CEO, A. Stotz Investment Research

Dr. Andrew Stotz, CFA

Quantamental Investing to beat Benchmarks

A. Stotz Investment Research

We pick stocks. We construct portfolios. All our effort is focused on how to better pick stocks and construct portfolios. We serve fund management companies, family offices, and high net worth individuals.

Equity Bottom-Up

Petronas Chemicals Group / Equity Bottom-Up

<ul>
<li>Low correlation, good price momentum, and low correlation with western stock markets relative to its sector</li>
<li>Stable demand from major global petrochemical end users is keeping utilization rates high, revenue up by 20% YoY in 2Q18</li>
<li>Longer-term growth should start realizing in 2019 as its RAPID project facilities gradually start commercial operations</li>
<li>Trades above ASEAN Materials at 18CE* 2.5x PB, ROE is in line with the sector, and PCHEM is net cash</li>
<li>Risks: Unexpected softening in crude oil price to depress average selling prices, delays in planned maintenance work, unplanned shutdowns</li>
</ul>* Consensus Estimates


Low correlation, good price momentum, and low correlation with western stock markets relative to its sector
Stable demand from major global petrochemical end users is keeping utilization rates high, revenue up by 20% YoY in 2Q18
Longer-term growth should start realizing in 2019 as its RAPID project facilities gradually start commercial operations
Trades above ASEAN Materials at 18CE* 2.5x PB, ROE is in line with the sector, and PCHEM is net cash
Risks: Unexpected softening in crude oil price to depress average selling prices, delays in planned maintenance work, unplanned shutdowns
* Consensus Estimates

PCHEM (PCHEM MK): RAPID Project to Start Operations in 2019

Thematic (Sector/Industry)

We highlight 15 stocks in ASEAN that look interesting to us based upon our FVMR Methodology. Our research team constantly reviews the ASEAN markets to try to find interesting ideas based upon Fundamentals or Valuation or Momentum or Risk or some combination thereof.

We highlight 15 stocks in ASEAN that look interesting to us based upon our FVMR Methodology. Our research team constantly reviews the ASEAN markets to try to find interesting ideas based upon Fundamentals or Valuation or Momentum or Risk or some combination thereof.

Global Cross-Asset Energy Analyst, VAC Investments

Aaditya Chintalapati, CFA

Global Cross-Asset Energy Analyst

VAC Investments

<h2>Oil Price</h2>Crude oil prices broke their 7-week old losing streak, ending the week up c.4% with WTI at USD 68.55/bbl and Brent at USD 75.6/bbl. The shift in market sentiment was driven largely by record US refining demand, with refiners running at c.98% utilization and crack spreads seeing counter-seasonal increases. Elsewhere, the Baker Hughes rig count was broadly flat week-on-week, with oil rigs down by 9 and natural gas rigs down by 4.

Oil PriceCrude oil prices broke their 7-week old losing streak, ending the week up c.4% with WTI at USD 68.55/bbl and Brent at USD 75.6/bbl. The shift in market sentiment was driven largely by record US refining demand, with refiners running at c.98% utilization and crack spreads seeing counter-seasonal increases. Elsewhere, the Baker Hughes rig count was broadly flat week-on-week, with oil rigs down by 9 and natural gas rigs down by 4.

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

Price and relative strength trends continue to improve for our international equal-weight Health Care Sector. We recommend adding exposure, and provide charts on numerous actionable stocks across global markets. We also highlight actionable stocks within Materials, beyond metals &amp; mining stocks, that are outperforming.

Price and relative strength trends continue to improve for our international equal-weight Health Care Sector. We recommend adding exposure, and provide charts on numerous actionable stocks across global markets. We also highlight actionable stocks within Materials, beyond metals &amp; mining stocks, that are outperforming. 

Global Strategy: Opportunities in Health Care & Materials Stocks

MSCI Emerging Markets Index / Technical Analysis

Recent USD strength has weighed on EM’s relative performance. Given (1) strength in commodity prices (sans precious metals), (2) the potential for some backing-and-filling of the USD, and (3) MSCI EM price and relative strength support levels continuing to hold, we see recent weakness as a buying opportunity.  The MSCI BRIC index has reasserted its leadership status. In addition to China, fellow BRIC countries Brazil and India exhibit attractive setups, while Chile’sIPSA also presents opportunities. Today’s report includes a wide variety of bottom-up recommendations across the EM universe, spanning most sectors and all market capitalizations.

Recent USD strength has weighed on EM’s relative performance. Given (1) strength in commodity prices (sans precious metals), (2) the potential for some backing-and-filling of the USD, and (3) MSCI EM price and relative strength support levels continuing to hold, we see recent weakness as a buying opportunity.  The MSCI BRIC index has reasserted its leadership status. In addition to China, fellow BRIC countries Brazil and India exhibit attractive setups, while Chile’sIPSA also presents opportunities. Today’s report includes a wide variety of bottom-up recommendations across the EM universe, spanning most sectors and all market capitalizations.

Emerging Markets Strategy: Attractive Setups in China, Brazil, India, and Chile

Malaysia

Petronas Chemicals Group Bhd. is a chemical company. The Company offers a diversified range of petrochemical products such as olefins, polymers, fertilisers, methanol, and other basic chemicals and derivative products.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Petronas Chemicals Group (PCHEM MK)

PCHEM (PCHEM MK): RAPID Project to Start Operations in 2019

Low correlation, good price momentum, and low correlation with western stock markets relative to its sector Stable demand from major global...

A. Stotz Investment Research

Interesting Stocks to Consider in ASEAN

We highlight 15 stocks in ASEAN that look interesting to us based upon our FVMR Methodology. Our research team constantly reviews the ASEAN markets...

A. Stotz Investment Research

Global E&Ps: Energy Weekly Vol. 23

Oil PriceCrude oil prices broke their 7-week old losing streak, ending the week up c.4% with WTI at USD 68.55/bbl and Brent at USD 75.6/bbl. The...

Aaditya Chintalapati, CFA

Global Strategy: Opportunities in Health Care & Materials Stocks

Price and relative strength trends continue to improve for our international equal-weight Health Care Sector.We recommend adding exposure, and...

Vermilion Research

Emerging Markets Strategy: Attractive Setups in China, Brazil, India, and Chile

Recent USD strength has weighed on EM’s relative performance. Given (1) strength in commodity prices (sans precious metals), (2) the potential for...

Vermilion Research

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)