Smartkarma Daily Briefs, Author at Smartkarma

Nov 25

Daily Brief Indonesia: Adani Ports & Special Economic Zone, Sumber Alfaria Trijaya Tbk Pt, AAC Technologies Holdings and more

By Smartkarma Daily Briefs | Daily Briefs, Indonesia

In today’s briefing:

Weekly Wrap – 24 Nov 2023
Sumber Alfaria Trijaya (AMRT IJ) – Ongoing Momentum Sustained
Asia Trade Book – November 2023 – Lucror Analytics

Weekly Wrap – 24 Nov 2023

By Charles Macgregor

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

and more…

Sumber Alfaria Trijaya (AMRT IJ) – Ongoing Momentum Sustained

By Angus Mackintosh

A company visit with Sumber Alfaria Trijaya revealed confidence in the outlook with its more aggressive store expansion on track, as it nearly draws level with Indomaret.
The company remains focused on expanding its Lawson convenience store outlets plus larger size Midi outlets. Its membership scheme is growing fast with 10m shopping once a week.
Sumber Alfaria Trijaya (AMRT IJ) remains a core retail holding, with its premium valuation justified by its strong growth prospects, with estimated 2-year Forward EPS growth of +25% and +17%.

Asia Trade Book – November 2023 – Lucror Analytics

By Charles Macgregor

The Asia Trade Book for November 2023 includes a summary of our recommendations, as well as our high-conviction ideas. The report also features relative-value charts and lists of the bonds across Asia HY and crossover credits.

Please reach out to our analysts to discuss any of these ideas, or other trade recommendations from our Asia coverage.

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Nov 25

Daily Brief China: Cathay Pacific Airways, Meituan, Adani Ports & Special Economic Zone, JD.com , New Horizon Health , Hang Seng Index, Kuaishou Technology, AAC Technologies Holdings and more

By Smartkarma Daily Briefs | China, Daily Briefs

In today’s briefing:

Cathay Pacific (293 HK, BUY, TP HK$9.90): Inputs from Analyst Briefing
[Meituan (3690 HK, BUY, TP HK$128) Target Price Change]: Douyin’s Near-Term Impact Is Overrated… BUY
Weekly Wrap – 24 Nov 2023
JD.com: Test of Investor Resolve as Selling Continues
2024 High Conviction – New Horizon Health – Overhangs Are Over, Upgraded ’23 Guidance
EQD | Volatility Update: Weekly Review of Vol Changes and Best Trades-Giving Thanks
[Kuaishou (1024 HK, BUY, TP HK$78) TP Change]: Refined Operation Supports Sustainable Growth
Asia Trade Book – November 2023 – Lucror Analytics

Cathay Pacific (293 HK, BUY, TP HK$9.90): Inputs from Analyst Briefing

By Mohshin Aziz

All positives from management: strong demand, loads and yields strong, cargo improving, costs are high but can cope, big profits coming but have to redeem preference shares
The near-term future is a golden runaway for Cathay Pacific. All the parameters are in the right place and we think this will persist until 1H-2024 at the very least
Cathay Pacific is a value BUY, our target price of HK$9.90 (+21% UPSIDE) implies 10x FY2024 PE, parity multiple against its arch-rival Singapore Airlines (SIA SP).

[Meituan (3690 HK, BUY, TP HK$128) Target Price Change]: Douyin’s Near-Term Impact Is Overrated… BUY

By Ying Pan

We expect Meituan to report C3Q23 top line, non-GAAP operating profit and GAAP net income 2%, 4% and 20% vs. consensus. Our C4Q23 estimates are 6%, 19%, and 30% …
Douyin’s in-store GMV growth decelerated in September/October, per local media. We believe there are two main causes, (1) local life’s share of Douyin video views is around 10%~, which…
Douyin’s next threat to Meituan is food delivery, but GMV is less than 1% of Meituan food delivery in 3Q, we estimate. At the current trajectory, we expect Douyin…

Weekly Wrap – 24 Nov 2023

By Charles Macgregor

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

and more…

JD.com: Test of Investor Resolve as Selling Continues

By Steven Holden

EM Fund ownership in JD.com continues to fall. Average weights slip to 4-year low as managers close out in large numbers.
Between February 2023 and October 2023, there were 56 closures versus 6 openings in JD.com, led by managers at the growth end of the spectrum.
Despite this, JD.com is still the 16th most widely held stock globally, with combined AUM among the funds in this analysis of $1.27bn.

2024 High Conviction – New Horizon Health – Overhangs Are Over, Upgraded ’23 Guidance

By Ke Yan, CFA, FRM

New Horizon reported a strong 1H2023 results. Company has upgraded its ’23 sales guidance.
The company will continue to deliver strong sales growth despite recent anti-corruption movement in China.
We believe that the evidence presented by the recent short-selling report is not sound. We believe the impact is over.

EQD | Volatility Update: Weekly Review of Vol Changes and Best Trades-Giving Thanks

By Simon Harris

Weekly summary of vol changes and moves across Global Markets
Analysing ATM volatility and skew changes over the last 5 days
We suggest a few trades to take advantage of the implied vol surfaces

[Kuaishou (1024 HK, BUY, TP HK$78) TP Change]: Refined Operation Supports Sustainable Growth

By Ying Pan

Kuaishou reported revenue/non-GAAP operating profit/GAAP net income 1.13%/35.0%/52.2% vs. our estimation.
The bottom-line beats were primarily due to reduced S&M costs related to effective user retention strategies and the operation of the newly constructed data centre in Ulanqab…
We maintain our BUY rating and raised TP to HK$78 for a positive outlook in the e-commerce business and viral playlets, stimulating advertising growth…

Asia Trade Book – November 2023 – Lucror Analytics

By Charles Macgregor

Please reach out to our analysts to discuss any of these ideas, or other trade recommendations from our Asia coverage.

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Nov 25

Daily Brief India: Adani Ports & Special Economic Zone, AAC Technologies Holdings and more

By Smartkarma Daily Briefs | Daily Briefs, India

In today’s briefing:

Weekly Wrap – 24 Nov 2023
Asia Trade Book – November 2023 – Lucror Analytics

Weekly Wrap – 24 Nov 2023

By Charles Macgregor

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

and more…

Asia Trade Book – November 2023 – Lucror Analytics

By Charles Macgregor

Please reach out to our analysts to discuss any of these ideas, or other trade recommendations from our Asia coverage.

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Nov 25

Daily Brief Japan: Taisho Pharmaceutical Holdin, Zensho Holdings, Daiichi Kigenso Kagaku Kogyo and more

By Smartkarma Daily Briefs | Daily Briefs, Japan

In today’s briefing:

Taisho Pharma (4581 JP) – Japan’s Newest Biggest MBO; The Price Is Light!
Zensho Holdings (7550) – ¥50bn Offering Is Not Meant For You
Taisho Pharmaceutical (4581 JP): MBO Tender Offer at JPY8,620
Daiichi Kigenso Kagaku-Kogyo (4082) – Navigating Business Expansion Challenges

Taisho Pharma (4581 JP) – Japan’s Newest Biggest MBO; The Price Is Light!

By Travis Lundy

Just past the 22-year anniversary of the deal-break from a previous takeover involving the large OTC drug firm, Taisho Pharmaceutical Holdin (4581 JP) announced an MBO Takeover for the company.
Set at a 55.5% premium, it is not particularly surprising as a deal. The family is rolling in their interests. It looks like estate planning. The Board supports and recommends.
Unfortunately, like many recent MBOs, this one is light at 0.85 book where net cash, securities, and net receivables and inventory make up 68% of the takeover price.

Zensho Holdings (7550) – ¥50bn Offering Is Not Meant For You

By Travis Lundy

Zensho Holdings (7550 JP) has had a great couple of years in share price movement. And this year is seeing earnings explode to new highs. M&A and FX.
Now they want to build a “war chest” equivalent to 4% of market cap to go do more M&A.
This seems opportunistic. And the shareholder register is extraordinarily lopsided. There is really only one buyer for this deal.

Taisho Pharmaceutical (4581 JP): MBO Tender Offer at JPY8,620

By Arun George

Taisho Pharmaceutical Holdin (4581 JP) has recommended an MBO tender offer of JPY8,620 per share, a 55.5% premium to the undisturbed (24 November).
The transaction is a two-step acquisition through a cash tender offer and subsequent squeeze-out. The lower limit of the tender offer is set at a 66.67% ownership ratio.
Irrevocables represent a 40.31% ownership ratio. The minimum acceptance condition requires a 44% minority acceptance rate. The offer is attractive vs. historical and peer multiples.

Daiichi Kigenso Kagaku-Kogyo (4082) – Navigating Business Expansion Challenges

By Astris Advisory Japan

Q1-2 FY3/2024 results were in line with revised company guidance, highlighting progress in growing prioritized businesses in the Strategic Areas segment such as Healthcare.
However, the company is experiencing headwinds due to weakness in demand from the electronics sector and market divergence for EV battery cathode materials.
Volumes have also fallen more than anticipated YoY in the legacy Automotive Catalyst Areas.

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Nov 24

Daily Brief ESG: Women’s Many Part-Time Jobs and more

By Smartkarma Daily Briefs | Daily Briefs, ESG

In today’s briefing:

Women’s Many Part-Time Jobs, Few Managerial Positions, and Short Tenure Are the Same Rooted Problems

Women’s Many Part-Time Jobs, Few Managerial Positions, and Short Tenure Are the Same Rooted Problems

By Aki Matsumoto

The same problem underlies the fact that women are more likely to be part-time/ non-regular workers, as well as the lower percentage of management positions and shorter length of service.
Setting targets and implementing measures for % of female managerial positions is important, since the higher ratio will narrow the gender wage gap, but this alone is not sufficient.
It’s necessary to ensure that women have the same position in workplace even if they leave the workforce, and to change social systems and people’s mindset to support child care.

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Nov 24

Daily Brief Thematic (Sector/Industry): China Property Developers In Distress – Weekly News & Announcements Tracker | Nov 17-23 and more

By Smartkarma Daily Briefs | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

China Property Developers In Distress – Weekly News & Announcements Tracker | Nov 17-23, 2023

China Property Developers In Distress – Weekly News & Announcements Tracker | Nov 17-23, 2023

By Robert Ciemniak

A weekly curated selection of Chinese news articles and company announcements focused on developers in distress
We look for their deals, updates, specific project progress news (‘local signals’), as well as relevant local research commentaries about the market
We do not verify the underlying data or provide any opinion, we only select and summarize the information; See direct links to sources

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Nov 24

Daily Brief ECM: Juniper Hotels Pre-IPO – Has Been Recovering Well and more

By Smartkarma Daily Briefs | Daily Briefs, ECM

In today’s briefing:

Juniper Hotels Pre-IPO – Has Been Recovering Well
Fedbank Financial IPO – Strong Sector Momentum, but This One Doesn’t Seem Particularly Compelling
Cirrus Aircraft Pre-IPO – PHIP Updates – Increased Customer Demand Continues to Drive Growth

Juniper Hotels Pre-IPO – Has Been Recovering Well

By Sumeet Singh

Juniper Hotels (JH) is looking to raise up to US$217m in its upcoming India IPO.
Juniper Hotels is the largest owner by no. of keys of Hyatt affiliated hotels in India as of 2Q23 (30th Jun 23), according to Horwath.
The company is jointly held by Saraf Hotels and its affiliate, Juniper Investments and Two Seas Holdings (an indirect subsidiary of Hyatt Hotels Corporation).

Fedbank Financial IPO – Strong Sector Momentum, but This One Doesn’t Seem Particularly Compelling

By Clarence Chu

Fedbank Financial Services (0702066D IN) is looking to raise about US$130m in its India IPO.
Fedbank Financial Services (Fedbank) is a retail-focused non-banking finance company (NBFC) promoted by The Federal Bank Limited.
In this note, we will look at past performance, and share our thoughts on valuation.

Cirrus Aircraft Pre-IPO – PHIP Updates – Increased Customer Demand Continues to Drive Growth

By Ethan Aw

Cirrus Aircraft (0153126D US) is looking to raise up to US$200m in its upcoming HK IPO.
Cirrus Aircraft designs, develops, manufactures, and sells premium aircrafts. Its two aircraft product lines, the SR2X Series and the Vision Jet, are currently certified and validated in over 60 countries.
We had covered the company’s performance in our earlier notes. In this note, we talk about its PHIP updates.

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Nov 24

Daily Brief Event-Driven: Origin: Brookfield’s “Inferior” Alternative Proposal and more

By Smartkarma Daily Briefs | Daily Briefs, Event-Driven

In today’s briefing:

Origin: Brookfield’s “Inferior” Alternative Proposal
KOSDAQ150 Index Rebalance: 17 Changes a Side; Many Surprises
EOFlow (Further) Tests Investor Patience
KOSPI200 Index Rebalance: Mostly Expected Though Some Discretion Used
CareNet (2150) – Watch the TOPIX Birdy (Smallcap)
Origin Energy (ORG AU): Brookfield/EIG’s Latest Effort Falls Flat
Understanding & Assessing Yearend Dividend Arbitrage Structure Using Futures in Korea
Hollysys (HOLI US): Progress as a Binding Proposal Targeted for Mid-December
OreCorp (ORR AU): Silvercorp Returns with a Higher Offer
LX International: Positive Impact from Not Participating in Main Bidding for HMM

Origin: Brookfield’s “Inferior” Alternative Proposal

By David Blennerhassett

Origin Energy (ORG AU)‘s Scheme vote today was always going to be a tenuous affair with AusSuper’s ~17.5% blocking stake, and Perpetual also firmly in the “against” camp.
The Scheme meeting has now been adjourned. Origin said that based on the proxy votes, it was unlikely the Scheme would have achieved the required 75% approval by shareholders.
In addition, the Brookfield-led consortium has pitched a alternative non-binding and indicative proposal which Origin views as inferior to the existing Scheme, and has significant reservations as to its complexity.

KOSDAQ150 Index Rebalance: 17 Changes a Side; Many Surprises

By Brian Freitas

There are 17 inclusions and 17 exclusions for the KOSDAQ 150 Index (KOSDQ150 INDEX) at the December rebalance to be implemented at the close on 14 December.
While most of the inclusions were expected, there are many differences on the deletes. Trading the strategy becomes tougher with the short sell ban in place.
The adds have started to outperform the deletes over the last month and there could be more movement over the next 3 weeks to implementation.

EOFlow (Further) Tests Investor Patience

By David Blennerhassett

Back on the 25 May, when Medtronic Plc (MDT US) enter into a SPA with EOFlow (294090 KS)‘s CEO, with a follow-on Tender Offer, the whole construct looked pretty clean.
Then in August Insulet Corp (PODD US) launched its lawsuit, which in hindsight, should have been expected. Then earlier this month, news surfaced concerning a stock-backed loan to the CEO.
Now the CEO is selling, presumably to repay his collateralized loan. Shares are down 38% since the resumption of trading, and are now at a whopping 122% spread to terms.

KOSPI200 Index Rebalance: Mostly Expected Though Some Discretion Used

By Brian Freitas

There will be 7 additions and 7 deletions for the Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX EQUITY) at the December rebalance that will be implemented on 14 December.
The rebalance is on expected lines, though the index committee decided not to add Youngpoong Paper (006740 KS) to the index. Not really a big surprise given the price move.
HDC Hyundai Development Co-Engineering & Construction (294870 KS) is a surprise delete and there is not much short interest that could cover against the passive selling.

CareNet (2150) – Watch the TOPIX Birdy (Smallcap)

By Travis Lundy

Carenet Inc (2150 JP) is a “medical contents” provider. It acts as a distributor of information to doctors and medical practitioners over the internet, and also consults with pharmaceutical companies.
On Wednesday, they announced that they were going to move from TSE Growth to TSE Prime as of 29 November.
At ¥31bn market capand this may turn people off, but it may be a treat for some. There is a reason why there are some big holders.

Origin Energy (ORG AU): Brookfield/EIG’s Latest Effort Falls Flat

By Arun George

Origin Energy (ORG AU) has postponed its scheme meeting to 4 December after it received a non-binding indicative proposal from Brookfield/EIG to amend the current scheme.
The Board admitted the current scheme was likely to be voted down if the meeting was held today. The alternative transaction structure will struggle to gain shareholder support.
If Brookfield/EIG walks, the share price will fall, at least in the short term. We think a reasonable deal break price is A$7.40, an 11% downside to the last close.

Understanding & Assessing Yearend Dividend Arbitrage Structure Using Futures in Korea

By Sanghyun Park

As the ex-dividend date in Korea has been before the dividend is determined, SSFs trade at a discount based on the anticipated dividend rather than adjusting dividend settlement proceeds explicitly.
The current dividend arbitrage yield for the financial companies can be seen as reflecting the postponement of the ex-dividend date to the next year.
We should pay attention to those with a significant dividend arbitrage yield but that did not amend their articles of incorporation earlier this year.

Hollysys (HOLI US): Progress as a Binding Proposal Targeted for Mid-December

By Arun George

The Hollysys Automation Technologies (HOLI US) Board has finally succumbed to shareholder pressure by targeting a special meeting of shareholders in the week commencing 22 January 2024.
The special meeting is a side event as the Board targets a binding proposal by mid-December, with some bidders proceeding to the confirmatory due diligence stage.
The BVI takeover structure and Hollysys’ undemanding valuation facilitate a competitive bidding process. A 10% uplift to the current highest offer (Recco’s US$26.50 offer) is possible.

OreCorp (ORR AU): Silvercorp Returns with a Higher Offer

By Arun George

Orecorp Ltd (ORR AU) has disclosed a revised offer from Silvercorp Metals (SVM US) at A$0.19 cash per share and 0.0967 SVM shares per ORR share.
The revised offer was necessitated due to the decline in SVM shares. Since 7 August, the revised offer is, on average, 7.8% higher than the previous offer.
Directors and irrevocables represent around 20% of voting rights. The revised offer should help the scheme get up. At the last close, the gross spread was 8.6%.

LX International: Positive Impact from Not Participating in Main Bidding for HMM

By Douglas Kim

LX International announced today that it will not participate in the main bidding to acquire HMM Co.
This is likely to have a positive impact on LX International’s share price as many investors are relieved that company will not raise excessive amounts of capital to acquire HMM.
In addition, by not acquiring HMM, LX International has enough financial resources to continue to pay high dividends.

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Nov 24

Daily Brief Credit: Morning Views Asia: Adani Ports & Special Economic Zone and more

By Smartkarma Daily Briefs | Credit, Daily Briefs

In today’s briefing:

Morning Views Asia: Adani Ports & Special Economic Zone, Agung Podomoro Land

Morning Views Asia: Adani Ports & Special Economic Zone, Agung Podomoro Land

By Charles Macgregor

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

Adani Ports & Special Economic Zone
Agung Podomoro Land

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Nov 24

Daily Brief Equity Bottom-Up: NVIDIA. Another Beat & Raise and more

By Smartkarma Daily Briefs | Daily Briefs, Equity Bottom-Up

In today’s briefing:

NVIDIA. Another Beat & Raise, Yet Shares Slide. But Why?
Oriental Watch (398 HK): H1 FY24 Lower than Expectation But A 15% Div Yield, Cash >60% of Mkt Cap
2024 High Conviction – Giant Biogene – Growth Rate Keeps Moving Higher
[Xiaomi Inc.(1810HK,SELL,TP HK$12.6) Earnings Review]: Mi14 Success Does Not Alter Overall Headwinds
Aeon and Seven & I to Create Ecosystems Via Financial Services
Watts Finally Reacts to Margin Squeeze
A Turnaround Story for Intel by Accelerating 3nm Outsourcing to TSMC?
2024 High Conviction – ZJLD – Buoyed by a Premiumisation Shift
Bumrungrad Hospital (BH TB): Strong 3Q23 Performance; Middle-East Tension Plays Spoilsports
BOC Aviation (2588 HK, BUY, TP:HKD70): High Quality Safe Bet

NVIDIA. Another Beat & Raise, Yet Shares Slide. But Why?

By William Keating

Q3FY24 revenues of 18.1 billion, up 34% QoQ and up a staggering 206% from the year ago period. It was also ~$2 billion higher than the guided number
NVIDIA’s current quarter forecast was for a further revenue raise of almost $2 billion with gross margins staying roughly flat at 74.5%
Share price reaction was negative, closing down 2.5% the following day. But why?

Oriental Watch (398 HK): H1 FY24 Lower than Expectation But A 15% Div Yield, Cash >60% of Mkt Cap

By Sameer Taneja

Oriental Watch (398 HK) reported an 8% YoY profit decline for H1 FY24 (Vs. our expectation of 10-15% growth) due to a higher taxation rate and lower margins in HK.
Despite that, the company distributed 100% of its profits for a 28.5 cent HKD/share dividend (15% annualized) and built net cash/investments to 1.25 bn HKD (62% of market cap).
Trading at 7x FY24e PE with abundant cash and real estate with a 15% yield, the stock is worth exploring with the perspective of building a high-yield portfolio.

2024 High Conviction – Giant Biogene – Growth Rate Keeps Moving Higher

By Sumeet Singh

Giant Biogene was listed in Hong Kong IPO in 2022. It has done well since and is now trading 45% above its IPO price, but its still cheap.
GB is a leader in the bioactive ingredient-based professional skin treatment product industry in China.
In this note, we will talk about the company’s past performance and future prospects.

[Xiaomi Inc.(1810HK,SELL,TP HK$12.6) Earnings Review]: Mi14 Success Does Not Alter Overall Headwinds

By Eric Wen

Xiaomi reported C3Q23 top-line, non-GAAP EBIT, and GAAP net profit (2%), 7% and in-line vs. our est., and in-line, 4%, and 13%, vs. consensus respectively.
Xiaomi’s recent run could be short lived, as (1) Huawei will soon launch mid-range 5G handsets, (2) the Mi 14 will soon face new high-end Android competition;
And (3) its underinvested EV project could disappoint. We maintain our SELL rating and HK$ 12.6 TP, implying 28x CY24 P/E.

Aeon and Seven & I to Create Ecosystems Via Financial Services

By Michael Causton

Aeon and Seven & I both have large financial services arms, generating a substantial share of consolidated profits.
With cashless payments now the norm, the old business models that relied on fees for cash dispensing are fast becoming outdated.
Both retailers plan major changes to create ecosystems that should deliver a lot more data to improve targeted marketing for e-commerce and retail stores.

Watts Finally Reacts to Margin Squeeze

By Michael Causton

The ¥100 Shop chains are facing higher COGS on one side and rising wages on the other, a problem when you run a fixed price chain at just ¥100.
Most (except Seria Co Ltd (2782 JP)) have reacted by introducing new, higher priced lines led by Daiso.
Watts, the smallest chain, is now catching up and higher priced lines will make up a third of stock by 2027.

A Turnaround Story for Intel by Accelerating 3nm Outsourcing to TSMC?

By Andrew Lu

By offering 15k and 30k/m 3nm capacity by 4Q24/4Q25 to Intel, TSMC will see Intel becoming one of its top 3 customers by accounting for 12% of TSMC 2025 sales
By leveraging 3nm outsourcing, Intel will have incremental sales/capacity growth of 19-20% per year by accounting for 28%/44% of sales in 2024/2025, beating consensus’ 14%/9% y/y sales growth for 2024/2025.
We estimate 30-35% 5 years EPS CAGR for Intel, driven by TSMC’s 2/3nm foundry support, lower cost and process R&D, lower capex and depreciation cost, and AI PC CPU launch.

2024 High Conviction – ZJLD – Buoyed by a Premiumisation Shift

By Clarence Chu

In Apr 2023, ZJLD Group (6979 HK) raised around US$676m in its HK IPO. While it initially had a turbulent listing, the shares are now trading above its IPO price.
ZJLD Group (ZJLD) is a Chinese liquor company primarily producing baijiu.
In this note, we will talk about the company’s past performance and future prospects.

Bumrungrad Hospital (BH TB): Strong 3Q23 Performance; Middle-East Tension Plays Spoilsports

By Tina Banerjee

In 3Q23, Bumrungrad Hospital Pub Co (BH TB) reported 18% YoY revenue growth to THB6.8 billion, driven by 27% and 20% YoY growth in Thai and expat patients revenue, respectively.
Revenue from international patients grew 16% YoY, driven by Middle-east and China, which grew 31% and 21%, YoY, respectively. EBITDA, PAT, and their respective margins reached record high in 3Q23.
Due to heavy revenue exposure in Middle-east, the ongoing tension in the region is acting as a setback. Bumrungrad shares tumbled ~15% over the last one month.

BOC Aviation (2588 HK, BUY, TP:HKD70): High Quality Safe Bet

By Mohshin Aziz

BOC Aviation (2588 HK) (BOCA) is the highest-quality aircraft leasing company, with a young asset portfolio, quality clientele, cheapest credit facility, and superb risk management.
Outlook is attractive, strong demand and scarce supply ensures high lease rates and profits. Asset disposals have all recorded a healthy surplus, a potential earnings surprise.
Our TP of HKD70/share implies 0.94x FY24 (22% UPSIDE) potential

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