Daily Briefs

Omnicom Group’s second-quarter 2025 results reflect a mix of steady performance, strategic advancement, and ongoing operational challenges.
Organic growth hit 3%, aligning with company expectations, and non-GAAP adjusted EBITDA margin remained stable at 15.3%.
Non-GAAP adjusted net income per share increased by 5.1%, reaching $2.05.

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Jul 24

Daily Brief Equity Bottom-Up: DFI Retail (DFI SP): Up 90% in a Year + Special Dividend. Cash Out or Hold Tight? and more

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

In today’s briefing:

DFI Retail (DFI SP): Up 90% in a Year + Special Dividend. Cash Out or Hold Tight?
[7732 JP] KKR–JIC Take-Private of Topcon: Strategic Bet on Digital Eye Care
[JD.com, Inc (JD US, SELL, TP US$24) TP Change]: C2Q25 Preview: Near Term Loss Pressure Imminent
Tencent/Netease: Zero Approval in July
The Bunny Returns: Playboy’s Market Comeback
Shortlist Of High Conviction Ideas: Income, Value, and Margin of Safety – July 2025
Korea Small Cap Gem #41: Korea Fuel Tech (FT) Corp
GE Aerospace’s New Focus: How LEAP Engine Retrofits & $4B in Services Could Up Their Game!
GCL Tech (3800): Why Wait?
Kinder Morgan: Haynesville Gas Gathering Expansion for Robust Growth Potential In Pipeline Utilization!

DFI Retail (DFI SP): Up 90% in a Year + Special Dividend. Cash Out or Hold Tight?

By Devi Subhakesan

DFI Retail’s strategic shift from portfolio investor to focused operator has unlocked over US$900 million, with US$600 million returned to shareholders via a US¢44.3 per share special dividend announced yesterday.
Underlying profit rose 39% in 1HFY2025, driven by lower financing costs and strong performance in the Health & Beauty segment.
On its investor call, DFI Retail Group Holdings (DFI SP) acknowledged sector headwinds and outlined plans for cost control, margin focus, and digital monetisation to offset weak revenue growth.

[7732 JP] KKR–JIC Take-Private of Topcon: Strategic Bet on Digital Eye Care

By Rahul Jain

KKR and JIC Capital launched a ¥348B (~$2.3B) MBO for Topcon (7732 JP) at ¥3,300/share, offering an ~88% premium.
The deal implies ~78x FY25 P/E and ~37x FY26E P/E—pricing in Eye Care’s high-margin growth while Positioning remains a cyclical drag.
Long term, Eye Care is well-positioned to scale globally as AI diagnostics and SaaS platforms unlock sustained double-digit growth.

[JD.com, Inc (JD US, SELL, TP US$24) TP Change]: C2Q25 Preview: Near Term Loss Pressure Imminent

By Ying Pan

We expect JD.com to report C2Q25 revenue/adjusted operating profit growth of 16%/(63%) YoY, which is 2%/(50%) vs. cons. due to the takeout subsidies.
Despite the surge in new users, we remain skeptical on the ST effectiveness of food delivery (FD) cross-selling. We expect 2025 FD losses at RMB29bn.
We keep JD as SELL and cut TP from US$25 to US$24.

Tencent/Netease: Zero Approval in July

By Ke Yan, CFA, FRM

China announced game approval for the July batch. The number of games approved remained at a higher level than 2023.
The pace of China game approval appears to have accelerated to the same level as pre-tightening.
In July, 7 listed companies that we tracked received zero domestic game approval. Having said that, overall sentiment is improving and gaming names have performed well YTD.

The Bunny Returns: Playboy’s Market Comeback

By Garvit Bhandari

Playboy, Inc. (Nasdaq: PLBY) is undergoing a transformation to an asset-light business model centered around its iconic brand, positioning the company for sustainable profitability
The strategy is starting to yield tangible improvements in profitability, as evidenced by its return to positive adjusted EBITDA in Q1 2025.
Playboy’s current valuation (2.7x EV/2025 sales) does not fully reflect its long-term earnings potential. As licensing continues to scale and margins expand, the company is poised for a meaningful re-rating.

Shortlist Of High Conviction Ideas: Income, Value, and Margin of Safety – July 2025

By Sameer Taneja

We compile our selection of small and mid-cap names with our desired characteristics of high dividend yields, value, and margin of safety.
We add Asian Terminals (ATI PM) to our value conviction list. Read Asian Terminals Inc (ATI PM): Steady And Cheap Container Port Terminal Operator
Our top picks are Asian Terminals (ATI PM), The Keepers Holdings (KEEPR PM), Taste Gourmet (8371 HK), Philippine Stock Exchange (PSE PM), and Ginebra San Miguel (GSMI PM).

Korea Small Cap Gem #41: Korea Fuel Tech (FT) Corp

By Douglas Kim

Korea Fuel Tech (123410 KS) is the 41st company in our Korea Small Cap Gem Series.
Korea Fuel Tech (FT) Corp is a Korean automotive components manufacturer specializing in emissions control systems, fuel system parts, and other auto plastic parts.
Three key investment highlights include key beneficiary of growing demand for carbon canisters used in hybrid vehicles, compelling valuations, and sharp increase in operating margins/ROE.

GE Aerospace’s New Focus: How LEAP Engine Retrofits & $4B in Services Could Up Their Game!

General Electric Company (GE) Aerospace’s second quarter of 2025 earnings report reflects a robust performance and a constructive outlook characterized by growth in revenue, profits, and operational efficiencies.
The company continues to leverage its strong position within the aerospace industry, both in commercial and defense sectors, to sustain and enhance its performance metrics.
In the reported quarter, GE Aerospace exhibited solid growth across several financial parameters.

GCL Tech (3800): Why Wait?

By Henry Soediarko

Suffering from overcapacity for a while, the company is a beneficiary of the Chinese government policy to consolidate the solar industry.
At 0.6x PBR and a share price at HKD 1.3, far from its high at HKD 4, sounds like a bargain.
Management has conducted one share buy back this year and share price rallied afterwards.

Kinder Morgan: Haynesville Gas Gathering Expansion for Robust Growth Potential In Pipeline Utilization!

Kinder Morgan Inc. (KMI) delivered quarterly results that highlighted notable financial performance and forwardlooking business prospects, especially in the context of the growing international demand for natural gas.
Positively, Kinder Morgan reported strong financial growth, with adjusted EBITDA and EPS increasing by 6% and 12% respectively compared to the second quarter of 2024.
The company expects to exceed its budget for 2025, buoyed by the promising acquisition of Outrigger Energy.

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Jul 24

Daily Brief Financials: Insignia Financial, Hang Seng Index, Bullish US, Banco BPM SpA, Marsh & Mclennan, DLF Ltd, TMBThanachart Bank, ZKsync, Health In Tech and more

By Smartkarma Daily Briefs | Daily Briefs, Financials

In today’s briefing:

Insignia Financial (IFL AU): CC Capital’s Binding Offer at A$4.80
HSI Index Tactical View: How Much Further Can the Rally Run?
Bullish US LLC (BLSH): Peeking at the IPO Prospectus of a Powerhouse Global Digital Asset Platform
Event Update: UniCredit Withdraws BPM Offer — End of the Line
Marsh & McLennan’s Latest Earnings: How Economic Agility & Analytics Are Fueling Resilience!
DLF’s Mumbai Re-Entry: A New Era for Premium Real Estate?
Thai Banks 2Q25; TMB Thanachart (SET:TTB) Re-Rating at Risk, Krung Thai (SET:KTB) Is Now a Hold
ZKsync Prividium – Compliant, Private, Turnkey Blockchain Infra
India Real Estate: Domestic Demand & Infrastructure Boom – LONG DLF
HIT: Strong Momentum

Insignia Financial (IFL AU): CC Capital’s Binding Offer at A$4.80

On 22 July, Insignia Financial (IFL AU) entered a scheme implementation deed with CC Capital at A$4.80, a 4.0% discount to its previous non-binding offer of A$5.00.
The key conditions are regulatory (APRA, FIRB, ACCC, FCA) and shareholder approvals. Shareholders should be supportive as the offer resulted from an auction.
The offer is reasonable in comparison to historical trading ranges, peer multiples and precedent transaction multiples. The timing of regulatory approvals is the key risk.

HSI Index Tactical View: How Much Further Can the Rally Run?

By Nico Rosti

The Hang Seng Index (HSI INDEX) has reached new highs (25538). Our quantitative model says the index has reached a 75% probability of reversal.
Let’s break down the model’s info: PRICE MODEL 75%, TIME MODEL 75%, combined prob. of reversal is 75%. The fact that both model’s factors are overbought is “bearish”.
Can the index climb higher? Our detailed analysis is in the insight below, together with screenshots from the model.

Bullish US LLC (BLSH): Peeking at the IPO Prospectus of a Powerhouse Global Digital Asset Platform

By IPO Boutique

The is an institutionally focused global digital asset platform that provides market infrastructure and information services.
Reflecting their strong market presence, the Bullish Exchange’s total trading volume since launch has exceeded $1.25 trillion as of March 31, 2025.
The digital assets space, especially crypto-exchanges, is one that has the strong tailwind from legislation passed by lawmakers which is anticipated to increase adoption from a more institutional investor base.

Event Update: UniCredit Withdraws BPM Offer — End of the Line

By Jesus Rodriguez Aguilar

UniCredit ends pursuit of BPM: Facing firm resistance from BPM and Rome, UniCredit formally withdraws its bid — closing the door on a deal the market never priced as likely.
Persistent negative spread undermined credibility: The gross spread remained negative from day one, reflecting deep investor skepticism around deal viability, regulatory clearance, and BPM’s willingness to engage.
Strategic implications for both sides: BPM reverts to standalone trajectory amid sector consolidation chatter; UniCredit’s retreat highlights constraints on its inorganic strategy — both political and market-driven.

Marsh & McLennan’s Latest Earnings: How Economic Agility & Analytics Are Fueling Resilience!

Marsh & McLennan Companies reported a solid second quarter with a 12% increase in revenue, a 14% rise in adjusted operating income, and an 11% growth in adjusted EPS, aligning well with their expectations, despite challenging macroeconomic conditions.
Underlying revenue increased by 4%, with contributions from various business segments including Marsh, Guy Carpenter, Mercer, and Oliver Wyman.
The company continues to navigate a complex operating environment affected by geopolitical instability, trade wars, extreme weather, and emerging AI opportunities.

DLF’s Mumbai Re-Entry: A New Era for Premium Real Estate?

By Sudarshan Bhandari

DLF Ltd (DLFU IN) re-entered Mumbai after a decade with ‘The Westpark’, a luxury project in Andheri West, featuring 416 apartments and INR 800-900 crore investment
Company launched a Mumbai luxury project targeting INR 2,000-2,300 crore revenue from phase one, with broader market expansion and new launch plans
This signals a strategic shift for debt-free DLF towards high-margin luxury developments, leveraging Mumbai’s booming market and demand for premium homes

Thai Banks 2Q25; TMB Thanachart (SET:TTB) Re-Rating at Risk, Krung Thai (SET:KTB) Is Now a Hold

By Victor Galliano

The PBV and PE valuations for TMB Thanachart, which are close to those of SCBx, seem stretched; TMB Thanachart’s return trends are well below those of SCBx
On the weighted metrics applied to our proprietary scorecard, TMB Thanachart is the new bottom marker in the scorecard among its Thai bank peers
Krung Thai was our core buy-rated Thai bank; we downgrade it to a hold, as its valuation discounts to its own history and its peer SCBx are no longer compelling

ZKsync Prividium – Compliant, Private, Turnkey Blockchain Infra

By Delphi Digital

ZKsync Prividium delivers a turnkey, production-ready blockchain solution tailored for institutional adoption.
By fusing private execution, robust access controls, and Ethereum’s security guarantees, Prividium eliminates the complexity of custom chain development.
Pioneered by Deutsche Bank and Memento, its compliant, permissioned architecture unlocks new design space for tokenization, cross-border payments, and confidential finance.

India Real Estate: Domestic Demand & Infrastructure Boom – LONG DLF

By Jacob Cheng

As the second largest population in the world, India real estate is on a transformational path, driven by economic growth and domestic demand
In particular, we think the rapid urbanization, rising disposable income, infrastructure demand as well as capital inflow from NRI provided further boost to the sector
We like DLF, which is one of the largest real estate developers in the country, on the back of its product positioning and strong fundamentals

HIT: Strong Momentum

By Zacks Small Cap Research

As it executes its strategy to continue to expand its reach and distribution, HIT has added many new distribution partnerships, including with large players such as leading pharmacy benefit manager (PBM) MedImpact subsidiary, Verdegard Administrators, and Hilb Group, which ranks among the top 25 U.S. insurance brokers, among others.
Moreover, HIT is preparing to launch AI-powered solutions for mid-sized and larger businesses later in 2025 and is optimistic about the prospects, based on interest it has generated to-date.
Concurrently, HIT continues to serve and expand its offerings for the small- to medium enterprise (SME) market.

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Jul 24

Daily Brief Crypto: ZKsync Prividium – Compliant and more

By Smartkarma Daily Briefs | Crypto, Daily Briefs

In today’s briefing:

ZKsync Prividium – Compliant, Private, Turnkey Blockchain Infra

ZKsync Prividium – Compliant, Private, Turnkey Blockchain Infra

By Delphi Digital

ZKsync Prividium delivers a turnkey, production-ready blockchain solution tailored for institutional adoption.
By fusing private execution, robust access controls, and Ethereum’s security guarantees, Prividium eliminates the complexity of custom chain development.
Pioneered by Deutsche Bank and Memento, its compliant, permissioned architecture unlocks new design space for tokenization, cross-border payments, and confidential finance.

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Jul 24

Daily Brief Thailand: TMBThanachart Bank and more

By Smartkarma Daily Briefs | Daily Briefs, Thailand

In today’s briefing:

Thai Banks 2Q25; TMB Thanachart (SET:TTB) Re-Rating at Risk, Krung Thai (SET:KTB) Is Now a Hold

Thai Banks 2Q25; TMB Thanachart (SET:TTB) Re-Rating at Risk, Krung Thai (SET:KTB) Is Now a Hold

By Victor Galliano

The PBV and PE valuations for TMB Thanachart, which are close to those of SCBx, seem stretched; TMB Thanachart’s return trends are well below those of SCBx
On the weighted metrics applied to our proprietary scorecard, TMB Thanachart is the new bottom marker in the scorecard among its Thai bank peers
Krung Thai was our core buy-rated Thai bank; we downgrade it to a hold, as its valuation discounts to its own history and its peer SCBx are no longer compelling

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Jul 24

Daily Brief Event-Driven: Prosus Is Elevated Vs. Tencent As The Accretion Trade Unfolds and more

By Smartkarma Daily Briefs | Daily Briefs, Event-Driven

In today’s briefing:

Prosus Is Elevated Vs. Tencent As The Accretion Trade Unfolds
StubWorld: Japan Post Holdings (6178 JP) Is “Cheap”
TSI Holdings (3608) – YET ANOTHER Big Buyback, Still Good, Still Cheap, But B/S Restructuring Slow
CK Hutchison (1 HK): State of Limbo as Exclusivity Deadline Approaches
Insignia Financial (IFL AU): CC Capital’s Binding Offer at A$4.80
Korea’s Div Tax Overhaul Playbook: Payout Growers Set for Momentum (Screened in Excel)
Event Update: UniCredit Withdraws BPM Offer — End of the Line
PMV Pharmaceuticals: Evaluating Cash Position and Strategic Options Amid Upcoming Trial Results and Shareholder Pressure
GCI Liberty Spin-off Deep Dive

Prosus Is Elevated Vs. Tencent As The Accretion Trade Unfolds

By David Blennerhassett

Since unwinding the Naspers (NPN SJ)/Prosus (PRX NA) circularity, Prosus has been selling Tencent shares, and buying back its share. Separately, Tencent is buying its shares to offset Prosus’ selling.
Prosus’ stake in Tencent has now edged below 23%, a little over seven months since dipping below 24%.
On an implied stub and relative value, Prosus is elevated to Tencent, suggesting an unwinding of the stub.

StubWorld: Japan Post Holdings (6178 JP) Is “Cheap”

By David Blennerhassett

As short-term rates rise, Japan Post Bank (7182 JP)‘s perceived superior fundamentals may be leading to a short squeeze on the stock versus Japan Post Holdings (6178 JP).
Preceding my comments on Japan Post – and Silicon Integrated Systems (2363 TT) – 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%.

TSI Holdings (3608) – YET ANOTHER Big Buyback, Still Good, Still Cheap, But B/S Restructuring Slow

By Travis Lundy

A bit over three years ago I re-wrote on Tsi Holdings (3608 JP). Then? EV/Revenue and EV/EBITDA of 0.03x and 0.5x respectively. I pounded the table.
My recommended trade: “Buy the stock (preferably from cross-holders interested in selling). Buy with both hands. Buy a lot. Buy more later. Pressure the company to go private.”
Since then, total return has been +295%. Today they announced another buyback. Tomorrow morning it gets done. Details details details!

CK Hutchison (1 HK): State of Limbo as Exclusivity Deadline Approaches

The 145-day exclusivity period between CK Hutchison Holdings (1 HK) and the BlackRock-TiL consortium for the politically charged ports deal ends on July 27.
The transaction is in limbo as China’s preferred pathway for approval (COSCO is included in the consortium as an equal partner) has several issues.
It is equally probable that the deal will be finalised in some shape or form or fall apart. With shares up 31% and nearing a five-year high, take profits.

Insignia Financial (IFL AU): CC Capital’s Binding Offer at A$4.80

By Special Situation Investments

On 22 July, Insignia Financial (IFL AU) entered a scheme implementation deed with CC Capital at A$4.80, a 4.0% discount to its previous non-binding offer of A$5.00.
The key conditions are regulatory (APRA, FIRB, ACCC, FCA) and shareholder approvals. Shareholders should be supportive as the offer resulted from an auction.
The offer is reasonable in comparison to historical trading ranges, peer multiples and precedent transaction multiples. The timing of regulatory approvals is the key risk.

Korea’s Div Tax Overhaul Playbook: Payout Growers Set for Momentum (Screened in Excel)

By Sanghyun Park

Korea’s first full-scale tax reform in 3 years sets the stage for rate tweaks and deduction shifts—follow-up amendment bills usually get fast-tracked with high legislative priority.
Dividend tax tweak could be the biggest near-term mover—eligibility widens, but tax cut shrinks. Focus shifts to names hiking payout, not just high-yielders—key for positioning.
I screened target names with FY1/FY2 payout data and narrowed to KRW 1T+ stocks showing ≥10% YoY payout growth—likely short-term momentum plays ahead of the tax overhaul.

Event Update: UniCredit Withdraws BPM Offer — End of the Line

By Jesus Rodriguez Aguilar

UniCredit ends pursuit of BPM: Facing firm resistance from BPM and Rome, UniCredit formally withdraws its bid — closing the door on a deal the market never priced as likely.
Persistent negative spread undermined credibility: The gross spread remained negative from day one, reflecting deep investor skepticism around deal viability, regulatory clearance, and BPM’s willingness to engage.
Strategic implications for both sides: BPM reverts to standalone trajectory amid sector consolidation chatter; UniCredit’s retreat highlights constraints on its inorganic strategy — both political and market-driven.

PMV Pharmaceuticals: Evaluating Cash Position and Strategic Options Amid Upcoming Trial Results and Shareholder Pressure

PMVP’s market cap is $72m, with $166m in cash as of Q1, offering substantial discount to net cash.
Interim trial results for rezatapopt, targeting p53 Y220C mutation, expected soon; ORR of 30%+ seen as success.
Shareholder pressure significant, with 36% voting against board compensation; potential for strategic review if results disappoint.

GCI Liberty Spin-off Deep Dive

By Richard Howe

In anticipation of its merger with Charter Communications (CHTR), Liberty Broadband (LBRDA/LBRDK) spun off its Alaska telecom business (GCI Liberty).
Liberty shareholders received 0.20 shares of GCI Liberty common stock per Liberty Broadband common share. Regular way trading starting on July 15, 2025.
GCI Liberty is the leading telecom provider in Alaska. The remoteness and harshness of the Alaskan landscape provides a moat around its business.

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Jul 24

Daily Brief Australia: Insignia Financial, Cleanspace Holdings Ltd, PointsBet Holdings , Virgin Australia Holdings, Aristocrat Leisure, BHP Group Ltd and more

By Smartkarma Daily Briefs | Australia, Daily Briefs

In today’s briefing:

Insignia Financial (IFL AU): CC Capital’s Binding Offer at A$4.80
Cleanspace Holdings Ltd – Innovator in a specialised global market
PointsBet Holdings Ltd – The Overnight Report: Trade Deals, New Highs
Can Virgin Succeed This Time?
Australian Broker Call *Extra* Edition – Jul 24, 2025
BHP Battling Rising Costs, Production Challenges

Insignia Financial (IFL AU): CC Capital’s Binding Offer at A$4.80

By Research as a Service (RaaS)

On 22 July, Insignia Financial (IFL AU) entered a scheme implementation deed with CC Capital at A$4.80, a 4.0% discount to its previous non-binding offer of A$5.00.
The key conditions are regulatory (APRA, FIRB, ACCC, FCA) and shareholder approvals. Shareholders should be supportive as the offer resulted from an auction.
The offer is reasonable in comparison to historical trading ranges, peer multiples and precedent transaction multiples. The timing of regulatory approvals is the key risk.

Cleanspace Holdings Ltd – Innovator in a specialised global market

CleanSpace Holdings Ltd (ASX:CSX) is a designer and manufacturer of respiratory protection equipment and consumables.
Specialising in powered air purifying respirators (PAPRs), CleanSpace is known for its compact, lightweight, ergonomic units that do away with the need for belts and hoses to provide filtered air to workers.
A scan through competitor websites reveals that belt and hose units remain the dominant design, providing CSX with a real opportunity to take market share (RaaS estimates CSX has ~1.2% of the global industrial market in FY25).

PointsBet Holdings Ltd – The Overnight Report: Trade Deals, New Highs

A global perspective on what happened overnight

Can Virgin Succeed This Time?

Virgin Australia ((VGN)) is back for another go (which brings the name into question), having entered administration as a result of covid before being revived under private equity ownership.
Australia’s second airline has returned to listed life with a simplified portfolio and strategy that, Ord Minnett believes, should resonate well with investors attracted to the relatively high quality/low risk Australian domestic aviation market.
The broker sees a compelling earnings outlook into FY26, with relatively stable fares, falling fuel expenses, and transformation benefits.

Australian Broker Call Extra Edition – Jul 24, 2025

Extra Edition of the Broker Call Report

BHP Battling Rising Costs, Production Challenges