Technology / Semiconductor / Internet Research

Nicolas Baratte

Nicolas Baratte has been a financial analyst since 2000, covering the Technology sector in Asia mostly, and Global Tech in a couple of jobs. Nicolas has worked on the sell-side for JPMorgan, CLSA and Macquarie. On the buy-side for a Tiger fund and Prudential. Nicolas has covered Asian semiconductors, Asian hardware and components, and the global Semi supply chain. In addition to stock coverage, he also publishes research on sectors as that often shows clearer trends and pinpoints the inflection points in a sharper way. Nicolas lives mostly in Taiwan, sometimes in France and is in New York regularly.

Qualcomm Investor Day: Based on Management Forecasts, Best Case 13% Operating Profit Cagr to FY29

Mediatek 3Q24 Inline, 4Q Guidance Slightly Weak, Flattish Revenue Outlook and the Stock Is Expensive

Qualcomm Incorporated: Achieving Growth Through Internet of Things (IoT) & Diversification Strategy! - Major Drivers

MediaTek (2454.TT): Weakness in the 4Q24 Is Offset by the Demand for D9400.

Smartphone Growth Is Slowing Down to +4% YoY in 3Q. Mediatek Had a Good Rally, Time to Take a Break

Equity Bottom-Up

<ul>
<li>Sept-24 result and Dec-24 guidance beat expectations by ~5%. Results show 3 important and sustainable trends: smartphone premiumization (5G and AI penetration), strong growth in Automotive and IoT (AI PC).</li>
<li>Consensus expectations are moderately low. Stock valuations at average, reflecting doubts on Auto and PC addressable market and Arm lawsuits. QCOM management mentions “broad, well-established rights for custom CPU”.</li>
<li>Stock is up 4% during trading hours, another 7%  after results. Arm lawsuit is not simple / binary, with both parties overreaching, in our view. The stock has more upside.</li>
</ul>


Sept-24 result and Dec-24 guidance beat expectations by ~5%. Results show 3 important and sustainable trends: smartphone premiumization (5G and AI penetration), strong growth in Automotive and IoT (AI PC).
Consensus expectations are moderately low. Stock valuations at average, reflecting doubts on Auto and PC addressable market and Arm lawsuits. QCOM management mentions “broad, well-established rights for custom CPU”.
Stock is up 4% during trading hours, another 7%  after results. Arm lawsuit is not simple / binary, with both parties overreaching, in our view. The stock has more upside.


Qualcomm Sep-24: Nice Beat, Dec-24 Guide Small Beat. 3 Growth Factors: Smartphone AI, Automotive, PC