Daily Brief Equity Bottom-Up: MiniMax Group Inc. (100 HK): Unlock Absorbed — Reload Window Now Open and more

• Five-For-Five on initiation. We started BULLISH at HK$230.20 on 6 August, flagged HK$300 as trim, and identified September’s unlock as entry, not exit. The stock followed cleanly as expected.
• A secondary selloff, separate from the unlock, saw huge declines: July’s placing price, 21% below fair value, and 13.4x FY2028E EV/revenue. Margins cleared discipline; MSCI inclusion approaches. Thesis unchanged.
• Re-Enter. Buy at HK$267.80. Add aggressively below HK$260. Maximum position below HK$240. Do not chase above HK$300. Position for the November MSCI event by end-October.

• Zixin Group Holdings Limited is an integrated sweet potato value chain operator based in Liancheng County, Fujian.
• The company buys raw sweet potato from farmers and either sells it into the Chinese wholesale trade or processes it into snacks sold under its own brands and as a contract manufacturer for others.
• FY26 sales reached RMB607mn (+43% YoY), a 3rd consecutive year of strong growth with similar levels of profit growth. 

• We believe that, despite the macro-economic challenges of Indonesia, investor sentiment is no longer worsening and may even be improving as reflected in the banks’ PBV ratio trends
• We re-iterate our buy rating on Bank Mandiri for its improving return trends, solid credit quality, attractive valuations and its asset-sensitivity at a time of higher benchmark rates
• Mandiri also has relatively limited exposure to domestic government bonds, which should limit any hit to core capital at this time of high bond yields

• Mewah International Inc. (“Mewah”) is an agribusiness focused on edible oils & fats.
• It operates edible oil refineries and food manufacturing plants, as well as other facilities, in Malaysia, Indonesia, and Singapore.
• Mewah also markets and distributes cooking oil and margarine, as well as a range of Fast-Moving Consumer Goods products such as rice, cashew, dairy-related products, cocoa, food premixes, and soap.

• FY2026 Results: ISOTeam’s FY26 result shows a softer-than-expected performance. The revenue of FY26 fall by 11.3% YoY to S$105.7 million in FY26.
• This was 16.3% below our forecast, primarily due to the delays between contract award and project commencement in Repairs & Redecoration (–18.6% YoY), Addition&Alteration (-17.5% YoY) and Coating&Painting (-8.1%) segments.
• Following the implementation of cost-saving measures, gross margin improved 2.3 ppt YoY to 18.3% in FY26.

• Working capital expansion is a deliberate operational trade-off to secure the TASER 10 rollout and accommodate international/federal growth. The increase in Days Inventory Outstanding (DIO) reflects safety-stocking of critical custom components and automated production line ramps, while Days Sales Outstanding (DSO) is driven by a structural shift toward longer-cycle federal and international government contracts.
• M&A evaluation prioritizes ecosystem lock-in over near-term standalone ROIC. Recent acquisitions, such as Dedrone, are structured to drag on asset turnover initially, but the board expects them to transition to high-margin, recurring software layers within 24 to 36 months by integrating them into the Axon Community and Respond platforms.
• R&D governance employs a bifurcated stage-gate model. Hardware initiatives (e.g., TASER 10) operate on strict 3-to-5-year capital budgets with intensive physical testing milestones, whereas software and generative AI initiatives (e.g., Draft One) utilize rapid, agile feedback loops measured by immediate pilot conversion rates and incremental annual recurring revenue (ARR) per dollar of R&D spent.

• Ondas Inc. reported record second-quarter revenue of approximately $83.8 million, reflecting a growth of over 13 times compared to the same period in the previous year and a 67% sequential increase from the first quarter of 2026.
• This growth was driven by strong organic expansion—about 85% pro forma year-over-year growth assuming the full-year ownership of its current portfolio—and bolstered by recent acquisitions, particularly DZYNE and Cyberhawk.
• The company’s pro forma backlog stood at $757 million at the end of June 2026, marking a 66% sequential increase and supported by more than $100 million in new orders in the third quarter to date.

• Deep Value Valuation Anchored by Balance Sheet Discount: Seiwa Chuo Holdings Corporation (7531 JP) trades at an ultra-depressed valuation of 0.3x P/B and 3.4x EV/EBITDA at a share price of JPY 1,294, providing substantial downside asset protection despite operating in a low-margin, cyclical steel distribution sector.
• Gross Margin Expansion and Profitability Turnaround: Despite top-line contraction from JPY 62,577M in FY2023 to JPY 50,026M in FY2025 (3-year revenue CAGR of -4.56%), gross margin expanded significantly from 7.36% to 9.23% (surpassing 10.8% in recent quarters), returning consolidated net income to profitability at JPY 348M.
• Corporate Governance and TSE Listing Compliance Catalyst: The company faces an improvement period regarding Tokyo Stock Exchange Standard Market listing criteria, where its tradable share ratio (18.3% as of end-2025 vs. 25.0% requirement) creates an urgent catalyst for management to enhance shareholder returns, facilitate secondary share distribution, and improve trading liquidity.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Intuitive Machines reported a strong second quarter 2026 marked by substantial revenue growth, an expanded backlog, and strategic investments aimed at scaling its aerospace operations across civil, commercial, and national security markets.
• The company posted $206 million in revenue, exceeding four times the amount from the prior year, and ended the quarter with a record backlog of approximately $1.8 billion.
• This backlog reflects diversification with 37% civil space, 49% commercial space, and 14% national security space exposure.

• Analog Devices is moving deeper into edge artificial intelligence with its agreement to acquire Alif Semiconductor in an all-cash transaction valued at $1.35 billion, with up to another $200 million payable through contingent consideration.
• The transaction, expected to close before the end of calendar 2026, would add Alif’s power-efficient EdgeAI microcontrollers and fusion processors to ADI’s established portfolio spanning sensing, signal processing, power management, connectivity, and software.
• The timing is notable.