Asia Pac ECM and Index Rebal, Shenton Research

Ke Yan, CFA, FRM

Asia Pac ECM and Index Rebal

Asia Pac IPO & Placement Research, China Biotech

Shenton Research

Shenton Research is an independent Asia Pacific equity specialist. Our quantitative research covers index rebalancing flows, alongside exchange data analytics accross Asia Pacific. On the equity capital markets side, we focus on Asia Pacific ECM, especially biotech and TMT. Our lead analyst is frequently cited by international media.

Quantitative Analysis

<ul>
<li>We analysed the earning revision of component stocks of MS-Taiwan in the past month.</li>
<li>We tabulated stocks with the top impact on index's EPS, stocks' EPS revision, and revenue revision.</li>
<li>We highlighted EPS revision on Innolux, King Slide Works, Formosa Plastics, TSMC, Nanya Technology, Phison Electronics, Winbond Electronics, Yang Ming Marine.</li>
</ul>


We analysed the earning revision of component stocks of MS-Taiwan in the past month.
We tabulated stocks with the top impact on index's EPS, stocks' EPS revision, and revenue revision.
We highlighted EPS revision on Innolux, King Slide Works, Formosa Plastics, TSMC, Nanya Technology, Phison Electronics, Winbond Electronics, Yang Ming Marine.


MS-Taiwan Index Earning Revision (Aug): Innolux, King Slide Works, Formosa Plastics, TSMC

IPOs and Catalysts/Events, Global Equity Research Ltd

Arun George

IPOs and Catalysts/Events

Uncompromised, Independent, Conflict-Free Research

Global Equity Research Ltd

Global Equity Research was started in 2017 by a group of experienced research professionals. It was founded on a passionate belief in the importance and the need for uncompromised, independent, conflict-free research. We aim to provide differentiated and actionable primary and bottom up fundamental research.

Equity Capital Markets

Shenzhen Longsys Electronics / Equity Capital Markets

<ul>
<li>
<a href="https://www.smartkarma.com/entities/shenzhen-longsys-electronics-co-ltd-9ad6ee79-c403-4819-a5df-de95777ae2a7" target="_blank" data-smartkarma-citation="entities:55525:1" rel="noopener">Shenzhen Longsys Electronics (9976 HK)</a> is a branded independent memory product company. It is seeking to raise US$800 million.</li>
<li>I discussed the H Share listing in <em><strong><a href="https://www.smartkarma.com/insights/longsys-electronics-h-share-listing-9976-hk-the-investment-case" target="_blank" data-smartkarma-citation="insights:266146" rel="noopener">Longsys Electronics H Share Listing (9976 HK): The Investment Case</a></strong></em>. </li>
<li>The proposed AH discount of 45.2% (based on the close on 28 August A Share price) is attractive. However, given my bearish fundamental view, I would avoid the listing. </li>
</ul>



Shenzhen Longsys Electronics (9976 HK) is a branded independent memory product company. It is seeking to raise US$800 million.
I discussed the H Share listing in Longsys Electronics H Share Listing (9976 HK): The Investment Case. 
The proposed AH discount of 45.2% (based on the close on 28 August A Share price) is attractive. However, given my bearish fundamental view, I would avoid the listing. 


Longsys Electronics H Share Listing (9976 HK): Valuation Insights

<ul>
<li>
<a href="https://www.smartkarma.com/entities/shenzhen-longsys-electronics-co-ltd-9ad6ee79-c403-4819-a5df-de95777ae2a7" target="_blank" data-smartkarma-citation="entities:55525:1" rel="noopener">Shenzhen Longsys Electronics (9976 HK)</a> is a branded independent memory product company. It is seeking to raise US$798 million.     </li>
<li>It designs controllers/firmware, back-end manufacturing (packaging/testing/assembly), and sells memory products (embedded storage, SSDs, mobile storage, DIMMs).</li>
<li>The investment case is bearish as Longsys is a fundamentally commoditised, cyclical, cash-burning company, currently riding an exceptional AI-driven up-cycle.</li>
</ul>



Shenzhen Longsys Electronics (9976 HK) is a branded independent memory product company. It is seeking to raise US$798 million.     
It designs controllers/firmware, back-end manufacturing (packaging/testing/assembly), and sells memory products (embedded storage, SSDs, mobile storage, DIMMs).
The investment case is bearish as Longsys is a fundamentally commoditised, cyclical, cash-burning company, currently riding an exceptional AI-driven up-cycle.


Longsys Electronics H Share Listing (9976 HK): The Investment Case

HK/China Equity Long-Short

Osbert Tang, CFA

<ul>
<li>The IPO of <a href="https://www.smartkarma.com/entities/shenzhen-longsys-electronics-co-ltd-9ad6ee79-c403-4819-a5df-de95777ae2a7" target="_blank" data-smartkarma-citation="entities:55525:1" rel="noopener">Shenzhen Longsys Electronics (9976 HK)</a>, a branded independent semiconductor memory product enterprise, does not appear particularly attractive to us.</li>
<li>Although its EPS CAGR will reach 95.5% for FY25-28, the growth is entirely generated in FY26, as market consensus projects a decline in FY27 and FY28.</li>
<li>Its FY27 PER of 8x is higher than global peers, and the steep 45.9% discount to the A-share is justified by the uncertain earnings outlook.</li>
</ul>


The IPO of Shenzhen Longsys Electronics (9976 HK), a branded independent semiconductor memory product enterprise, does not appear particularly attractive to us.
Although its EPS CAGR will reach 95.5% for FY25-28, the growth is entirely generated in FY26, as market consensus projects a decline in FY27 and FY28.
Its FY27 PER of 8x is higher than global peers, and the steep 45.9% discount to the A-share is justified by the uncertain earnings outlook.


Shenzhen Longsys (9976 HK) IPO: Not Too Exciting

Global Healthcare Analyst

Tina Banerjee

<ul>
<li>Longsys Electronics launched Hongkong IPO to raise nearly HK$ 6.3B. They are a branded independent semiconductor memory product enterprise making Embedded storage solutions, SSDs, Mobile Storage Products and DIMMs.</li>
<li>Longsys Electronics intends to use the proceeds for research and development, strategic investments and/or acquisition and for general corporate purpose.</li>
<li>Longsys Electronics’ operational capabilities, strong R&amp;D and technological prowess, robust product portfolio and global market presence, coupled with the positive demand outlook does make this issue fundamentally worth for investors.</li>
</ul>


Longsys Electronics launched Hongkong IPO to raise nearly HK$ 6.3B. They are a branded independent semiconductor memory product enterprise making Embedded storage solutions, SSDs, Mobile Storage Products and DIMMs.
Longsys Electronics intends to use the proceeds for research and development, strategic investments and/or acquisition and for general corporate purpose.
Longsys Electronics’ operational capabilities, strong R&amp;D and technological prowess, robust product portfolio and global market presence, coupled with the positive demand outlook does make this issue fundamentally worth for investors.


Shenzhen Longsys Electronics IPO: Worth Embedding This In Investors Memory

Taiwan

Phison Electronics Corp. manufactures and markets USB (Universal Serial Bus) flash pen drives, card readers, adapters, flash memory controllers, and integrated circuits (ICs).

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

Phison Electronics (8299 TT)

MS-Taiwan Index Earning Revision (Aug): Innolux, King Slide Works, Formosa Plastics, TSMC

We analyzed MS-Taiwan's consensus for Aug 2026 and highlighted changes of EPS in Innolux (3481 TT), King Slide Works (2059 TT), Formosa Plastics...

Ke Yan, CFA, FRM

Shenzhen Longsys (9976 HK) IPO: Not Too Exciting

Shenzhen Longsys H-share is priced at a 45.9% discount to the A-share, but the market's projected earnings decline for FY27-28 is a concern. Its 8x...

Osbert Tang, CFA

Shenzhen Longsys Electronics IPO: Worth Embedding This In Investors Memory

Longsys launched HK IPO to raise nearly HK$ 6.3B for R&D, strategic investments/acquisition etc. Operational capabilities, strong R&D prowess,...

Tina Banerjee

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

MS-Taiwan Index Earning Revision (Aug): Innolux, King Slide Works, Formosa Plastics, TSMC

We analyzed MS-Taiwan's consensus for Aug 2026 and highlighted changes of EPS in Innolux (3481 TT), King Slide Works (2059 TT), Formosa Plastics...

Ke Yan, CFA, FRM

Longsys Electronics H Share Listing (9976 HK): Valuation Insights

Longsys is an independent memory product company. It is seeking to raise US$800 million. While the proposed AH discount is attractive, I would...

Arun George

Longsys Electronics H Share Listing (9976 HK): The Investment Case

Longsys Electronics is a branded independent memory product company. It is seeking to raise US$798 million. In this note, I discuss the investment...

Arun George

Shenzhen Longsys (9976 HK) IPO: Not Too Exciting

Shenzhen Longsys H-share is priced at a 45.9% discount to the A-share, but the market's projected earnings decline for FY27-28 is a concern. Its 8x...

Osbert Tang, CFA

Shenzhen Longsys Electronics IPO: Worth Embedding This In Investors Memory

Longsys launched HK IPO to raise nearly HK$ 6.3B for R&D, strategic investments/acquisition etc. Operational capabilities, strong R&D prowess,...

Tina Banerjee