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Smartkarma Daily Briefs

Oct 05
0

Daily Brief Industrials: Ibiden Co Ltd, Donaldson Co, Huntington Ingalls Industries, Spirit Airlines and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Ibiden (4062 JP): Once Again a Long-Term Buy
  • Donaldson Company Inc: Will The Aftermarket and Off-Road Growth in Mobile Solutions Last? – Major Drivers
  • Huntington Ingalls Industries: A Tale Of Expanded Shipbuilding Capacity and Modernization! – Major Drivers
  • Spirit Airlines Needs to Address Labor Cost-Pricing Mismatch with or Without Chapter 11

Ibiden (4062 JP): Once Again a Long-Term Buy

By Scott Foster

  • Sales, profits and the share price are bottoming out and good 1Q results make FY Mar-25 guidance look conservative.
  • Demand for advanced packaging should drive recovery, with the operating margin regaining its previous peak in three or four years.
  • Management’s long-term guidance implies a decline in the projected P/E ratio from 26x to 10X by FY Mar-28, but even 15x would make the shares an attractive investment.

Donaldson Company Inc: Will The Aftermarket and Off-Road Growth in Mobile Solutions Last? – Major Drivers

By Baptista Research

  • Donaldson Company has reported a record-breaking financial performance for the fiscal year 2024, achieving high sales, margins, and EPS.
  • The company surpassed $3.5 billion in sales and reported an operating margin of 15.4%, delivering an adjusted EPS of $3.42 which reflects a 13% year-over-year growth.
  • This robust performance was underpinned by strong cash conversion over 97%, and the return of $286 million to shareholders through dividends and buybacks.

Huntington Ingalls Industries: A Tale Of Expanded Shipbuilding Capacity and Modernization! – Major Drivers

By Baptista Research

  • Huntington’s second quarter of 2024 financial results demonstrated a robust performance, underpinning the company’s ability to navigate challenges while seizing growth opportunities.
  • Revenue for the quarter reached $3 billion, marking a 6.8% year-over-year increase, driven largely by the exceptional growth of the Mission Technologies segment, which posted a 19% revenue increase from the previous year.
  • This segment’s book-to bill ratio stood at 1.15, indicating healthy future revenue from confirmed contracts.

Spirit Airlines Needs to Address Labor Cost-Pricing Mismatch with or Without Chapter 11

By Neil Glynn

  • WSJ reports Spirit is exploring a Chapter 11 filing, with this risk apparent since the collapse of the planned JetBlue combination in January.
  • We highlight detailed analysis comparing the economics of airline recoveries across the US, illustrating Spirit lags on commercial performance and cost control.
  • With labor costs up from 21% of revenue in 2Q19 to 33% in 2Q24, compared to a pre-tax match of 12% in 2019, Spirit needs to address this labor-pricing mismatch.

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Oct 05
0

Daily Brief TMT/Internet: Hyundai Motor, Diodes Inc, JFrog, Ma Com Technology Solutions, Plexus Corp, Sprinklr, US Cellular, Axcelis Technologies, Yelp Inc, Commvault Systems and more

By | Daily Briefs, TMT/Internet

In today’s briefing:

  • Tech Supply Chain Tracker (05-Oct-2024): APAC offshore wind market at crossroads.
  • Diodes Incorporated: Automotive & Industrial Market Expansion & Focus on AI & Data Center Applications! – Major Drivers
  • JFrog Ltd.: Dealing With The Market Competition Intensification Risk & Other Challenges? – Major Drivers
  • MACOM Technology Solutions: What Role Are They Playing In Linear Pluggable Optics and Data Communication? – Major Drivers
  • Plexus Corp.: The 4 Biggest Challenges In Its Path! – Major Drivers
  • Sprinklr Inc.: Will Its Emphasis on Large Enterprise Clients and Comprehensive Suite Offerings Yield Dividends? – Major Drivers
  • United States Cellular Corporation: Focus on Broadband Expansion and Customer Penetration & Other Major Drivers
  • Axcelis Technologies Inc.: Enhancing Market Penetration in Asia & Expansion in the Aftermarket Services Sector Driving Growth! – Major Drivers
  • Yelp Inc.: Will The Streamlined AI Implementations in AdTech & Search Pay Off? – Major Drivers
  • Commvault Systems: Acquisition Of Clumio & Expanded SaaS Portfolio For the Expansion of Cloud Data Protection Capabilities! – Major Drivers

Tech Supply Chain Tracker (05-Oct-2024): APAC offshore wind market at crossroads.

By Tech Supply Chain Tracker

  • APAC offshore wind market faces regional competition as Typhoon Krathon spurs AI models to compete for accurate forecasting.
  • Ford Lio Ho revamps Kuga lineup in Taiwan’s SUV market post-Krathon, focusing on supply chain resilience amid labor strikes and geopolitical tensions.
  • Hyundai Motor plans ambitious battery production strategy while DIGITIMES Research forecasts significant growth in global and Taiwan AI healthcare markets from 2023 to 2030.

Diodes Incorporated: Automotive & Industrial Market Expansion & Focus on AI & Data Center Applications! – Major Drivers

By Baptista Research

  • Diodes Incorporated’s second quarter of fiscal year 2024 showcased performance exceeding prior expectations as demand began to recover, particularly noted in the computing market in Asia.
  • The improvement in distributor inventory levels, marked by a sequential decrease in channel inventory weeks, was also a positive development.
  • The company highlighted significant growth in point-of-sale (POS) across 3C markets (Computers, Communication, and Consumer Electronics), maintaining a steady revenue stream from automotive and industrial products which collectively accounted at 41% of total revenue.

JFrog Ltd.: Dealing With The Market Competition Intensification Risk & Other Challenges? – Major Drivers

By Baptista Research

  • JFrog’s second quarter 2024 financial results highlight a scenario of mixed outcomes that underscore the robust yet challenging aspects of its operational and financial maneuvers.
  • JFrog’s CEO, Shlomi Ben Haim, and CFO, Ed Grabscheid provided detailed insights into the company’s performance and strategic pivots intended to harness emerging market opportunities and address existing challenges.
  • Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.

MACOM Technology Solutions: What Role Are They Playing In Linear Pluggable Optics and Data Communication? – Major Drivers

By Baptista Research

  • MACOM’s third fiscal quarter 2024 financial results exhibit both strengths and areas of concern, offering a mixed bag for potential investors.
  • The company reported a revenue of $190.5 million with an adjusted EPS of $0.66 per diluted share, marking a positive trend in turnover buoyed by sequential growth in the Data Center and Telecom segments.
  • This financial performance was complemented by an impressive generation of over $40 million in free cash flow and an ending cash position of $521 million in cash and short-term investments.

Plexus Corp.: The 4 Biggest Challenges In Its Path! – Major Drivers

By Baptista Research

  • Plexus Corp. delivered a robust fiscal third quarter 2024 with revenues of $961 million, aligning with guidance.
  • Key sector performance varied, with particular strength in Aerospace and Defense, though tempered by industrial sector declines due to design changes and customer delays in new product introductions.
  • Despite these fluctuations, non-GAAP operating margins rose impressively to 5.8%, surpassing expectations due to increased efficiency and solid cost management.

Sprinklr Inc.: Will Its Emphasis on Large Enterprise Clients and Comprehensive Suite Offerings Yield Dividends? – Major Drivers

By Baptista Research

  • Sprinklr recently provided an update on its financial performance for the second quarter of the fiscal year 2025.
  • During this period, the company reported an 11% year-over-year growth in total revenue, amounting to $197.2 million, with subscription revenue growing 9% year-over-year to $177.9 million.
  • Moreover, the company generated $15.2 million in non-GAAP operating income, resulting in an 8% non-GAAP operating margin for the quarter.

United States Cellular Corporation: Focus on Broadband Expansion and Customer Penetration & Other Major Drivers

By Baptista Research

  • UScellular’s second-quarter earnings reflect a phase of strategic adjustments and operational rigor aimed at realigning the company’s core business and addressing long-term shareholder value.
  • Key developments include the pending sale of UScellular’s wireless operations to T-Mobile, a move poised to reshape the company’s strategic focus while retaining significant assets like its towers and a portion of its spectrum.
  • The financial results from the quarter showed solid progress, particularly in adjusted EBITDA, which saw double-digit growth attributed to improved operational efficiency and prudent financial management.

Axcelis Technologies Inc.: Enhancing Market Penetration in Asia & Expansion in the Aftermarket Services Sector Driving Growth! – Major Drivers

By Baptista Research

  • Axcelis Technologies, Inc. recently disclosed its financial results for the second quarter of 2024, revealing a combination of both robust achievements and projected challenges that could influence investor sentiment.
  • The company reported revenue of $257 million, surpassing expectations chiefly due to a favorable conversion of evaluation units into revenue and consistent high demand for its silicon carbide implantation systems.
  • Earnings per diluted share were also strong, amounting to $1.55, reflecting solid execution across the board.

Yelp Inc.: Will The Streamlined AI Implementations in AdTech & Search Pay Off? – Major Drivers

By Baptista Research

  • Yelp Inc. recorded a mixed performance in the second quarter of 2024, highlighting several strategic initiatives and financial metrics that provide a nuanced picture of its current positioning and future prospects.
  • The company achieved a 6% year-over-year increase in net revenue, amounting to $357 million, surpassing its own forecast marginally.
  • This growth was underpinned by the introduction of over 20 new features and updates, emphasizing Yelp’s continued focus on a product-led strategy.

Commvault Systems: Acquisition Of Clumio & Expanded SaaS Portfolio For the Expansion of Cloud Data Protection Capabilities! – Major Drivers

By Baptista Research

  • Commvault’s fiscal first quarter of 2025 signaled a robust beginning to the year, reflecting significant growth across various metrics.
  • The company reported a 13% increase in total revenue, reaching $225 million, complemented by a 17% rise in total Annual Recurring Revenue (ARR) to $803 million.
  • Noteworthy was the Subscription ARR, which saw a 27% acceleration to $636 million, and the SaaS ARR, which surged by 66% to $188 million.

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Oct 05
0

Daily Brief Industrials: Ibiden Co Ltd, Donaldson Co, Huntington Ingalls Industries, Spirit Airlines and more

By | Daily Briefs, Industrials

In today’s briefing:

  • Ibiden (4062 JP): Once Again a Long-Term Buy
  • Donaldson Company Inc: Will The Aftermarket and Off-Road Growth in Mobile Solutions Last? – Major Drivers
  • Huntington Ingalls Industries: A Tale Of Expanded Shipbuilding Capacity and Modernization! – Major Drivers
  • Spirit Airlines Needs to Address Labor Cost-Pricing Mismatch with or Without Chapter 11

Ibiden (4062 JP): Once Again a Long-Term Buy

By Scott Foster

  • Sales, profits and the share price are bottoming out and good 1Q results make FY Mar-25 guidance look conservative.
  • Demand for advanced packaging should drive recovery, with the operating margin regaining its previous peak in three or four years.
  • Management’s long-term guidance implies a decline in the projected P/E ratio from 26x to 10X by FY Mar-28, but even 15x would make the shares an attractive investment.

Donaldson Company Inc: Will The Aftermarket and Off-Road Growth in Mobile Solutions Last? – Major Drivers

By Baptista Research

  • Donaldson Company has reported a record-breaking financial performance for the fiscal year 2024, achieving high sales, margins, and EPS.
  • The company surpassed $3.5 billion in sales and reported an operating margin of 15.4%, delivering an adjusted EPS of $3.42 which reflects a 13% year-over-year growth.
  • This robust performance was underpinned by strong cash conversion over 97%, and the return of $286 million to shareholders through dividends and buybacks.

Huntington Ingalls Industries: A Tale Of Expanded Shipbuilding Capacity and Modernization! – Major Drivers

By Baptista Research

  • Huntington’s second quarter of 2024 financial results demonstrated a robust performance, underpinning the company’s ability to navigate challenges while seizing growth opportunities.
  • Revenue for the quarter reached $3 billion, marking a 6.8% year-over-year increase, driven largely by the exceptional growth of the Mission Technologies segment, which posted a 19% revenue increase from the previous year.
  • This segment’s book-to bill ratio stood at 1.15, indicating healthy future revenue from confirmed contracts.

Spirit Airlines Needs to Address Labor Cost-Pricing Mismatch with or Without Chapter 11

By Neil Glynn

  • WSJ reports Spirit is exploring a Chapter 11 filing, with this risk apparent since the collapse of the planned JetBlue combination in January.
  • We highlight detailed analysis comparing the economics of airline recoveries across the US, illustrating Spirit lags on commercial performance and cost control.
  • With labor costs up from 21% of revenue in 2Q19 to 33% in 2Q24, compared to a pre-tax match of 12% in 2019, Spirit needs to address this labor-pricing mismatch.

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  • ✓ Events & Webinars
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Oct 05
0

Daily Brief Health Care: Sigma Healthcare, Immix Biopharma Inc and more

By | Daily Briefs, Healthcare

In today’s briefing:

  • Sigma Healthcare (SIG AU): Possibility of Merger with CWG Is Still Alive
  • Immix Biopharma – US CAR-T trial progresses to dose expansion

Sigma Healthcare (SIG AU): Possibility of Merger with CWG Is Still Alive

By Tina Banerjee

  • Sigma Healthcare (SIG AU) has offered a court-enforceable undertaking to alleviate preliminary anti-competition concerns raised by ACCC in relation to its proposed merger with CWG.
  • Sigma will let its franchisees who entered their franchising arrangements prior to January 1, 2024 to terminate their franchise agreements with Sigma without any penalty, for the next three years.
  • The company will also limit the usage of confidential information from its wholesale customers and franchisees for the next three years. Final decision of ACCC is expected on November 7.

Immix Biopharma – US CAR-T trial progresses to dose expansion

By Edison Investment Research

Immix Biopharma’s US-based NEXICART-2 trial continues to make steady progress through the clinic, with the company reporting that the trial has advanced to the dose expansion level of 450m cells, after completing the 150m cell cohort. The Phase Ib/II trial is assessing Immix’s lead CAR-T asset NXC-201 as a first-in-class outpatient treatment for relapsed/ refractory amyloid light chain amyloidosis (r/r ALA). We highlight that both chosen doses in NEXICART-2 trial had elicited complete responses in the prior NEXICART-1 trial, which was based in Israel. We view the latest update as an encouraging sign that the current clinical trial is progressing as anticipated and we believe that the initial data readout, expected within Q424, could represent a near-term catalyst for investor attention.

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Oct 05
0

Daily Brief Consumer: Shiseido Company, BYD, Dhampur Bio Organics, Zegna, Miniso, Marriott Vacations World, Card Factory, Pvh Corp, Five Below, Topbuild Corp and more

By | Consumer, Daily Briefs

In today’s briefing:

  • China Consumer Plays Listed In Japan
  • Major Chinese EV-Makers Have Record Month for Sales
  • The Beat Ideas: Dhampur Bio Organics Ltd.- Ethanol, Value Added Products & Deleveraging
  • Ermenegildo Zegna N.V.: Its Strategic Leadership Enhancements Are Driving Our Optimism! – Major Drivers
  • [Miniso (MNSO US, SELL, TP US$18) Rating Change]: We Took Our Stand on Yonghui Acquisition…DG2SELL
  • Marriott Vacations Worldwide: Portfolio Performance & Loan Delinquency Management Leading To Our Optimism! – Major Drivers
  • Card Factory – Confident on FY25 outlook
  • PVH Corp.: Emphasis on Direct-to-Consumer (DTC) and E-commerce Strategy! – Major Drivers
  • Five Below Inc.: How Is The Slowed Store Expansion Impacting Growth? – Major Drivers
  • TopBuild Corp.: How Are They Driving Profitability through Operational Efficiency? – Major Drivers

China Consumer Plays Listed In Japan

By Steve Zhou, CFA

  • Nippon Paint Holdings (4612 JP) is a branded decorative paint player.  China made up nearly 40% of the operating profit of the company. 
  • Saizeriya (7581 JP) is a Japanese restaurant chain of fast casual Italian food, with currently the majority of operating profit and growth coming from China.
  • Shiseido Company (4911 JP) is a Japanese beauty company that relies heavily on China.

Major Chinese EV-Makers Have Record Month for Sales

By Caixin Global

  • China’s key electric-vehicle (EV) makers set monthly delivery records in September as government subsidies and price cuts gave sales in the fiercely competitive industry a boost.
  • BYD Co. Ltd. (002594.SZ +8.21%), the country’s top EV-maker, sold 419,426 vehicles in September, according to an exchange filing Tuesday.
  • The figure, which consisted of 164,956 battery EVs and 252,647 plug-in hybrids, marked a 45.9% year-on-year increase and a new monthly sales record.

The Beat Ideas: Dhampur Bio Organics Ltd.- Ethanol, Value Added Products & Deleveraging

By Sudarshan Bhandari

  • Dhampur Bio Organics (DBOL IN): Integrated sugar manufacturer listed in 2022 post demerger from Dhampur Sugar Mills (DSM IN) 
  • With change in Ethanol policy from Sep-24, Company will be significantly benefitted with its grain-based ethanol plant and higher sugar production with good monsoon. 
  • Company is reducing its debt significantly to deleverage its balance sheet.

Ermenegildo Zegna N.V.: Its Strategic Leadership Enhancements Are Driving Our Optimism! – Major Drivers

By Baptista Research

  • Ermenegildo Zegna Group recently provided an overview of its financial performance and strategic initiatives for the first half of the fiscal year 2024.
  • Despite operating in a challenging global environment, particularly within the luxury sector, the company reported year-over-year revenue growth of 6%, supported by the consolidation of Tom Ford fashion and the ongoing strength of the Zegna brand.
  • This growth translated into a gross profit of EUR 637 million and an adjusted EBIT of EUR 81 million.

[Miniso (MNSO US, SELL, TP US$18) Rating Change]: We Took Our Stand on Yonghui Acquisition…DG2SELL

By Eric Wen

  • Despite the drastic bull turn in Chinese equity sending MNSO’s share 41% from its trough, we see MNSO’s investment in Yonghui Superstores as a risk venture.
  • We believe the market has overestimated the scalability of the Pangdonglai rectification program for offline retail. 
  • We downgrade the stock to SELL rating and cut TP to US$18/ADS

Marriott Vacations Worldwide: Portfolio Performance & Loan Delinquency Management Leading To Our Optimism! – Major Drivers

By Baptista Research

  • Marriott Vacations Worldwide reported mixed financial results for the second quarter of 2024.
  • The quarter saw slight growth in tours, potentially due to an emphasis on attracting new members, but this was mitigated by a decline in Vacation Ownership Point Generations (VPGs), especially among first-time buyers, which has impacted the overall contract sales negatively.
  • The company highlighted flat VPGs among existing owners, indicating sustained interest and valuation of vacations among this group.

Card Factory – Confident on FY25 outlook

By Edison Investment Research

Card Factory’s H125 revenue growth demonstrated it is delivering well against its multi-year growth strategy. While profitability was negatively affected by the (mostly) known inflation in operating costs, management is confident Card Factory will achieve its full-year estimates. This is due the momentum in the business and the mismatch in H125 between cost inflation and the efficiency and cost savings that have always been expected to come through in H225.

PVH Corp.: Emphasis on Direct-to-Consumer (DTC) and E-commerce Strategy! – Major Drivers

By Baptista Research

  • PVH Corp. reported its financial results for the second quarter of 2024, reflecting a blend of successes and strategic pivots amidst a challenging global economic environment.
  • Under the leadership of CEO Stefan Larsson, PVH Corp. has managed to align its performance with guidance expectations while surpassing estimates on profitability.
  • The quarter showcased a revenue performance in line with PVH’s projections, with a noteworthy increase in EBIT margins owing to a significant 250 basis point expansion in gross margins.

Five Below Inc.: How Is The Slowed Store Expansion Impacting Growth? – Major Drivers

By Baptista Research

  • Five Below’s second-quarter results for fiscal 2024 reflect a period of significant changes and challenges alongside the initiation of strategic shifts aimed at repositioning the company for future growth.
  • Under the interim leadership of Kenneth Bull, following a recent CEO transition, the company undertook a detailed review of its operations and business strategy.
  • This quarter’s earnings reveal some concerning trends but also highlight areas where management is actively working to steer the business back to its growth track.

TopBuild Corp.: How Are They Driving Profitability through Operational Efficiency? – Major Drivers

By Baptista Research

  • TopBuild Corp. delivered a robust performance in the second quarter of 2024, reflective of a solid growth trajectory despite challenges posed by the higher interest rate environment and supply chain constraints.
  • The company capitalized on opportunities across its diverse business model, supporting long-term growth despite the headwinds affecting the residential and commercial sectors.
  • Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.

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Oct 05
0

Daily Brief Energy/Materials: Korea Zinc, Pilbara Minerals, SGX Rubber Future TSR20, BP PLC, Plains All American Pipeline, L.P. and more

By | Daily Briefs, Energy & Materials Sector

In today’s briefing:

  • MBK Raised Korea Zinc’s Tender Price to ₩830K and Dropped the Hard Floor, Keeping the Upper Hand
  • MBK Raises Tender Offer Price of Korea Zinc to 830,000 Won
  • Is Ganfeng Bearish Pilbara Minerals?
  • Pirelli Moves Up The Ladder In Innovation, Sustainability And E Mobility
  • [Earnings Preview] BP Faces Prolonged Margin Pressure in Q3 2024 Amid Lower Oil Prices
  • Plains All American Pipeline: Strategic Contract Renegotiations and Long-term Agreements & Other Major Drivers

MBK Raised Korea Zinc’s Tender Price to ₩830K and Dropped the Hard Floor, Keeping the Upper Hand

By Sanghyun Park

  • MBK ditched the hard floor, eliminating cancellation risk. With a 15% GGT rate, there’s a 4% spread, so if you can secure volume, the deal looks solid.
  • MBK’s tender offer has less volume than Choi’s buyback (18%), increasing proration risk, but Choi’s deal also faces legal headaches, leaving some cancellation risk.
  • Tax implications differ: MBK’s offer incurs capital gains tax, while Choi’s buyback is subject to dividend tax. Foreign investors may prefer MBK’s 0% withholding tax, impacting participation.

MBK Raises Tender Offer Price of Korea Zinc to 830,000 Won

By Douglas Kim

  • On 4 October, MBK Partners announced that it is raising its tender offer price of Korea Zinc from 750,000 won to 830,000 won, matching Choi family’s tender offer price. 
  • As the price and conditions have changed, the tender offer period for Korea Zinc by MBK Partners and Young Poong will be extended by 10 days until 14 October.
  • Unless the Choi family makes another counter offer, upping the tender offer price even further, MBK/Young Poong is in a better position to win this M&A war for Korea Zinc.

Is Ganfeng Bearish Pilbara Minerals?

By Money of Mine

  • An $271 million block trade of Pilbara minerals occurred, representing nearly 3% interest in the stock of the lithium miner
  • The trade was part of a secondary share sale stemming from an equity collar transaction for China’s Ganfeng, which owns 5.7% of Pilbara
  • Equity collars are a trading strategy using options to protect downside, with the block trade price at a 4% discount to the last close

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

Pirelli Moves Up The Ladder In Innovation, Sustainability And E Mobility

By Vinod Nedumudy

  • Joins hands with Bosch to develop intelligent tire tech for safe driving
  • Gets validation from SBTi on zero emission target by 2040
  • Gets over 500 approvals for cutting-edge Elect technology

[Earnings Preview] BP Faces Prolonged Margin Pressure in Q3 2024 Amid Lower Oil Prices

By Suhas Reddy

  • BP’s revenue is expected to rise 7% QoQ but fall 5% YoY while EPS is anticipated to drop 7% QoQ and 19% YoY.
  • Management projected lower upstream production for Q3 compared to Q2, including in high-margin regions. However, retail fuel sales are expected to increase on stronger seasonal demand.
  • In 2023, BP allocated over 30% of its total expenditure to charging stations, biofuels, hydrogen fuels, and fuelling stations, a significant rise from just 3% in 2019.

Plains All American Pipeline: Strategic Contract Renegotiations and Long-term Agreements & Other Major Drivers

By Baptista Research

  • In the 2024 second-quarter earnings of Plains All American Pipeline, the company displayed a performance that surpassed expectations, revealing robust execution capabilities amidst changing market dynamics.
  • The key financial highlight includes an adjusted EBITDA attributable to Plains All American of $674 million, exceeding projected values.
  • This positive outcome has led to an upward adjustment of the full-year 2024 EBITDA guidance by $75 million, now ranging between $2.725 billion and $2.775 billion.

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Oct 05
0

Daily Brief Financials: Mphb Capital, NIFTY Index, Schloss Bangalore Ltd, Shimao Property Holdings, Bitcoin, Upstart Holdings and more

By | Daily Briefs, Financials

In today’s briefing:

  • MPHB Capital (MPHB MK)’s Offer Stalls At the Finish Line
  • EQD | Is the NIFTY A BUY Here?
  • Schloss Bangalore Pre-IPO Tearsheet
  • Weekly Wrap – 04 Oct 2024
  • Crypto Moves #46 – Better Bull Than Bear
  • Upstart Holdings Inc.: Leveraging Co-investment Partnerships To Drive AI Investments! – Major Drivers

MPHB Capital (MPHB MK)’s Offer Stalls At the Finish Line

By David Blennerhassett

  • On the 28 May, credit service provider MPHB Capital (MPHB MK) announced that controlling shareholder and chairman Tan Sri Surin Upatkoon intended to delist the company via a selective capital reduction.
  • Shareholders approved the RM1.70/share (87.21% FOR, 8.34% AGAINST) terms. The Offer required the Court to sign off on the SCR, and that’s when matters unravelled. 
  • ISM Sdn Bhd, MPHB’s minority partner in six JVs, filed an intervening application on the grounds that sanctioning the SCR may affect its rights in an ongoing legal dispute. 

EQD | Is the NIFTY A BUY Here?

By Nico Rosti

  • Our last insight predicted quite precisely what happened to the NIFTY Index during the last 3 weeks (our forecast was a 3-5 weeks rally, around +4%/+5% higher).
  • After 3 weeks up in a row, last week the NIFTY pulled back – the question obviously now is: would this be a good time to enter/re-enter the trade LONG?
  • The answer, as always, lies in our Market Reversal Matrix models, keep reading to find out…

Schloss Bangalore Pre-IPO Tearsheet

By Akshat Shah

  • Schloss Bangalore Ltd (SCHBL IN) plans to raise about US$600m in its India IPO. The deal will be run by BofA, MS, JPM, Kotak, Axis, Citi, IIFL,ICICI, JMF,Motilal and SBICaps.
  • It is a luxury hospitality company which owns, operates, manages and develops luxury hotels and resorts under ‘The Leela’ brand, through direct ownership and hotel management agreements with third-party owners.
  • According to the HVS Report, SBL is the only institutionally owned and managed pure-play luxury hospitality company in India. Its portfolio comprises 3,382 keys across 12 operational hotels.

Weekly Wrap – 04 Oct 2024

By Felix Fischer

Lucror Analytics Weekly Wraps provide an overview of all Morning Views comments and reports published by our analyst team in the past week, and also showcase a list of the most-read reports.

In this Insight:

  1. Biocon Ltd
  2. Lippo Karawaci
  3. Tata Motors Ltd
  4. Softbank Group
  5. Rakuten

and more…

Crypto Moves #46 – Better Bull Than Bear

By Mads Eberhardt

  • For weeks, we have been anticipating October with optimism, given multiple positive factors for the crypto market.
  • Among these is the conclusion of the U.S. Dollar liquidity squeeze in September, which we expect to be followed by increasing liquidity from this month onward.
  • In Monday’s edition of Crypto Crisp, we outlined additional reasons for our bullish outlook on crypto throughout the fourth quarter.

Upstart Holdings Inc.: Leveraging Co-investment Partnerships To Drive AI Investments! – Major Drivers

By Baptista Research

  • Upstart’s second quarter 2024 financial results reflect a period of transformation and recovery under challenging macroeconomic conditions.
  • The company, led by CEO Dave Girouard, expressed confidence in the progress Upstart has made in returning to sequential growth and EBITDA profitability, despite the continued absence of significant macroeconomic improvements.
  • This optimism is grounded in internal developments, particularly in artificial intelligence (AI) model enhancements, revived funding strategies, and augmented operational efficiency.

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Oct 04
0

Daily Brief Quantitative Analysis: ASX Short Interest Weekly (Sep 27th): Rio Tinto and more

By | Daily Briefs, Quantitative Analysis

In today’s briefing:

  • ASX Short Interest Weekly (Sep 27th): Rio Tinto, BHP, Fortescue, Goodman, Santos

ASX Short Interest Weekly (Sep 27th): Rio Tinto, BHP, Fortescue, Goodman, Santos

By Ke Yan, CFA, FRM

  • We analyzed the changes in short interest of ASX Stocks as of Sep 27th (reported today) which has an aggregated short interest worth USD27.6bn.
  • We tabulate league table for top short by value and short as multiple of ADT, as well as weekly increases & decreases in short value, short as multiple of ADT.
  • We highlight short interest changes in Rio Tinto, BHP, Fortescue, Goodman, Santos.

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Oct 04
0

Daily Brief ESG: Companies Using Outside Board Members for Management and for Matching Numbers Will Widen the Gap and more

By | Daily Briefs, ESG

In today’s briefing:

  • Companies Using Outside Board Members for Management and for Matching Numbers Will Widen the Gap

Companies Using Outside Board Members for Management and for Matching Numbers Will Widen the Gap

By Aki Matsumoto

  • The first problem is that companies desperately match numbers, and original goal of ensuring board diversity has been lost; the second is the increase in the number of board memberships.
  • The low ratio of women in managerial positions has forced companies to rely on outside talent for female board members, which has further increased matching numbers.
  • There are problems both for the company that knowingly hires board members to serve concurrently in multiple companies and for the outside board members who knowingly accept such positions.

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Oct 04
0

Daily Brief Thematic (Sector/Industry): China & HK Strategy: What to Grab? and more

By | Daily Briefs, Thematic (Sector/Industry)

In today’s briefing:

  • China & HK Strategy: What to Grab?
  • Ohayo Japan | Edging Lower
  • Japanese Department Stores: The Elite Profit Machines
  • Thematic Report : Packaging Sector Is Back with Bang: What’s Fueling Revival?
  • Japan Morning Connection: Spike in Oil Positive for Inpex and Refiners
  • The Miners on our Radar this Quarterly Season

China & HK Strategy: What to Grab?

By Osbert Tang, CFA

Ohayo Japan | Edging Lower

By Mark Chadwick

  • U.S. stocks edged lower Thursday as investors remained cautious ahead of Friday’s crucial jobs report, with the S&P 500 dropping 0.2%
  • Bank of Japan board member Noguchi suggests further interest rate hikes should be slow and cautious to protect the economy
  • UBE announced its largest-ever acquisition, buying LANXESS’s urethane business for €460 million (¥73.6 billion).

Japanese Department Stores: The Elite Profit Machines

By Michael Causton

  • Something remarkable has happened in the department store sector. A year ago, both big city stores and those in the regions were all still well behind sales levels in 2010. 
  • But stores in the largest 10 cities exceeded 2010 sales levels by 2% last year. Emphasising the yawning gap, regional stores extended their losses with sales down 42% on 2010.
  • The elite have also suddenly started making money. A lot of it. We now have a (very profitable) luxury retail sector and a (poor returning) middle-market general merchandise store sector.

Thematic Report : Packaging Sector Is Back with Bang: What’s Fueling Revival?

By Nimish Maheshwari

  • The packaging sector is making a comeback as key material spreads have been rising  which is being reflected in Q1FY25 results of the companies.
  • What makes this sector more interesting is certain promoters of these companies are buying share of the company from the open market along with fund infusion by some big investors
  • The biggest risk remains for the sector is pricing pressure and demand-supply mismatch but it seems bottom is being made for the sector

Japan Morning Connection: Spike in Oil Positive for Inpex and Refiners

By Andrew Jackson

  • Big move higher for oil set to spike the JP oil major Inpex although the refiners have large outstanding short interests and may squeeze
  • The higher oil price is negative for Japan’s utilities which have yet to restart reactors and are dependent on oil/gas imports to fuel their thermal generation
  • Details are limited on a potential Seven Bank stake sale by 7&I, but there should be room for upside as shorts continue to cover

The Miners on our Radar this Quarterly Season

By Money of Mine

  • Announcement of a free resource for money miners in the lithium space
  • Discussion about upcoming quarterly season and potential moves by Gina in Lion Town
  • Consideration of cash burns, balance sheet pressure, and potential takeover scenarios in the mining industry

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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