Daily Brief Equity Bottom-Up: Nexon (3659) | The Best Pipeline Ever and more

In today’s briefing:

Nexon (3659) | The Best Pipeline Ever
Remegen Co Ltd (9995.HK) 22H1 – Mr. Market’s “Misjudgment” Brings Opportunities to Make Money
Access Bio (950130 KS): COVID-19 Rapid Tests Demand Lose Sheen Sending Share Prices Down to Lows

Nexon (3659) | The Best Pipeline Ever

Nexon’s stock price is down -20% from the highs made in April and -30% from its highs last year.
Nexon is a key beneficiary of the trend to immersive virtual worlds and live game operations
The best pipeline in Nexon’s history will drive higher Free Cash Flows and shareholder returns

For RC18, it depends on whether RemeGen can seize this short period of strategic opportunities to further establish its leading position. The situation faced by RC48 is much more complex.
From the current situation, it’s very challenging for RemeGen to evolve into biopharma.That is to say, RemeGen’s future positioning is still likely to remain a biotech, which limits valuation expansion.
Even based on conservative forecast, there’s still decent upside potential. We’re bullish on RemeGen. Due to unfriendly macro, investors may need to consider the potential downside risks when going long.

Access Bio Inc (950130 KS) has been reporting triple-digit revenue growth since 2020, thanks to massive demand for the COVID-19 tests. The performance continued in this year too.
Going forward, the stellar revenue growth is not expected to be replicated as demand for COVID-19 tests looks uncertain beyond 2022. Revenue from the company’s malaria test is declining.
Access Bio has developed monkeypox tests. However, monkeypox does not seem be a large and attractive market opportunity, which can compensate for the revenue loss from COVID-19 tests.

💡 Before it’s here, it’s on Smartkarma

The Smartkarma Preview Pass is your entry to the Independent Investment Research Network