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Smartkarma Daily Briefs

Nov 10
0

Daily Brief Health Care: Shanghai Pharmaceuticals Holding and more

By | Daily Briefs, Healthcare

In today’s briefing:

  • Shanghai Pharmaceuticals (2607 HK): Stable Core Business; New Drug Approvals to Accelerate Growth
  • Shanghai Pharmaceuticals (2607.HK)- Low Profitability Is Big Problem; Share Price Would Underperform

Shanghai Pharmaceuticals (2607 HK): Stable Core Business; New Drug Approvals to Accelerate Growth

By Tina Banerjee

  • Shanghai Pharmaceuticals Holding (2607 HK) reported strong result for the first nine months of 2022, with revenue increasing 8.5% to RMB174.6B. Notably, total revenue growth accelerated to 13% in 3Q22.
  • With a leading market positioning and nation-wide distribution network, the company is well-positioned to benefit from the sector tailwinds. Easing of restrictions will provide a major impetus to the company.
  • The company has been improving its innovative drug pipeline. It has 42 innovative products in its pipeline, six of which are in pivotal studies.

Shanghai Pharmaceuticals (2607.HK)- Low Profitability Is Big Problem; Share Price Would Underperform

By Xinyao (Criss) Wang

  • The majority revenue of Shanghai Pharmaceuticals comes from pharmaceutical distribution business, but the pharmaceutical manufacturing business has much higher gross margin,which drives up the overall profit margin of the Company.
  • Due to VBP, profit margin is under pressure. Weak demand for COVID-19 vaccines, decreasing long-term profitability and concerns on synergistic effect of cooperation with Yunnan Baiyao cast doubt on outlook.
  • Compared with peers, the valuation of Shanghai Pharmaceuticals doesn’t show decent upside potential. High valuation expectations cannot be supported due to industry trend. Its share prices could underperform.

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Nov 10
0

Daily Brief Industrials: Toshiba Corp, Golden Energy & Resources, Totoku Electric, Yokogawa Electric, Beijing Sinohytec Co Ltd, ACCO Brands and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Toshiba – Realistic Valuation Disappoints Markets
  • Golden Energy & Resources (GER SP)’s Lacking Offer from the Widjaja Family
  • Super High Premium Buyout for Totoku Electric (5807) By Carlyle
  • Yokogawa Electric (6841 JP): High Energy Prices Point to Further Upside
  • Beijing SinoHytec A/H Listing – A Whole Lot of Promise but Not Much Earnings to Show for It Yet
  • ACCO: Free Cash Flow Begins to Show

Toshiba – Realistic Valuation Disappoints Markets

By Mio Kato

  • The Nikkei reported on Monday that JIP’s bid values Toshiba at roughly ¥2.2trn. 
  • The stock has dropped to a level just below this valuation suggesting some anticipation of a Bain/JIC bid above that valuation. 
  • While that is plausible, the cautiousness of JIP’s bid highlights the fundamental downside risk here in our view.

Golden Energy & Resources (GER SP)’s Lacking Offer from the Widjaja Family

By Arun George

  • Golden Energy & Resources (GER SP)‘s proposal from the Widjaja family – The distribution proposal (1.3936 GEMS share per share or IDR5,500 per GEMS share) and the delisting proposal (S$0.160).
  • For minorities, the good news is that the distribution share ratio is in line with the control ratio and offers are at a premium to historical share prices/multiples. 
  • The bad news is that the distribution cash alternative is unattractive and the delisting offer values GEAR at a discount to the Stanmore Coal (SMR AU) stake adjusted for debt.

Super High Premium Buyout for Totoku Electric (5807) By Carlyle

By Travis Lundy

  • Yesterday, Carlyle announced a buyout of Totoku Electric (5807 JP) at ¥5,660/share, which was a cool 155% premium to Tuesday’s close of ¥2,215. The stock was limit up today. 
  • It will be limit up tomorrow, and the next day. And probably the next day. 
  • This is a very interesting outcome. But it is actually not as expensive as it “looks.”

Yokogawa Electric (6841 JP): High Energy Prices Point to Further Upside

By Scott Foster

  • Strong 1H orders and the second upward revision to guidance this fiscal year have lifted the share price to a new high.
  • The energy shortage and high energy prices should continue to drive demand for Yokogawa’s oil, gas and power related industrial control equipment. Demand from other users is also rising.
  • Valuations suggest 15% to 20% additional upside potential for the share price. Recession or a strengthening of the yen could put this at risk, so watch the order flow.

Beijing SinoHytec A/H Listing – A Whole Lot of Promise but Not Much Earnings to Show for It Yet

By Sumeet Singh

  • Beijing Sinohytec Co Ltd (688339 CH) (BSH) is looking to raise up to US$400m via its H-shares listing.
  • BSH provides fuel cell systems in China, focusing on the design, development and manufacture of fuel cell systems and stacks mainly for commercial vehicles, such as buses and trucks.
  • In this note, we talk about the company’s past performance and other deal dynamics.

ACCO: Free Cash Flow Begins to Show

By Hamed Khorsand

  • ACCO had already warned of the sales shortfall in the third quarter but followed through on exhibiting the free cash flow capabilities of the business.
  • Retailers have changed their purchasing habits and that has led to slower sales at ACCO. 
  • Looking ahead to the fourth quarter, back to school season begins in Brazil and Australia, which should give a lift to sales. 

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Nov 10
0

Daily Brief Consumer: Alibaba Group, Hangzhou Great Star Industrial Co.,, The Keepers Holdings, Inc., Pan Pacific International Holdings, KT&G Corporation, The Walt Disney Co, Wynn Resorts and more

By | Consumer, Daily Briefs

In today’s briefing:

  • Alibaba (9988 HK) Pre-Earnings: Will See Growth Again, At Least 43% Upside
  • Hangzhou GreatStar Industrial GDR Listing – Wider Discount Here and Momentum Has Been Strong
  • Keepers Holdings: Stellar Q3 2022/ More to Follow in Management Call on 16th November
  • PPIH: Combating Cost Inflation Through Personal Brands Growth
  • An Interview with Flashlight Capital Patners CEO Lee Sanghyun on KT&G
  • Disney 4Q2022: Cord Cutting Exacerbating DTC Losses
  • Wynn Resorts Ltd: Possible Macau Openings, Las Vegas Recovery,big Investor Takes 6.1% Position

Alibaba (9988 HK) Pre-Earnings: Will See Growth Again, At Least 43% Upside

By Ming Lu

  • We believe the revenue growth will recover from zero in 1Q23 to 4% YoY in 2Q23.
  • We believe the operating margin will improve in the following two years because the company is cutting unprofitable businesses.
  • We set an upside of 43% according to other retailing giants’ price / sales ratios.

Hangzhou GreatStar Industrial GDR Listing – Wider Discount Here and Momentum Has Been Strong

By Clarence Chu

  • Hangzhou Great Star Industrial Co., (002444 CH) is looking to raise around US$150m in its Swiss GDR listing. Huatai is the sole bookrunner in the deal. 
  • The firm is offering 11.5m GDRs (1 GDR to 5 A-shares) for sale at a 16.1-18.7% discount to last close.
  • The deal would represent just 2.3 days of three month ADV and 4.3% of the firm’s current mcap.

Keepers Holdings: Stellar Q3 2022/ More to Follow in Management Call on 16th November

By Sameer Taneja

  • The Keepers Holdings, Inc. (KEEPR PM) reported strong Q3 2022 revenue growth of 48.6% YoY and profit growth of 47.8%, led by strong growth in all categories of spirits.
  • The stock trades at 8.2x FY22e/6.7x FY23e (numbers exclude the incremental earnings from its 50% stake in W&H, which we estimate could at least add 7-8% to our numbers).
  • We will get more color from the post-results call on the 16th of November 2022 (aftermarket). 

PPIH: Combating Cost Inflation Through Personal Brands Growth

By Oshadhi Kumarasiri

  • Pan Pacific International Holdings (7532 JP)’s 1QFY23 was broadly in line with consensus estimates with revenue and OP of ¥473.7bn (consensus: ¥473.8bn) and ¥23.9bn (consensus: ¥23.8bn) respectively.
  • Personal brands growth and Asia expansion are driving up PPIH’s margins while most companies in the consumer sphere are failing to pass down cost inflation.
  • With signs of OP moving to the pre-UNY acquisition level, we think that there’s an upside to the company’s medium-term guidance and consensus.

An Interview with Flashlight Capital Patners CEO Lee Sanghyun on KT&G

By Douglas Kim

  • This past week, I had an interview with Lee Sanghyun, the founder and CEO of Flashlight Capital Partners (FCP) which is currently an activist investor on KT&G Corporation (033780 KS).
  • Our interview focused on five key issues including valuation, buyback & dividends, ginseng business spin-off, investment horizon, and aligning management’s interests with those of its shareholders.
  • FCP’s shareholder return plan is to 3x higher than the one currently proposed by the company. For further details, see FCP’s website https://flashlightcap.com/. 

Disney 4Q2022: Cord Cutting Exacerbating DTC Losses

By Aaron Gabin

  • Across the board miss as DTC losses peak, park margins weaken, and linear likely to fall off a cliff. 
  • Big FY2023 guide down on revenues (HSD vs. LDD previously) and OI growth (HSD vs. ~25% consensus previously). 
  • Disney profitability lower for longer as macro headwinds on parks, accelerating cord cutting, and pushed out D+ profitability means OI likely down $2B in both FY23-24.

Wynn Resorts Ltd: Possible Macau Openings, Las Vegas Recovery,big Investor Takes 6.1% Position

By Howard J Klein

  • Billionaire US investor Tillman Fertitta has bought into what he believes is an undervalued stock as the Las Vegas market recovery speeds up.
  • Stock could now be in play as Fertitta, Wynn’s ex-wife and Macau giant Galaxy now control a al of 20%  the outstanding shares.
  • Stock is up 18% since Fertitta’s buy last week. It could well be in play.

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Nov 10
0

Most Read: Jardine Cycle & Carriage, Delhivery, Toshiba Corp, Golden Energy & Resources, Five Star Business Finance, Totoku Electric, Origin Energy, Jinke Smart Services, Hangzhou Great Star Industrial Co., and more

By | Daily Briefs, Most Read

In today’s briefing:

  • Toshiba (6502 JP) – Weak Sauce from JIP
  • Jardine C&C (JCNC SP): Potential MSCI Inclusion as NAV Discount Shrinks
  • Delhivery: Potential Index Inclusions Overshadowed by US$2.89bn Lock-Up Expiry
  • Toshiba – Realistic Valuation Disappoints Markets
  • Golden Energy & Resources (GER SP)’s Lacking Offer from the Widjaja Family
  • Five-Star Business IPO – Thoughts on Valuation
  • Super High Premium Buyout for Totoku Electric (5807) By Carlyle
  • Origin Energy (ORG AU): Indicative Proposal from Brookfield & MidOcean; Index Implications
  • Jinke Smart (9666 HK): Offer Now Unconditional In All Respects
  • Hangzhou GreatStar Industrial GDR Listing – Wider Discount Here and Momentum Has Been Strong

Toshiba (6502 JP) – Weak Sauce from JIP

By Travis Lundy

  • Media reported last night that JIP would bid ¥2.2trln for Toshiba. That’s about ¥5,000-5,100/share. 
  • This morning, there is a bit more clarification. Funnily, that means there is less info here than people think.
  • But it is not a great look for either JIP or Toshiba at this point.

Jardine C&C (JCNC SP): Potential MSCI Inclusion as NAV Discount Shrinks

By Brian Freitas

  • Jardine Cycle & Carriage (JCNC SP) was deleted from the SIMSCI Index in November 2020 and could be added back to the index at the upcoming SAIR.
  • If added to the index, we estimate passive MSCI trackers will need to buy 7.9m shares (US$176m; 11 days of ADV) at the close on 30 November.
  • Jardine Cycle & Carriage (JCNC SP) is trading at a tight discount to its listed holdings and the spread could widen post the MSCI implementation.

Delhivery: Potential Index Inclusions Overshadowed by US$2.89bn Lock-Up Expiry

By Brian Freitas

  • Delhivery (DELHIVER IN) raised US$675m in its IPO and started trading on 24 May. The stock dropped below its IPO price a couple of weeks ago.
  • Lock-Ups on pre-IPO investors expire on 20 November with 598m shares (US$2.89bn) becoming available for sale. Sell before then or hold off on buying.
  • Delhivery (DELHIVER IN) is a potential inclusion to the MSCI Small Cap and FTSE All-World indices in the next month. Passive buying will be overshadowed by lock-up expiry.

Toshiba – Realistic Valuation Disappoints Markets

By Mio Kato

  • The Nikkei reported on Monday that JIP’s bid values Toshiba at roughly ¥2.2trn. 
  • The stock has dropped to a level just below this valuation suggesting some anticipation of a Bain/JIC bid above that valuation. 
  • While that is plausible, the cautiousness of JIP’s bid highlights the fundamental downside risk here in our view.

Golden Energy & Resources (GER SP)’s Lacking Offer from the Widjaja Family

By Arun George

  • Golden Energy & Resources (GER SP)‘s proposal from the Widjaja family – The distribution proposal (1.3936 GEMS share per share or IDR5,500 per GEMS share) and the delisting proposal (S$0.160).
  • For minorities, the good news is that the distribution share ratio is in line with the control ratio and offers are at a premium to historical share prices/multiples. 
  • The bad news is that the distribution cash alternative is unattractive and the delisting offer values GEAR at a discount to the Stanmore Coal (SMR AU) stake adjusted for debt.

Five-Star Business IPO – Thoughts on Valuation

By Sumeet Singh

  • Five Star Business Finance (0958461D IN) is looking to raise around US$250m in its upcoming India IPO. 
  • Five-Star Business is a non-banking financial company (NBFC-ND-SI) that provides secured business loans to micro-entrepreneurs and self-employed individuals.
  • We have looked at various aspects of the deal in our previous note, in this note, we talk about valuations.

Super High Premium Buyout for Totoku Electric (5807) By Carlyle

By Travis Lundy

  • Yesterday, Carlyle announced a buyout of Totoku Electric (5807 JP) at ¥5,660/share, which was a cool 155% premium to Tuesday’s close of ¥2,215. The stock was limit up today. 
  • It will be limit up tomorrow, and the next day. And probably the next day. 
  • This is a very interesting outcome. But it is actually not as expensive as it “looks.”

Origin Energy (ORG AU): Indicative Proposal from Brookfield & MidOcean; Index Implications

By Brian Freitas

  • A Brookfield/MidOcean consortium has made a conditional, non-binding, indicative proposal to acquire 100% of the shares in Origin Energy (ORG AU) at A$9/share in cash.
  • The offer values Origin Energy (ORG AU)‘s equity at A$15.5bn and is a 54.9% premium to the last close. The premium is over 50% even using longer term VWAPs.
  • There will be changes to the S&P/ASX family of indices to maintain the number of index members. We will know more once an indicative timeline is published.

Jinke Smart (9666 HK): Offer Now Unconditional In All Respects

By David Blennerhassett

  • Back on the 27th of September, PRC-incorporated property management play Jinke Smart Services (9666 HK) announced a voluntary cash offer from Boyu at HK$12/share, a 33.04% premium to last close.
  • The Offer was contingent on SAMR and 7.71% of shares out tendering. Matters were somewhat complicated by Boyu buying 7.15% of shares out before dispatching the Composite Document. 
  • Jinke has now announced SAMR approval and waiving the acceptance condition. The Offer is unconditional. The final closing date is the 22nd of November. This may trade through terms. 

Hangzhou GreatStar Industrial GDR Listing – Wider Discount Here and Momentum Has Been Strong

By Clarence Chu

  • Hangzhou Great Star Industrial Co., (002444 CH) is looking to raise around US$150m in its Swiss GDR listing. Huatai is the sole bookrunner in the deal. 
  • The firm is offering 11.5m GDRs (1 GDR to 5 A-shares) for sale at a 16.1-18.7% discount to last close.
  • The deal would represent just 2.3 days of three month ADV and 4.3% of the firm’s current mcap.

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Nov 10
0

Daily Brief Financials: Uzabase Inc, Axis Bank Ltd, Pendal Group and more

By | Daily Briefs, Financials

In today’s briefing:

  • Uzabase (3966) Agrees to Carlyle Takeover
  • Axis Bank (AXSB IN): Last of the SUUTI Selldown Removes Overhang
  • Perpetual Rejects EQT/​BPEA/​Regal’s Revised Offer But Seeks Pendal Merger Delay

Uzabase (3966) Agrees to Carlyle Takeover

By Travis Lundy

  • Carlyle has launched a bid for business news and data service owner Uzabase Inc (3966 JP). The bid is far below the price of a couple years ago. 
  • But the price clears the 2022 high by 1 tick. Some will be OK with this, but some may not be. 
  • At a 72% premium, optically it appears attractive, but given circumstances, it is not a total knockout, though I don’t know who would come in.

Axis Bank (AXSB IN): Last of the SUUTI Selldown Removes Overhang

By Brian Freitas

  • The Administrator of the Specified Undertaking of the Unit Trust of India (SUUTI) is offering 46.53m shares of Axis Bank Ltd (AXSB IN) at a floor price of INR 830.63/share.
  • This will take SUUTI’s stake in Axis Bank Ltd (AXSB IN) to zero and remove an overhang on the stock.
  • Coming in close to Bain’s partial stake sale last week, the stock could trade heavy. But Axis Bank Ltd (AXSB IN) still trades cheaper than peers.

Perpetual Rejects EQT/​BPEA/​Regal’s Revised Offer But Seeks Pendal Merger Delay

By David Blennerhassett

  • Perpetual Ltd (PPT AU) has announced – and subsequently rejected – a revised non-binding proposal from EQT/BPEA/ Regal Partners (RPL AU) of A$33/share, up from the initial Offer of $30/share.
  • PPT factored in the value, high conditionality, transaction, and execution risks, and determined the proposal was not in the best interests of shareholders.
  • Against PPT’s request for a delay, Pendal (PDL AU) will proceed to the first court hearing for this week to convene a Scheme Meeting, which may occur in mid-December. 

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Nov 09
0

Daily Brief South Korea: LG Energy Solution, SK Telecom, Bionote, Sungeel Hitech and more

By | Daily Briefs, South Korea

In today’s briefing:

  • TIGER Top 10 Rebalancing: A Big Change Awaits
  • A Pair Trade Between SK Telecom & LG Uplus
  • Bionote Pre-IPO – Thoughts on Valuation
  • Sungeel Hitech: Timing Trading Angle (End of Lock Up Period & Early Inclusion of KOSDAQ 150)

TIGER Top 10 Rebalancing: A Big Change Awaits

By Sanghyun Park

  • The two names in LONG (LG Energy Solution and Celltrion) and the two names in SHORT (Shinhan Financial and KB Financial) are almost a foregone conclusion.
  • POSCO Holdings is now ahead of Kakao Corp due to the recent sharp rise in its share price. But the gap between them is still quite tight.
  • This rebalancing will likely aggravate LG Energy’s flow crunch as it also awaits an MSCI up-weight (2x ADTV) in end-November and a KOSPI 200 up-weight (2x ADTV) on December 8.

A Pair Trade Between SK Telecom & LG Uplus

By Douglas Kim

  • At current prices, we like a pair trade between SK Telecom (go long) and LG Uplus (go short). 
  • We believe the share price gap has widened too much in the past month in favor of LG Uplus and this gap is likely to close in the coming weeks.
  • While LG Uplus tries to expand its non-telecom businesses, this may involve greater spending on marketing and promotions (as % of sales), which could be a drag on its earnings.

Bionote Pre-IPO – Thoughts on Valuation

By Clarence Chu

  • Bionote (377740 KS) is looking to raise approximately US$200m in its Korean IPO. The IPO would consist of both a primary and secondary selldown.
  • Bionote is an integrated producer of diagnostics test products and biocontent products. 
  • In this note, we will look at deal dynamics, assumptions, and share our thoughts on valuation.

Sungeel Hitech: Timing Trading Angle (End of Lock Up Period & Early Inclusion of KOSDAQ 150)

By Douglas Kim

  • An ideal timing of selling/shorting Sungeel Hitech would be after its stock is included in KOSDAQ 150 but before the end of the 6 months lock up period. 
  • Sungeel Hitech is a likely candidate for an early entry in KOSDAQ 150 in December.
  • Sungeel Hitech’s 6 months end of lock-up period is on 28 January 2023. There are 0.31 million shares (2.6% of total outstanding shares) that can be sold after this period.

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Nov 09
0

Daily Brief Indonesia: China SCE and more

By | Daily Briefs, Indonesia

In today’s briefing:

  • Morning Views Asia: China SCE, Country Garden Holdings Co, Kawasan Industri Jababeka

Morning Views Asia: China SCE, Country Garden Holdings Co, Kawasan Industri Jababeka

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.

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Nov 09
0

Daily Brief Thailand: Intouch Holdings, Dohome PCL and more

By | Daily Briefs, Thailand

In today’s briefing:

  • Singtel Holds The Key To Gulf Energy’s Takeunder For Thaicom
  • DOHOME : Weak 3Q22 Earnings as Expected

Singtel Holds The Key To Gulf Energy’s Takeunder For Thaicom

By David Blennerhassett

  • In April 2021, Gulf Energy (GULF TB)‘s surprising VTO for Intouch (INTUCH TB) was conditional, inter alia, on a waiver NOT to make a downstream offer for Thaicom (THCOM TB).
  • Now Gulf has announced an intention to acquire Intouch’s 41.13% stake in Thaicom for Bt 9.92/share, a 19.3% discount last close, the completion of which triggers an MTO.
  • The acquisition of shares from Intouch requires approval from Intouch shareholders. Gulf, with 46.44% of shares out, is required to abstain. 

DOHOME : Weak 3Q22 Earnings as Expected

By Pi Research

  • Maintain HOLD recommendation for DOHOME with a target price of Bt14.10. DOHOME’s 3Q22 net profit came in at Bt50m (-85%YoY,-84%QoQ),in-line with our forecast but below BB consensus estimated by 34%
  • 3Q22 earnings sink both YoY and QoQ Its net profit came out at Bt50m (-85%YoY, -84%QoQ),the lowest level since listed.The 9M22 result accounted for 88%of full-year net profit in 2022.
  • The significant drop in 3Q22 earnings pressured by lower margin from steel products, clearance sales in decoration materials category, and rising all products cost as a result from rising inflation.

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Nov 09
0

Daily Brief Singapore: Jardine Cycle & Carriage and more

By | Daily Briefs, Singapore

In today’s briefing:

  • Jardine C&C (JCNC SP): Potential MSCI Inclusion as NAV Discount Shrinks

Jardine C&C (JCNC SP): Potential MSCI Inclusion as NAV Discount Shrinks

By Brian Freitas

  • Jardine Cycle & Carriage (JCNC SP) was deleted from the SIMSCI Index in November 2020 and could be added back to the index at the upcoming SAIR.
  • If added to the index, we estimate passive MSCI trackers will need to buy 7.9m shares (US$176m; 11 days of ADV) at the close on 30 November.
  • Jardine Cycle & Carriage (JCNC SP) is trading at a tight discount to its listed holdings and the spread could widen post the MSCI implementation.

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Nov 09
0

Daily Brief United States: S&P 500, Nasdaq-100 Stock Index, First Solar Inc, Eli Lilly & Co, Exxon Mobil, Abbvie Inc, NFT, Pfizer Inc, Pinterest Inc, Shockwave Medical Inc and more

By | Daily Briefs, United States

In today’s briefing:

  • SPX Meeting Tactical Top Target
  • EQD | SPX Vs NDX : Could CPI Spark a Reversal of Tech Performance Versus the Broader Market?
  • First Solar Inc: Major Drivers
  • Eli Lilly & Co: The Akouos Acquisition & Other Drivers
  • Exxon Mobil Corp: Major Drivers
  • AbbVie Inc: The DJS Antibodies Acquisition & Other Drivers
  • Sporting Crypto – Nov 7th: Visa Celebrate World Cup 2022 with Masters of Movement
  • Pfizer Inc (PFE.US) – What if Pfizer Loses the China Market in the Future?
  • Pinterest Inc: New Marketing Campaign & Other Developments
  • Shockwave Medical Inc (SWAV US): Continued Triple-Digit Sales Growth in Q3; 2022 Guidance Raised

SPX Meeting Tactical Top Target

By Thomas Schroeder

  • RTY long is falling short of our 1,850 PT. SPX met the 3,820/40 tactical top target outlined last week (rally from SPX 3,700). A C-wave decline is expected to 3,650.
  • DXY near support while yield remains elevated is at odds. DXY rally due from 110/109.50 and if yield push higher will see equities buckle.
  • NDX is the U/P short to add back to below 11,300. SPX long support zone rests at 3,650/20 with 3,600 the critical pivot to spur a fresh rise.

EQD | SPX Vs NDX : Could CPI Spark a Reversal of Tech Performance Versus the Broader Market?

By Simon Harris

  • All eyes are on inflation data this week with CPI due out on Thursday
  • Shorts in tech have been working but could be looking to take profits after big gains last week
  • Use options for a cheap play on NDX outperformance over SPX

First Solar Inc: Major Drivers

By Baptista Research

  • First Solar’s bull run was halted by a below par result in the last quarter as the company failed to meet Wall Street expectations with respect to revenues as well as earnings.
  • The company’s manufacturing plants produced 2.4 gigawatts of modules in the third quarter and sold 2.8 gigawatts.
  • Besides, their current fleet’s manufacturing performance metrics remain consistent, and plans for the third manufacturing plant in Ohio are still on track.

Eli Lilly & Co: The Akouos Acquisition & Other Drivers

By Baptista Research

  • Eli Lilly’s stock has been on a roll off-late in a relatively challenging market environment and the company supported it with a solid result surpassing Wall Street expectations on all counts.
  • They have continued to invest in expanding their manufacturing base to fulfill the rising demand for their products and prepare for upcoming launches.
  • In this report, we have carried out a fundamental analysis of the historical financial statements of the company.

Exxon Mobil Corp: Major Drivers

By Baptista Research

  • Like most other oil majors, Exxon Mobil too is trading close to its 52-week high.
  • The company an delivered outstanding quarterly results driven by higher natural gas realizations, stronger refinery throughput, solid refining margins, and strict cost control.
  • In the Permian Basin, Exxon increased output to almost 560,000 oil equivalent barrels per day, continuing their rapid expansion from the previous year.

AbbVie Inc: The DJS Antibodies Acquisition & Other Drivers

By Baptista Research

  • AbbVie’s results for the past quarter were mixed and the company failed to meet Wall Street expectations with respect to its revenues but managed an earnings beat.
  • The management also observed a persistently strong double-digit operational sales growth from several other significant products, including Botox Cosmetic, Vraylar, Venclexta, and Botox Therapeutic.
  • This market growth is anticipated to primarily affect Juvederm and AbbVie’s body contouring portfolio products, which have higher consumer price points.

Sporting Crypto – Nov 7th: Visa Celebrate World Cup 2022 with Masters of Movement

By Sporting Crypto

  • If you’re bored of reading FIFA-related stories – I’m sorry. The World Cup is on the horizon, after all!
  • This project by the team over at Visa is probably the most interesting Web3 x World Cup project I’ve seen so far, however.
  • Visa have created a generative art project where the art represents five iconic moments in World Cup history. 

Pfizer Inc (PFE.US) – What if Pfizer Loses the China Market in the Future?

By Xinyao (Criss) Wang

  • If excluding the contribution from COVID-19 related products, Pfizer’s performance growth could have been quite pessimistic. In terms of BD, Pfizer is “a big buyer” but the return is questionable. 
  • We haven’t seen any blockbuster new products in Pfizer’s pipeline that can make up for the losses caused by VBP/NRDL negotiation in China. Price reduction seems the only way out.
  • We cannot rule out that Pfizer may lose the China market in the event of further deterioration of Sino-US relations. This is a problem investors need to consider in advance.

Pinterest Inc: New Marketing Campaign & Other Developments

By Baptista Research

  • Pinterest’s performance as a stock has been fairly decent in what can be termed as a tumultuous environment for the technology industry.
  • The company’s global MAUs of 445 million were higher than in Q3 2021 because it largely overcame the pandemic’s difficulties and increased user engagement.
  • During the quarter, they collaborated with Merlin, BMG, Warner Music Group, and Warner Chappell Music to enhance the music experience on Pinterest.

Shockwave Medical Inc (SWAV US): Continued Triple-Digit Sales Growth in Q3; 2022 Guidance Raised

By Tina Banerjee

  • Shockwave Medical Inc (SWAV US) reported strong 3Q22 result, with revenue growing 102% y/y to 131.3 million, beating consensus by $7.5 million. EPS stood at $0.92, beating consensus by 35%.
  • Revenue growth was driven by the launch of Shockwave C2, in the U.S. in February 2021, continued recovery from the pandemic impact, and increased adoption of Shockwave products.
  • Shockwave now expects 2022 revenue of $483–488 million, representing 104–106% y/y growth. This compares to previous revenue guidance of $465–475 million and current consensus of $478.9 million.

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