Daily Brief Consumer: Binggrae Co Ltd, Triveni Engineering & Industries, Cisarua Mountain Dairy, Gokaldas Exports, Playa Hotels & Resorts NV, TSE Tokyo Price Index TOPIX, Brunswick Corp, Tempur Sealy International, Taylor Morrison Home Corp A, ContextLogic and more

• In this insight, we provide our screening process methodology for picking top small cap stocks in KOSPI in 2025. 
• We used a 7 step process to narrow down a list of 30 stocks in KOSPI including market cap, ROE, sales growth, P/E, P/B, and Smartscore.  
• The top five stocks on the Korean small cap stocks screen include Binggrae, Innocean Worldwide, Hanil Holding, Miwon Chemicals, and Daechang Forging.

• Triveni Engineering & Industries (TRE IN)’s acquisition of Sir Shadi Lal Enterprise Limited is expected to add to the bottom line as it is located in the same region.
• The resumption of the molasses-based Ethanol plant would benefit as the previous year’s company closed operations early due to non-availability of cane.
• The demerger of the turbine is expected to be the major value-creation proposition.

• Cisarua Mountain Dairy stands out as a rising star amongst consumer staples in Indonesia driven by strong growth in both dairy through Cimory and premium foods through the Kanzler brand.
• The company will continue to benefit from lower raw material costs, as it buys six months ahead and is investing in promotions to drive the growth of new products.
• CMRY has launched Cimory Bites and Crispy Nuggets Spicy which will drive near terns growth, along with a focus on General Trade and MCM channels. Valuations are attractive versus growth.

• In this insight, we focus on the textile industry dynamics in India, Bangladesh, and Vietnam, particularly focusing on the “Bangladesh Plus One” sourcing strategy.
• Textile stocks have surged significantly, with an average increase of 13% in one month and 50% year-to-date, driven by investment narratives.
• Despite optimism in India, Bangladesh and Vietnam maintain competitive advantages, particularly in labor costs and export-oriented policies, affecting India’s market share.

• Playa Hotels & Resorts reported third-quarter 2024 results that exceeded expectations, driven by steady performance in the Yucatan and Dominican Republic segments and improving demand in the Pacific Coast and Jamaica.
• The company achieved owned resort EBITDA of $36.6 million in the quarter, which included a benefit from business interruption insurance proceeds of approximately $700,000, compared to $1 million in the same period last year.
• The company’s results reflected the impact of external factors such as Hurricane Barrel, construction disruptions, and travel advisories.

• Comparing the disclosure time of 2Q financial statements to a year ago, the extension of trading hours has had an impact on the disclosure time of companies.
• After November 5, when trading hours were extended, 31.6% of companies disclosed by 3:29 p.m. The remaining 68.4% moved down their disclosure time.
• The 2Q results didn’t include companies that were proactive about early disclosure, and it is expected that some of the more cautious companies will switch to disclosure during trading hours.

• Brunswick Corporation’s third-quarter performance in 2024 showcased a mix of resilience and caution amidst a challenging marine market.
• The company reported sales down by 20% and an adjusted EPS of $1.17, reflecting a decrease compared to the previous year due to weakening market conditions.
• Nevertheless, Brunswick’s recurring revenue streams, such as the Engine Parts & Accessories (P&A) business, Propulsion’s repower business, and Freedom Boat Club, contributed significantly, underpinning the company’s financial performance.

• In the third quarter of 2024, Tempur Sealy reported a modest 2% increase in net sales, amounting to $1.3 billion.
• This was accompanied by a 6% rise in adjusted EBITDA to $275 million year-over year.
• The company’s GAAP EPS grew 14% to $0.73 per share, while the adjusted EPS saw a 7% increase to $0.82 per share.

• Taylor Morrison Home Corporation reported a robust performance for the third quarter of 2024, showcasing the efficacy of its diversified consumer and geographic strategy amidst economic uncertainty and weather-related challenges.
• During the quarter, the company delivered 3,394 homes with an average selling price of $598,000, contributing to over $2 billion in revenue.
• The home closings gross margin stood at 24.8%, representing an encouraging increase from previous quarters and indicating effective cost management and pricing strategies.

• ContextLogic is a cash and NOL shell trading at a discount with potential to double in value through NOL maximization strategies
• Assets include cash and $2.8 billion in Federal NOLs, with a previous market value decline due to ownership of Wish.com
• Strategy involves acquiring a business with taxable earnings to maximize NOL value, offering investors potential upside from NOL monetization.

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