HK/China Equity Long-Short

Osbert Tang, CFA

Equity Bottom-Up

<ul>
<li>China's two national port companies <a href="https://www.smartkarma.com/entities/china-merchants-port-holdings-company-ltd" target="_blank" data-smartkarma-citation="entities:15155:1" rel="noopener">China Merchants Port (144 HK)</a> and <a href="https://www.smartkarma.com/entities/cosco-shipping-ports-ltd" target="_blank" data-smartkarma-citation="entities:360:1" rel="noopener">Cosco Shipping Ports (1199 HK)</a> have underperformed, but exports have picked up. We see an opportunity here.</li>
<li>With a 9.2% increase in container throughput, CSPL even down by 4.8% YTD, underperformed CMPH by 12.9pp. There is room for it to catch up.</li>
<li>CSPL is also cheaper at 7x and 6.3x PERs for the next two years, making it more attractive on a relative basis.</li>
</ul>


China's two national port companies China Merchants Port (144 HK) and Cosco Shipping Ports (1199 HK) have underperformed, but exports have picked up. We see an opportunity here.
With a 9.2% increase in container throughput, CSPL even down by 4.8% YTD, underperformed CMPH by 12.9pp. There is room for it to catch up.
CSPL is also cheaper at 7x and 6.3x PERs for the next two years, making it more attractive on a relative basis.


China Port Pair Opportunity: COSCO Shipping Ports Vs. China Merchants Port

Asia Pac IPO & Placement Research, China biotech, Aequitas Research

Ke Yan, CFA, FRM

Asia Pac IPO & Placement Research, China biotech

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.

Quantitative Analysis

<ul>
<li>We analyse the changes of A-H premium on 147 stocks over the last week. The average A-H premium was 114.0% as of May 10th.</li>
<li>The average A-H premium changed by -7.0ppt week-on-week, led by energy, utilities, communication services and offset by consumer staples, consumer discretionary.</li>
<li>We highlight weekly changes in A-H premium for Petrochina, CGN Power, Hua Hong Semi, Huaneng Power, Cansino, Pharmaron.</li>
</ul>


We analyse the changes of A-H premium on 147 stocks over the last week. The average A-H premium was 114.0% as of May 10th.
The average A-H premium changed by -7.0ppt week-on-week, led by energy, utilities, communication services and offset by consumer staples, consumer discretionary.
We highlight weekly changes in A-H premium for Petrochina, CGN Power, Hua Hong Semi, Huaneng Power, Cansino, Pharmaron.


A-H Premium Weekly (May 10th): 19 Stocks at 52w Low

<ul>
<li>We analyse the changes of A-H premium on 147 stocks over the last week. The average A-H premium was 123.5% as of Apr 26th.</li>
<li>The average A-H premium changed by -8.5ppt week-on-week, led by consumer staples, financials, real estate.</li>
<li>We highlight weekly changes in A-H premium for Zoomlion, Sinotrans, Remegen.</li>
</ul>


We analyse the changes of A-H premium on 147 stocks over the last week. The average A-H premium was 123.5% as of Apr 26th.
The average A-H premium changed by -8.5ppt week-on-week, led by consumer staples, financials, real estate.
We highlight weekly changes in A-H premium for Zoomlion, Sinotrans, Remegen.


A-H Premium Weekly (Apr 26th): Zoomlion, Sinotrans, Remegen

<ul>
<li>We analyse the changes of A-H premium on 146 stocks over the last week. The average A-H premium was 124.6% as of Mar 22nd.</li>
<li>The average A-H premium changed by 1.4ppt week-on-week, led by consumer staples, information technology, utilities and offset by financials, health care.</li>
<li>We highlight weekly changes in A-H premium for ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai Fudan, Hua Hong Semi.</li>
</ul>


We analyse the changes of A-H premium on 146 stocks over the last week. The average A-H premium was 124.6% as of Mar 22nd.
The average A-H premium changed by 1.4ppt week-on-week, led by consumer staples, information technology, utilities and offset by financials, health care.
We highlight weekly changes in A-H premium for ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai Fudan, Hua Hong Semi.


A-H Premium Weekly (Mar 22nd): ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai Fudan

Asia L/S Equity PM/Macro/Thematic Idea Generation

Rikki Malik

Macroeconomics

<ul>
<li>More deflation reported in China and the implications for markets</li>
<li>Chinese authorities keep pushing liquidity into the system and focusing on the stock market</li>
<li>Parts of the Chinese Economy not as bad as the doomsayers would have you believe</li>
</ul>


More deflation reported in China and the implications for markets
Chinese authorities keep pushing liquidity into the system and focusing on the stock market
Parts of the Chinese Economy not as bad as the doomsayers would have you believe


CPI Falls Again in China as Japanification Narrative Does the Rounds

China

Sinotrans Limited provides integrated logistics services with core service of sea, air, rail and road freight forwarding, express services and shipping agency services.  The Company also provides support services of storage and terminal services, trucking and marine transportation services.

Price Gauge
52-week Range	0.00 - 0.00
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Dividend (Yield)	0.00

Sinotrans (598 HK)

China Port Pair Opportunity: COSCO Shipping Ports Vs. China Merchants Port

China's national port companies, CMPH and CSPL, have underperformed but with recovering throughput, there is an opportunity. CSPL is cheaper at 7x...

Osbert Tang, CFA

A-H Premium Weekly (May 10th): 19 Stocks at 52w Low

We analyzed A-H premium changes in the past week and highlight A-H premium changes for Petrochina, CGN Power, Hua Hong Semi, Huaneng Power,...

Ke Yan, CFA, FRM

A-H Premium Weekly (Apr 26th): Zoomlion, Sinotrans, Remegen

We analyzed A-H premium changes in the past week and highlight A-H premium changes for Zoomlion Heavy, Sinotrans, Remegen.

Ke Yan, CFA, FRM

A-H Premium Weekly (Mar 22nd): ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai Fudan

We analyzed A-H premium changes in the past week and highlight A-H premium changes for ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai...

Ke Yan, CFA, FRM

CPI Falls Again in China as Japanification Narrative Does the Rounds

China reports more deflation, but authorities are injecting massive liquidity into the system and focusing on the stock market; some parts of the...

Rikki Malik

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

China Port Pair Opportunity: COSCO Shipping Ports Vs. China Merchants Port

​China's national port companies, CMPH and CSPL, have underperformed but with recovering throughput, there is an opportunity. CSPL is cheaper at 7x...

Osbert Tang, CFA

A-H Premium Weekly (May 10th): 19 Stocks at 52w Low

We analyzed A-H premium changes in the past week and highlight A-H premium changes for Petrochina, CGN Power, Hua Hong Semi, Huaneng Power,...

Ke Yan, CFA, FRM

A-H Premium Weekly (Apr 26th): Zoomlion, Sinotrans, Remegen

We analyzed A-H premium changes in the past week and highlight A-H premium changes for Zoomlion Heavy, Sinotrans, Remegen.

Ke Yan, CFA, FRM

A-H Premium Weekly (Mar 22nd): ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai Fudan

We analyzed A-H premium changes in the past week and highlight A-H premium changes for ZTE, CRCC Times Electric, Air China, Longyuan, Shanghai...

Ke Yan, CFA, FRM

CPI Falls Again in China as Japanification Narrative Does the Rounds

​China reports more deflation, but authorities are injecting massive liquidity into the system and focusing on the stock market; some parts of the...

Rikki Malik

China's national port companies, CMPH and CSPL, have underperformed but with recovering throughput, there is an opportunity. CSPL is cheaper at 7x...

China reports more deflation, but authorities are injecting massive liquidity into the system and focusing on the stock market; some parts of the...