Pan-Asia Tactical Market Calls (Quant-Driven), MRM Research

Nico Rosti

Pan-Asia Tactical Market Calls (Quant-Driven)

MRM Research

Quantitative Research

Equity Derivatives

C. Uyemura & Co., Ltd. manufactures and sells plating chemicals.  The Company also manufactures plating machinery.  C. Uyemura markets its products in North America and Asia.

<ul>
<li>JPX's October 7 review adds 35 names and phases out 683 over eight quarterly steps, creating dated passive buying and selling in several AI and semiconductor stocks.</li>
<li>Ferrotec, santec, Seikoh Giken and C.Uyemura get passive buying at the October 29 close; Samco, Tazmo, Torex Semiconductor and Fixstars face eight quarterly passive selling dates.</li>
<li>The October 2027 re-evaluation is an escape hatch: deleted names that regain liquidity stop being cut, making buybacks, cross-shareholding unwinds and float will increase the catalysts to watch.</li>
</ul>


JPX's October 7 review adds 35 names and phases out 683 over eight quarterly steps, creating dated passive buying and selling in several AI and semiconductor stocks.
Ferrotec, santec, Seikoh Giken and C.Uyemura get passive buying at the October 29 close; Samco, Tazmo, Torex Semiconductor and Fixstars face eight quarterly passive selling dates.
The October 2027 re-evaluation is an escape hatch: deleted names that regain liquidity stop being cut, making buybacks, cross-shareholding unwinds and float will increase the catalysts to watch.


Japan AI Small Caps: Who Topix Funds Must Buy/Sell Following the Oct 30 Index Cull

SoftBank Group Corp. provides telecommunication services. The Company also operates ADSL (Asymmetric Digital Subscriber Line) and fiber optic high-speed Internet connection, e-Commerce businesses, and Internet based advertising and auction businesses.

<ul>
<li>
Funding done, stock's shares still falling – what is the market pricing?<a href="https://www.smartkarma.com/entities/softbank-group-corp" target="_blank" data-smartkarma-citation="entities:315:1" rel="noopener">Softbank </a>has invested $64.6bn for about 13% of OpenAI, and the $40bn bridge loan has been repaid and cancelled.</li>
<li>
What is left is a mark, not a cash call. The stake is both equity upside + collateral for a $10bn margin loan priced at SOFR plus 425 basis points.</li>
<li>
10 November Earnings: results for the six months to 30 September will show whether that mark holds.</li>
</ul>



Funding done, stock's shares still falling – what is the market pricing?Softbank has invested $64.6bn for about 13% of OpenAI, and the $40bn bridge loan has been repaid and cancelled.

What is left is a mark, not a cash call. The stake is both equity upside + collateral for a $10bn margin loan priced at SOFR plus 425 basis points.

10 November Earnings: results for the six months to 30 September will show whether that mark holds.


How SoftBank (9984 JP) Became a Proxy to Trade OpenAI, One Headline at a Time...

BYD Company is a Chinese multinational manufacturing conglomerate specializing in new energy technologies. It develops and produces electric vehicles, rechargeable batteries for various applications, mobile handset components, and rail transit systems. The company was founded in February 1995 and is headquartered in Shenzhen, Guangdong, China.

<ul>
<li>Our quantitative models last week indicated <a href="https://www.smartkarma.com/entities/byd-company-limited-class-h" target="_blank" data-smartkarma-citation="entities:20962:1" rel="noopener">BYD Company (1211 HK)</a> had <a href="https://www.smartkarma.com/insights/weekly-tactical-recap-asymmetric-setup-catl-advantest-corp-tokyo-electron-zijin-mining-nifty" target="_blank" rel="noopener">reached oversold territory</a>. The stock could rally back towards 90 from here, and possibly change long-term trend.</li>
<li>Valuation multiples have de-rated significantly, pricing in worst-case domestic price-war scenarios while underappreciating higher-margin overseas export growth and AI-driven smart driving adoption.</li>
<li>A tactical LONG position from current price levels, targeting a mean-reversion move toward 90-100 (near our model + consensus target) could offer more reward potential than downside risk (good asymmetry).</li>
</ul>


Our quantitative models last week indicated BYD Company (1211 HK) had reached oversold territory. The stock could rally back towards 90 from here, and possibly change long-term trend.
Valuation multiples have de-rated significantly, pricing in worst-case domestic price-war scenarios while underappreciating higher-margin overseas export growth and AI-driven smart driving adoption.
A tactical LONG position from current price levels, targeting a mean-reversion move toward 90-100 (near our model + consensus target) could offer more reward potential than downside risk (good asymmetry).


Let's Make a Case for a BYD (1211 HK) Rally (Tactical View)

Samsung Electronics Co., Ltd. manufactures a wide range of consumer and industrial electronic equipment and products such as semiconductors, personal computers, peripherals, monitors, televisions, and home appliances including air conditioners and microwave ovens. The Company also produces Internet access network systems and telecommunications equipment including mobile phones.

<ul>
<li>Most analysts expect <a href="https://www.smartkarma.com/entities/samsung-electronics-co-ltd" target="_blank" data-smartkarma-citation="entities:191:1" rel="noopener">Samsung Electronics (005930 KS)</a> to post its fourth consecutive quarter of record operating profit, driven by ongoing AI infrastructure demand and tight memory suppliesA</li>
<li>The LSEG SmartEstimate points to a massive year-over-year jump in earnings—up from 12.17 trillion won a year earlier—with some brokerage forecasts hovering around 105 trillion won in total operating profit. </li>
<li>Near-Term flows around the October 8 print should be volatile owing to the convergence of preliminary guidance, semiconductor ETF rebalancing, options expiry, and the conclusion of Samsung's share buyback program.</li>
</ul>


Most analysts expect Samsung Electronics (005930 KS) to post its fourth consecutive quarter of record operating profit, driven by ongoing AI infrastructure demand and tight memory suppliesA
The LSEG SmartEstimate points to a massive year-over-year jump in earnings—up from 12.17 trillion won a year earlier—with some brokerage forecasts hovering around 105 trillion won in total operating profit. 
Near-Term flows around the October 8 print should be volatile owing to the convergence of preliminary guidance, semiconductor ETF rebalancing, options expiry, and the conclusion of Samsung's share buyback program.


Samsung Electronics (005930 KS) Tactical Outlook Ahead of Q3 Earnings Release

Suzuki Motor Corporation manufactures automobiles, motorcycles, and their related parts. The Company has production facilities in USA, Japan, Taiwan, India, Pakistan, Indonesia, Thailand, and Hungary.

<ul>
<li>
<a href="https://www.smartkarma.com/entities/suzuki-motor-corp" target="_blank" data-smartkarma-citation="entities:732:1" rel="noopener">Suzuki Motor (7269 JP)</a> has been selling off for the past 5 weeks, showing an attractive inexpensive valuation.</li>
<li>The stock looks reasonably priced on cash flow, displays strong operational cash generation and balance sheet strength (driven by hybrid and small-car dominance in emerging markets).</li>
<li>Our model analysis shows the stock sell-off right now is probably exhausted, so the timing for positioning is quite good, at the moment.</li>
</ul>



Suzuki Motor (7269 JP) has been selling off for the past 5 weeks, showing an attractive inexpensive valuation.
The stock looks reasonably priced on cash flow, displays strong operational cash generation and balance sheet strength (driven by hybrid and small-car dominance in emerging markets).
Our model analysis shows the stock sell-off right now is probably exhausted, so the timing for positioning is quite good, at the moment.


Suzuki Motor (7269 JP) Tactical Outlook: A Good Time to Buy (Asymmetric High Prob Entry)