Smartkarma Daily Briefs

ETF rebalancing’s key, but still too early to front-run — both use FnGuide screens based on FY1 DPS and prices from 20 days before November-end.
Beyond the rebalance noise, ADR-local spreads have been widening — KB hit +6%, Shinhan’s also drifting. Likely tied to the recent liquidity surge in dividend names.
ADR arb’s more doable with NXT tightening slippage. With proper FX hedging, it’s a clean side play riding the policy-driven liquidity wave.

SK Innovation Cleanup: Watch Out for a Classic NAV Compression Play

Facing tough fundraising, SK avoided a rights issue, opting for a complex deal to limit dilution and ease investor worries.
It all hinges on how the market views SK On’s cleanup plus Enmove’s steady cash flow—SK Innovation looks oversold, making this a decent long setup.
Enmove’s stable earnings boost SK On’s P&L, likely triggering a rerate for SK Innovation and setting up a classic NAV compression trade.

A Merger Between SK On and SK Enmove + A Massive 8 Trillion Won in Capital Raise

On 30 July, SK Innovation (096770 KS) announced that it plans to merge its subsidiaries SK On and SK Enmove. The merged company will be launched on 1 November.
SK Group has announced a massive 8 trillion won capital raise plan involving this deal including paid-in capital increase of 2 trillion won for SK Innovation and SK On each.
We provide three major reasons why we are negative on this merger/capital raise.

SK IE Technology – Capital Raise of 300 Billion Won

SK IE Technology (361610 KS) announced that it plans to raise 300 billion won through a third party paid-in capital allocation.
SK IE Technology plans to issue 10.5 million new shares (14.7% of outstanding shares). Expected price of capital raise is 28,600 won (2.1% lower than current price).
We have a Negative View of SK IE Technology as well its plans to raise capital worth 300 billion won.

Daehan Shipbuilding Pre-IPO: Decent Subscription Rates

By Nicholas Tan

Daehan Shipbuilding (439260 KS) raised US$370m in its upcoming Korean IPO.
It specializes in the design and construction of medium-sized (Aframax) and semi-large sized (Suezmax) vessels for crude oil and petroleum product transportation.
In this note, we examine the IPO dynamics, and look at the firm’s valuation.

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Jul 31

Daily Brief ECM: Wuxi AppTec Placement – Momentum Is Very Strong and more

By Smartkarma Daily Briefs | Daily Briefs, ECM

In today’s briefing:

Wuxi AppTec Placement – Momentum Is Very Strong, Though It Is a Bit Opportunistic
NSDL – New Management, Revised Strategy — The Battle for Market Share Continues
Eastenova (东方妍美) Pre-IPO: Recalibration of Potentials
Daehan Shipbuilding Pre-IPO: Decent Subscription Rates
Milky Mist Dairy Food Ltd Pre-IPO Tearsheet
Executive Centre India Ltd Pre-IPO Tearsheet
Ambiq Micro, Inc. (AMBQ): Semi-Conductor Surges, Upsized IPO Jumps 58% at Open
Pre-IPO Ab&B Bio-Tech (PHIP Updates) – Some Points Worth the Attention

Wuxi AppTec Placement – Momentum Is Very Strong, Though It Is a Bit Opportunistic

By Sumeet Singh

WuXi AppTec (2359 HK) aims to raise around US$650m via its H-share placement.
The stock has been on a roll this year and recently announced strong earnings as well. Although it’s now trading at its 52-week highs.
In this note, we will talk about the placement and run the deal through our ECM framework.

NSDL – New Management, Revised Strategy — The Battle for Market Share Continues

By Sreemant Dudhoria,CFA

This insight describes about NSDL (NSDL IN) ‘s complete overhaul in top management team over the last 12 months.
The mandate for new team is to arrest the market share loss with new age/ discount brokers. The revised strategy seems to be working.
The IPO provides investors a front-row seat opportunity to witness this turnaround.

Eastenova (东方妍美) Pre-IPO: Recalibration of Potentials

By Ke Yan, CFA, FRM

Eastenova, a China-based regenerative medicine specialist, is looking to raise at least US$100 million via a Hong Kong listing. The sole bookrunner is CCBI.
In this note, we take a look at the company’s core product, XH301.
Our research suggests that recalibration of the company’s potential is necessary given the intense competition and market deceleration.

Daehan Shipbuilding Pre-IPO: Decent Subscription Rates

By Nicholas Tan

Daehan Shipbuilding (439260 KS) raised US$370m in its upcoming Korean IPO.
It specializes in the design and construction of medium-sized (Aframax) and semi-large sized (Suezmax) vessels for crude oil and petroleum product transportation.
In this note, we examine the IPO dynamics, and look at the firm’s valuation.

Milky Mist Dairy Food Ltd Pre-IPO Tearsheet

Milky Mist Dairy Food Ltd (1023949D IN) (MMDFL) is looking to raise about US$237m in its upcoming India IPO. The bookrunners for the deal are Axis, JM Fin and IIFL.
MMDFL is a value-added dairy and packaged food manufacturer focused on premium products such as paneer, cheese, curd, yogurt, UHT milk, and frozen RTE/RTC foods.
MMDFL is the fastest-growing packaged food firm in India among those with revenue above INR15,000m, having achieved a revenue CAGR of 29.82% from FY23-25, as per 1Lattice Report.

Executive Centre India Ltd Pre-IPO Tearsheet

Executive Centre India Ltd (2026075D IN) (ECIL) is looking to raise about US$300m in its upcoming India IPO. The bookrunners for the deal are Kotak and ICICI.
ECIL leases Grade A office spaces and converts them into premium flexible workspaces, catering to MNCs, SMEs, and other entities across various sectors and industries.
As per Kantar Brand Study, it was recognised for offering high-end services in the premium flexible workspace segment across India, Singapore, the Middle East, and Asia in FY25.

Ambiq Micro, Inc. (AMBQ): Semi-Conductor Surges, Upsized IPO Jumps 58% at Open

By IPO Boutique

Ambiq Micro priced 4.0 million shares at $24.00. The share count was upsized 17.6% and the pricing was at the upper-half of the range.
The performance of Ambiq Micro is one that squarely places them among the best for the year in terms of opening performance.
A conservative valuation and a small deal size assisted in this IPO being wildly successful.

Pre-IPO Ab&B Bio-Tech (PHIP Updates) – Some Points Worth the Attention

By Xinyao (Criss) Wang

Quadrivalent subunit influenza vaccine has been approved for market launch, but performance deteriorated due to product returns and provision for impairment of inventories.Fierce competition has intensified the pressure on profits.
Core founding shareholders have no background in vaccine R&D.Ab&B lags behind in terms of R&D capabilities/forward-looking vision, leading to insufficient depth of pipeline layout and a decline in future competitiveness.
After Series B financing, post-money valuation reached RMB4.2 billion. We think Ab&B Bio-Tech (ABB HK)’s valuation should be lower than CanSino, but would be higher than AIM Vaccine (6660 HK).

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Jul 31

Daily Brief Credit: Lucror Analytics – Morning Views Asia and more

By Smartkarma Daily Briefs | Credit, Daily Briefs

In today’s briefing:

Lucror Analytics – Morning Views Asia
Southwest Airlines: New Credit Card Perks to Win Back Loyal Flyers & Other Major Developments!

Lucror Analytics – Morning Views Asia

By Trung Nguyen

In today’s Morning Views publication we comment on developments of the following high yield issuers: Nickel Industries
UST yields declined meaningfully yesterday, supported by a strong auction of 7Y notes and following a weaker than expected June JOLTS report. In addition, investors may have moved to lock in yields ahead of the Treasury Department’s refunding announcement and FOMC rate decision today.
The UST curve bull-flattened, with the yield on the 2Y UST falling 6 bps to 3.87%, while the yield on the 10Y UST was down 9 bps at 4.32%. Equities retreated from record-high levels. The S&P 500 snapped a six-day winning streak, declining 0.3% to 6,371.

Southwest Airlines: New Credit Card Perks to Win Back Loyal Flyers & Other Major Developments!

By Baptista Research

Southwest Airlines’ earnings for the second quarter of 2025 provided a detailed insight into their transformational journey aimed at enhancing shareholder value and providing more choices for customers.
The airline has launched several initiatives, including a partnership with Chase and the implementation of checked bag fees, which are reportedly exceeding expectations without negatively impacting operations.
Robert Jordan, President and CEO, emphasized the rapid pace and quality of execution of these initiatives, reflecting excitement and direction toward a more differentiated product offering in the future.

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Jul 31

Daily Brief Event-Driven: ADR Arb on Korean Divvy Names: A Side Play Riding the Policy-Driven Liquidity Wave and more

By Smartkarma Daily Briefs | Daily Briefs, Event-Driven

In today’s briefing:

ADR Arb on Korean Divvy Names: A Side Play Riding the Policy-Driven Liquidity Wave
WuXi AppTec (2359 HK) Placement: Strong Momentum & Index Flows
Fujitec (6406 JP): EQT’s Takeunder Likely a Done Deal
SK Innovation Cleanup: Watch Out for a Classic NAV Compression Play
PointsBet (PBH AU): Either Betr Pulls A Rabbit Out Of The Hat, Or Walks
StubWorld: Stay Short On GMO Internet (4784 JP); Haw Par Now Even More Stretched
A Merger Between SK On and SK Enmove + A Massive 8 Trillion Won in Capital Raise
SK IE Technology – Capital Raise of 300 Billion Won
Bavarian Nordic: Event-Driven Bid with Strategic Block, Bull Case Supports Sweetening
PointsBet (PBH AU): Betr Bumps Its Offer, but Is It Superior to Mixi?

ADR Arb on Korean Divvy Names: A Side Play Riding the Policy-Driven Liquidity Wave

ETF rebalancing’s key, but still too early to front-run — both use FnGuide screens based on FY1 DPS and prices from 20 days before November-end.
Beyond the rebalance noise, ADR-local spreads have been widening — KB hit +6%, Shinhan’s also drifting. Likely tied to the recent liquidity surge in dividend names.
ADR arb’s more doable with NXT tightening slippage. With proper FX hedging, it’s a clean side play riding the policy-driven liquidity wave.

WuXi AppTec (2359 HK) Placement: Strong Momentum & Index Flows

By Brian Freitas

WuXi AppTec (2359 HK) is looking to raise US$650m at a price range of HK$104.16-106.4/share, a 5-7% discount from last close.
There will be passive buying from global index trackers around the time of settlement of the placement shares. Then there will be some Hang Seng Index buying in August.
Short interest in WuXi AppTec (2359 HK) has spiked and some shorts could cover into the placement. The AH premium could move higher following the placement.

Fujitec (6406 JP): EQT’s Takeunder Likely a Done Deal

By Arun George

Fujitec Co Ltd (6406 JP) has recommended a preconditional tender offer from EQT (EQT SS) at JPY5,700, an 8.1% discount to the last close price of JPY6,205.
The precondition relates to regulatory approvals in several countries. The tender offer is expected to commence in late January 2026.
Although the offer is light, it is likely to succeed, as it resulted from an auction process and was supported by irrevocables from the two prominent activists on the register.

SK Innovation Cleanup: Watch Out for a Classic NAV Compression Play

Facing tough fundraising, SK avoided a rights issue, opting for a complex deal to limit dilution and ease investor worries.
It all hinges on how the market views SK On’s cleanup plus Enmove’s steady cash flow—SK Innovation looks oversold, making this a decent long setup.
Enmove’s stable earnings boost SK On’s P&L, likely triggering a rerate for SK Innovation and setting up a classic NAV compression trade.

PointsBet (PBH AU): Either Betr Pulls A Rabbit Out Of The Hat, Or Walks

By David Blennerhassett

Mixi (2121 JP)‘s A$1.20/share cash Offer is now open, with a 50.1% acceptance condition. PointsBet Holdings (PBH AU) is supportive. Mixi currently holds 25.15%. ~16% of shares out have tendered.
Betr Entertainment (BBT AU) (self-alleged superior) scrip Offer, with no minimum acceptance condition, is still out there. betr holds 19.6%. No shareholder has accepted terms.
PBH has now tapped the Takeover Panel seeking orders betr clarify its convoluted Offer.

StubWorld: Stay Short On GMO Internet (4784 JP); Haw Par Now Even More Stretched

By David Blennerhassett

GMO Internet Group (9449 JP) needs to sell shares in GMO Internet (4784 JP) to achieve a “float” of 35% by 31 December 2026. Recent filings show they are selling.
Preceding my comments on the GMO group – and Haw Par Corp (HPAR SP)/ UOB (UOB SP) – are the current setup/unwind tables for Asia-Pacific Holdcos.
These relationships trade with a minimum liquidity of US$1mn, and a % market capitalisation >20%.

A Merger Between SK On and SK Enmove + A Massive 8 Trillion Won in Capital Raise

On 30 July, SK Innovation (096770 KS) announced that it plans to merge its subsidiaries SK On and SK Enmove. The merged company will be launched on 1 November.
SK Group has announced a massive 8 trillion won capital raise plan involving this deal including paid-in capital increase of 2 trillion won for SK Innovation and SK On each.
We provide three major reasons why we are negative on this merger/capital raise.

SK IE Technology – Capital Raise of 300 Billion Won

By Research as a Service (RaaS)

SK IE Technology (361610 KS) announced that it plans to raise 300 billion won through a third party paid-in capital allocation.
SK IE Technology plans to issue 10.5 million new shares (14.7% of outstanding shares). Expected price of capital raise is 28,600 won (2.1% lower than current price).
We have a Negative View of SK IE Technology as well its plans to raise capital worth 300 billion won.

Bavarian Nordic: Event-Driven Bid with Strategic Block, Bull Case Supports Sweetening

By Jesus Rodriguez Aguilar

Bavarian Nordic’s board recommends a DKK 233/share bid, but ATP’s 10% block and market premium pricing suggest anticipation of a higher offer or strategic alternatives.
The offer undervalues Bavarian Nordic’s scalable platform, outbreak-response contracts, and optionality; a fair value of DKK 255–265 is justified, with a bull case up to DKK 330/share.
Deal spread trades negative as market expects sweetening; low irrevocables and strategic buyer risk suggest asymmetry for long positions with regulatory and ATP dynamics as key catalysts.

PointsBet (PBH AU): Betr Bumps Its Offer, but Is It Superior to Mixi?

By Arun George

BETR Entertainment (BBT AU) has bumped its PointsBet Holdings (PBH AU) offer to 4.219 BBT shares per PBH share. However, the offer’s opening is delayed by the Panel’s interim orders.
Betr expects that the Board will now recommend its offer. However, the Board has several reasons not to deem Betr’s revised proposal as superior to Mixi Inc (2121 JP).
Since 3 June, the average gross spread of the revised Betr offer to the Mixi offer is 3.4%. The logical next step is for Mixi to declare its offer unconditional.

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Jul 31

Daily Brief Australia: PointsBet Holdings , Freelancer Ltd, Novonix , Pureprofile Ltd and more

By Smartkarma Daily Briefs | Australia, Daily Briefs

In today’s briefing:

PointsBet (PBH AU): Either Betr Pulls A Rabbit Out Of The Hat, Or Walks
PointsBet (PBH AU): Betr Bumps Its Offer, but Is It Superior to Mixi?
Freelancer — Foundations in place for volume growth
NVX: Believe Positive Outlook Supported by Provisional Imposition of Anti-Dumping Tariffs on Material Imported From China
Pureprofile Ltd – Q4 delivers on FY25 guidance with 17% revenue growth

PointsBet (PBH AU): Either Betr Pulls A Rabbit Out Of The Hat, Or Walks

By David Blennerhassett

Mixi (2121 JP)‘s A$1.20/share cash Offer is now open, with a 50.1% acceptance condition. PointsBet Holdings (PBH AU) is supportive. Mixi currently holds 25.15%. ~16% of shares out have tendered.
Betr Entertainment (BBT AU) (self-alleged superior) scrip Offer, with no minimum acceptance condition, is still out there. betr holds 19.6%. No shareholder has accepted terms.
PBH has now tapped the Takeover Panel seeking orders betr clarify its convoluted Offer.

PointsBet (PBH AU): Betr Bumps Its Offer, but Is It Superior to Mixi?

By Arun George

BETR Entertainment (BBT AU) has bumped its PointsBet Holdings (PBH AU) offer to 4.219 BBT shares per PBH share. However, the offer’s opening is delayed by the Panel’s interim orders.
Betr expects that the Board will now recommend its offer. However, the Board has several reasons not to deem Betr’s revised proposal as superior to Mixi Inc (2121 JP).
Since 3 June, the average gross spread of the revised Betr offer to the Mixi offer is 3.4%. The logical next step is for Mixi to declare its offer unconditional.

Freelancer — Foundations in place for volume growth

By Edison Investment Research

Over the last year, Freelancer has optimised its cost base, invested in AI tooling for internal use and to enhance freelancers’ skills, and focused on product quality to improve demand for its services. In H125, revenue was up 8.0% y-o-y even while gross marketplace volume (GMV) was down 2.4%, as the business improved the take rate in Escrow.com and Loadshift. The company was net cash flow positive in H125 and reported a year-on-year increase in adjusted operating profit. With the cost base right-sized and cash being generated at this level of revenue and GMV, we see scope for significant operational leverage if the company can stimulate GMV growth.

NVX: Believe Positive Outlook Supported by Provisional Imposition of Anti-Dumping Tariffs on Material Imported From China

By Zacks Small Cap Research

We believe the expected increased need in North America for critical materials, including anode, is a key factor behind the non-dilutive funding the company has been able to obtain from the DOE, Canada Industrial Research Assistance Program and other sources, as NVX moves forward with the construction of a 2nd Tennessee plant.
Production capacity of its existing Riverside plant has been pre-sold via multiple offtake agreements and NVX plans to construct a 2nd facility in the state, recently obtaining approval and expected tax credits toward this project.
NVX has secured additional liquidity, recently entering into a funding agreement for up to US$100m convertible debentures with Yorkville Advisors Global.

Pureprofile Ltd – Q4 delivers on FY25 guidance with 17% revenue growth

Pureprofile Ltd (ASX:PPL) is a data analytics and consumer insights company underpinned by proprietary technology, servicing business decision makers in brands and media companies as well as market researchers.
Pureprofile has reported unaudited results for FY25 including revenue growth of 19% to $57.2m (including 17% growth in Q4) and an 18% uplift in EBITDA to $5.2m, both measures within the company’s FY25 guidance range for FY25 revenue to fall between $57m and $58m and for EBITDA, excluding significant items, to be between $5.2m to $5.8m (company release 28 January).
FY25 revenue and EBITDA were a little behind our forecast for $58.0m and $5.7m respectively but also included the absorption of a $0.15m forex loss and a similar investment in the new Platform solutions rolled out at the end of Q4.

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Jul 31

Daily Brief Macro: Activity’s Tariff Hangover In Q2 and more

By Smartkarma Daily Briefs | Daily Briefs, Macro

In today’s briefing:

Activity’s Tariff Hangover In Q2
CX Daily: China’s Surging Auto Sales Mask an Industry in Crisis
Canada: Policy Rate Held At 2.75% (Consensus 2.75%) in Jul-25

Activity’s Tariff Hangover In Q2

By Phil Rush

GDP growth broadly beat expectations again in Q2 on both sides of the tariff disruption. Euro area growth slowed by less, while the US rebounded vigorously.
Temporal distortions to demand didn’t open up slack as European supply growth stays stagnant. Surveys suggest it won’t appear in Q3 either as demand growth rebounds.
Underlying US GDP growth may have slowed, but the extent is modest and questionable. Rolling resilience should keep delaying rate cuts, preventing them from occurring.

CX Daily: China’s Surging Auto Sales Mask an Industry in Crisis

By Caixin Global

Autos / In Depth: China’s surging auto sales mask an industry in crisis
Temple /: Faith, greed, and power: The unraveling of the Shaolin kingdom
Ports /: Cosco tipped to join revamped bid for CK Hutchison’s global ports

Canada: Policy Rate Held At 2.75% (Consensus 2.75%) in Jul-25

By Heteronomics AI

The Bank of Canada held its policy rate at 2.75% as expected, but disappointed dovish expectations. The decision reflects competing inflation and growth pressures.
Underlying inflation has risen to 2.5-3.0%, remaining well above the 2% target due to persistent cost pressures. This has shifted the Bank’s priority toward price stability over accommodation.
Future rate cuts require both economic deterioration and contained tariff-related cost pressures. The Bank’s scenario-based approach reflects unprecedented trade policy uncertainty.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

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Jul 31

Daily Brief Equity Bottom-Up: Denso (6902) Buys Large Rohm (6963 JP) Stake – Register Gets Squeezier and more

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

In today’s briefing:

Denso (6902) Buys Large Rohm (6963 JP) Stake – Register Gets Squeezier
Magnificent 7: Global Fund Positioning Update
Initiation of A Container Port Terminal Product
Asian Equity: Changes to Model Portfolio: Korea, HK/CN Overweight. India Neutral; ASEAN Underweight
HDFC Bank (“HDFCB”): Separating the Wheat from the Chaff
Hyperscalers 2Q25: Revenue Growth Accelerates, Cloud Revenues Accelerate, Capex Higher
MTK 2Q25: Inline but Positive One-Off. Weak 3Q with Revenue Decline QoQ and Margins Compression.
Hon Hai(2317.TT): Form Strategic Alliance Via Share Swap with TECO (1504) For Global AI Data Center
Don Quijote: Fitness, Tourists and Social Media
Oisix Update: New Lines of Convenience Deli Selling Well

Denso (6902) Buys Large Rohm (6963 JP) Stake – Register Gets Squeezier

By Travis Lundy

Today after the close, a Nikkei article said Denso Corp (6902 JP) had recently lifted its stake in ROHM Co Ltd (6963 JP) from “about 0.3%” to “just under 5%.”
Given the recent buy of 28mm shares of Rohm into the Nikkei 225, that means ~11.5% or perhaps more has been taken out of the public’s hands.
Some may have come from cross-holders, but it’s not clear there are that many. This renders the stock more squeeze-able going forward. Rohm reports next week.

Magnificent 7: Global Fund Positioning Update

By Steven Holden

Magnificent 7 positioning remains elevated across global funds, but momentum has clearly stalled, with recent activity pointing to consolidation rather than renewed conviction buying.
Growth and GARP funds are near fully allocated, while Value and Yield managers remain structurally underweight— potentially limiting the potential for broad-based participation from here.
Microsoft leads with cross-style appeal; Tesla lags with minimal support. Apple is the conviction underweight, while NVIDIA’s benchmark surge has left it at a record active underweight.

Initiation of A Container Port Terminal Product

By Sameer Taneja

This is a short insight, informing readers that we intend to initiate a container port terminal product, following our recent initiation on Asian Terminals (ATI PM)
This product will be followed by initiations on high-quality companies like Westports Holdings (WPRTS MK) / ICTSI (ICT PM) / Port of Tauranga (POT NZ), etc, and a monthly screen.
In this insight, we will highlight our rationale for introducing this product and outline the screening metrics for companies.

Asian Equity: Changes to Model Portfolio: Korea, HK/CN Overweight. India Neutral; ASEAN Underweight

By Manishi Raychaudhuri

Since inception on May 15, our Model Portfolio (up 6.2%) underperformed the MSCI Asia-ex-Japan index (up 7.87%) due to underperforming stock picks in India, ASEAN and China consumer proxies.
The main themes: China’s changing consumption and investment patterns, Korea’s improving corporate governance, continuing global infrastructure investments and India’s earnings disappointment. Korea, HK/China remain overweight; India is downgraded to Neutral.
We exclude Meituan, Titan, Infosys, Bharat Dynamics, Krafton. We include Laopu Gold, Lonking Holdings, China Hongqiao, AIA and Hyundai Engineering and Construction. We are now Neutral Industrials and Underweight Technology.

HDFC Bank (“HDFCB”): Separating the Wheat from the Chaff

By Ankit Agrawal, CFA

The stress periods are the times when the mettle of the best gets tested. We are in such a period and HDFCB has remained unscathed.
Even Bajaj Finance, which is also rated gold-standard in underwriting and risk management, noted issues with asset quality in the current environment, however, HDFCB’s asset quality has remained pristine.
HDFCB’s retail NPA ex-Agri has been steady at 0.82%. While HDFCB’s competitors have provided a cautious outlook, especially in unsecured loans, HDFCB has provided a stable outlook on asset quality.

Hyperscalers 2Q25: Revenue Growth Accelerates, Cloud Revenues Accelerate, Capex Higher

By Nicolas Baratte

Google: increased 2025 Capex ($75bn -> 85bn). Capex will increase in 2026. Higher capex is justified by “strong demand for Cloud products and services“.
Meta: last quarter increased 2025 Capex ($62.5bn -> 68bn). This quarter, more modest $1bn increase to $69bn. Meta expects “another year of similarly significant capital expenditures dollar growth in 2026”.
Microsoft: FY26 Capex growth will moderate compared to FY25 (FY25 Capex increased 58% YoY).

MTK 2Q25: Inline but Positive One-Off. Weak 3Q with Revenue Decline QoQ and Margins Compression.

By Nicolas Baratte

Q25: inline with a GP one-off. 3Q25: FX impact but still revenue decline QoQ. Add margins compression and 3Q guidance is a large miss: OP -20% below Consensus.
Management continues to provide very bullish “indications” on growth from 2026-27: AI ASIC, collaboration with Nvidia, Automotive. Multiple analysts questions on risk of hyperscalers projects delayed or cancelled.
Mediatek is entering very large markets (AI ASIC, Auto) that will provide new growth beyond the exhausted Mobile market. You want to buy into this after a ~20% correction.

Hon Hai(2317.TT): Form Strategic Alliance Via Share Swap with TECO (1504) For Global AI Data Center

By Patrick Liao

Hon Hai Precision Industry (2317 TT) and Teco Electric & Machinery (1504 TT) held a joint press conference this afternoon to announce the formation of alliance through a share swap.
Teco (1504) TT and Hon Hai (2317 TT) stated their target markets extend beyond Taiwan and Asia, to include substantial business opportunities in the U.S. and the Middle East.
Foxconn Chairman Mr. Young Liu also noted that as AI data centers scale up rapidly and demand surges, modular design is increasingly favored.

Don Quijote: Fitness, Tourists and Social Media

By Michael Causton

Don Quijote announced a slew of initiatives over the past two months targeting tourists, a move to capitalise on the burgeoning fitness boom, and new social media use.
The initiatives reflect the continued dynamism in the business both in the discount format and as city centre tourist meccas.
While the company has closed some overseas stores, the outlook in Asia remains very strong.

Oisix Update: New Lines of Convenience Deli Selling Well

By Michael Causton

Oisix was originally known for its food subscription boxes but then expanded into meal kits which brought in a new type of customer looking to save time.
But with more busy and stressed customers no longer wanting to even spend 20 minutes cooking its meal kits, Oisix has launched 5-minute deli meals.
Oisix remains the leading independent online food retailer and the most innovative. While subscriber numbers fell recently, sales per user are up.

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Jul 31

Daily Brief India: Max Healthcare Institute, HDFC Bank, NSDL, Milky Mist Dairy Food Ltd, Executive Centre India Ltd, Gujarat Inds Power and more

By Smartkarma Daily Briefs | Daily Briefs, India

In today’s briefing:

Quiddity Leaderboard NIFTY Sep25: Reference Period About to End; Some Changes to Expectations
HDFC Bank (“HDFCB”): Separating the Wheat from the Chaff
NSDL – New Management, Revised Strategy — The Battle for Market Share Continues
Milky Mist Dairy Food Ltd Pre-IPO Tearsheet
Executive Centre India Ltd Pre-IPO Tearsheet
The Beat Ideas: GIPCL’s Strategic Shift – A New Dawn for Gujarat’s Energy Sector

Quiddity Leaderboard NIFTY Sep25: Reference Period About to End; Some Changes to Expectations

By Janaghan Jeyakumar, CFA

NIFTY 50 represents the 50 largest stocks listed in the National Stock Exchange (NSE) of India and the NIFTY Next 50 index tracks the next 50 largest names.
In this insight, we take a look at the names leading the race to become ADDs/DELs for these indices during the September 2025 index rebal event.
We see two changes for NIFTY 50 and five changes for NIFTY 100 based on current data. We see US$1.2bn a side to trade.

HDFC Bank (“HDFCB”): Separating the Wheat from the Chaff

By Ankit Agrawal, CFA

The stress periods are the times when the mettle of the best gets tested. We are in such a period and HDFCB has remained unscathed.
Even Bajaj Finance, which is also rated gold-standard in underwriting and risk management, noted issues with asset quality in the current environment, however, HDFCB’s asset quality has remained pristine.
HDFCB’s retail NPA ex-Agri has been steady at 0.82%. While HDFCB’s competitors have provided a cautious outlook, especially in unsecured loans, HDFCB has provided a stable outlook on asset quality.

NSDL – New Management, Revised Strategy — The Battle for Market Share Continues

By Sreemant Dudhoria,CFA

This insight describes about NSDL (NSDL IN) ‘s complete overhaul in top management team over the last 12 months.
The mandate for new team is to arrest the market share loss with new age/ discount brokers. The revised strategy seems to be working.
The IPO provides investors a front-row seat opportunity to witness this turnaround.

Milky Mist Dairy Food Ltd Pre-IPO Tearsheet

Milky Mist Dairy Food Ltd (1023949D IN) (MMDFL) is looking to raise about US$237m in its upcoming India IPO. The bookrunners for the deal are Axis, JM Fin and IIFL.
MMDFL is a value-added dairy and packaged food manufacturer focused on premium products such as paneer, cheese, curd, yogurt, UHT milk, and frozen RTE/RTC foods.
MMDFL is the fastest-growing packaged food firm in India among those with revenue above INR15,000m, having achieved a revenue CAGR of 29.82% from FY23-25, as per 1Lattice Report.

Executive Centre India Ltd Pre-IPO Tearsheet