TMT/Internet

• The TDIV index tracks the top 50 names in the Taiwan Stock Exchange with the highest dividend yields. It is a yield-weighted index with unique capping rules.
• Today is the base date for the final ranks and we see four ADDs and four DELs for the December 2025 rebal.
• We estimate one-way flow to be around US$2.2bn with many flow names having multiple days of volume to trade.

• After the market close on 24 November, it was announced that Align Partners is conducting a partial tender offer of a 10% stake in Gabia Inc (079940 KS). 
• Tender offer price is 33,000 won (20% higher than current price). Tender offer amount is 44.7 billion won. 
• If Align Partners successfully completes this tender offer, its stake would rise to 19.03%. Plus, the combined stakes of Align Partners and Miri Capital would be 42.99%. 

• TSMC: +25.8% Premium; Rebounded to High End of Range, Good Level to Open a Short of the ADR Spread
• UMC: -2.2% Discount; Good Level to Open a Short of the ADR Spread
• ASE: +3.2% Premium; Wait for More Extreme Level Before Going Long or Short

• Klook leads APAC’s fast-growing travel-experiences market with mobile-first, AI-driven personalization and deep merchant integration across 310,000 offerings in 4,200 destinations.
• Rapid GTV and profit-margin improvement highlight growing scale, strengthened monetization, and rising APAC demand in an under-digitized, fragmented global experiences sector.
• Despite strong positioning, IPO prospects face scrutiny given sector volatility and recent peer underperformance, warranting cautious investor evaluation ahead of 2025 pricing.

• Softbank Group (9984 JP) crashed nearly -11% between Thursday and Friday close, reaching deeply oversold extremes. 
• Softbank Group has declined for three consecutive weeks, posting a cumulative -37% correction over this period.
• Softbank Group‘s entry into the Outliers zone suggests an extreme oversold condition—potentially creating a tactical long setup for risk-tolerant traders.

• Global Payments Inc. delivered a strong performance in the third quarter of 2025, showcasing robust operational results and strategic initiatives that position the company for future growth.
• The company reported 6% constant currency adjusted net revenue growth, excluding dispositions, alongside 110 basis points of margin expansion and 11% constant currency adjusted EPS growth compared to the prior year.
• This performance was bolstered by strong execution across various business units, notably Merchant Solutions and Issuer Solutions.

• Gartner’s third-quarter 2025 financial results surpassed expectations amidst a dynamic macroeconomic environment.
• The company navigated challenges like changes in the federal government and evolving tariff policies through operational adaptations that contributed to increased client retention and improved contract renewal rates.
• Gartner’s client engagement indicators have shown positive trends, signaling potential future growth.

• Meitu’s business model is not threatened by new AI image generation models. Long-term positioning remains intact. Last-mile workflows, a seventeen-year aesthetic dataset, and stable founder-led execution sustainable clear Moats.
• Overseas markets offer materially higher pay-ratios and ARPU. Productivity and e-commerce tools drive the mix shift toward high-margin growth. Both support multi-year revenue compounding independent of AI capex cycles.
• Recent Correction due to AI substitution fears drove the multiple to ~27x, placing PEG below 1x on 30% CAGR. Long-term buy with 100% upside and potential for strong re-rating.

• Smec Co Ltd is a South Korean company with dual exposure to the cyclical machine tool industry and the evolving telecommunications sector. Its machinery division, rooted in Samsung Heavy Industries, produces CNC lathes, machining centers, and robotic automation solutions. The ICT division provides various gateway solutions.
• The company is strategically positioned to benefit from the growth in factory automation and the transition to electric vehicles (EVs), which require advanced manufacturing equipment. Recent corporate actions, including a significant stake acquisition by SNT Holdings with the stated purpose of influencing management, could signal a strategic shift and a more aggressive approach to enhancing corporate value.
• Despite a strong growth track record in revenue and net income over the past several years, the company faces intense competition from larger domestic players and is susceptible to the capital expenditure cycles of its key end-markets. The lack of a consistent dividend payment may be a deterrent for income-focused investors.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Lumentum Holdings recently reported a noteworthy increase in revenue for the first quarter of fiscal year 2026, reaching $533.8 million, a 58% year-over-year rise.
• This marks the highest quarterly revenue in the company’s history.
• The growth was propelled by strong demand for artificial intelligence (AI) infrastructure, specifically from laser chips and optical transceivers used in data centers and network interconnects.

• HK$100bn a day of gross SOUTHBOUND activity with US$600mm+ of net buying on average. Net flows continue to be impressive. SOEs/Energy/Financials dominate.
• Watch for news on the Dual Counter (RMB) Trading eligibility for SOUTHBOUND near-term. That could up the pace of things.
• The data tables below update on a daily basis in the Tools section of Smartkarma. The Southbound Flow Monitor and AH Pairs Monitor are both there – free – for all SK readers.

• Context: Over the past five trading days, Xiaomi (1810 HK) multi-leg option strategies showcased a variety of approaches. Strategy highlights are provided.
• Highlights: 55% of strategies exhibit a bullish bias, with diagonal spreads accounting for 25% of all trades.
• Why read: This breakdown of complex option strategies sheds light on market sentiment and positioning. Detailed examples provide actionable insights that could inspire similar strategies,

• TSMC (Taiwan Semiconductor Manufacturing) – ADR (TSM US)’s retired Senior Vice President Dr. Wei-Jen Lo has taken a position at Intel.
• Trump has been in power for less than a year, and the U.S.’s measures have fully revealed its purpose of confrontation between China and the United States. 
• TSMC’s Arizona fab profit dropped from NT$4.32 billion in 2Q25 to NT$410 million in 3Q25.

• Transition to AI-Driven Subscriptions Fueling Growth: Meitu is successfully transitioning its business model from advertising to a high-margin, AI-driven subscription service for its photo, video, and design products. This strategic shift is the primary driver behind significant revenue and profit growth, with paying subscribers reaching 15.4 million.
• Strategic Divestment from Cryptocurrency: The company has fully divested its cryptocurrency holdings, realizing a substantial net gain of nearly US$80 million. This move de-risks the balance sheet from the volatility of digital assets and allows management to refocus capital and attention on its core AI imaging business.
• Expanding Global Footprint and Enterprise Solutions: Meitu is aggressively expanding its international user base, which now accounts for 35% of total Monthly Active Users (MAUs). Concurrently, it is leveraging its core AI technology to launch productivity-focused tools for e-commerce and advertising, opening new avenues for enterprise revenue.

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• Context: Over the past five trading days, Tencent (700 HK) multi-leg option strategies showcased a variety of approaches. Strategy highlights are provided.
• Highlights: Market sentiment is evenly balanced between bullish and bearish strategies, with diagonal spreads accounting for 25% of all trades.
• Why read: This breakdown of complex option strategies sheds light on market sentiment and positioning. Detailed examples provide actionable insights that could inspire similar strategies,

• Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
• On the IPO front, most of the listings over the past week ended up doing well, irrespective of overall demand.
• On the placements front, there was a lockup release for Contemporary Amperex Technology (CATL) (3750 HK), along with a number of other placements.

• Shares in TechnologyOne reacted negatively on the release of a record FY25 performance, as not all metrics met elevated expectations as as the global technology sector is de-rated.
• -TechnologyOne delivers record FY25 metrics -Profit exceeds guidance, strong UK growth -Market concerns on softer than expected ARR and NRR -Global de-rating for the sector equally impacts on updated valuations/price targets

• Broad declines set a cautious tone as only a handful of single stocks avoided losses last week amid rising option volumes.
• Market breadth deteriorated sharply, marking the weakest showing of the past year and highlighting the pressure across Hong Kong equities.
• We highlight companies reporting next week in what shapes up as a busy week ahead with Baba and Meituan both reporting.

• Performance was in line with estimates, with total revenue of $57.01B and an expanding Non-GAAP Gross Margin of 73.6%. Management issued robust Q4 revenue guidance of $65B.
• Despite strong fundamentals, the stock’s muted reaction and subsequent slide highlight the risk of unusual, synchronized cross-asset market drops, signaling a need to examine, and hedge against potential systemic vulnerability.
• The synchronized cross-asset market drop on November 20, lacking a clear catalyst, suggests hidden systemic risk driven in part by algorithmic positioning.

• Kioxia set for inclusion in the Nikkei Semiconductor Index next week, alongside JX Advanced Metals, less than one day’s average daily volume in passive inflow at the close.
• Kioxia’s Q2 2025 results show an accelerating QoQ recovery and solid Q3 2025 forecasts, driven by high demand from data center and smart device products, confirming effective business structure reform.
• Stock is fairly valued after 2025 rally, potential weaknesses being value metrics such as P/E alongside execution of margin and product pipeline targets.

• DRAM has jumped 172 % YoY and is still climbing; another 30–50 % hike is baked into Q4, wiping out the 4–6 % operating margins most PC OEMs live on.
• Intel’s soldered-down LPDDR5X, once hated for killing the lucrative RAM-up-sell, now locks the memory cost inside the processor.
• With memory inflation off their books via a safe margin play, OEMs can hold notebook ASPs and guidance

• Astera Labs delivered strong third-quarter results for fiscal year 2025, surpassing their expectations with a notable increase in revenue and profitability metrics.
• The company’s quarterly revenue reached $230.6 million, marking a 20% increase from the previous quarter and a remarkable 104% growth compared to the same period last year.
• This significant growth was driven by broad-based performance across its product lines, including signal conditioning, smart cable modules, and switch fabrics.

• Advanced Micro Devices (AMD) reported a robust third quarter in 2025, showcasing significant revenue growth across its business segments driven by strong product demand.
• For the quarter, AMD’s revenue increased by 36% year-over-year, reaching $9.2 billion.
• This growth was broad-based, with strong performance in the data center, server, gaming, and PC segments.

• Adobe Systems Incorporated has reported strong financial results for the third quarter of fiscal year 2025, showcasing continued double-digit growth in both revenue and profitability, driven largely by its strategic emphasis on artificial intelligence (AI).
• The company saw record revenue of $5.99 billion, marking a 10% increase year-over-year, while GAAP earnings per share reached $4.18 and non-GAAP earnings per share was $5.31, reflecting an impressive 14% growth.
• The incorporation of AI into Adobe’s product suite has been a significant focus, as exemplified by the deployment of AI innovations across its flagship Creative Cloud applications like Photoshop, Illustrator, and Premiere Pro.

• Palo Alto Networks recently discussed their fourth quarter financial results, detailing both positive achievements and certain challenges.
• The company reported a significant growth trajectory, crossing the $10 billion revenue mark, a first for a dedicated cybersecurity company.
• This milestone reflects the successful execution of a long-term strategy focused on preemptive cybersecurity advancements tailored to match the evolving market landscape.

• Leidos Holdings, Inc., a prominent player in the defense, aviation, information technology, and biomedical research fields, has reported a solid financial performance for the third quarter of 2025.
• The company continues to display resilience in navigating a dynamic and uncertain macroeconomic landscape, bolstered by its strategic initiatives and governmental partnerships.
• Leidos reported a 7% year-over-year increase in revenue to $4.47 billion, illustrating strong top-line growth despite challenges such as the government shutdown and previous headwinds from efficiency reviews.

• Klook Technology Limited, travel and leisure booking platform company with leadership position in APAC intra-regional travel, aims to raise up to $500M in US IPO.
• The company is expected to IPO in December. Goldman Sachs, J.P. Morgan and Morgan Stanley are leading the offering and Klook will list its ADSs on the NYSE.
• My IPO valuation analysis coalesces around initial valuation range between $2.5B and $3.5B for Klook Technology Limited upcoming offering.

• Tyler Technologies reported strong third-quarter 2025 results, with revenues growing by nearly 10% year-over-year.
• This growth was driven by a 20% increase in SaaS revenue and an 11.5% rise in transaction revenue.
• The company has maintained a steady pipeline of business, supported by stable RFP and demo activities, suggesting a resilient demand in the public sector for Tyler’s solutions.

• Back on the 24th October, Ray Zage (director) and James Lu (chairman), collectively holding ~60% in Grindr (GRND US), proposed to take the company private in a US$3.5bn deal.
• The non-binding cash Offer of $18/share, is a 51% premium to undisturbed. A condition to a firm Offer may incorporate a majority of minority vote.
• While the Special Committee considers the proposal, James Lu has unusually opted to step down. Currently trading at a ~30% gross spread to indicative terms. 

• Microsoft has significantly course corrected on their compute capacity build out, demurred on their right of first refusal for OpenAI compute demand and adopted a risk off “fungible” compute strategy
• Mr. Nadella thinks AGI as more hype than substance, “jagged” intelligence will remain problematic for a longer, and the true measure of AI success will be measured by GDP growth
• Microsoft stopped reporting AI-driven ARR when the number hit $13 billion six months ago, but why? Broadly deploying AI into productivity tools is a marathon not a sprint.

• The market waited with bated breath as NVIDIA released their quarterly earnings yesterday on 19th November, 2025. To almost no one’s surprise, they beat the estimates again.
• The company is a juggernaut to say the least and has added $1.9 Trillion in market cap in the last 8 months!
• That is more than Tesla or Meta’s market cap themselves. The statistics are almost unbelievable.

• NVIDIA’s AI Factory Buildout Signals Multi-Year Demand for Taiwan’s Supply Chain
• TSMC’s Growth Outlook De-Risked by NVIDIA’s Smooth Transition to GB300
• NVIDIA’s Networking Segment Surge Expands System-Level Product Integration Opportunity for Taiwan Ecosystem

• NVIDIA Results: Taiwan Take-Aways — Demand Visibility Implies Strength for Key Suppliers 
• NVDA Strong Quarter, Strong Guidance, Consensus ~20% Too Low, Stock Is Not Expensive 
• Silicon Valley’s Substrate — ASML, TSMC Slayer Or Ideological Pipe Dream? 

• Northsand (446A JP) has raised US$140m in its Japan IPO.
• Northsand is a consulting firm that provides both IT and business consulting services. Established in 2015, it helps organizations improve efficiency, modernize operations, and achieve sustainable growth.
• In our previous note, we looked at its past performance and valuations. In this note, we will talk about the trading dynamics.

• Arista Networks reported strong financial results for the third quarter of 2025, achieving a record revenue of $2.31 billion, a year-over-year increase of 27.5%.
• This growth was supported by the increasing demand for their networking solutions, particularly in the AI and cloud segments.
• Notably, Arista’s software and services accounted for approximately 18.7% of the quarter’s revenue, reflecting the company’s strategic emphasis on diversifying its revenue streams beyond hardware.

• Qorvo, Inc.’s fiscal second-quarter results for 2026 showed solid performance, although there are mixed signals in terms of the outlook and strategic focus.
• Revenue for the quarter came in at $1.059 billion, with non-GAAP gross margins at 49.7% and earnings per share at $2.22, all surpassing the company’s guidance.
• However, the company faces challenges due to its restructuring efforts and a strategic pivot away from the lower-margin Android segment.

• Fabrinet has reported strong financial performance for the first quarter of fiscal year 2026, showcasing a record revenue of $978 million, marking a 22% increase year-over-year and an 8% rise from the previous quarter.
• Non-GAAP earnings per share peaked at $2.92, reflecting the company’s robust operational efficiency and growth momentum.
• The company’s positive results are fueled by diverse growth drivers across its business segments, suggesting a promising outlook for the continuation of growth into the second quarter.

• Kgmobilians is an established player in the South Korean electronic payment gateway market, offering a range of services including mobile, credit card, and bank transfer payment processing. However, the company faces significant challenges related to its deteriorating financial performance.
• The company’s growth track record is concerning, with multi-year negative compound annual growth rates in key metrics such as market capitalization, net income, and earnings per share. This suggests a prolonged period of underperformance and value destruction for shareholders.
• Despite the weak growth profile, the company is trading at a low price-to-book ratio and offers a relatively high dividend yield, which may attract value and income-focused investors. The high Smartkarma value and dividend scores reflect this characteristic.

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• On 20 October, Murakami Group reported they’d gone over 5% in cash/asset-rich DeNA (2432 JP). Not easy with insiders+Crossholders at 39%, passive at 24%. But not impossible. 
• On 30 October, they reported they’d gone to 6.31% on 23 October (four days before they reported the 5%. 
• As reported here before, Murakami-san sometimes does what might charitably be called a headfake, less charitably a Pump ‘n Dump. 

• Dunamu and Naver Financial are expected to hold separate board meetings on 26 November and the potential merger of the two companies is on the agenda. 
• The valuation of Dunamu is expected to be about 15 trillion won and the valuation of Naver Financial is expected to be about 5 trillion won.
• This merger offers clear long-term advantages, including the opportunity to compete globally with overseas fintech firms like PayPal and Coinbase. Additionally, the collaboration strengthens Korea’s position as a stablecoin leader. 

• Palantir Technologies Inc. has recently reported an exceptionally strong set of financial results for Q3 2025, marked by significant revenue growth and an impressive expansion of its U.S. commercial business.
• The company reported a year-over-year revenue growth of 63%, with particularly notable performance in the U.S. where revenue increased by 77%.
• A major contributor to this success was the expansion of Palantir’s U.S. commercial segment, which grew by 121% year-over-year.

• NVIDIA Corporation’s recent earnings for the second quarter of fiscal 2026 highlighted a record quarter in terms of total revenue, driven by widespread adoption of its comprehensive product suite across various sectors.
• The company reported a total revenue of $46.7 billion, surpassing its expectations with substantial growth noted in its data center segment, which increased by 56% year-over-year.
• The rollout of new technology, including the Blackwell platform and GB300 systems, was cited as a key driver of this growth, facilitating NVIDIA’s expansion in the AI infrastructure space.

• TSMC: 24.5% Premium; Near Level to Open Fresh Short of ADR Spread
• ASE: +5.7% Premium; Good Level to Short the ADR Spread
• ChipMOS: -1.7% Discount; Near Discount Level to Go Long the ADR Spread

• Tekscend Photomask (429A JP) went public on 16 October 2025 on the Tokyo Stock Exchange and has a current market cap of $2bn.
• Inclusion in Global indices is expected in February and June 2026, as the security meets Global eligibility criteria.
• A slight free float increase is anticipated at a subsequent review following the lock-up expiry of Qatar Holding.

• Revenue held up in 3Q25 as credit-driven services offset weakness in platform services, while regulatory and macro pressures continued to drive a strategic shift toward capital-heavy lending.
• Provisions surged due to regulatory-driven business mix changes rather than asset-quality deterioration, pushing cost of risk sharply higher and weighing on profitability.
• Despite lower FY25 guidance and reduced RoE, valuation remains attractive with meaningful upside supported by a higher target P/B and strong total return potential.

• Revenue growth accelerated for third quarter to 14% YoY in 3Q25.
• GMV of live streaming e-commerce grew by 18% YoY in 3Q25.
• The operating margin improved significantly by 4.7 ppt YoY in 3Q25.

• Klook Technology Limited, a SoftBank-backed Asia’s leading platform for experiences and travel activities, filed for an IPO in the United States.
• The company became a unicorn in 2018 and was valued at $1B+ in 2025. Goldman Sachs, J.P. Morgan and Morgan Stanley are the lead bankers on the upcoming offering.
• As of the end of Sep-25, Klook platform served 10.7M+ annual transacting users, spanning 200+ geographic markets worldwide. Since its launch, the mobile app has been downloaded ~70M times.

• There will be 7 additions and 8 deletions for the Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX) at the next rebalance to be implemented at the close on 11 December.
• As expected, there are no adhoc inclusions as Samsung Epis Holdings is added to the index to offset the gap created by the Hyundai Heavy/ Hyundai Mipo merger.
• The adds have outperformed the deletes very handily while also outperforming the Korea Stock Exchange KOSPI 200 (KOSPI2 INDEX) but by a much narrower margin.

• Following multiple amendments to the methodology, there could be 4 changes for the Yuanta/​P-Shares Taiwan Dividend Plus ETF in December.
• Constituent changes along with capping changes will lead to a one-way turnover of 18.1% and in a round-trip trade of TWD 173.2bn (US$5.56bn).
• There are multiple stocks that have same-way or opposite flow from trackers of other Taiwan indices and present some interesting trading opportunities.

• IT trio got in as 1st/2nd screens didn’t fill 200; KRX used 3rd‑stage, pulling in the three names with biggest average daily mkt cap.
• Old buffer rule recycled constituents, but since two years ago Step 3 applies to the whole universe—first shortfall let big IT names like Hyundai Autoever slide in.
• Dec 12 rebalance: ~₩60tn passive flow expected; IT trio volumes high, but joining KOSPI 200 IT index could still trigger noticeable price impact near effective date.

• Xiaomi’s total revenue grew by 22% in 3Q25, which mainly came from the startup vehicle business.
• The company well controls the gross margin of the vehicle business.
• We believe XM has an upside of 60% for the yearend 2025.

• KRX announced changes to KOSPI200 and KOSDAQ150 indices. These changes will be effective from 12 December 2025. 
• In KOSPI200, there are 8 new additions and 8 deletions. Among the new additions include LG CNS, Sanil Electric, Asia Holdings, and Paradise.
• There could be a buying opportunity for LG CNS due to its inclusion in KOSPI200 combined with its attractive valuations and accelerating sales and operating profit growth in 2026. 

• AvePoint is a global subscription software company that helps organizations manage, protect and govern collaboration data sitting in cloud platforms such as Microsoft 365 and other SaaS tools.
• Its platform combines backup, data protection, governance and modernization so that customers can keep using these tools and newer AI features without losing control of security or compliance.
• In 2024 it generated US$330m of revenue, up 22% from 2023, with SaaS contributing roughly 70% of the total and recurring revenue 87%.

Datatec reported strong growth in underlying volume, gross profit and adjusted EBITDA in H126, driving a 43% year-on-year increase in underlying EPADR (uEPADR). The company has benefited from growing demand for cybersecurity and the start of technology refreshes driven by AI adoption. These structural growth drivers support a positive outlook for the remainder of FY26 and into FY27, with management sounding the most optimistic it has in recent years. We have upgraded our forecasts to reflect better operational performance and the positive demand environment, lifting uEPADR by 18.2% for FY26, 21.9% for FY27 and 24.6% for FY28.

• Internet Initiative Japan (IIJ) is a pioneering Japanese IT services provider, well-positioned to capitalize on the country’s accelerating digital transformation. Its core strengths lie in its robust network infrastructure and a comprehensive suite of services spanning connectivity, cloud, and systems integration.
• The company is experiencing solid growth, driven by strong demand for cloud services and large-scale network projects. The mid-term plan targets continued revenue and profit expansion by deepening relationships with its large enterprise and government client base through integrated service offerings.
• While competition from domestic telecoms and global cloud giants is a key challenge, IIJ’s established reputation for reliability, advanced technological capabilities, and loyal customer base provide a solid foundation for sustained growth. However, recent cybersecurity incidents highlight the operational risks inherent in the business.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Dual-Class spreads tightened in November, with convergence trades resurfacing as volatility falls and liquidity normalises.
• MFE, Grifols and Henkel offer the cleanest A/B convergence setups into year-end.
• Nordic anomalies persist: Handelsbanken’s extreme premium and SSAB’s micro-discount remain the strongest dispersion opportunities.

• Jaeyoung Solutec is a South Korean manufacturer of high-precision components, primarily serving the mobile, semiconductor, and automotive industries. Its core products include plastic injection molds, semiconductor test sockets, and camera lens modules for smartphones.
• The company has demonstrated a significant financial turnaround, recovering from a substantial net loss in 2022 to achieve profitability in 2023 and 2024. This recovery is reflected in its strong ‘Growth’ and ‘Momentum’ scores, although historical performance has been volatile.
• Future growth is closely tied to the smartphone market, particularly the increasing adoption of high-performance, multi-lens cameras in mid-range models. A recent strategic investment in hybrid Optical Image Stabilization (OIS) equipment aims to capitalize on this trend, specifically targeting Samsung’s Galaxy A series.

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• Post market close on Friday, Hang Seng Indexes will announce the changes for the Hang Seng Index (HSI INDEX) that will be implemented at the close on 5 December.
• We highlight 6 stocks that have a higher probability of being added to the index. With the index committee entitled to a lot of discretion, there will be differences.
• CATL (3750 HK) will have a 6-month trading history by implementation of the index changes and is a high probability inclusion to the index. But cornerstone lock-up ends tomorrow.

• WT Microelectronics (3036 TT) (WT Micro) is looking to raise up to US$393m, selling 90m shares(18m GDRs)via a GDR offering. It is also selling a two-year zero-coupon CB to raiseUS$350m.
• Similar to previous GDR listings, the firm has undergone a long drawn out process prior to launching the deal, having to jump through a number of board/shareholder/regulatory approval loops.
• In this note, we run the deal through our ECM framework and comment on deal dynamics.

• HK$100bn a day of gross SOUTHBOUND activity with US$600mm+ of net buying on average. Net flows continue to be impressive. SOEs/Energy/Financials dominate.
• Watch for news on the Dual Counter (RMB) Trading eligibility for SOUTHBOUND near-term. That could up the pace of things.
• The data tables below update on a daily basis in the Tools section of Smartkarma. The Southbound Flow Monitor and AH Pairs Monitor are both there – free – for all SK readers.

• CATL (3750 HK) raised around US$5.2bn in its H-share listing in May 2025. The lockup on its cornerstone investors is set to expire soon.
• CATL is the global leader in new energy vehicle battery solutions, in China and globally, as per SNE Research.
• In this note, we will talk about the lockup dynamics and possible placement.

• Baidu, Inc. delivered a solid performance in the first quarter of 2025, with its Baidu Core division reporting a 7% year-over-year revenue increase, reaching RMB 25.5 billion.
• This growth was primarily driven by a substantial surge in its AI cloud business, which saw a 42% increase year-over-year, contributing significantly to Baidu Core’s overall revenue.
• A notable development within this business unit is the expansion of the AI cloud’s role in Baidu’s operations, now accounting for 26% of Baidu Core’s revenue, up from 20% in the previous year.

• Klook (KLK US), a pan-regional experiences platform in Asia-Pacific, aims to raise around US$500m in its US listing.
• Klook connects travelers with merchants providing a vast array of activities, tours, attractions and other travel services across the globe.
• In this note, we talk about the not-so-positive aspects of the deal.

• TPG Telecom (TPG AU) is looking to raise around US$359m from a primary placement.
• This is a large deal to digest, representing 111.2 days of the stock’s three month ADV, and 7.8% of total shares outstanding.
• In this note, we will talk about the placement and run the deal through our ECM framework.

• Warren Buffett’s Berkshire Hathaway has disclosed a significant new position in Alphabet Inc., acquiring 17.9 million shares valued at approximately $4.9 billion during Q3 2025.
• This development marks a notable strategic shift by Berkshire, as it trimmed positions in long-held names such as Apple Inc. and Bank of America while initiating and expanding positions in Alphabet, UnitedHealth, and Chubb.
• Alphabet’s shares climbed in extended trading following the announcement, which signals investor enthusiasm over Buffett’s endorsement.

• Celsys reported cumulative Q3 FY12/25 sales of JPY7.0bn (+15.9% YoY), operating profit of JPY2.2bn (+39.0% YoY).
• Celsys revised FY12/25 forecast: sales JPY9.3bn, operating profit JPY2.9bn, net income JPY1.4bn, citing strong subscription growth.
• Creator Support segment sales JPY6.0bn (+19.4% YoY), driven by CLIP STUDIO PAINT upgrades and global expansion efforts.

• Apple, Qualcomm, and Tesla are all hiring for EMIB-class advanced packaging, signalling an industry shift toward tech where Intel holds a structural edge.
• Intel’s “packaging-first” strategy outlined last year is now visible in real customer activity; foundry share will be won through packaging long before leading-edge wafers.
• With TSMC carrying excess capacity, IFS enters a rare window where early 18A traction and EMIB pull-through can create a credible path to 14A volume wins.

• There could be up to 4 constituent changes for the STAR&CHINEXT 50 Index in December. The announcement of the changes will be made after market close on 28 November.
• There will be between 0.1-0.35x ADV to trade in the changes but some of the forecast adds will have same-way flow from passive trackers of other indices.
• The forecast adds outperformed the forecast deletes in July and August before giving up all the gains (and more) in a near one-way move over the last month.

• NVIDIA has secured unprecedented demand visibility with a reported USD 500 Billion order book for its next-gen AI chips, solidifying its position as the keystone of the AI industrial revolution.
• The company’s financial health highlighted by a USD 48.3 Billion net cash balance and strategic capital return, affirming confidence that structural growth will outweigh geopolitical risks.
• Following a period of short-term volatility and profit-taking, the confluence of long-term structural catalysts suggests the stock is poised to resume a higher trajectory and trading range.

• This week buyback‑burn names in focus; committees start debates, traders eye five bills’ overlap: retroactive cancellation of both new and legacy treasury stock.
• Grace period ranges from immediate to five years, but four of five bills cluster at one year; market treating one‑year retroactive cancellation as base case.
• Usual suspects in play: holdcos, financials, and >30% treasury stock names. Hard‑line Assembly stance means loopholes unlikely; grace‑period noise not driving near‑term price action.

• New Leadership, New Strategy: The August 2025 merger of Paramount Global and Skydance Media, creating Paramount Skydance (PSKY), marks a pivotal moment. Led by CEO David Ellison, the new entity aims to blend Paramount’s iconic content library and distribution network with Skydance’s modern production prowess and tech-focused approach. The strategy centers on revitalizing key franchises, achieving profitability in the Direct-to-Consumer (DTC) segment, and realizing significant cost synergies, now targeted at $3 billion.
• Navigating a Shifting Media Landscape: PSKY operates in a highly competitive and rapidly evolving industry characterized by the secular decline of linear television and the intense ‘streaming wars’. The company’s success hinges on its ability to grow its Paramount+ streaming service profitably while managing the decline of its traditional cable and broadcast assets. Management has signaled a focus on technology improvements to enhance user experience and reduce churn on its streaming platforms.
• M&A Remains a Key Theme: The formation of Paramount Skydance is a major act of consolidation, but the company remains a subject of further M&A speculation. As noted by Smartkarma analyst Baptista Research, the company is already contemplating an ambitious bid for Warner Bros. Discovery. This highlights the industry-wide pressure to scale up to compete effectively with larger, well-capitalized rivals, including tech giants like Apple and Amazon.

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• ROHM is demonstrating a significant turnaround, returning to profitability in Q1FY25 after a challenging FY2024, driven by structural reforms, improved demand, and cost controls.
• The company is a key player in the high-growth Silicon Carbide (SiC) power semiconductor market, which is critical for electric vehicles (EVs) and energy-efficient applications, representing a major growth catalyst.
• Despite the positive outlook, the stock trades at an attractive valuation of approximately 0.8x Price-to-Book, though it faces significant risks from macroeconomic headwinds, weak demand in China, and geopolitical tensions.

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• AppFolio, Inc. has reported its financial results for the third quarter of 2025, showcasing both advancements and challenges as it navigates the property management software industry.
• The company achieved revenue of $249 million, marking a robust 21% increase year-over-year.
• This growth underscores AppFolio’s market strength, driven by their strategic initiatives in expanding new business and enhancing current service offerings, particularly in their Plus and Max premium tiers.

• Belden Inc., a company specializing in high-quality signal transmission solutions, recently released its third quarter results for 2025, showcasing both accomplishments and challenges.
• The financial performance was characterized by record highs in revenue and adjusted earnings per share (EPS).
• Revenue reached $698 million, a 7% year-over-year increase, and adjusted EPS grew to $1.97, placing both metrics above the company’s guidance and marking the best quarterly results in its history.

• CCC Intelligent Solutions presented its third quarter results for fiscal 2025, demonstrating a strong financial position with a notable revenue increase and robust performance in expanding AI-driven solutions.
• The company reported a 12% year-over-year revenue growth to $267 million, exceeding guidance estimates.
• This growth was propelled by a 5% contribution from cross-sell and upsell initiatives, 3% from new client acquisitions, and 4% from EvolutionIQ.

• Newsmax is a rapidly growing conservative media company that has successfully positioned itself as a key player in the cable news landscape, demonstrating significant viewership growth and expanding its distribution reach across multiple platforms.
• The company’s diversified revenue model, which includes affiliate fees, advertising, subscriptions, and product sales, provides a solid foundation for future growth, although it currently operates at a net loss as it invests in expansion and content.
• While facing intense competition and the inherent risks of a politically polarized media environment, Newsmax‘s strong brand recognition among its target demographic and strategic initiatives in digital streaming and international markets present significant long-term opportunities.

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• Riot Platforms, formerly known as Riot Blockchain, showcased a comprehensive transformation in its business strategy during its third-quarter 2025 presentation.
• CEO Jason Les highlighted that the company is evolving from primarily a Bitcoin mining firm into a significant player in data center development, banking on its vast power and land assets.
• One positive takeaway from the results was the strategic shift towards data centers to meet the surging demand, particularly from hyperscalers and enterprises needing significant data processing capabilities.

• StubHub Holdings reported a mixed 3Q’25 as a public company pushing shares down over 20% during regular trading session on Friday.
• Management declined to provide specific guidance for 4Q’25 and asked analysts to wait for the next call in early 2026. Shares tanked 25% and hit all-time low of ~$13/share.
• At ~2.8x EV/2026E Revenue and 1-year forward P/E of ~24x I view risk reward as favorable and believe the current selloff creates an attractive entry point for long-term investors.

• In reviewing Vontier Corporation’s third-quarter 2025 financial results and strategic updates, the company has exhibited several key aspects that inform an investment thesis.
• Overall, Vontier has managed a stable financial performance amid dynamic market conditions, with strategically positioned growth initiatives and consistent focus on operational improvement.
• Starting with the financial results, Vontier reported flat total sales for the quarter at $753 million.