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 analyzed the changes in short interest of TWSE Stocks as of Aug 9th which has an aggregated short interest worth USD18.6bn.</li>
<li>We tabulate league table for top short by value and short as multiple of ADT, as well as weekly increases &amp; decreases in short value, short as multiple of ADT.</li>
<li>We highlight short interest changes in Hon Hai, Quanta Computer, TSMC, Elite Material, Asia Vital, Gigabyte Tech, Zhen Ding Tech, Tcc Group Holdin, Global Unichip.</li>
</ul>


We analyzed the changes in short interest of TWSE Stocks as of Aug 9th which has an aggregated short interest worth USD18.6bn.
We tabulate league table for top short by value and short as multiple of ADT, as well as weekly increases &amp; decreases in short value, short as multiple of ADT.
We highlight short interest changes in Hon Hai, Quanta Computer, TSMC, Elite Material, Asia Vital, Gigabyte Tech, Zhen Ding Tech, Tcc Group Holdin, Global Unichip.


TWSE Short Interest Weekly (Aug 9th): Hon Hai, Quanta Computer, TSMC, Elite Material, Asia Vital

Managing Director, Zero One, Zero One

Vincent Fernando, CFA

Managing Director, Zero One

Zero One

Founded in 2015, Zero One produces independent investment research and provides corporate finance advisory services with a focus on both listed and private technology companies. Founder Vincent Fernando has over 20 years of experience in US and Asia capital markets.

Independent Investment Research

Equity Bottom-Up

TSMC (Taiwan Semiconductor Manufacturing) - ADR / Equity Bottom-Up

TSMC (Taiwan Semiconductor Manufacturing) - ADR

<ul>
<li>Last Week -- TSMC's July Revenue Soared, Asustek Guided for PC Growth Acceleration, While KYEC, Mediatek, and UMC Rebounded</li>
<li>Key Events -- This Week Look to Hon Hai &amp; Zhen Ding Earnings and Guidance for Servers, AI PCs/Mobiles, iPhone 16</li>
<li>PC Monitor: Promising Uptake of Microsoft Copilot and AI Services; Remain Structurally Long </li>
</ul>


Last Week -- TSMC's July Revenue Soared, Asustek Guided for PC Growth Acceleration, While KYEC, Mediatek, and UMC Rebounded
Key Events -- This Week Look to Hon Hai &amp; Zhen Ding Earnings and Guidance for Servers, AI PCs/Mobiles, iPhone 16
PC Monitor: Promising Uptake of Microsoft Copilot and AI Services; Remain Structurally Long 


Taiwan Tech Weekly: Watch Hon Hai & Zhen Ding Guidance for Servers, AI PCs/Mobiles, and IPhone 16

<ul>
<li>TSMC: +16.1% Premium; Strong Spread Rebound, Potential Opportunity to Short the Spread</li>
<li>UMC: +1.6% Premium; Consider Shorting the Spread at This Level</li>
<li>ASE: +3.8% Premium; Uncertainty Remains on the Sustainability of the Recent Breakdown</li>
</ul>


TSMC: +16.1% Premium; Strong Spread Rebound, Potential Opportunity to Short the Spread
UMC: +1.6% Premium; Consider Shorting the Spread at This Level
ASE: +3.8% Premium; Uncertainty Remains on the Sustainability of the Recent Breakdown


Taiwan Dual-Listings Monitor: TSMC Strong Spread Rebound Into Short Zone; ASE Remains Broken Down

Taiwan Tech Focused Senior Analyst

Patrick Liao

Semiconductor Manufacturing International Corp (SMIC) / Equity Bottom-Up

Semiconductor Manufacturing International Corp (SMIC)

<ul>
<li>Expected sequential revenue growth of 13% to 15%, gross margin expected between 18% and 20%.</li>
<li>The company has not increased capacity utilization through price cuts but supports customers in facing competition to maintain market share.</li>
<li>Inventory replenishment behavior will end in the third quarter, and fourth-quarter orders will more accurately reflect actual demand rather than the impact of restocking.</li>
</ul>


Expected sequential revenue growth of 13% to 15%, gross margin expected between 18% and 20%.
The company has not increased capacity utilization through price cuts but supports customers in facing competition to maintain market share.
Inventory replenishment behavior will end in the third quarter, and fourth-quarter orders will more accurately reflect actual demand rather than the impact of restocking.


SMIC (981.HK): Revenue and GM Continued to Trend Up in 3Q24

Novatek Microelectronics Corp / Equity Bottom-Up

<ul>
<li>The 3Q24 revenue is expected 10.5% higher than 2Q24, but the GM/OPG outlook will be 5.1%/3.6% lower because of pricing adjustments and limited NRE sales .  </li>
<li>Smartphone's demand will enter peak season with expected stockpiling for new models. Automotive inventory adjustment is needed due to muted demand.  </li>
<li>Dividend payout ratio has remained at 80-85% in recent years, with no major changes expected.</li>
</ul>


The 3Q24 revenue is expected 10.5% higher than 2Q24, but the GM/OPG outlook will be 5.1%/3.6% lower because of pricing adjustments and limited NRE sales .  
Smartphone's demand will enter peak season with expected stockpiling for new models. Automotive inventory adjustment is needed due to muted demand.  
Dividend payout ratio has remained at 80-85% in recent years, with no major changes expected.


Novatek (3034.TT): 3Q24 Guidance Slightly Weak in GM

Taiwan

United Microelectronics Corporation designs, manufactures, and markets integrated circuits (ICs) and related electronic products.  The Company's main products are consumer electronic ICs, memory ICs, personal computer peripheral ICs, and communication ICs.

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

United Microelectron Sp Adr (UMC US)

TWSE Short Interest Weekly (Aug 9th): Hon Hai, Quanta Computer, TSMC, Elite Material, Asia Vital

We analyzed TWSE short interest report for the past week and highlighted short interest changes in Hon Hai, Quanta Computer, TSMC, Elite Material,...

Ke Yan, CFA, FRM

Taiwan Tech Weekly: Watch Hon Hai & Zhen Ding Guidance for Servers, AI PCs/Mobiles, and IPhone 16

TSMC, Asustek, KYEC, Mediatek, and UMC see revenue growth, Hon Hai and Zhen Ding earnings in focus for servers, AI, and iPhone 16. Microsoft...

Vincent Fernando, CFA

Taiwan Dual-Listings Monitor: TSMC Strong Spread Rebound Into Short Zone; ASE Remains Broken Down

We analyze the premium and discount levels of dual-listed Taiwan companies, suggesting potential spread trading levels based on historical trends.

Vincent Fernando, CFA

SMIC (981.HK): Revenue and GM Continued to Trend Up in 3Q24

Company expects solid revenue growth and stable gross margins, focusing on supporting customers and anticipating more accurate demand in upcoming...

Patrick Liao

Novatek (3034.TT): 3Q24 Guidance Slightly Weak in GM

3Q24 revenue to rise 10.5%, but GM/OPG outlook to drop 5.1%/3.6% due to pricing adjustments. Smartphone demand peaks, automotive inventory...

Patrick Liao

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

TWSE Short Interest Weekly (Aug 9th): Hon Hai, Quanta Computer, TSMC, Elite Material, Asia Vital

We analyzed TWSE short interest report for the past week and highlighted short interest changes in Hon Hai, Quanta Computer, TSMC, Elite Material,...

Ke Yan, CFA, FRM

Taiwan Tech Weekly: Watch Hon Hai & Zhen Ding Guidance for Servers, AI PCs/Mobiles, and IPhone 16

​TSMC, Asustek, KYEC, Mediatek, and UMC see revenue growth, Hon Hai and Zhen Ding earnings in focus for servers, AI, and iPhone 16. Microsoft...

Vincent Fernando, CFA

Taiwan Dual-Listings Monitor: TSMC Strong Spread Rebound Into Short Zone; ASE Remains Broken Down

We analyze the premium and discount levels of dual-listed Taiwan companies, suggesting potential spread trading levels based on historical trends.

Vincent Fernando, CFA

SMIC (981.HK): Revenue and GM Continued to Trend Up in 3Q24

​Company expects solid revenue growth and stable gross margins, focusing on supporting customers and anticipating more accurate demand in upcoming...

Patrick Liao

Novatek (3034.TT): 3Q24 Guidance Slightly Weak in GM

​3Q24 revenue to rise 10.5%, but GM/OPG outlook to drop 5.1%/3.6% due to pricing adjustments. Smartphone demand peaks, automotive inventory...

Patrick Liao

TSMC, Asustek, KYEC, Mediatek, and UMC see revenue growth, Hon Hai and Zhen Ding earnings in focus for servers, AI, and iPhone 16. Microsoft...

Company expects solid revenue growth and stable gross margins, focusing on supporting customers and anticipating more accurate demand in upcoming...

3Q24 revenue to rise 10.5%, but GM/OPG outlook to drop 5.1%/3.6% due to pricing adjustments. Smartphone demand peaks, automotive inventory...