TMT/Internet

We think TSMC is still considering 1) at what time and 2) what technologies to further raise wafer price now.
TSMC’s largest client is Apple. Qualcomm should be the 2nd client because they will ship Snapdragon 8 Gen 1 from TSMC in 4Q22. Nvidia/MediaTek are the 3rd/4th clients.
TSMC is giving nearly 49% stock ownership to Sony for CMOS Image Sensor (CIS) Fab in Japan. It is mainly to obtain the CIS technology, to our thoughts.

KODEX (FnGuide) Battery ETF Rebalancing: Passive Flow Tracking for Two Remaining Days

KODEX battery ETF does rebalancing four times a year from this March. The rebalancing trading is done for 3-trading days from March 14 to 16, presumably equal daily weight.
Due to the low float rate, LG Energy will fall to third place. Samsung SDI should become the top constituent with a 20% cap, followed by SK Innovation at 15%.
The passive impact sizes of the top four stocks are significant, considering they are in the same sector. So, they should make themselves a suitable target for long/short basket trading.

Merger Arb Mondays – Razer, 51Job, Irongate, Link, Crown Resorts, Guodian

We summarise the latest spreads and newsflow of merger arb situations covered by us across Hong Kong, Australia, New Zealand, Singapore and the US (Chinese ADRs only).
This week, the highest gross spreads are Razer Inc (1337 HK), 51 Job Inc Adr (JOBS US), Irongate Group (IAP AU), Link Administration Holdings (LNK AU), Crown Resorts (CWN AU)
The lowest gross spreads are CIMIC Group Ltd (CIM AU), Singapore Press Holdings (SPH SP), Australian Pharmaceutical Industries (API AU), Virtus Health (VRT AU), Ausnutria Dairy Corp (1717 HK)

Charts to Watch

By Market Radar

The Chinese Government has not been very friendly with the Chinese tech companies in the last year: it imposed several fines and introduced new anti-monopoly laws, that hurt company business and profitability
Now the SEC is trying to look better into the balance sheet of these companies, threatening a possible delisting from U.S. exchanges. This is another big risk for chinese tech stocks.
An almost 70% drawdown already happened. Will there ever be a reversal?

Before it’s here, it’s on Smartkarma

Mar 13

TMT: Silergy Corp, Tencent and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Silergy (6415.TT): Earnings Conference for 4Q21- The Demand Is Strong for 2022~23.
ECM Weekly (13th Mar 2022)-Arrail, Aquila, Propguru, Ferretti, Jinmao, Nio, Fabindia, Hyu Hvy, Cosmo

Silergy (6415.TT): Earnings Conference for 4Q21- The Demand Is Strong for 2022~23.

Silergy foresees the demand will be larger than capacity in 2022. Silergy expects Auto, Sever Mother-board, SSD and others should be showing a strong demand in 2022.
The shipment lead-time is controlled around 5~6 months, which indicated that the demand is strong for 2022~23.
The generation 3rd will be optimized until 2026. Silergy will need some new suppliers for generation 4th in 2023. In 2026, generation 3rd & 4th will dominate Silergy’s revenue.

ECM Weekly (13th Mar 2022)-Arrail, Aquila, Propguru, Ferretti, Jinmao, Nio, Fabindia, Hyu Hvy, Cosmo

By Sumeet Singh

Aequitas Research puts out a weekly update on the deals that were covered by the team recently along with updates for upcoming IPOs.
As SBI Sumishin Net Bank (7163 JP) called off its listing, Government of India is still vacillating on Life Insurance Corp of India (LIC) (1248Z IN).
Placement scene remains quiet with Cosmo Energy Holdings (5021 JP) deeply discounted block following up on ZIP Holdings (ZHL AU) deeply discounted block the previous week.

Before it’s here, it’s on Smartkarma

Mar 12

TMT: Alibaba Group, Grab, Cialfo, Softbank Group and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

China ADRs Delisting – SEC Sets the Clock Ticking and Sends China ADRs Tripping
Grab (GRAB US) – A Rough Ride for Now but Smoother Terrain Ahead
Tiger Global Leads $20m Series B Extension of Singapore Edtech Firm
Softbank Group – China Worries Re-Surface as Alibaba, Didi Under Pressure

China ADRs Delisting – SEC Sets the Clock Ticking and Sends China ADRs Tripping

By Sumeet Singh

On 8th Mar 2022, Securities Exchange Commission (SEC) added five China ADR names to its provisional list of issuers under the Holding Foreign Companies Accountable Act (HFCAA).
There is nothing new about the list, on 2nd Dec 2021, SEC had issued final amendments to implement the HFCAA which had already spoken about the list and its implications.
In this note, we’ll talk about the latest developments its possible timelines and implications.

Grab (GRAB US) – A Rough Ride for Now but Smoother Terrain Ahead

By Angus Mackintosh

The headlines for Grab‘s recent results looked encouraging but the higher driver and consumer incentives hit revenues and profitability towards the end of the year but this is temporary.
Grab (GRAB US) is facing stiffer competition in the region, especially from GoTo and Shopee Food but is defending its lead and preparing for higher growth in mobility requiring investment.
Increasing exposure in digital financial services plus more focus on verticals such as online groceries bodes well for future growth. A market cap of US$12.5bn with US$6.8bn in net cash.

Tiger Global Leads $20m Series B Extension of Singapore Edtech Firm

By Tech in Asia

Cialfo, a Singapore-based edtech startup, has raised another US$20 million in series B funding led by US-based investment firm Tiger Global after it raised US$40 million in January this year.
In total, the company has raised US$77 million in funding to date. VentureCap Insights pegged the firm’s valuation at around US$230 million.
Founded by Rohan Pasari, Stanley Chia, and William Hund in 2017, Cialfo is a software-as-a-service firm that simplifies the career exploration and college search process.

Softbank Group – China Worries Re-Surface as Alibaba, Didi Under Pressure

By Kirk Boodry

Both Alibaba (-6%) and Didi (-12% pre-market) are down on regulatory pressure
Vision Fund valuation losses are approaching $20bn for Q4 and the current (unrealized) portfolio has turned negative
NAV/Share and the share price are at two-year lows and gains from the post-Covid tech run are largely gone

Before it’s here, it’s on Smartkarma

Mar 11

TMT: PropertyGuru , Link Administration Holdings, Capcom Co Ltd, Square Enix Holdings, Crowdstrike Holdings Inc, Koei Tecmo Holdings, GitLab, Epam Systems and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

PropertyGuru/Bridgetown 2 SPAC Listing/Merger – Peers Are Down a Lot, as the Deal Nears Completion
Link’s Offer Spread Risk/Reward
Capcom – Street Fighter 6 and ExoPrimal Strengthen Pipeline
Square Enix – Four Games at State of Play Show Depth of Content
Crowdstrike FY4Q22: (Bear) Case Adjourned
Koei Tecmo – Some Nice Signs But Downside Risks Need To Be Priced In First
Recent IPO Insights: Gitlab
Deep Dive: EPAM Systems (EPAM US)

PropertyGuru/Bridgetown 2 SPAC Listing/Merger – Peers Are Down a Lot, as the Deal Nears Completion

By Sumeet Singh

PropertyGuru and Bridgetown 2 announced, on 23rd Jul 2021, that they have entered into a business combination agreement which will see PropertyGuru go public in the US.
Both the companies will hold their respective EGMs next week and aim to complete the listing by 18th Mar 2022.
We have looked at the company’s prior listing attempt, in Australia in 2019, and the current SPAC merger. In this note, we will talk about the recent updates.

Link’s Offer Spread Risk/Reward

Link Administration Holdings (LNK AU)’s 1HFY22 results on 24 February stated that the Dye & Durham/DND’s privatisation scheme remains on track to complete in June/July.
Key hurdles are ACCC clearance and the Woodford investigation. Key catalysts are the scheme booklet (in the coming weeks) and an agreement to sell BCM.
We would be buyers up to A$5.2 per share (implies 70% deal probability). The gross and annualised spread for a 31 July implementation is 8.6% and 23.8%, respectively.

Capcom – Street Fighter 6 and ExoPrimal Strengthen Pipeline

By Mio Kato

Following on from a recent Street Fighter 6 reveal, Capcom announced new IP Exoprimal at today’s Sony State of Play.
The two announcements strengthen Capcom’s pipeline for FY23 and FY24 although leaks had already revealed the likely launch timing of SF6.
Exoprimal is new news, however, and provides a glimpse into Capcom’s strategic thinking.

Square Enix – Four Games at State of Play Show Depth of Content

By Mio Kato

Square Enix had four of the twelve titles featured at today’s Sony State of Play.
While none of the titles was one of they IPs for Square Enix they demonstrate the depth of IP possessed.
In addition, the trailers point to Square Enix’s domestic development studios maintaining high quality standards even for smaller titles.

Crowdstrike FY4Q22: (Bear) Case Adjourned

By Aaron Gabin

Crowdstrike printed a superb quarter, continues to beat and raise despite overblown competitive concerns with new disclosures around non-endpoint ARR shows this becoming a true platform.
Revenue growth (+63%), Margin expansion (+570bps) and FCF generation (46% FCF margins) shows best in class rule of 40 SaaS metric.
Next catalyst is Analyst Day in April, expect LT targets to get increased.

Koei Tecmo – Some Nice Signs But Downside Risks Need To Be Priced In First

By Mio Kato

Koei Tecmo appears to have made some strides in improving the quality of Stranger of Paradise: Final Fantasy Origins.
This bodes well for the future of its business effectively reskinning its in-house titles with popular outside IPs.
This makes us more interested in the name but we are still waiting for the shoe to drop on investment income.

Recent IPO Insights: Gitlab

By Aaron Gabin

Gitlab is down 61% since its IPO and trades at 16x forward sales, now reasonable for years of 40% like growth expected.
At $6B valuation, would make an attractive acquisition candidate for Google/Amazon or some of the growing DevSecOps players like Datadog.
Dynamic TAM with long runway ahead, very underpenetrated, strong secular tailwinds.

Deep Dive: EPAM Systems (EPAM US)

By Value Punks

EPAM is a high quality IT services provider that has been compounding earnings at a high rate for the last 10 years
The stock is currently dislocated – down more than 70% as of the date of writing.
EPAM’s delivery centers are distributed throughout the world but have a major presence in Ukraine, Belarus and Russia (clients are mostly based in the US and Europe).

Before it’s here, it’s on Smartkarma

By Shifara Samsudeen, ACMA, CGMA

Mar 10

TMT: StarTek, Bilibili Inc, Upstart Holdings Inc and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Startek Inc. – SRT US 55% Owner Proposes $5.40 Cash Per Share Squeeze Out
Bilibili: All Things Point to Slowdown in Earnings Growth
Upstart Holdings: Fast-Growing, Profitable, Cash Generative with Share Buybacks
Upstart Holdings: Slowdown In Revenue Growth And Tightening Of Credit Markets

Startek Inc. – SRT US 55% Owner Proposes $5.40 Cash Per Share Squeeze Out

By John DeMasi

Singapore-Based private equity firm Capital Square Partners (“CSP”) engineered combination of Aegis Global and “old” Startek in 2018 to create “new” Startek.
Microcap business process outsourcing (“BPO”) company runs outsourced customer contact centers, has improving sales and profitability, and a declining stock price.
On 20December2021, CSP disclosed that it had submitted a “preliminary, non-binding proposal” to acquire all outstanding shares of SRT US not already owned by it for $5.40 per share.

Bilibili: All Things Point to Slowdown in Earnings Growth

Bilibili Inc (BILI US) reported 4Q2021 results last week where revenues increased 50.6% YoY to RMB 5.8bn while operating losses increased to RMB 2bn compared to RMB 903m in 4Q2020.
This marks the lowest YoY growth in top line since 2Q2019. Though all segments experienced YoY growth in revenue, we have observed that the growth is slowing down.
The company also has announced a share buyback of up to US$500m of its ADS over the next 24 months

Upstart Holdings: Fast-Growing, Profitable, Cash Generative with Share Buybacks

Upstart Holdings Inc (UPST US) is both a consumer Internet brand as well an online loan origination platform.
Upstart is a rare fintech that has established credibility by delivering high growth with profits and cash generation. The healthy 2022 outlook underscores the long-term potential.
While the ongoing market volatility is a near-term risk, the tech sell-off presents an opportunity to gain exposure to a good story at an attractive valuation.

Upstart Holdings: Slowdown In Revenue Growth And Tightening Of Credit Markets

By Andrei Zakharov

We see limited upside potential for Upstart Holdings Inc (UPST US) shares after reporting a record 200%+ YoY revenue growth rate in CY’21.
Our calculations suggest insiders sold ~$1.5 billion worth of Upstart shares since August 2020, including Third Point, CEO of Upstart Holdings, and management of the fintech company.
Rising interest rates and tightening of credit markets may negatively impact revenue, keeping in mind that Upstart Holdings Inc (UPST US) primarily facilitates unsecured personal loans on the platform.

Before it’s here, it’s on Smartkarma

Mar 09

TMT: AfreecaTV, Upstart Holdings Inc, Weibo Corp, Infosys Ltd and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Combined Rebalancing Flow Estimations of Three Indexes in Korea on March 10
Upstart Holdings: Focus on the Share Buyback & Outstanding Growth of AI Driven Lending Platform
Weibo (WB US): Solid 4Q21 Results; Winter Olympics to Bolster User Engagement
Pick of the Week: Infosys Ltd

Combined Rebalancing Flow Estimations of Three Indexes in Korea on March 10

Three local indexes in Korea face rebalancing trading on March 10, supposedly at the close.
They are 1. KOSPI 200 Fast Entry for LG Energy Solution, 2. KOSPI Size Index Series biannual rebalancing, and 3. KRX BBIG K-New Deal biannual rebalancing.
There are 18 stocks in total, which have an estimated passive flow of ±0.5x ADTV & an average daily trade value of +₩5.0B.

Upstart Holdings: Focus on the Share Buyback & Outstanding Growth of AI Driven Lending Platform

By Douglas Kim

We believe that Upstart’s share price has been excessively oversold since October 2021. Since its highs in October 2021, Upstart’s share price has declined significantly by nearly 72%.
The combination of buying back shares, more attractive valuations, and a much stronger sales growth than its peers is likely to result in Upstart outperforming the market this year.
Our base case valuation of Upstart is implied market cap of $13.8 billion and target price of $165 per share, which is 47% higher than current share price.

Weibo (WB US): Solid 4Q21 Results; Winter Olympics to Bolster User Engagement

By Roger Xie

Weibo Corp (WB US) reported a set of solid results for 4Q21; ad revenue (excluding Alibaba) has post robust 28% year-over-year growth and MAU remains healthy.
Weibo is leveraging its competences to increase user engagement. Weibo video account has amassed 25mn users; Weibo Live’s DAU has grown 100% year-over-year.
Weibo current valuation 10x forward P/E looks attractive; we expect 1Q22 user engagement will improve given that topics on Winter Olympics has already exceeded Toyko Olympics.

Pick of the Week: Infosys Ltd

By Axis Direct

Infosys is India’s second largest IT services exporter and has strong global presence.
It provides industry wide solutions including next gen services like Cloud computing, digital transformations, IoT, Machine learning etc
We recommend a Buy the stock for a target price of Rs 1895 implying an upside of 10% from CMP.

Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Before it’s here, it’s on Smartkarma

Mar 08

TMT: Tata Consultancy Svcs, Coinbase, Elastic NV, JCET Group and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Tata Consultancy Services (TCS IN): US$2.4bn Mega Buyback – Letter of Offer Out; TCS Cheap Vs Peers
Coinbase: Q4 Results KPI Deck
Q3 FY’22 Earnings Review: Spectacular Revenue Growth Driven By The Cloud Business
JCET (600584.CN): The 1Q22 Will Be a Lower Season, and the Recent Ukraine Crisis Did Post a Shadow.

Tata Consultancy Services (TCS IN): US$2.4bn Mega Buyback – Letter of Offer Out; TCS Cheap Vs Peers

By Janaghan Jeyakumar, CFA

In early February 2022, Indian IT giant Tata Consultancy Svcs (TCS IN) officially announced a INR180bn (~US$2.4bn) Buyback which is one of the largest in Indian stock market history.
Today the company published the Letter of Offer confirming the final details and the expected timeline for this Buyback.
Below is a closer look at these details and their implications for shareholders.

Coinbase: Q4 Results KPI Deck

By Alec Tseung

Coinbase reported strong Q4 results mainly driven by a significant increase in its transaction revenue.
Bearish outlook in Q1’22 and FY22 due to the higher expense guidance from the management and declining crypto asset price and volatility in Q1.
Albeit the bearish outlook, we continue to view that Coinbase represents one of the best ways for public equity investors to gain exposure to the growing crypto economy.

Q3 FY’22 Earnings Review: Spectacular Revenue Growth Driven By The Cloud Business

By Andrei Zakharov

Elastic NV (ESTC US) , a leading search technology company, reported strong Q3 FY’22 results that topped estimates. Cloud revenue surged 79% year-over-year, and free cash flow was ~$3M.
Elastic NV (ESTC US) shares underperformed in CY’22, with shares down ~37% YTD versus a ~29% loss on the WCLD – WisdomTree Cloud Computing Fund.
Shares of Elastic jumped to ~$87.00/share after the company reported third-quarter earnings the previous week, but then the stock erased early gains due to broader sell-off in tech shares.

JCET (600584.CN): The 1Q22 Will Be a Lower Season, and the Recent Ukraine Crisis Did Post a Shadow.

The 1st quarter is relatively a lower season. Therefore, we expect that the revenue/NM is about RMB$8. 7bn/9.0% in 1Q22 respectively, which declines ~10% QoQ and grow 30% YoY.
To our understanding, QCOM is still the biggest client in JCET. The rest of clients have changing a bit in JCET since Huawei was being driven out.
Overall speaking, China is devoted in developing OSAT (Outsource Semiconductor Assembly and Packaging) business, and the gap shall be close to ASEH and Amkor.

Before it’s here, it’s on Smartkarma

Mar 07

TMT: Razer Inc, Silergy Corp and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Merger Arb Mondays – Razer, Sezzle, Irongate, 51job, Link, Guodian, Crown Resorts
Silergy (6415.TT): In 2022, the Company Should Aim at Growing Above 30%.

Merger Arb Mondays – Razer, Sezzle, Irongate, 51job, Link, Guodian, Crown Resorts

We summarise the latest spreads and newsflow of merger arb situations covered by us across Hong Kong, Australia, New Zealand, Singapore and the US (Chinese ADRs only).
This week, the highest gross spreads are Razer Inc (1337 HK), Sezzle Inc (SZL AU), Irongate Group (IAP AU), 51 Job Inc Adr (JOBS US), Link Administration Holdings (LNK AU)
The lowest gross spreads are China Logistics Property Holdings (1589 HK), Virtus Health (VRT AU), CIMIC Group Ltd (CIM AU), Singapore Press Holdings (SPH SP), Australian Pharmaceutical Industries (API AU)

Silergy (6415.TT): In 2022, the Company Should Aim at Growing Above 30%.

We expect that the revenue/GM is about NT$5.95bn/54% in 1Q22 respectively. We expect it shall come to NT$6.14bn/56.5% for revenue/GM in 4Q21 respectively.
Given strong demand of those could not be digested, Silergy has to choose high premium orders, which means Silergy can enjoy better prices.
The domains of Server, Datacenter and 5G are Silergy’s main targets to grow in the next 3~5 years.

Before it’s here, it’s on Smartkarma

Mar 06

TMT: Nexon, Softbank Group and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Last Week in Event SPACE: Russia/Indices, Prosus, Virtus, Crown, Nexon, Hitachi Metals
Softbank Group – Tough Week for VF as Public Portfolio Falls $6bn over Two Days

Last Week in Event SPACE: Russia/Indices, Prosus, Virtus, Crown, Nexon, Hitachi Metals

By David Blennerhassett

Major global indices have relegated Russia to the “standalone” and “unclassified” market status. Talk of significant flows into major non-Russia EM markets such as China, Taiwan, Korea, etc is misguided.
Even if OLX and VK Group are written down to zero, the fall in Prosus (PRX NA)‘s implied stub has overshot the mark
The founder and former chairman and CEO of Nexon (3659 JP) has passed away. The estate may wish to sell Nexon shares, or its entire stake, at some point near-term.

Softbank Group – Tough Week for VF as Public Portfolio Falls $6bn over Two Days

By Kirk Boodry

Valuation losses in the public portfolio have increased by $6bn over two days on weakness at Coupang, Grab, DoorDash and WeWork. Total losses for the quarter stand at $17bn.
With Alibaba shares still weak, NAV/share has moved decisively below ¥10,000/share and is back to where it in May/June 2020 when tech was first rebounding from the Covid shock.
The discount to NAV stands at 49% but is likely to expand when markets in Japan have a chance to respond to how stocks traded in the US on Friday.

Before it’s here, it’s on Smartkarma

Mar 05

TMT: Sea Ltd, Samsung Electronics Pref Shares, Razer Inc, Nexon, iQIYI Inc, Visa, Tencent, Datadog Inc and more

By Smartkarma Daily Briefs | Daily Briefs, TMT/Internet

In today’s briefing:

Sea Ltd (SE US) – Leaning Towards Profitability and Sustainability
Russian Impact on MSCI Korea: Total Inflow Size & Top 20 Inflow (X ADTV) Stocks
Razer’s Offer Spread Risk/Reward – Takeaways from Logitech’s Investor Day
Three Ways of Settling Nexon Inheritance Tax Payment: Each Way’s Ramifications
IQiyi: Huge Drop in Operating Losses Despite Flat Revenues; Path to Profits Becoming Clear
Visa: Don’t Mind The Disruptors
Tencent Support to Give Way
Datadog ($DDOG): The Dog in the SaaS Fight

Sea Ltd (SE US) – Leaning Towards Profitability and Sustainability

By Angus Mackintosh

Sea Ltd (SE US) results were in line but given a slow down in gaming and bearish guidance partly with India ban on FreeFire, the stock was sold off aggressively.
Strong performance from e-commerce and digital financial services was ignored, with improving take rates in core markets and comments on impending profitability overlooked, with hardly a mention in press commentary.
The risk for Sea Ltd (SE US) is squarely on the upside with valuations now looking attractive, trading at a discount to MercadoLibre (MELI US) despite its broader footprint.

Russian Impact on MSCI Korea: Total Inflow Size & Top 20 Inflow (X ADTV) Stocks

Korea’s local market estimates an inflow (resulting from the Russian departure) to Korea at ₩1T
Most of the preferred stocks in MSCI Korea top the list with the highest passive buying ratios to the 30-day average trading value.
Other than that, S1 Corp, Coway, Samsung SDS, C&T, and KT&G are the others that sit high on the list.

Razer’s Offer Spread Risk/Reward – Takeaways from Logitech’s Investor Day

Razer Inc (1337 HK)‘s scheme document will be released after the FY21 results, which are on 17 March. The headcount test is a key challenge.
Logitech International SA (LOGN SW)’s investor/analyst day on 3 March underscores Razer’s opportunity and adds to minorities’ grievances that the offer price is unattractive.
Current deal probability implies broadly a 50/50 chance of success with a gross spread of 19%. We would be buyers up to HK$2.5 per share (implies 65% deal probability).

Three Ways of Settling Nexon Inheritance Tax Payment: Each Way’s Ramifications

By Shifara Samsudeen, ACMA, CGMA

There are three ways families can settle inheritance tax: 1. payment in Kind, 2. direct sale of the NXC stake, and 3. NXC sells its stake in Nexon Japan.
They have different ramifications from an investment point of view, and the third option is probably the one that the market desires most.
If the family goes for the third option, they will likely sell all of NXC’s Nexon Japan stake (47.89%), which will lead to a TOB to Nexon Japan minority shareholders.

IQiyi: Huge Drop in Operating Losses Despite Flat Revenues; Path to Profits Becoming Clear

IQIYI Inc (IQ US) reported 4Q and full-year 2021 results on Tuesday. Revenue for the quarter declined 0.9% YoY to RMB7.39bn (vs consensus RMB7.31bn).
Operating losses for the quarter was RMB975.2m (vs consensus RMB1.33bn), about 13.2% of revenues compared to RMB1.31bn (17.5% of revenues) in 4Q2020.
IQiyi’s ADRs jumped 21.5% at the end of Tuesday’s close as the company mentioned that it expects quarterly non-GAAP operating break-even as soon as possible.

Visa: Don’t Mind The Disruptors

By Vladimir Dimitrov, CFA

Well-established digital payment platforms, such as Visa, are enjoying renewed interest from long-term investors.
In spite of certain narratives, rotation to value stocks has little to do with Visa’s recent outperformance.
The impact of short-term headwinds will likely remain muted due to Visa’s increased penetration in certain markets and new flow channels.

Tencent Support to Give Way

By Thomas Schroeder

Tencent is commencing a fresh down leg below 413 support. We have been bearish/short from the 500 handle with a projection of 370.
Tencent’s breakdown is lagging the HK tech index which raises conviction for Tencent weakness/follow through to the downside.
320 macro support attracts in Q3 as long as we stay below 413.

Datadog ($DDOG): The Dog in the SaaS Fight

By MT Capital

The origin story of the company I am delving into today arguably started more than 10 years ago, when Oliver Pomel and his co-founder Alexis Lê-Quôc were working at Wireless Generation
The company is likely to benefit from the continued digital transformation, mainly spurred by further cloud penetration
Observability and IT Operations Management is a significant opportunity for Datadog to capitalize on

Before it’s here, it’s on Smartkarma