Daily Brief Equity Bottom-Up: Infosys Buyback: Tax-Inefficient for Shareholders? and more

• Infosys Ltd (INFO IN) made headlines in the market after approving share buyback worth INR 180 bn at INR 1800 per share.
• The buyback is the largest in company’s history and represents 2.4% of the paid up capital. 
• However, from the shareholders lens, the buyback would be tax-inefficient, after the regulatory changes which came in effect from Oct 2024.

• K-Pop Demon Hunters (KDH) started streaming on Netflix on 20 June 2025. KDH has become the most watched film on Netflix history, achieving 291.5 million views as of 11 September. 
• Nongshim has a collaboration with Netflix, releasing ramyun and snacks featuring characters from K-Pop Demon Hunters. The sale of these products (especially overseas) are likely to result in higher sales.
• Nongshim has hit a big home run in this collaboration with Netflix and the K-Pop Demon Hunters film. Additional series related to KDH are highly likely. 

• Appointment of a digital-savvy CEO and professionalized board strengthens management, positioning Vadilal for sustained growth and corporate transformation.  
• Robust distribution, innovative production, and premium parlours drive competitive edge and market leadership. 
• Resolution of internal family disputes and promoter group merger streamlines operations, though potential dilution could affect minority shareholders.

• Recent News: CZSPT’s Sep 9 guidance points to imported zinc concentrate treatment charges of US$120-140/dmt for Q4, and Bloomberg confirms Chinese smelters are tightening terms.
• Impact: This rebound in TC/RC levels should lift Korea Zinc’s EBITDA by approximately US$100-135 million, representing a ~5-7% earnings upside over current troughs.
• Valuation: On normalized earnings, Korea Zinc could re-rate to 8–9× EV/EBITDA. At $120–150/dmt TCs, this points to ~20–50% upside, with further headroom if multiples expand alongside earnings recovery.

• Western Digital Corporation reported strong fourth-quarter fiscal 2025 financial results, showcasing increased demand driven chiefly by the data center market, predominantly through hyperscale customers.
• The company generated $2.6 billion in revenue, which constituted a 30% yearly increase, and achieved a non-GAAP gross margin of 41.3%.
• This result was driven by the mix shift toward higher capacity drives and effective cost management.

• Lam Research Corporation’s recent financial performance and strategic direction offer a balanced picture of its current and future potential.
• The company reported impressive results for its June 2025 quarter, with revenues and profitability reaching the upper end of guided ranges.
• Significantly, gross margins exceeded 50% for the first time since the merger with Novellus, and earnings per share hit a new company high.

• Tesla’s recent unveiling of its Megapack 3 and the all-new Megablock could mark a pivotal moment in its shift from being seen purely as a carmaker to a vertically integrated energy company.
• While Tesla’s robotaxi launch and AI developments have dominated headlines, the energy division—specifically industrial battery storage—is quietly becoming a major pillar.
• The Megablock is a fully integrated, utility-scale energy solution, reducing construction costs by 40% and installation times by 23%.

• Old Dominion Freight Line’s recent financial performance reveals both challenges and opportunities.
• Despite a declined revenue in the second quarter of 2025, totaling $1.41 billion, representing a 6.1% decrease from the previous year, the company has managed to sustain yield growth.
• This growth is embodied by a 3.4% increase in less-than-truckload (LTL) revenue per hundredweight, although LTL tons per day fell by 9.3%.

• TAL Education Group reported robust financial performance for the first quarter of fiscal year 2026, showcasing significant revenue growth while managing to improve operational efficiency.
• The company recorded net revenues of $575 million, marking a 38.8% increase year-over-year, with a notable rise in gross margin from 51.7% to 54.9%.
• Operating income improved significantly with TAL turning a previous operating loss into a profit of $14.3 million, demonstrating enhanced operational leverage and cost management.

• Daimler Truck focuses on heavy-duty vehicles but also offers brands for light and medium-duty segments
• The company profits from both truck sales and services, with a focus on improving service offerings
• Market trends for truck sales are closely tied to overall economic performance, with current slow sales attributed to uncertainty in the US and Europe.

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