Smartkarma Daily Briefs, Author at Smartkarma

Aug 12

Daily Brief Singapore: iFAST, Frencken and more

By Smartkarma Daily Briefs | Daily Briefs, Singapore

In today’s briefing:

IFAST Corporation Limited: Undervalued for Its Prospects
Small to Mid-Cap Stocks Booking Highest Net Institutional Inflows in 3Q25

IFAST Corporation Limited: Undervalued for Its Prospects

By GEMS Research – Aletheia Capital

We initiated coverage on iFAST Corporation Limited (iFAST) a week ago.
Though stock has risen 21% since our note, we see a further 20% upside.
The market appears to be missing iFast’ s value in terms of P/AUM and EV/Revenue, in light of the AUM growth prospects. 2Q PAT was ahead of consensus expectations.

Small to Mid-Cap Stocks Booking Highest Net Institutional Inflows in 3Q25

By Geoff Howie

Institutions net bought S$130 million in Singapore-listed stocks, with S$95.4 million in large-cap stocks and S$42.3 million in mid-cap stocks.
Envictus International saw S$4.3 million net inflow, 4.1% of its market cap, with a 29% ROE and P/E ratio of 7x.
CSE Global and Frencken Group recorded significant net inflows, with CSE Global securing S$211.3 million in new orders.

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Aug 12

Daily Brief Event-Driven: Identifying the SK Square Vs. Hynix Price Ratio Reversion Alpha Setup and more

By Smartkarma Daily Briefs | Daily Briefs, Event-Driven

In today’s briefing:

Identifying the SK Square Vs. Hynix Price Ratio Reversion Alpha Setup
Why We’re Eyeing KRX’s Sep 29 KCMC Event for Dividend Momentum Trades
[Japan M&A] Toyoda Gosei Buys Out Affiliate Ashimori Industry at 1.000x Mar25 Book
Assura Takeover: Potential Auction Driving Bid Upside – KKR Vs. PHP with 50.81p Target Price
A/H Premium Tracker (To 8 Aug 2025): Premium Hs Unwind, Again. Beautiful Skew Flavour Continues
Kolon Mobility (450140 KS)’s Delisting Offer
HK Connect SOUTHBOUND Flows (To 8 Aug 2025); Big Swing Out of ETFs into TECH
Yomeishu Seizo (2540 JP): Evaluating a Potential Privatisation
SoftBank (9984 JP): Earnings Beat and the Missing Volatility Crush
NLOP Update; Liquidation on Track

Identifying the SK Square Vs. Hynix Price Ratio Reversion Alpha Setup

By Sanghyun Park

Hunting the reversion point for Square-Hynix price ratio amid local buzz: need clear pro-business tax signals and Hynix’s downtrend to continue despite today’s bounce.
Tax tweak likely turns neutral despite gov’s cautious tone today. Hynix’s bounce faces headwinds from supply ramp and yield issues, so fresh rally odds remain slim.
Focus on hunting SK Square vs. Hynix price ratio reversion, pairing it with Samsung Long/Hynix Short for a strong short-term trade setup to ride the trend.

Why We’re Eyeing KRX’s Sep 29 KCMC Event for Dividend Momentum Trades

By Sanghyun Park

KCMC 2025 will likely reveal fresh, unpriced stimulus details, potentially sparking a price rally like last year’s 2% KOSPI 200 jump on the value-up ETF rollout.
The key wildcard at KCMC 2025 is dividends—shifting from Yoon’s Japan-style ROE grind to a Taiwan-style push for bigger shareholder payouts.
With Sept 29 approaching, dividend policy buzz may drive price moves—smart to prep dividend momentum trades to front-run this catalyst.

[Japan M&A] Toyoda Gosei Buys Out Affiliate Ashimori Industry at 1.000x Mar25 Book

By Travis Lundy

Toyota Motor (7203 JP) subsidiary Toyoda Gosei (7282 JP) is buying out its own equity affiliate Ashimori Industry (3526 JP) at a near-all-time high price of ¥4,140/share.
It’s not a great price, but it is just over 1x book after writedowns this past quarter. It basically requires cross-holders and half a retail to tender.
But this autoparts business is a strong grower, and has no EV risk. And its non-autoparts business is more interesting. The “fair” multiples are low. But it’ll get done.

Assura Takeover: Potential Auction Driving Bid Upside – KKR Vs. PHP with 50.81p Target Price

By Jesus Rodriguez Aguilar

PHP’s offer has gained momentum, with 8.82% acceptances, offering a +2.13% gross spread, but at a discount to EPRA NTA. The share component introduces long-term upside potential.
KKR’s offer remains the more attractive option for immediate liquidity, offering a +3.79% gross spread with an estimated 46.1% annualized return, but needs to secure more acceptances by August 12.
The Takeover Panel auction remains a key driver, with higher bids likely in a competitive scenario. The probability-weighted target price (TP) for Assura is 50.81p, reflecting potential upside from an auction or bid revision.

A/H Premium Tracker (To 8 Aug 2025): Premium Hs Unwind, Again. Beautiful Skew Flavour Continues

By Travis Lundy

AH premia down, bouncing back. “Beautiful Skew” continues generally, but curve skew less pronounced. Average AH moves remain volatile – often the sign of significant distribution changes.
The Quiddity Portfolio is now smaller, less concentrated, and the net H vs A bias is MUCH smaller. Alpha continues, predicated on beautiful skew. But pair vol is very high.
The data tables below update on a daily basis in the Tools section of Smartkarma. The SOUTHBOUND Flow Monitor and AH Monitor are both there free for SK readers.

Kolon Mobility (450140 KS)’s Delisting Offer

By David Blennerhassett

Kolon Corp (002020 KS)(KC) is seeking to delist 75.23%-held Kolon Mobility Group (450140 KS) (KM), an auto importer.
Via a dual approach, KC is offering ₩4,000 per KM common share and ₩5,950 per KM preferred share. Any untendered shares will be swapped into KC shares.
The tender offer period is from 8th August to 8th September, with payment on the 10th September. There is no minimum acceptance condition.

HK Connect SOUTHBOUND Flows (To 8 Aug 2025); Big Swing Out of ETFs into TECH

By Travis Lundy

Gross SOUTHBOUND volumes just over US$16+bn a day this past 5-day week. A comedown from the previous week. Net buying OK at just over +US$550mm/day. One-third of the previous week.
Last week’s reco was Great Wall Motor (2333 HK) up 9.8% on the week, and H/A spread contracted 6.2%.
The data tables below update on a daily basis in the Tools section of Smartkarma. The SOUTHBOUND Flow Monitor and AH Monitor are both there free for SK readers.

Yomeishu Seizo (2540 JP): Evaluating a Potential Privatisation

By Arun George

On 7 August, Bloomberg reported that Yomeishu Seizo (2540 JP) is considering going private and has received acquisition proposals from several investment funds.
Privatisation is a neat solution for the Board to get rid of a potentially problematic activist shareholder, Yukihiro Nomura, the son-in-law of Yoshiaki Murakami.
PE interest is underpinned by Yomeishu’s net cash and significant real estate assets. However, the shares are up 63% YTD, which leaves little room for additional upside. Take profits.

SoftBank (9984 JP): Earnings Beat and the Missing Volatility Crush

By Gaudenz Schneider

Context:SoftBank’s (9984 JP) Q1 results on 7 August delivered a return to profitability and earnings beat, fueling one of the stock’s biggest post-results rallies in 15 years.
Highlight: Shares jumped 10.4% on 8 August and nearly 20% week-on-week, with implied volatility staying elevated above 40% despite the surge.
Why Read: Review price action and options market response, showing how SoftBank’s post-earnings volatility pattern echoes past announcements. Serves as a documented reference for the next earnings event.

NLOP Update; Liquidation on Track

By Richard Howe

NLOP just declared a $3.10 special dividend, funded by cash from asset sales.
The company has zero recourse debt, $78M cash, and continues to sell properties well above the market’s implied valuation.
In Q2, NLOP sold a vacant building for $81/sf and a JPMorgan-leased asset for $143/sf at a 12.1% cap rate.

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Aug 12

Daily Brief United States: Intel Corp, Bullish US, Miami International Holdings, Cocoa Futures, NET Lease Office Properties, Nurexone Biologic, U-Haul Holding , VAALCO Energy and more

By Smartkarma Daily Briefs | Daily Briefs, United States

In today’s briefing:

Intel CEO Heads To DC To Save His Job As Former CEO Calls His Leading Edge Strategy A Joke
Bullish US LLC (BLSH): IPO Range and Size Increased, Next Digital Asset Moonshot on Deck
What’s Trump After in Lip-Bu Tan’s Oval Office Meeting?
Miami International Holdings (MIAX): Financial Marketplace Specialist Sees Revenues Spiking into IPO
Meat Prices Rise and Rise and Rise
NLOP Update; Liquidation on Track
NRXBF: Company Treatment Outperforms Industry Standard
UHAL: U-Haul Reports 1Q FY2025 Financial Results. Revenues were again above expectations
UHAL: U-Haul Reports 1Q FY2026 Financial Results. Revenues were again above expectations
Vaalco Energy (NYSE: EGY): Strong quarter on all fronts

Intel CEO Heads To DC To Save His Job As Former CEO Calls His Leading Edge Strategy A Joke

By William Keating

Intel CEO Lip Bu Tan is reportedly headed to Washington today to meet with the US Administration and clear up any misunderstandings about his past investments in China etc.
Meanwhile, former CEO Craig Barrett published his third opinion piece about Intel’s future and calls LBT’s strategy of not investing further in 14A without customer support a joke
It’s challenging to deal with the US Administration from a position of strength. It’s a whole different ball game when both the CEO & the company are in crisis mode…

Bullish US LLC (BLSH): IPO Range and Size Increased, Next Digital Asset Moonshot on Deck

By IPO Boutique

The global digital asset platform that provides market infrastructure and information services increased its price range and shares being offered on Monday morning.
Looking at the prospectus, there is a $200 million anchor order from Ark Investment and BlackRock.
The Bullish IPO is looking to ride the tailwinds from the regulatory wins in the digital asset space as well as the success of recent IPOs.

What’s Trump After in Lip-Bu Tan’s Oval Office Meeting?

By Raghav Vashisht

Political scrutiny and perception issues form a tense backdrop ahead of Tan’s Oval Office meeting.
Strategic rifts over investment pace, 14A development, and fab build-outs are at the heart of the discussion.
The meeting’s outcome may hinge on whether Tan can align Intel’s roadmap with Trump’s manufacturing agenda.

Miami International Holdings (MIAX): Financial Marketplace Specialist Sees Revenues Spiking into IPO

By IPO Boutique

Miami International Holdings is offering 15 million shares at a $19-$21 range which equates to a valuation of $1.5b-$1.7b.
In the first half of 2025 the adjusted revenue was $197m or 56% above the $126m in 1H 2024.
As of August, they have built out all the technology pieces they need without adding head-count and now are in execution mode.

Meat Prices Rise and Rise and Rise

By The Commodity Report

FAO’s meat price index hit a new all-time high of 127.3 points, up 1.2% from its previous peak in June, as strong import demand from China and the United States boosted beef and sheep meat prices, the agency said.
U.S. beef imports have climbed after drought led to a decline in the domestic cattle herd.
Looking at the latest futures prices, live cattle, feeder cattle and even lean hogs remain in a strong uptrend with a significant backwardation remaining within the forward curve.

NLOP Update; Liquidation on Track

By Richard Howe

NLOP just declared a $3.10 special dividend, funded by cash from asset sales.
The company has zero recourse debt, $78M cash, and continues to sell properties well above the market’s implied valuation.
In Q2, NLOP sold a vacant building for $81/sf and a JPMorgan-leased asset for $143/sf at a 12.1% cap rate.

NRXBF: Company Treatment Outperforms Industry Standard

By Zacks Small Cap Research

NurExone (OTC-NRXBF) is a preclinical stage biotech company that is developing a breakthrough treatment for spinal cord injuries that has the potential to dramatically improve lives.
The technology involved also has the potential to more efficiently get other treatments to the needed area.
The company announced independent study results that show its exosomes delivered more than twice the amount of wound-healing signals than the industry benchmark.

UHAL: U-Haul Reports 1Q FY2025 Financial Results. Revenues were again above expectations

By Zacks Small Cap Research

U-Haul Holding Company is the parent company of U-Haul International, the world’s largest consumer truck and trailer rental company.
U-Haul is also the third largest self-storage operator in North America.
Management continues to expand capacity in the self-storage segment and U-Box.

UHAL: U-Haul Reports 1Q FY2026 Financial Results. Revenues were again above expectations

By Zacks Small Cap Research

U-Haul Holding Company is the parent company of U-Haul International, the world’s largest consumer truck and trailer rental company.
U-Haul is also the third largest self-storage operator in North America.
Management continues to expand capacity in the self-storage segment and U-Box.

Vaalco Energy (NYSE: EGY): Strong quarter on all fronts

By Auctus Advisors

2Q25 WI production averaged 21,654 boe/d, near the top end of the guidance range (20–22.1 mboe/d).
Gabon production was particularly strong at 8,563 bbl/d (guidance of 7.8–8.6 mbbl/d), driven by continued flow from the 4H well at Ebouri, which remains ~1,000 bbl/d (gross).
Despite high H₂S concentrations, chemical treatment has proven effective.

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Aug 12

Daily Brief Equity Bottom-Up: Intel CEO Heads To DC To Save His Job As Former CEO Calls His Leading Edge Strategy A Joke and more

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

In today’s briefing:

Intel CEO Heads To DC To Save His Job As Former CEO Calls His Leading Edge Strategy A Joke
What’s Trump After in Lip-Bu Tan’s Oval Office Meeting?
LG Chem: Flurry of Asset Sales Raises the Probability of A Partial Sale of LG Energy Solution
The Beat Ideas: Edelweiss 2.0 – Unlocking Value Through Deleveraging and Strategic Listings
Chongqing Taiji Industry (Group) (600129 CH) – Investors Are Betting on the Merger with China TCM
Closure of Short Call on Tata Motors
Kalyan Jewellers (KALYANKJ IN) | The Capital Sinkhole
Mobvoi Inc. Revenue From AIGC Solutions Continues To Post Hyper Growth, TicNote Debuted in April
CyberAgent: Newly Released Games Drive Growth with an Upward Revision to Guidance
IFAST Corporation Limited: Undervalued for Its Prospects

Intel CEO Heads To DC To Save His Job As Former CEO Calls His Leading Edge Strategy A Joke

By William Keating

Intel CEO Lip Bu Tan is reportedly headed to Washington today to meet with the US Administration and clear up any misunderstandings about his past investments in China etc.
Meanwhile, former CEO Craig Barrett published his third opinion piece about Intel’s future and calls LBT’s strategy of not investing further in 14A without customer support a joke
It’s challenging to deal with the US Administration from a position of strength. It’s a whole different ball game when both the CEO & the company are in crisis mode…

What’s Trump After in Lip-Bu Tan’s Oval Office Meeting?

By Raghav Vashisht

Political scrutiny and perception issues form a tense backdrop ahead of Tan’s Oval Office meeting.
Strategic rifts over investment pace, 14A development, and fab build-outs are at the heart of the discussion.
The meeting’s outcome may hinge on whether Tan can align Intel’s roadmap with Trump’s manufacturing agenda.

LG Chem: Flurry of Asset Sales Raises the Probability of A Partial Sale of LG Energy Solution

By Douglas Kim

In the past three months, LG Chem has announced two asset sales worth 1.6 trillion won including dermal filler and water filter businesses.
Due to worsening balance sheet and need to raise additional capital, there is an increasing probability of LG Chem selling a partial stake in LGES in the next 6-12 months.
Our NAV valuation of LG Chem suggests implied NAV per share of 414,325 won, which is 49% higher than current levels.

The Beat Ideas: Edelweiss 2.0 – Unlocking Value Through Deleveraging and Strategic Listings

By Sudarshan Bhandari

Edelweiss plans a INR 1,500–2,000 crore IPO of EAAA and a 25–30% stake sale in its mutual fund arm to accelerate deleveraging.
These transactions could meaningfully reduce corporate debt from INR 6,325 crore, strengthen the balance sheet, and unlock shareholder value.
Successful execution improves capital efficiency, supports high-margin business growth, and enhances upside potential, reinforcing the 56% target price appreciation case.

Chongqing Taiji Industry (Group) (600129 CH) – Investors Are Betting on the Merger with China TCM

By Xinyao (Criss) Wang

The current channel inventory digestion has been ongoing for nearly a year. If the terminal sales data in 25Q3 improves, it is expected to support the revenue recovery in 25Q4.
China TCM and CNPGC had signed relevant agreement on the free transfer of equity. Investors think this is paving the way for the future integration of China TCM and Taiji.
Investors have reignited interest in betting on China TCM’s privatization and merger with Taiji .According to Taiji, CNPGC will still fulfill its commitment to resolving the issue of horizontal competition

Closure of Short Call on Tata Motors

By Sreemant Dudhoria,CFA

Post Q4FY25 results,we had presented our case for shorting Tata Motors in May 2025, anticipating a challenging quarter ahead.We now recommend closing the short position,with reasons explained in this insight
The company reported a very challenging Q1FY26, with JLR EBIT crashing to 4.0% (vs 8.9% YoY). The India passenger car business also faced similar pressure.
The only segment to deliver stable performance was the commercial vehicle division.

Kalyan Jewellers (KALYANKJ IN) | The Capital Sinkhole

By Pranav Bhavsar

Kalyan Jewellers (KALYANKJ IN) Management paused INR 350-400 crore debt reduction after 90 days, now planning INR 2,700 crore capital consumption without clear justification.
Candere losses increased 5X while management admits e-commerce isn’t their strength, yet continues expanding with new regional brand initiatives.
Stock trades at 44x P/E NTM above 3-year average despite questionable capital allocation and non-quantifiable efficiency claims from management.

Mobvoi Inc. Revenue From AIGC Solutions Continues To Post Hyper Growth, TicNote Debuted in April

By Andrei Zakharov

Mobvoi Inc., a Google-backed provider of AIGC software solutions and TicWatch maker, will announce interim results for the six months ended June 30, 2025, soon.
The AI firm currently adjusts its business strategy, shifting to AIGC business model from traditional project-based revenue generating model.
In April 2025, Mobvoi unveiled TicNote, a compact AI-powered voice recorder. It’s a separate device from smartphone, which gathered significant attention from media and users.

CyberAgent: Newly Released Games Drive Growth with an Upward Revision to Guidance

By Shifara Samsudeen, FCMA, CGMA

CyberAgent Inc (4751 JP) reported 3QFY09/2025 results on Friday aftermarket. Both revenue and OP beat consensus estimates with an upward revision to full-year guidance.
Gaming segment has begun to see recovery driven by the strong performance of newly released game titles which have become a hit. There are several new titles up for release.
Though CA’s share price has moved up with recovery in games and improved profitability of AbemaTV, we think there is further upside.

IFAST Corporation Limited: Undervalued for Its Prospects

By GEMS Research – Aletheia Capital

We initiated coverage on iFAST Corporation Limited (iFAST) a week ago.
Though stock has risen 21% since our note, we see a further 20% upside.
The market appears to be missing iFast’ s value in terms of P/AUM and EV/Revenue, in light of the AUM growth prospects. 2Q PAT was ahead of consensus expectations.

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Aug 12

Daily Brief Credit: Lucror Analytics – Convertibles Brief and more

By Smartkarma Daily Briefs | Credit, Daily Briefs

In today’s briefing:

Lucror Analytics – Convertibles Brief
Lucror Analytics – Morning Views Asia

Lucror Analytics – Convertibles Brief

By Leonard Law, CFA

Credit markets tightened on Friday, with the iTraxx X-Over narrowing 3 bps to 268 bps.
European bourses rose 0.2-0.9% except for the FTSE 100 and DAX, which both fell 0.1%.
In the US, the S&P 500 and Nasdaq were up 0.8% and 1.0%, respectively.

Lucror Analytics – Morning Views Asia

By Leonard Law, CFA

UST yields rose on Friday, in a continuation of Thursday’s increase following the weak 30Y notes auction.
In addition, there were no macro catalysts, ahead of Tuesday’s CPI data release (which may alter market expectations for the rate cuts currently priced in).
The yield on the 2Y UST rose 3 bps to 3.76%, while that on the 10Y UST was up 3 bps at 4.28%.

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Aug 12

Daily Brief Macro: US/Taiwan: Xi Calls The Shots and more

By Smartkarma Daily Briefs | Daily Briefs, Macro

In today’s briefing:

US/Taiwan: Xi Calls The Shots
Liquidity Supportive for Risky Assets in 2025 as US Treasury’s Role Becomes More Important
Meat Prices Rise and Rise and Rise

US/Taiwan: Xi Calls The Shots

By Alastair Newton

In stark contrast to its dealings with other trade partners, Washington is firmly in the position of supplicant in its dealings with Beijing.
This reflects not only Xi Jinping’s carefully prepared and strong hand but also Donald Trump’s seeming determination to strike a deal with China at more or less any cost.
Increasingly, therefore, Taiwan stands to be “a pawn in a bigger game”.

Liquidity Supportive for Risky Assets in 2025 as US Treasury’s Role Becomes More Important

By Said Desaque

Despite the inaction by the Fed during 2025, policy easing by foreign central banks has produced a supportive global liquidity backdrop for risky assets.
During 2025, sovereign bond yields in advanced economies have been rising by varying degrees in advanced economies due to a higher term premium being demanded by bond investors.
Liquidity conditions in the US financial system are being increasingly influenced by fiscal policy conduct due to the rise of collateral-backed lending underpinned by Treasury securities.

Meat Prices Rise and Rise and Rise

By The Commodity Report

FAO’s meat price index hit a new all-time high of 127.3 points, up 1.2% from its previous peak in June, as strong import demand from China and the United States boosted beef and sheep meat prices, the agency said.
U.S. beef imports have climbed after drought led to a decline in the domestic cattle herd.
Looking at the latest futures prices, live cattle, feeder cattle and even lean hogs remain in a strong uptrend with a significant backwardation remaining within the forward curve.

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Aug 12

Daily Brief Japan: Ashimori Industry, Lifenet Insurance Company, JX Advanced Metals, Yomeishu Seizo, Softbank Group, CyberAgent Inc, TSE Tokyo Price Index TOPIX, Nipro Corp, J Trust Co Ltd, Forum Engineering Inc and more

By Smartkarma Daily Briefs | Daily Briefs, Japan

In today’s briefing:

[Japan M&A] Toyoda Gosei Buys Out Affiliate Ashimori Industry at 1.000x Mar25 Book
[Quiddity Index] JPX Nikkei 400 Rebal Aug 2025 – Final Results
JX Advanced Metals (5016 JP): Passive Buying in the Next 6 Weeks
Yomeishu Seizo (2540 JP): Evaluating a Potential Privatisation
SoftBank (9984 JP): Earnings Beat and the Missing Volatility Crush
CyberAgent: Newly Released Games Drive Growth with an Upward Revision to Guidance
To Companies that Adopt DOE: It’s Good to Consider ROE, but Are They Falling into Short-Termism?
Nipro Corp (8086 JP): Q1 FY03/26 flash update
J Trust Co Ltd (8508 JP): 1H FY12/25 flash update
Forum Engineering Inc (7088 JP): Q1 FY03/26 flash update

[Japan M&A] Toyoda Gosei Buys Out Affiliate Ashimori Industry at 1.000x Mar25 Book

By Travis Lundy

Toyota Motor (7203 JP) subsidiary Toyoda Gosei (7282 JP) is buying out its own equity affiliate Ashimori Industry (3526 JP) at a near-all-time high price of ¥4,140/share.
It’s not a great price, but it is just over 1x book after writedowns this past quarter. It basically requires cross-holders and half a retail to tender.
But this autoparts business is a strong grower, and has no EV risk. And its non-autoparts business is more interesting. The “fair” multiples are low. But it’ll get done.

[Quiddity Index] JPX Nikkei 400 Rebal Aug 2025 – Final Results

By Travis Lundy

On Thursday 7 August, the TSE/Nikkei announced the changes for the JPX Nikkei 400 28 August rebalance. A few surprises, but given there is a nebulous qualitative overlay, that’s expected.
39 were added. 34 deleted. We got 63 of 73 actual changes correct, achieving hit rates of 96%, 83%, and 44% for our High/Medium/Low Conviction Leaderboard predictions, respectively.
We see US$7.3bn of flows, two way. There should be another $3bn+ of flows on the 26th and 28th.

JX Advanced Metals (5016 JP): Passive Buying in the Next 6 Weeks

By Brian Freitas

JX Advanced Metals (5016 JP) listed in March and did not get Fast Entry to global indices since a large part of the IPO was allotted to domestic retail investors.
JX Advanced Metals (5016 JP) will be added to one global index this month and could be added to the other global index in September.
The stock is trading higher following the better than forecast results announced last week. The index inclusions could take the stock higher in the short-term.

Yomeishu Seizo (2540 JP): Evaluating a Potential Privatisation

By Arun George

On 7 August, Bloomberg reported that Yomeishu Seizo (2540 JP) is considering going private and has received acquisition proposals from several investment funds.
Privatisation is a neat solution for the Board to get rid of a potentially problematic activist shareholder, Yukihiro Nomura, the son-in-law of Yoshiaki Murakami.
PE interest is underpinned by Yomeishu’s net cash and significant real estate assets. However, the shares are up 63% YTD, which leaves little room for additional upside. Take profits.

SoftBank (9984 JP): Earnings Beat and the Missing Volatility Crush

By Gaudenz Schneider

Context:SoftBank’s (9984 JP) Q1 results on 7 August delivered a return to profitability and earnings beat, fueling one of the stock’s biggest post-results rallies in 15 years.
Highlight: Shares jumped 10.4% on 8 August and nearly 20% week-on-week, with implied volatility staying elevated above 40% despite the surge.
Why Read: Review price action and options market response, showing how SoftBank’s post-earnings volatility pattern echoes past announcements. Serves as a documented reference for the next earnings event.

CyberAgent: Newly Released Games Drive Growth with an Upward Revision to Guidance

By Shifara Samsudeen, FCMA, CGMA

CyberAgent Inc (4751 JP) reported 3QFY09/2025 results on Friday aftermarket. Both revenue and OP beat consensus estimates with an upward revision to full-year guidance.
Gaming segment has begun to see recovery driven by the strong performance of newly released game titles which have become a hit. There are several new titles up for release.
Though CA’s share price has moved up with recovery in games and improved profitability of AbemaTV, we think there is further upside.

To Companies that Adopt DOE: It’s Good to Consider ROE, but Are They Falling into Short-Termism?

By Aki Matsumoto

With many companies unable to increase their ROE, the company also intends to demonstrate its commitment to improving ROE by strengthening shareholder returns through the adoption of DOE.
The increase in the number of companies adopting DOE may be a reflection of the fact that many companies are forecasting lower profits this fiscal year.
Of course, returning excess cash on hand while considering ROE isn’t a bad thing, but it’s also a concern that few companies are taking steps to ensure medium-to-long-term growth.

Nipro Corp (8086 JP): Q1 FY03/26 flash update

By Shared Research

Sales increased by 4.5% YoY to JPY159.2bn, with operating profit rising 24.6% YoY, despite a 45.2% decline in recurring profit.
Pharmaceutical-Related business saw a 268.6% YoY surge in segment operating profit, driven by increased shipments and accounting treatment impacts.
The FY03/26 earnings forecast remains unchanged, with sales projected at JPY677.0bn, operating profit at JPY37.0bn, and net income at JPY13.0bn.

J Trust Co Ltd (8508 JP): 1H FY12/25 flash update

By Shared Research

Operating revenue declined by JPY4.6bn YoY to JPY60.7bn, with decreases in South Korea, Mongolia, and Real Estate.
Operating profit increased by JPY2.6bn YoY to JPY4.6bn, driven by gains in Financial and Investment Businesses.
Profit attributable to owners of parent fell to JPY1.4bn due to foreign exchange losses from yen appreciation.

Forum Engineering Inc (7088 JP): Q1 FY03/26 flash update

By Shared Research

Revenue increased 8.2% YoY to JPY9.2bn; operating profit rose 1.5% YoY to JPY1.3bn.
Cognavi Staffing saw a 5.2% YoY increase in utilized engineers; hourly staffing rate rose 4.6% YoY.
Cognavi India recorded JPY9mn revenue; operating loss was JPY81mn due to upfront investment.

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Aug 12

Daily Brief China: SICC, China Merchants Bank H, Guangzhou Automobile Group, Chongqing Taiji Industry (Group) A, Mobvoi , Wynn Macau Ltd, Shanghai Conant Optical, Greentown China and more

By Smartkarma Daily Briefs | China, Daily Briefs

In today’s briefing:

SICC A/H Listing – Needs a Very Deep Discount
A/H Premium Tracker (To 8 Aug 2025): Premium Hs Unwind, Again. Beautiful Skew Flavour Continues
HK Connect SOUTHBOUND Flows (To 8 Aug 2025); Big Swing Out of ETFs into TECH
Chongqing Taiji Industry (Group) (600129 CH) – Investors Are Betting on the Merger with China TCM
Mobvoi Inc. Revenue From AIGC Solutions Continues To Post Hyper Growth, TicNote Debuted in April
Lucror Analytics – Convertibles Brief
Conant Optical (2276 HKG): Growth Optics Sharp & Clear with Expanding Margins, Robust Sales in 1H25
Lucror Analytics – Morning Views Asia

SICC A/H Listing – Needs a Very Deep Discount

By Sumeet Singh

SICC (688234 CH) , a manufacturer of high-quality SiC substrates, aims to raise up to US$260m in its H-share listing.
In terms of market share, as per Frost & Sullivan, based on 2024 sales, its market share was at 16.7%.
We have looked at the past performance and likely A/H premium in our previous note. In this note, we talk about the IPO pricing.

A/H Premium Tracker (To 8 Aug 2025): Premium Hs Unwind, Again. Beautiful Skew Flavour Continues

By Travis Lundy

AH premia down, bouncing back. “Beautiful Skew” continues generally, but curve skew less pronounced. Average AH moves remain volatile – often the sign of significant distribution changes.
The Quiddity Portfolio is now smaller, less concentrated, and the net H vs A bias is MUCH smaller. Alpha continues, predicated on beautiful skew. But pair vol is very high.
The data tables below update on a daily basis in the Tools section of Smartkarma. The SOUTHBOUND Flow Monitor and AH Monitor are both there free for SK readers.

HK Connect SOUTHBOUND Flows (To 8 Aug 2025); Big Swing Out of ETFs into TECH

By Travis Lundy

Gross SOUTHBOUND volumes just over US$16+bn a day this past 5-day week. A comedown from the previous week. Net buying OK at just over +US$550mm/day. One-third of the previous week.
Last week’s reco was Great Wall Motor (2333 HK) up 9.8% on the week, and H/A spread contracted 6.2%.
The data tables below update on a daily basis in the Tools section of Smartkarma. The SOUTHBOUND Flow Monitor and AH Monitor are both there free for SK readers.

Chongqing Taiji Industry (Group) (600129 CH) – Investors Are Betting on the Merger with China TCM

By Xinyao (Criss) Wang

The current channel inventory digestion has been ongoing for nearly a year. If the terminal sales data in 25Q3 improves, it is expected to support the revenue recovery in 25Q4.
China TCM and CNPGC had signed relevant agreement on the free transfer of equity. Investors think this is paving the way for the future integration of China TCM and Taiji.
Investors have reignited interest in betting on China TCM’s privatization and merger with Taiji .According to Taiji, CNPGC will still fulfill its commitment to resolving the issue of horizontal competition

Mobvoi Inc. Revenue From AIGC Solutions Continues To Post Hyper Growth, TicNote Debuted in April

By Andrei Zakharov

Mobvoi Inc., a Google-backed provider of AIGC software solutions and TicWatch maker, will announce interim results for the six months ended June 30, 2025, soon.
The AI firm currently adjusts its business strategy, shifting to AIGC business model from traditional project-based revenue generating model.
In April 2025, Mobvoi unveiled TicNote, a compact AI-powered voice recorder. It’s a separate device from smartphone, which gathered significant attention from media and users.

Lucror Analytics – Convertibles Brief

By Leonard Law, CFA

Credit markets tightened on Friday, with the iTraxx X-Over narrowing 3 bps to 268 bps.
European bourses rose 0.2-0.9% except for the FTSE 100 and DAX, which both fell 0.1%.
In the US, the S&P 500 and Nasdaq were up 0.8% and 1.0%, respectively.

Conant Optical (2276 HKG): Growth Optics Sharp & Clear with Expanding Margins, Robust Sales in 1H25

By Tina Banerjee

In 1H25, Shanghai Conant Optical (2276 HK) reported revenue rise of 11% to RMB 1.1M buoyed by growth across segments like multifunctional lens (up 9%) and standardized lens (up 20%).
In 1H25, the company kept up with its consistency of expanding its gross margins period after period, as margin expanded from 39.2% in 1H24 to 41% in 1H25 (2024: 38.6%).
Shanghai Conant’s robust demand outlook, capacity expansion plans, R&D initiatives and margin strength offer a strong long term secular growth story.

Lucror Analytics – Morning Views Asia

By Leonard Law, CFA

UST yields rose on Friday, in a continuation of Thursday’s increase following the weak 30Y notes auction.
In addition, there were no macro catalysts, ahead of Tuesday’s CPI data release (which may alter market expectations for the rate cuts currently priced in).
The yield on the 2Y UST rose 3 bps to 3.76%, while that on the 10Y UST was up 3 bps at 4.28%.

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Aug 12

Daily Brief India: Ola Electric, Bluestone Jewellery and Lifestyle Ltd Ltd (BJL), Edelweiss Financial Services, Tata Motors, Kalyan Jewellers, Hexaware Technologies and more

By Smartkarma Daily Briefs | Daily Briefs, India

In today’s briefing:

NIFTY MIDCAP150 Index Rebalance Preview: 11 Potential Changes in September
Bluestone Jewellery IPO – Moving from Online to Offline. Thoughts on Valuation
The Beat Ideas: Edelweiss 2.0 – Unlocking Value Through Deleveraging and Strategic Listings
Closure of Short Call on Tata Motors
Kalyan Jewellers (KALYANKJ IN) | The Capital Sinkhole
Hexaware Technologies IPO Lockup Expiry – US$2.89bn Lockup Release with Carlyle in the Money

NIFTY MIDCAP150 Index Rebalance Preview: 11 Potential Changes in September

By Brian Freitas

With the review period now complete, there could be 11 changes for the NIFTY Midcap 150 Index at the September rebalance.
Estimated one-way turnover is 7.7% resulting in a round-trip trade of INR 17.6bn (US$201m). With over US$43bn tracking the index actively, the impact on the stocks will be much larger.
The outright forecast adds have outperformed the forecast deletes over the last 4 months and there has been a jump in the last week.

Bluestone Jewellery IPO – Moving from Online to Offline. Thoughts on Valuation

By Sumeet Singh

Bluestone Jewellery and Lifestyle (BJL) is planning to raise about US$176m in its upcoming India IPO.
BJL offers contemporary lifestyle diamond, gold, platinum, and studded jewellery under its flagship brand. It is a digital-first direct-to-consumer (DTC) brand.
We have looked at the past performance in our previous note. In this note, we talk about the IPO pricing.

The Beat Ideas: Edelweiss 2.0 – Unlocking Value Through Deleveraging and Strategic Listings

By Sudarshan Bhandari

Edelweiss plans a INR 1,500–2,000 crore IPO of EAAA and a 25–30% stake sale in its mutual fund arm to accelerate deleveraging.
These transactions could meaningfully reduce corporate debt from INR 6,325 crore, strengthen the balance sheet, and unlock shareholder value.
Successful execution improves capital efficiency, supports high-margin business growth, and enhances upside potential, reinforcing the 56% target price appreciation case.

Closure of Short Call on Tata Motors

By Sreemant Dudhoria,CFA

Post Q4FY25 results,we had presented our case for shorting Tata Motors in May 2025, anticipating a challenging quarter ahead.We now recommend closing the short position,with reasons explained in this insight
The company reported a very challenging Q1FY26, with JLR EBIT crashing to 4.0% (vs 8.9% YoY). The India passenger car business also faced similar pressure.
The only segment to deliver stable performance was the commercial vehicle division.

Kalyan Jewellers (KALYANKJ IN) | The Capital Sinkhole

By Pranav Bhavsar

Kalyan Jewellers (KALYANKJ IN) Management paused INR 350-400 crore debt reduction after 90 days, now planning INR 2,700 crore capital consumption without clear justification.
Candere losses increased 5X while management admits e-commerce isn’t their strength, yet continues expanding with new regional brand initiatives.
Stock trades at 44x P/E NTM above 3-year average despite questionable capital allocation and non-quantifiable efficiency claims from management.

Hexaware Technologies IPO Lockup Expiry – US$2.89bn Lockup Release with Carlyle in the Money

By Akshat Shah

Hexaware Technologies (HEXW IN) raised US$1bn from its India IPO in Feb 2025. The lockup on its pre-IPO investors is set to expire soon.
Hexaware is a global digital and technology services company with AI at its core, delivering innovative solutions that help customers in their digital transformation journey and subsequent operations.
In this note, we will talk about the lockup dynamics and possible placement.

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Aug 11

Daily Brief Industrials: Toyo Construction, Cosco Shipping Ports and more

By Smartkarma Daily Briefs | Daily Briefs, Industrials

In today’s briefing:

[Japan M&A] Taisei Corp To Take Toyo Construction (1890 JP) Private – Governance Torture Ends
COSCO Shipping Ports (1199 HK): Potential Involvement in CKH’s Port Sale

[Japan M&A] Taisei Corp To Take Toyo Construction (1890 JP) Private – Governance Torture Ends

By Travis Lundy

In March 2022, Infroneer bid ¥770. The Board said “too low” but then accepted. A month later, YFO offered ¥1,000. Too high, bad owner, not accepted.
Summer 2023 after a year of palm to the face for YFO, the Board was partly spilled. YFO bid ¥1,255/share and the Board said the premium was too low.
Now, the Board has accepted a bid from Taisei at a roughly similar premium. But the price is ¥1,850/share. Infroneer and YFO have agreed to sell. Minorities win… -ish

COSCO Shipping Ports (1199 HK): Potential Involvement in CKH’s Port Sale

By Osbert Tang, CFA

Cosco Shipping Ports (1199 HK) is a major beneficiary of its parent’s potential 20-30% stake in the consortium to acquire CK Hutchison Holdings (1 HK)‘s port portfolio.
A potential injection of such assets from its parent will enhance its profitability, diversify its throughput mix, and expand its geographical coverage in the future.
Its 8.3x PER and 0.43x P/B are not expensive relative to earnings outlook and ROE. The strong 1Q25 and upcoming 1H25 results mean earnings upgrade potential.

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