Daily BriefsEquity Bottom-Up

Daily Brief Equity Bottom-Up: New Hope (NHC AU) Vs. Yancoal (YAL AU): Statistical Spread Hits Trigger Zone in Aussie Coal Pair and more

In today’s briefing:

  • New Hope (NHC AU) Vs. Yancoal (YAL AU): Statistical Spread Hits Trigger Zone in Aussie Coal Pair
  • CRIZAC IN: Upcoming IPO – Niche B2B Educational Platform: Should You Subscribe?


New Hope (NHC AU) Vs. Yancoal (YAL AU): Statistical Spread Hits Trigger Zone in Aussie Coal Pair

By Gaudenz Schneider

  • Context: The New Hope Corp (NHC AU) vs. Yancoal Australia (YAL AU) Price-Ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
  • Highlights: Going long New Hope Corp (NHC AU) and short Yancoal Australia (YAL AU) targets a significant return to the statistical mean reversion level.
  • Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

CRIZAC IN: Upcoming IPO – Niche B2B Educational Platform: Should You Subscribe?

By Himanshu Dugar

  • Crizac is a play on growth of overseas education. Its network of agents help candidates file University applications, which are then processed by Crizac before passing it to the universities
  • Universities are increasingly outsourcing application and assessment processes to tap inbound students from emerging markets like India/China. 7mn people study abroad today, off which 3+mn are from India and China.
  • IPO is priced attractively at TTM PE of 28x. We estimate FY27 EPS of 11-13 and potential multiple of 30x implying an upside of 35-60% from IPO price of 245

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