Smartkarma Daily Briefs

• CSI All Share Semiconductors & Semiconductor Equipment Index represents the largest and most-liquid stocks in the Semiconductor Industry Group from the Shanghai, Shenzhen, and Beijing Exchanges.
• In this insight, we take a look at the potential ADDs and DELs leading the race for the semiannual index rebal event in June 2025.
• We expect up to six ADDs and seven DELs for the CSI All Share Semiconductors index during this index review event based on the latest available data.

• Guming Holdings (GUM HK) (Good me), a freshly-made tea store brand, is pre-marketing an HKEx IPO to raise US$300 million, according to press reports.
• In Guming Holdings (Good Me) IPO: The Bull Case, we highlighted the key elements of the bull case. In this note, we outline the bear case.
• The bear case rests on under-pressure store KPIs, unsustainable historical growth rates, declining contract liabilities, margin pressure due to competition and a sizeable pre-IPO dividend.

• The Get Nice Financial Group Ltd (1469 HK) offer is conditional on the approval of the GNH/GNF shareholders. On 22 January, Get Nice Holdings (64 HK) shareholders approved the offer. 
• The GNF vote requires approval of the scheme by at least 75% of disinterested shareholders (<10% of all disinterested shareholders rejection). The vote remains a low risk.   
• The GNF vote is aided by the higher derating of peers (the median peer’s share price has declined 12.7%) compared to the decline in the implied offer value (10.4%).  

• Scape Australia is investing in student housing by launching a $3.8 billion fund to transform the sector.
• Indian company CtrlS is expanding their data center portfolio by building a fourth facility in Hyderabad.
• Despite a Q4 slump, Singapore’s real estate investment increased by 35% in 2024, according to Savills.

• DPC Dash is the master franchisee of Domino’s Pizza in China, currently operating 768 stores
• Despite current lack of profitability, DPC Dash has potential to become second largest player in Chinese pizza market in four years
• Strong leadership team and focus on value for consumers position DPC Dash to capitalize on low number of pizza stores per population in China compared to other key markets

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Sichuan Biokin is looking at a A-H listing and is looking to raise up to USD 500 million. 
• In this note we look at the company’s fundamentals briefly including its heavyweight product BL-B01D1. We also examine its deal with BMS.
• The stock has performed well on Shanghai STAR board since its A share listing. 

• Author recommends investing in DingDong Limited (DDL) to play a recovery in China
• DDL has shown promise with consecutive quarters of operating profits despite China’s economic issues
• Investment thesis is based on potential for DDL’s stock to rise for every 1% increase in operating margins, without assuming further margin expansion

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• In today’s Morning Views publication we comment on developments of the following high yield issuers: China Water Affairs, Health and Happiness (H&H), Anton Oilfield, Lippo Karawaci
• In the US, the December Conference Board leading index inched down by 0.1% (-0.1% e / 0.4% revised p) in December to 101.6. The decrease was due to “low consumer confidence about future business conditions, still relatively weak manufacturing orders, an increase in initial claims for unemployment and a decline in building permits”, according to Justyna Zabinska-La Monica, Senior Manager for Business Cycle Indicators at The Conference Board.
• US President Donald Trump is considering imposing a 10% tariff on imports of Chinese goods as soon as February 1st, apparently due to fentanyl being trafficked into the US via Mexico and Canada, using chemicals from China.