Smartkarma Daily Briefs

I summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
Highest spreads: Mayne Pharma (MYX AU), Smart Share Global (EM US), ENN Energy (2688 HK), Dongfeng Motor (489 HK), Joy City Property (207 HK), Santos Ltd (STO AU).
Lowest spreads: Bright Smart Securities (1428 HK), Pacific Industrial (7250 JP), Humm Group (HUM AU), Ainsworth Game Technology (AGI AU), Ashimori Industry (3526 JP), Toyota Industries (6201 JP).

Chery Automobile IPO: The Bear Case

Chery Automobile (CH3456 CH), a Chinese automobile manufacturer, has secured HKEx listing approval for a US$1.5-2.0 billion IPO.
In Chery Automobile IPO: The Bull Case, I highlighted the key elements of the bull case. In this note, I outline the bear case.
The bear case rests on weakening trends of the primary business, gross margin pressure, declining contract liabilities and factoring of receivables.

Volatility Cones: Spotting Opportunities in Tencent, JD.com, Ping An & More

By Gaudenz Schneider

Context: Volatility cones provide a clear framework to evaluate whether options are trading cheap or rich.
Highlights: Major stocks, including Tencent (700 HK), Xiaomi (1810 HK), and Meituan (3690 HK), trade at historically cheap implied volatility. Upcoming earnings are starting to be reflected in November IV.
Why Read: Spot opportunities, assess regime shifts, and manage risk effectively — volatility cones turn complex data into actionable insights for traders and investors.

Pop Mart (9992 HK) – 2025 High Growth Is a Done Deal, but How About 2026?

By Xinyao (Criss) Wang

The certainty of 2025 performance is actually high. 25H2 performance is expected to be better than that in 25H1. Our forecast is net profit to reach RMB10 billion in 2025.
The concern is Pop Mart may face the sustainability problem of performance under the high base of 2025 starting from 2026. If consumers develop aesthetic fatigue towards LABUBU, performance would decline.
In a neutral situation, 30-35x P/E is a comfortable range.Valuation upside depends more on the sustainability of THE MONSTERS popularity and whether the popularity of other IPs can exceed expectations.

MicroPort MedBot (2252 HK): Overseas Markets Shine; Tuomai Drives Growth; Losses Narrow in 1H25

By Tina Banerjee

Shanghai MicroPort MedBot Group (2252 HK) recorded 1H25 revenue of RMB 176M, up 77% YoY driven by rapid expansion of commercialization of multiple products. Overseas market sales grew 189% YoY.
Toumai Laparoscopic Surgical Robot continued to be the main growth driver securing new orders of 30+ units and achieving commercial installation of 22 units.
MedBot’s recent approvals of Toumai variants, technology advantages, diversified portfolio and commercialization strength place it at an inflection point, expected to be back in the black soon.

SHEIN / Temu / AliExpress: After US Ended “De Minimis” Exemption, Shipments to US Declined 81%

Postal parcel volume bound for the US fell -81% after exemption ended Aug 29
In many cases, logistics providers unwilling to manage US Customs process
We believe the change undermines US model used by SHEIN, Temu, AliExpress

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Sep 08

Daily Brief Equity Bottom-Up: Relative Value Opportunities in Asia-Pac and more

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

In today’s briefing:

Relative Value Opportunities in Asia-Pac, Pair Trade Roundup (8 Sep)
Marubeni Corporation (TSE: 8002) – Copper Torque, Platform Pivot, and Cash Returns
Figma (FIG.US): 2Q’FY25 Earnings Review. Strong Quarter, But Margins Will Contract In the Near Term
Bank of Queensland (BOQ AU) Vs. CBA (CBA AU): Quant-Driven Pair Trade Following Potential Overshoot
Blue Jet Healthcare: Pureplay Intermediates CDMO. Recent Correction Overdone, Good for Fresh Bet
Shortlist of High Conviction Philippines Equity Ideas – September 2025
TSMC (2330.TT; TSM.US): TSMC Has Raised Wafer Prices; Rapidus Provides 2nm Milestone.
Pop Mart (9992 HK) – 2025 High Growth Is a Done Deal, but How About 2026?
MicroPort MedBot (2252 HK): Overseas Markets Shine; Tuomai Drives Growth; Losses Narrow in 1H25

Relative Value Opportunities in Asia-Pac, Pair Trade Roundup (8 Sep)

By Gaudenz Schneider

Context: This Insight follows up on previously highlighted relative value opportunities, using a statistical methodology based on mean-reversion to identify opportunities in paired securities.
Highlights: Currently six pair trade opportunities across three markets and four sectors persist.
Why read: Statistical analysis offers a unique perspective on relative value. Gain insights into actionable statistical pair trade opportunities and monitor performance of previously highlighted pairs.

Marubeni Corporation (TSE: 8002) – Copper Torque, Platform Pivot, and Cash Returns

By Rahul Jain

Marubeni is a top-five Japanese trading house, diversified across resources, food, leasing, power, and chemicals.
Management is deploying ~¥1.2tn capex through FY30, tilted toward copper expansion in Chile and renewables growth.
Shares trade at ~11x P/E and 7–8% FCF yield with ~5% cash return yield, offering value on dips below ¥3,000.

Figma (FIG.US): 2Q’FY25 Earnings Review. Strong Quarter, But Margins Will Contract In the Near Term

By Andrei Zakharov

California based Figma Inc. reported another strong quarter, but shares sold off over 20% given an early lockup release of some ~11.4M Class A shares.
I estimate ~$630M worth of Figma shares became eligible for sale on the second trading day immediately following public release of earnings for the 2Q’FY25.
I think selling pressure in Figma stock is expected to ease as valuation improved and VC shareholders agreed to extend their lockup with respect to ~54% of Class A shares.

Bank of Queensland (BOQ AU) Vs. CBA (CBA AU): Quant-Driven Pair Trade Following Potential Overshoot

By Gaudenz Schneider

Context: The Bank Of Queensland (BOQ AU) vs. Commonwealth Bank (CBA AU) price-ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
Highlights: Going long Bank Of Queensland (BOQ AU) and short Commonwealth Bank of Australia (CBA AU) targets a 4% return, with Bank Of Queensland (BOQ AU) supported by cheaper valuations.
Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

Blue Jet Healthcare: Pureplay Intermediates CDMO. Recent Correction Overdone, Good for Fresh Bet

By Himanshu Dugar

BLUEJET is a pure-play API/CDMO with strong positioning in contrast media intermediates. Further, it has demonstrated R&D and execution capabilities by commercialising 15+ molecules (oncology, CVS, CNS) under CDMO model.
Its share price has corrected by ~35% since July end, after below expectation June quarter results exacerbated by weak export data amid tariff concerns. However, August numbers alleviated some concerns.
Shares now trade at 30x FY26 PE, the lower end of 30-60x range where peers currently trade at. Company has high visibility for 20+% earnings growth for the medium term.

Shortlist of High Conviction Philippines Equity Ideas – September 2025

By Sameer Taneja

We are gradually building a high-conviction coverage of ideas for mid and small-cap companies in the Philippines.
We established metrics focusing on high ROCE, sustainable growth of 10-15% YoY, robust balance sheets, and prudent capital allocation, essential elements for identifying potential multi-bagger opportunities.
Read our updates on Philippines Exchange (PSE PM): IPO Pipeline to Cross 200 Bn (>142% YoY) Pesos For 2025, The Keepers Holdings (KEEPR PM), and Ginebra San Miguel (GSMI PM)

TSMC (2330.TT; TSM.US): TSMC Has Raised Wafer Prices; Rapidus Provides 2nm Milestone.

By Patrick Liao

Taiwan Semiconductor (TSMC) – ADR (TSM US) has raised wafer prices, with 2nm wafers expected to cost at least 50% more—exceeding USD 30,000 per wafer.
Rapidus plans to begin 2nm engineering production in 1Q26 and target mass production by 2027, likely one node behind TSMC.
Taiwan Semiconductor (TSMC) – ADR (TSM US) is expected to be ready for iPhone 17 production.

Pop Mart (9992 HK) – 2025 High Growth Is a Done Deal, but How About 2026?

By Xinyao (Criss) Wang

The certainty of 2025 performance is actually high. 25H2 performance is expected to be better than that in 25H1. Our forecast is net profit to reach RMB10 billion in 2025.
The concern is Pop Mart may face the sustainability problem of performance under the high base of 2025 starting from 2026. If consumers develop aesthetic fatigue towards LABUBU, performance would decline.
In a neutral situation, 30-35x P/E is a comfortable range.Valuation upside depends more on the sustainability of THE MONSTERS popularity and whether the popularity of other IPs can exceed expectations.

MicroPort MedBot (2252 HK): Overseas Markets Shine; Tuomai Drives Growth; Losses Narrow in 1H25

By Tina Banerjee

Shanghai MicroPort MedBot Group (2252 HK) recorded 1H25 revenue of RMB 176M, up 77% YoY driven by rapid expansion of commercialization of multiple products. Overseas market sales grew 189% YoY.
Toumai Laparoscopic Surgical Robot continued to be the main growth driver securing new orders of 30+ units and achieving commercial installation of 22 units.
MedBot’s recent approvals of Toumai variants, technology advantages, diversified portfolio and commercialization strength place it at an inflection point, expected to be back in the black soon.

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Sep 08

Daily Brief Macro: Copper All Set To Break 10k USD/Ton In The Short-Term and more

By Smartkarma Daily Briefs | Daily Briefs, Macro

In today’s briefing:

Copper All Set To Break 10k USD/Ton In The Short-Term
Seasonal Weakness Ahead?
Iron Ore At 105 USD/Ton: Sweet Spot for Fenix Resources (FEX AU)
Waller’s Gambit

Copper All Set To Break 10k USD/Ton In The Short-Term

By Sameer Taneja

This is a follow-up on our piece 10 days ago Rate Cut To Spur Copper Performance In The Short-Term to Over 10K USD/Ton.
Copper, trading above USD 9,800/ton, appears poised to breach USD 10,000/ton; prospective rate cuts and supply deficits support upside, partially offset by elevated exchange inventories.
Southern Copper (SCCO US) and Antofagasta PLC (ANTO LN) are our favorite names. The restart of the Cobre Panama mine (although low probability) could boost First Quantum Minerals (FM CN).

Seasonal Weakness Ahead?

By Cam Hui

We are seeing fundamental headwinds in the form of elevated valuations and earnings uncertainty from tariffs, which won’t be visible until Q3 earnings season.
On the other hand, the technical outlook appears relatively benign.
Our base case calls for some choppiness ahead. We are near-term cautious, but not bearish.

Iron Ore At 105 USD/Ton: Sweet Spot for Fenix Resources (FEX AU)

By Sameer Taneja

We are now set for a decline in the benchmark grade from 62% to 61% effective January 2nd, 2026, for Platts, aligning the benchmark with more commonly traded fines.
Alot of exchanges have begun to adopt this change, and we will update our FY26 numbers for it as well. Iron ore remains elevated at 105 USD/ton, climbing 2.3% WoW.
We continue to advocate strongly for Fenix Resources (FEX AU). Read Fenix Resources (FEX AU): Exciting Value-Adding Catalyst Can Triple Production Again for a detailed outline of our thesis.

Waller’s Gambit

By Cam Hui

Fed Governor Chris Waller is a leading candidate to be the next Fed Chair, and the issue of Fed independence is paramount.
Our evaluation of his economic case for rate cuts should be whether the decisions are based on sound data, theory and solid judgment.
He has shown solid thinking on employment, but his justification for rate cuts based on the Fed’s inflation mandate is weaker and shows signs of wishful thinking.

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Sep 08

Daily Brief ECM: Chery Automobile IPO: The Bear Case and more

By Smartkarma Daily Briefs | Daily Briefs, ECM

In today’s briefing:

Chery Automobile IPO: The Bear Case
ECM Weekly (8 September 2025)- Metaplanet, Lifedrink, Koei, Hesai, Orion, Myungin, Hesai, Chery
Myungin Pharm Pre-IPO: Discount to Peers; Potential Succession Planning
SHEIN / Temu / AliExpress: After US Ended “De Minimis” Exemption, Shipments to US Declined 81%

Chery Automobile IPO: The Bear Case

Chery Automobile (CH3456 CH), a Chinese automobile manufacturer, has secured HKEx listing approval for a US$1.5-2.0 billion IPO.
In Chery Automobile IPO: The Bull Case, I highlighted the key elements of the bull case. In this note, I outline the bear case.
The bear case rests on weakening trends of the primary business, gross margin pressure, declining contract liabilities and factoring of receivables.

ECM Weekly (8 September 2025)- Metaplanet, Lifedrink, Koei, Hesai, Orion, Myungin, Hesai, Chery

By Sumeet Singh

Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
On the IPO front, a few US$1bn+ IPOs are said to be looking to launch later this month, across regions.
On the placements front, deals continue to flow through as the market remains receptive.

Myungin Pharm Pre-IPO: Discount to Peers; Potential Succession Planning

By Nicholas Tan

Myungin Pharmaceutical (MYUNGIN KS) is looking to raise up to US$142m in its upcoming Korean IPO.
It specializes in central nervous system (CNS) therapeutics and boasts an extensive product line-up of over 200 CNS products.
In this note, we examine the IPO dynamics, and look at the firm’s valuation.

SHEIN / Temu / AliExpress: After US Ended “De Minimis” Exemption, Shipments to US Declined 81%

Postal parcel volume bound for the US fell -81% after exemption ended Aug 29
In many cases, logistics providers unwilling to manage US Customs process
We believe the change undermines US model used by SHEIN, Temu, AliExpress

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Sep 07

Daily Brief Energy/Materials: Freeport Mcmoran and more

By Smartkarma Daily Briefs | Daily Briefs, Energy & Materials Sector

In today’s briefing:

Freeport-McMoRan Taps Advanced Leaching Tech—Could This Be Its Secret Weapon?

Freeport-McMoRan Taps Advanced Leaching Tech—Could This Be Its Secret Weapon?

Freeport-McMoRan reported robust results for its second quarter of 2025, marked by significant sales volumes of both copper and gold which exceeded initial forecasts.
The company benefited from higher copper prices, registering an average realization of over $4.50 per pound, and delivering quarterly EBITDA of $3.2 billion.
Operating cash flows were also strong at $2.2 billion.

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Sep 07

Daily Brief Industrials: Nidec Corp, S.F. Holding, GMS Inc, Robert Half Intl, Valmont Industries and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

Nidec (6594 JP): Wait for Hard Numbers
Chinese Express Firms All Saw H1 OPM% Fall — Except SF Hldg | Pair Trade: LONG SF Vs SHORT ZTO, J&T
GMS: Strategic Expansion in Complementary Product Offerings to Drive Incremental Revenue Growth Over The Coming Years!
Robert Half International: An Insight Into Its Protiviti Growth
Valmont Industries Unlocks $400 Million Growth Potential with Bold Infrastructure Expansion!

Nidec (6594 JP): Wait for Hard Numbers

By Scott Foster

Nidec dropped 22% on Thursday following management’s decision to establish an independent committee to investigate accounting irregularities. It bounced back nearly 5% on Friday, but finished the week down 20%.
In June, the Company received approval to postpone submitting its FY Mar-25 securities report until September 26. In July, it released incomplete 1Q results while postponing full disclosure.
Without correct numbers, we can only guess at the full impact of the accounting irregularities and their effect on management.

Chinese Express Firms All Saw H1 OPM% Fall — Except SF Hldg | Pair Trade: LONG SF Vs SHORT ZTO, J&T

With the exception of SF Holding, all listed express firms reported lower H1 OP%
SF’s independence and unique product mix protected profits as volume surged
We suggest going Long SF Hldg against Short positions in ZTO & J&T

GMS: Strategic Expansion in Complementary Product Offerings to Drive Incremental Revenue Growth Over The Coming Years!

GMS Inc.’s latest earnings for the fourth quarter of fiscal year 2025 reflects a mixed performance amidst a challenging macroeconomic environment.
On the positive side, the company reported net sales of $1.3 billion for the quarter, which aligns with the high end of their expectations provided earlier in the year.
The sales were bolstered by recent acquisitions, including Kamco, Yvon Building Supply, R.S. Elliott, and Howard & Sons Building Materials, which contributed positively to their revenue.

Robert Half International: An Insight Into Its Protiviti Growth

Robert Half’s latest earnings for Q2 2025 presents a mixed picture with some notable challenges and opportunities for its business units.
The company’s global revenues were reported at $1.37 billion, reflecting a 7% year-over-year decline.
This decline was in line with the midpoint of the company’s previous guidance.

Valmont Industries Unlocks $400 Million Growth Potential with Bold Infrastructure Expansion!

Valmont Industries, Inc.’s second quarter 2025 results reveal a complex picture of achievements and strategic recalibrations aimed at positioning the company for future growth while addressing current market conditions.
The company’s revenue for the quarter reached $1.05 billion, marking a slight increase from the previous year, primarily driven by strong performance in the Utility, Telecommunications, and International Agriculture sectors.
However, this modest growth is offset by challenges faced in other segments, such as Lighting & Transportation and the Solar business.

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Sep 07

Daily Brief TMT/Internet: DISCO Corp, Intel Corp, Taiwan Semiconductor (TSMC) – ADR, Newgen Software Technologies, Shibaura Electronics, Ambarella Inc, Texas Instruments, Cadence Design Sys, Plexus Corp, SentinelOne and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

DISCO Corporation (TSE: 6146) – From Abrasive Wheels to AI Packaging Champion
Intel (INTC.US): Qualcomm CEO Has Publicly Stated that Intel’s Technology Is Still Not Competitive.
Taiwan Dual-Listings Monitor: TSMC Premium at Historically Extreme Level; ASE Bounces Off Parity
Newgen Software Technologies- Forensic Update
(Mostly) Asia-Pac M&A: Peak Rare Earths, Yutaka Giken, Shibaura, Johns Lyng, Ainsworth, Ashimori
Ambarella’s IoT Surge Outpaces Automotive—But the Best Is Yet to Come!
Texas Instruments’ Secret Weapon: How Geopolitical Dependability Could Redefine Chip Supply!
Cadence Strikes Big: What The €2.7 Billion Hexagon Acquisition Means For The Future Of System Design!
Plexus’ Global Strategy: Will Diversification Across Industries Guarantee Long-Term Growth?
SentinelOne Inside: How the Singularity Platform Is Redefining Cybersecurity with AI!

DISCO Corporation (TSE: 6146) – From Abrasive Wheels to AI Packaging Champion

By Rahul Jain

DISCO is the global leader in wafer dicing and grinding, holding ~70–80% market share in critical back-end semiconductor tools.
Anagement is expanding capacity via the Gohara Plant (FY2028) and upgrading innovation at the Haneda R&D Center (FY2025–27) to secure its edge in hybrid bonding, PLP, and stealth dicing.
Revenues are projected to grow ~11% CAGR to FY2028, with EPS potentially reaching ¥1,500, but the stock trades at a premium ~33x FY26E P/E.

Intel (INTC.US): Qualcomm CEO Has Publicly Stated that Intel’s Technology Is Still Not Competitive.

By Patrick Liao

Intel Corp (INTC US) has not given up on Intel Foundry Service (IFS), even though it currently lacks any sizable clients.
We are puzzled as to why Intel former CEO Pat Gelsinger insisted on entering the foundry market, which has so far weakened Intel’s financials without generating meaningful returns.
Qualcomm Inc (QCOM US) CEO has publicly stated that Intel’s manufacturing technology is still not competitive.

Taiwan Dual-Listings Monitor: TSMC Premium at Historically Extreme Level; ASE Bounces Off Parity

By Vincent Fernando, CFA

TSMC: 26.2% Premium; Historically Extreme Level to Open Fresh Short of the Spread
UMC: +1.0% Premium: Wait for More Extreme Level Before Going Long or Short
ASE: +2.7% Premium; Open Fresh Longs of ADR Spread Closer to Parity

Newgen Software Technologies- Forensic Update

By Nitin Mangal

Newgen Software Technologies (NEWGEN IN) is the leading provider of a unified digital transformation platform with native process automation, content services, and communication management capabilities.
The company continues to exhibit aggressive accounting practice in FY25, where growth driven by overseas subsidiaries was majorly tied up in credit period. Higher provision on debtors is further concerning.
High remuneration to promoters and independent directors, insider trading complaints, are few governance concerns

(Mostly) Asia-Pac M&A: Peak Rare Earths, Yutaka Giken, Shibaura, Johns Lyng, Ainsworth, Ashimori

By David Blennerhassett

I tally 45 – mostly firm, mostly Asia-Pac – arb transactions currently being discussed and analysed on Smartkarma.
Two new deals were discussed on Smartkarma this week: Peak Rare Earths (PEK AU) and Yutaka Giken (7229 JP).
Key updates/news took place on Johns Lyng (JLG AU), Ainsworth Game Technology (AGI AU), Shibaura Electronics (6957 JP), Ashimori Industry (3526 JP), and Pacific Industrial (7250 JP).

Ambarella’s IoT Surge Outpaces Automotive—But the Best Is Yet to Come!

Ambarella’s latest financial results provide a detailed overview of the company’s performance and strategic direction as of the second quarter of fiscal year 2026.
The company reported a revenue of $95.5 million, representing a sequential increase of 11% and a year-over-year growth of approximately 50%.
This was above the high end of their prior guidance, indicating strong momentum in their operations.

Texas Instruments’ Secret Weapon: How Geopolitical Dependability Could Redefine Chip Supply!

Texas Instruments Incorporated (TI) reported its second-quarter financial results with revenues amounting to $4.4 billion, marking a 9% sequential increase and a 16% rise year-over-year.
The distinct growth across major divisions, Analog, and Embedded Processing, was notable, achieving 18% and 10% year-on-year growth, respectively.
The company’s other segments recorded a 14% increase from the prior year.

Cadence Strikes Big: What The €2.7 Billion Hexagon Acquisition Means For The Future Of System Design!

Cadence Design Systems has turned heads with a definitive agreement to acquire Hexagon AB’s Design & Engineering unit—including the storied MSC Software—for €2.7 billion, paid 70% in cash and 30% in CDNS stock, with closing targeted for Q1’26.
The incoming business generated ~$280 million of 2024 revenue, brings ~1,100 employees, and serves blue-chip aerospace and auto names such as Volkswagen Group, BMW, Toyota, Lockheed Martin, BAE, and Boeing.
Strategically, the deal extends Cadence’s “Intelligent System Design” vision beyond chips and boards into the full palette of multiphysics—structures, motion, fluids, and electromagnetics—precisely where AI-era systems are converging.

Plexus’ Global Strategy: Will Diversification Across Industries Guarantee Long-Term Growth?

Plexus Corp. presented its latest quarterly results, showing a mixed performance across various metrics while maintaining a strategic focus on long-term growth and operational efficiency.
The company reported revenue of $1.018 billion, aligning with its guidance, and demonstrated consistent performance with a non-GAAP operating margin of 6%, meeting its stated goal.
Key sectoral drivers included improved order activity from industrial and European defense customers, although the pace of program ramp-ups and tariff-related uncertainties posed challenges.

SentinelOne Inside: How the Singularity Platform Is Redefining Cybersecurity with AI!

SentinelOne’s latest earnings for Q2 of fiscal year 2026 highlighted its significant achievements and growth drivers while outlining areas for potential challenges and opportunities.
The company reported a total Annual Recurring Revenue (ARR) growth of 24%, surpassing the $1 billion mark, indicating robust performance in both new business generation and expansion of existing accounts.
This milestone reflects SentinelOne’s growing market share and competitive strength, driven by its AI-powered cybersecurity solutions.

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Sep 07

Daily Brief Industrials: Nidec Corp, S.F. Holding, GMS Inc, Robert Half Intl, Valmont Industries and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

Nidec (6594 JP): Wait for Hard Numbers
Chinese Express Firms All Saw H1 OPM% Fall — Except SF Hldg | Pair Trade: LONG SF Vs SHORT ZTO, J&T
GMS: Strategic Expansion in Complementary Product Offerings to Drive Incremental Revenue Growth Over The Coming Years!
Robert Half International: An Insight Into Its Protiviti Growth
Valmont Industries Unlocks $400 Million Growth Potential with Bold Infrastructure Expansion!

Nidec (6594 JP): Wait for Hard Numbers

By Scott Foster

Nidec dropped 22% on Thursday following management’s decision to establish an independent committee to investigate accounting irregularities. It bounced back nearly 5% on Friday, but finished the week down 20%.
In June, the Company received approval to postpone submitting its FY Mar-25 securities report until September 26. In July, it released incomplete 1Q results while postponing full disclosure.
Without correct numbers, we can only guess at the full impact of the accounting irregularities and their effect on management.

Chinese Express Firms All Saw H1 OPM% Fall — Except SF Hldg | Pair Trade: LONG SF Vs SHORT ZTO, J&T

With the exception of SF Holding, all listed express firms reported lower H1 OP%
SF’s independence and unique product mix protected profits as volume surged
We suggest going Long SF Hldg against Short positions in ZTO & J&T

GMS: Strategic Expansion in Complementary Product Offerings to Drive Incremental Revenue Growth Over The Coming Years!

GMS Inc.’s latest earnings for the fourth quarter of fiscal year 2025 reflects a mixed performance amidst a challenging macroeconomic environment.
On the positive side, the company reported net sales of $1.3 billion for the quarter, which aligns with the high end of their expectations provided earlier in the year.
The sales were bolstered by recent acquisitions, including Kamco, Yvon Building Supply, R.S. Elliott, and Howard & Sons Building Materials, which contributed positively to their revenue.

Robert Half International: An Insight Into Its Protiviti Growth

Robert Half’s latest earnings for Q2 2025 presents a mixed picture with some notable challenges and opportunities for its business units.
The company’s global revenues were reported at $1.37 billion, reflecting a 7% year-over-year decline.
This decline was in line with the midpoint of the company’s previous guidance.

Valmont Industries Unlocks $400 Million Growth Potential with Bold Infrastructure Expansion!

Valmont Industries, Inc.’s second quarter 2025 results reveal a complex picture of achievements and strategic recalibrations aimed at positioning the company for future growth while addressing current market conditions.
The company’s revenue for the quarter reached $1.05 billion, marking a slight increase from the previous year, primarily driven by strong performance in the Utility, Telecommunications, and International Agriculture sectors.
However, this modest growth is offset by challenges faced in other segments, such as Lighting & Transportation and the Solar business.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network

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✓ Company Data and News
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Sep 07

Daily Brief Health Care: Caliway Biopharmaceuticals, Hangzhou Kangji Medical Instrument Co., Ltd., Boston Scientific, Tenet Healthcare, Thermo Fisher Scientific Inc and more

By Smartkarma Daily Briefs | Daily Briefs, Healthcare

In today’s briefing:

Taiwan Top 50 ETF Rebalance: Another Inclusion for Caliway Biopharma & King Slide
Last Week In Event SPACE: ZEEKR/Geely, Kangji Medical, HKBN, Lynas, Huaxin Cement, Nidec
Boston Scientific in MedSurg: Will Double-Digit Growth Silence Competitors?
Tenet Healthcare Launches Bold $1.5 Billion Buyback Amid Aggressive Growth Push!
Thermo Fisher Scientific: Emerging Market Potential & Resilience As A Key To Its Growth Strategy!

Taiwan Top 50 ETF Rebalance: Another Inclusion for Caliway Biopharma & King Slide

By Brian Freitas

Caliway Biopharmaceuticals (6919 TT) and King Slide Works (2059 TT) replace Taiwan Cement (1101 TT) and Pharmaessentia Corp (6446 TT) in the Yuanta/P-Shares Taiwan Top 50 ETF in September.
Caliway Biopharmaceuticals (6919 TT) and King Slide Works (2059 TT) were added to a global index in August and that resulted in a large percentage of float being bought.
Caliway Biopharmaceuticals (6919 TT) will be added to another global index in September and that will further reduce the real float of the stock.

Last Week In Event SPACE: ZEEKR/Geely, Kangji Medical, HKBN, Lynas, Huaxin Cement, Nidec

By David Blennerhassett

ZEEKR (ZK US) traded wide to the scrip terms ahead of Geely Auto (175 HK)‘s EGM Vote. That was a buying opportunity.
A positive surprise as SAMR expediently signs off on the Hangzhou Kangji Medical Instrument Co., Ltd. (9997 HK) transaction. This could be wrapped up before Xmas.
China Mobile (941 HK) comfortably clears the 50% conditional threshold into HKBN Ltd (1310 HK); however compulsory acquisition appears out of reach

Boston Scientific in MedSurg: Will Double-Digit Growth Silence Competitors?

Boston Scientific Corporation delivered robust financial results in the second quarter of 2025, exceeding both market expectations and its own guidance.
The company reported operational sales growth of 22% and organic sales growth of 17%, surpassing its forecasted range of 13% to 15%.
Adjusted earnings per share (EPS) increased by 23% to $0.75, also exceeding expectations.

Tenet Healthcare Launches Bold $1.5 Billion Buyback Amid Aggressive Growth Push!

Tenet Healthcare Corporation reported strong financial results for the second quarter of 2025.
The company achieved net operating revenues of $5.3 billion and a consolidated adjusted EBITDA of $1.121 billion, reflecting a 19% increase from the previous year.
The adjusted EBITDA margin was 21.3%, up 280 basis points compared to the prior year, driven by efficient operations and robust same-store growth.

Thermo Fisher Scientific: Emerging Market Potential & Resilience As A Key To Its Growth Strategy!

Thermo Fisher Scientific’s second-quarter 2025 earnings showcased a company navigating a challenging macroeconomic environment positively and prudently.
The company reported revenue growth of 3% to $10.85 billion and a 1% increase in adjusted operating income to $2.38 billion.
Its adjusted earnings per share (EPS) was $5.36, signaling an ability to surpass internal guidance despite headwinds, primarily from tariffs affecting operations in China and broader policy uncertainties.

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Sep 07

Daily Brief Consumer: Chery Automobile, Mars Group Holdings, Mixue Group, Bath & Body Works , Gap Inc/The, Ollie’S Bargain Outlet Holdings and more

By Smartkarma Daily Briefs | Consumer, Daily Briefs

In today’s briefing:

Chery Automobile IPO: The Bull Case
Asian Dividend Gems: Mars Group Holdings
China Healthcare Weekly (Sep.7)- Device Inflection Point, WuXi XDC Placement, MIXUE’s Lock-Up Expiry
Bath & Body Works in College Bookstores: Can This Bold Move Capture Gen Z?
Gap Enters Beauty Battle: Will Makeup Save The Brand?
Ollie’s Bargain Outlet Revealed: What Competitor Bankruptcies Mean for Its Expansion Plans!

Chery Automobile IPO: The Bull Case

Chery Automobile (CH3456 CH), a Chinese automobile manufacturer, has secured HKEx listing approval for a US$1.5-2.0 billion IPO.
Chery is the second largest Chinese domestic brand passenger vehicle company, and the 11th largest passenger vehicle company globally.
The bull case rests on market share gains, encouraging NEV segmental performance, good margin profile and cash generation.

Asian Dividend Gems: Mars Group Holdings

By Douglas Kim

Mars Group Holdings has three main business units including Amusement related (including pachinko/pachislot peripherals), Smart Solutions, and Hotels/restaurants related.
It trades at P/E of 8.5x, P/B of 0.8x, and EV/EBITDA of 2.3x. Net cash is 48% of its market cap.
Its sales, gross profit, and operating profit increased by 180%, 146%, and 680%, respectively from FY22 to FY25. However, it had a disappointing results in FY1Q26.

China Healthcare Weekly (Sep.7)- Device Inflection Point, WuXi XDC Placement, MIXUE’s Lock-Up Expiry

By Xinyao (Criss) Wang

The inflection point of the policy on medical device is expected to appear this year. High-end imaging, medical robots, AI, and biomaterials are the four fields worth investors’ attention.
WuXi XDC announced Placement to raise HK$1.3 billion net proceeds at HK$58.85/share.XDC will have >30% YoY growth in 2025-2027 but Li Ge/WuXi AppTec’s reduction of holdings is a discordant voice.
MIXUE’s lock-up of shares allotted to cornerstone investors expired. Current valuation is acceptable based on 2025 forecast, but investors need more ‘safety margins’ on valuation due to concerns on outlook

Bath & Body Works in College Bookstores: Can This Bold Move Capture Gen Z?

Bath & Body Works presented its financial performance for the second quarter of 2025, reflecting a strategic focus on customer-centric growth initiatives.
The company reported net sales of $1.5 billion, up 1.5% compared to the previous year, alongside adjusted earnings per diluted share of $0.37.
The sales growth was led by robust store traffic and successful promotional activity during their semiannual sale, which was strategically shifted to align with market dynamics and consumer behavior.

Gap Enters Beauty Battle: Will Makeup Save The Brand?

Gap Inc. is moving beyond basics into blushes and body mists.
Starting this fall, Old Navy will roll out an expanded beauty and personal-care assortment in roughly 150 stores, with most items priced under $25 and a curated mix that includes Old Navy–branded skincare and body care alongside names like e.l.f., Mario Badescu, and Korean beauty staples TonyMoly and Mixik.
About 45 of those doors will feature dedicated beauty shops staffed with advisers, while the remaining locations will merchandise assortments through enhanced checkout lanes.

Ollie’s Bargain Outlet Revealed: What Competitor Bankruptcies Mean for Its Expansion Plans!