Blue Lotus Non US Internet research, Blue Lotus Research Institute

Ying Pan

Blue Lotus Non US Internet research

China growth and global non-US Internet equities

Blue Lotus Research Institute

Blue Lotus Research is a Hong Kong Type 4 Licensed investment advisory firm focusing on Chinese growth equities and global non-US Internet equities

Thematic (Sector/Industry)

<ul>
<li>NTES US/700 HK: The NPPA has released the results for May's domestic game code license approvals.(+)</li>
<li>PDD US /BABA US /JD US /3690 HK/VIPS US : NBS publishes data social retail consumption data for April 2024 (+/+/+/+/-)</li>
<li>700 HK/BIDU US: Tencent announced the upcoming release of its consumer LLM application "Tencent Yuanbao."（/////）</li>
</ul>


NTES US/700 HK: The NPPA has released the results for May's domestic game code license approvals.(+)
PDD US /BABA US /JD US /3690 HK/VIPS US : NBS publishes data social retail consumption data for April 2024 (+/+/+/+/-)
700 HK/BIDU US: Tencent announced the upcoming release of its consumer LLM application "Tencent Yuanbao."（/////）


[Blue Lotus Daily - TMT Update]:NTES US/700 HK/PDD US /BABA US /JD US /3690 HK/VIPS US/BIDU US

Blue Lotus China New Economy Research, Blue Lotus Research Institute

Eric Wen

Blue Lotus China New Economy Research

<ul>
<li>BEKE US: Visiting volume surged in the first weekend after new stimulus, and transactions increased slightly.（+）</li>
<li>300274 SZ/1211 HK/300750 SZ/LI US/XPEV US/NIO US:  Except for electric vehicles, new energy exports in April were hardly positive, indicating that capturing consumers is the key to offsetting geopolitical restrictions(///////////)</li>
<li>BEKE US: Sluggish New Home Sales Prompt the PBOC to Introduce Further Stimulus Policies. (+)</li>
</ul>


BEKE US: Visiting volume surged in the first weekend after new stimulus, and transactions increased slightly.（+）
300274 SZ/1211 HK/300750 SZ/LI US/XPEV US/NIO US:  Except for electric vehicles, new energy exports in April were hardly positive, indicating that capturing consumers is the key to offsetting geopolitical restrictions(///////////)
BEKE US: Sluggish New Home Sales Prompt the PBOC to Introduce Further Stimulus Policies. (+)


[Blue Lotus Daily]:BEKE US/300274 SZ/1211 HK/300750 SZ/LI US/XPEV US/NIO US/1810 HK/BIDU US

Equity Bottom-Up

<ul>
<li>Generative AI (GAI) helps capex, no doubt. But key question is whether capex can yield to revenue and profits;</li>
<li>Content creation industry is sure to realize revenue and profits. iQiyi and NetEase already said so with concreate examples;</li>
<li>Advertising can realize revenue by better matching of ads inventory and perhaps improve inventory utilization.</li>
</ul>


Generative AI (GAI) helps capex, no doubt. But key question is whether capex can yield to revenue and profits;
Content creation industry is sure to realize revenue and profits. iQiyi and NetEase already said so with concreate examples;
Advertising can realize revenue by better matching of ads inventory and perhaps improve inventory utilization.


GAI-Related Numbers and Quotes from C1Q24 Earnings

APAC IPOs & Placements, Aequitas Research

Ethan Aw

APAC IPOs & Placements

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Capital Markets

Shulan Health Management / Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/shulan-health-management" target="_blank" data-smartkarma-citation="entities:40124:1" rel="noopener">Shulan Health Management (1807987D CH)</a>  is looking to raise around US$150m in its Hong Kong IPO. </li>
<li>Shulan Health Management (SHM) is a technology-driven healthcare group in China that integrates healthcare services and medical research and education.</li>
<li>In this note, we talk about the firm’s historical performance.</li>
</ul>



Shulan Health Management (1807987D CH)  is looking to raise around US$150m in its Hong Kong IPO. 
Shulan Health Management (SHM) is a technology-driven healthcare group in China that integrates healthcare services and medical research and education.
In this note, we talk about the firm’s historical performance.


Shulan Health Management Pre-IPO - Still Ramping up but Only a Small Player

<ul>
<li>The key takeaway from this earning season on the topic of generative AI (GAI) is that in-house generated content has the greatest potential for cost savings;</li>
<li>Taking a step further, mid-sized video platforms can also use AI to skip the curator layer, similar to Pinduoduo using algorithm to bypass small merchants to connect directly to factories;</li>
<li>We also notice that general media platforms with ample advertising inventories tend to perform better with AI's help, which is why ads of Tencent's advertising performed better than Baidu's.</li>
</ul>


The key takeaway from this earning season on the topic of generative AI (GAI) is that in-house generated content has the greatest potential for cost savings;
Taking a step further, mid-sized video platforms can also use AI to skip the curator layer, similar to Pinduoduo using algorithm to bypass small merchants to connect directly to factories;
We also notice that general media platforms with ample advertising inventories tend to perform better with AI's help, which is why ads of Tencent's advertising performed better than Baidu's.


A Few Generative AI Takeaways From C1Q24 Earnings

China

Baidu, Inc. operates an Internet search engine. The Company offers algorithmic search, enterprise search, news, MP3, and image searches, voice assistance, online storage, and navigation services. Baidu serves clients globally.

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Baidu (BIDU US)

[Blue Lotus Daily - TMT Update]:NTES US/700 HK/PDD US /BABA US /JD US /3690 HK/VIPS US/BIDU US

NPPA releases May's game code license approvals, NBS data on social retail consumption in April 2024, Tencent to launch consumer LLM app "Tencent...

Blue Lotus Research Institute

[Blue Lotus Daily]:BEKE US/300274 SZ/1211 HK/300750 SZ/LI US/XPEV US/NIO US/1810 HK/BIDU US

Visiting volume surges after stimulus, new energy exports struggle, PBOC introduces more stimulus for sluggish new home sales.

Blue Lotus Research Institute

Shulan Health Management Pre-IPO - Still Ramping up but Only a Small Player

Shulan Health Management (1807987D CH) is looking to raise around US$150m in its Hong Kong IPO. In this note, we talk about the firm’s historical...

Ethan Aw

A Few Generative AI Takeaways From C1Q24 Earnings

C1Q24 generative AI has made explicit impact on listco earnings. We summarized the observed trends and found China has a great deal of potential to...

Blue Lotus Research Institute

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

[Blue Lotus Daily - TMT Update]:NTES US/700 HK/PDD US /BABA US /JD US /3690 HK/VIPS US/BIDU US

​NPPA releases May's game code license approvals, NBS data on social retail consumption in April 2024, Tencent to launch consumer LLM app "Tencent...

Blue Lotus Research Institute

[Blue Lotus Daily]:BEKE US/300274 SZ/1211 HK/300750 SZ/LI US/XPEV US/NIO US/1810 HK/BIDU US

​Visiting volume surges after stimulus, new energy exports struggle, PBOC introduces more stimulus for sluggish new home sales.

Blue Lotus Research Institute

GAI-Related Numbers and Quotes from C1Q24 Earnings

Generative AI (GAI) is already contributing revenues in content creation (game) and ad load optimization (advertising). But the bigger pay off must...

Blue Lotus Research Institute

Shulan Health Management Pre-IPO - Still Ramping up but Only a Small Player

Shulan Health Management (1807987D CH) is looking to raise around US$150m in its Hong Kong IPO. In this note, we talk about the firm’s historical...

Ethan Aw

A Few Generative AI Takeaways From C1Q24 Earnings

C1Q24 generative AI has made explicit impact on listco earnings. We summarized the observed trends and found China has a great deal of potential to...

Blue Lotus Research Institute

NPPA releases May's game code license approvals, NBS data on social retail consumption in April 2024, Tencent to launch consumer LLM app "Tencent...

Visiting volume surges after stimulus, new energy exports struggle, PBOC introduces more stimulus for sluggish new home sales.