing in the outlook for most part of the year.</li>
<li>2Q results did signal imminent growth deceleration, and management’s blunt yet honest comments about the pressure on margin further stoke fears.</li>
<li>We regard 1/3 market cap wipe-out after the results as over-reaction. While risks have been reflected to large extent, we do not expect a meaningful re-rating until 2H25.</li>
</ul>


The market has lingering concern about substantial slowdown in PDD’s growth and has been pricing in the outlook for most part of the year.
2Q results did signal imminent growth deceleration, and management’s blunt yet honest comments about the pressure on margin further stoke fears.
We regard 1/3 market cap wipe-out after the results as over-reaction. While risks have been reflected to large extent, we do not expect a meaningful re-rating until 2H25.


Pinduoduo (PDD US): Oversold on Concerns About Slowdown

PDD Holdings

Pinduoduo (PDD US): Oversold on Concerns About Slowdown