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

Thoughts on Amazon –What Does Its Valuation Tells Us?

Netflix & Amazon Expand in Korea – Not a Coincidence

Okja: The Fight Between Netflix Vs. CJ CGV

Equity Bottom-Up

<ul><li>This week, China government frequently deletes posts and accounts in Weibo (WB) in order to eliminate comments on extended state presidential terms.</li><li>We believe users will continue to use WB, the largest blog community in China, as they can read non-official news before it is erased.</li><li>We believe revenues will still grow 64% in 2018 and 44% in 2019 after the censorship impact.</li><li>We conclude EPS below the market consensus, but calculate an upside of 67% via our P/E band.  BUY.</li></ul>

This week, China government frequently deletes posts and accounts in Weibo (WB) in order to eliminate comments on extended state presidential terms.We believe users will continue to use WB, the largest blog community in China, as they can read non-official news before it is erased.We believe revenues will still grow 64% in 2018 and 44% in 2019 after the censorship impact.We conclude EPS below the market consensus, but calculate an upside of 67% via our P/E band.  BUY.

Weibo (WB) – Recent Censorship Not A Concern, Will Grow Strongly

Weibo Corp

Weibo (WB) – Recent Censorship Not A Concern, Will Grow Strongly