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>3690 HK: Meituan's Overseas Version, Keeta, Launches in Riyadh, Saudi Arabia(/)</li>
<li>PDD US/BABA US/JD US: PDD to provide double compensation for overpriced product (//-/-)</li>
<li>700 HK/BABA US: Taobao now accessible through webpages in WeChat (+/+)</li>
</ul>


3690 HK: Meituan's Overseas Version, Keeta, Launches in Riyadh, Saudi Arabia(/)
PDD US/BABA US/JD US: PDD to provide double compensation for overpriced product (//-/-)
700 HK/BABA US: Taobao now accessible through webpages in WeChat (+/+)


[Blue Lotus Daily-TMT Update]:3690 HK/PDD US/BABA US/JD US/700 HK/TCOM US/ATAT US

<ul>
<li>TCOM US: Overseas Travel for National Holiday Grow Faster than Domestic Travel, Potentially Signaling the End of Consumption Downgrading (+)</li>
<li>PDD US: PDD announces another support plan for “quality merchants” (/)</li>
<li>BABA US/JD US/002352 CH: E-commerce players intensify logistics competition in Hong Kong (////-)</li>
</ul>


TCOM US: Overseas Travel for National Holiday Grow Faster than Domestic Travel, Potentially Signaling the End of Consumption Downgrading (+)
PDD US: PDD announces another support plan for “quality merchants” (/)
BABA US/JD US/002352 CH: E-commerce players intensify logistics competition in Hong Kong (////-)


[Blue Lotus Daily-TMT Update]:TCOMUS/PDDUS/BABA/JD/002352CH/700HK/NTES/BILI/002624CH/3888HK/3690HK

Asian Hedge Fund Manager, Long Short Equity, Macro

David Mudd

Cross Asset Strategy

<ul>
<li>Although the tech sector in Hong Kong has surged over the last couple of weeks there appears to be minimal short covering in US-listed China tech names.</li>
<li>The performance of the "Magnificent 5" China tech names has led the rally as we outlined in <a href="https://www.smartkarma.com/insights/hong-kong-the-glass-is-half-full-time-to-buy-beta" target="_blank" data-smartkarma-citation="insights:134396" rel="noopener">Hong Kong: The Glass Is Half Full, Time to BUY Beta</a> .</li>
<li>The combination of of large outstanding short positions and a significant underweight of HK/China in international funds will lead to further upside in the tech sector.</li>
</ul>


Although the tech sector in Hong Kong has surged over the last couple of weeks there appears to be minimal short covering in US-listed China tech names.
The performance of the "Magnificent 5" China tech names has led the rally as we outlined in Hong Kong: The Glass Is Half Full, Time to BUY Beta .
The combination of of large outstanding short positions and a significant underweight of HK/China in international funds will lead to further upside in the tech sector.


External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

<ul><li>We update our sector investment views for the next six months post earnings as follows: 1) Companies with solid fundamentals and high revenue and profit growth visibility; 2) sustained profitability and willingness to lift shareholder returns; and 3) a sizeable TAM for new initiatives and business explorations likely to generate a decent ROIC.</li><li>We believe the market will continue to allocate to such names and value them fairly.</li><li>Taking into account 2Q results and recent stock performances, we find our previous view has been testified: better-than-expected earnings are not enough to drive a share rally, but better-than-expected 3Q/full-year outlook and enhanced shareholder return measures could provide key support. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

We update our sector investment views for the next six months post earnings as follows: 1) Companies with solid fundamentals and high revenue and profit growth visibility; 2) sustained profitability and willingness to lift shareholder returns; and 3) a sizeable TAM for new initiatives and business explorations likely to generate a decent ROIC.We believe the market will continue to allocate to such names and value them fairly.Taking into account 2Q results and recent stock performances, we find our previous view has been testified: better-than-expected earnings are not enough to drive a share rally, but better-than-expected 3Q/full-year outlook and enhanced shareholder return measures could provide key support. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Internet - 2Q24 Recap & Stock-Picking Ideas: Seeking Certainty

<ul>
<li>NTES US: Blizzard's &lt;Hearthstone&gt; Resumes Operations in China Today with High Player Enthusiasm (+)</li>
<li>BABA US/PDD US/AMZN US/SHEIN: AliExpress to promote new merchant models and faster logistics at Double 11 and Black Friday promotions (+/-/-/-) </li>
<li>BABA US/PDD US/JD US: Taobao/Tmall to offer no extra service fees on “buy-now pay-later” orders during Double 11 (-/-/-)</li>
</ul>


NTES US: Blizzard's &lt;Hearthstone&gt; Resumes Operations in China Today with High Player Enthusiasm (+)
BABA US/PDD US/AMZN US/SHEIN: AliExpress to promote new merchant models and faster logistics at Double 11 and Black Friday promotions (+/-/-/-) 
BABA US/PDD US/JD US: Taobao/Tmall to offer no extra service fees on “buy-now pay-later” orders during Double 11 (-/-/-)


[Blue Lotus Daily-TMT Update]:NTES US/BABA US/PDD US/AMZN US/SHEIN/JD US/2230CH/600398CH/3690HK/TCOM

China

PDD Holdings Inc. is a multinational commerce group that owns and operates a portfolio of businesses. The Company focuses on digital economy so that local communities and small businesses can benefit from the increased productivity and new opportunities. PDD Holdings has built a network of sourcing, logistics, and fulfillment capabilities for its underlying businesses.

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

PDD Holdings (PDD US)

[Blue Lotus Daily-TMT Update]:3690 HK/PDD US/BABA US/JD US/700 HK/TCOM US/ATAT US

Meituan's overseas version, Keeta, expands to Riyadh; PDD offers double compensation for overpriced products; Taobao now accessible through WeChat...

Blue Lotus Research Institute

[Blue Lotus Daily-TMT Update]:TCOMUS/PDDUS/BABA/JD/002352CH/700HK/NTES/BILI/002624CH/3888HK/3690HK

Overseas travel for national holidays on the rise, signaling potential end to consumption downgrading. PDD announces support plan for quality...

Blue Lotus Research Institute

HK/China: THE BIG SHORT (SQUEEZE)

Even though HK/China tech names have surged, short positions have not covered. The large underweight position in HK/China by international funds...

David Mudd

Internet - 2Q24 Recap & Stock-Picking Ideas: Seeking Certainty

We update our sector investment views for the next six months post earnings as follows: 1) Companies with solid fundamentals and high revenue and...

CMB International

[Blue Lotus Daily-TMT Update]:NTES US/BABA US/PDD US/AMZN US/SHEIN/JD US/2230CH/600398CH/3690HK/TCOM

Blizzard's resumes operations in China with high player enthusiasm, AliExpress to promote new merchant models and faster logistics at Double 11...

Blue Lotus Research Institute

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

[Blue Lotus Daily-TMT Update]:3690 HK/PDD US/BABA US/JD US/700 HK/TCOM US/ATAT US

​Meituan's overseas version, Keeta, expands to Riyadh; PDD offers double compensation for overpriced products; Taobao now accessible through WeChat...

Blue Lotus Research Institute

[Blue Lotus Daily-TMT Update]:TCOMUS/PDDUS/BABA/JD/002352CH/700HK/NTES/BILI/002624CH/3888HK/3690HK

​Overseas travel for national holidays on the rise, signaling potential end to consumption downgrading. PDD announces support plan for quality...

Blue Lotus Research Institute

HK/China: THE BIG SHORT (SQUEEZE)

Even though HK/China tech names have surged, short positions have not covered. The large underweight position in HK/China by international funds...

David Mudd

Internet - 2Q24 Recap & Stock-Picking Ideas: Seeking Certainty

We update our sector investment views for the next six months post earnings as follows: 1) Companies with solid fundamentals and high revenue and...

CMB International

[Blue Lotus Daily-TMT Update]:NTES US/BABA US/PDD US/AMZN US/SHEIN/JD US/2230CH/600398CH/3690HK/TCOM

​Blizzard's resumes operations in China with high player enthusiasm, AliExpress to promote new merchant models and faster logistics at Double 11...

Blue Lotus Research Institute

Meituan's overseas version, Keeta, expands to Riyadh; PDD offers double compensation for overpriced products; Taobao now accessible through WeChat...

Overseas travel for national holidays on the rise, signaling potential end to consumption downgrading. PDD announces support plan for quality...

Blizzard's resumes operations in China with high player enthusiasm, AliExpress to promote new merchant models and faster logistics at Double 11...