Daily Brief Equity Bottom-Up: OpenAI and more

• OpenAI agrees to deploy 6 gigawatts of AMD GPUs based on a multi-year, multi-generation agreement. The deal could be worth upwards of $100 billion to AMD through 2030
• AMD issued OpenAI a warrant for up to 160 million shares of AMD common stock, structured to vest as specific milestones are achieved, including AMD share price appreciation to $600
• Could a strategic partnership with Intel now also be on the cards? After all, OpenAI needs CPUs as well as GPUs, especially as they ramp into enterprise. Just saying…

• Tiong Woon is a key regional player in the heavy lift and haulage industry, poised to benefit from the upswing in the petrochemical, infrastructure, and construction sectors across Southeast Asia, India, and the Middle East.
• The company demonstrates a strong growth trajectory with a 3-year revenue CAGR of 10.08% and a net income CAGR of 19.04%, supported by a strategic focus on higher-margin, larger-capacity cranes and expansion into high-growth markets.
• Despite a positive outlook and solid financial performance, the company faces risks from market cyclicality, project delays, and margin pressure from rising costs. Its ongoing capital expenditure cycle supports long-term growth but currently weighs on free cash flow.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Suzuki Motor (7269 JP) had a disappointing Q1FY2025 driven by lower sales in India & Europe and impact of raw material cost and foreign exchange rates.
• However, we expect business performance should revive in H2FY2025 driven by booster shot from India.
• We remain positive on long term prospects of the company driven by its maiden EV launch and long term growth plans though near term valuation appears to be full.

• Post its recent IPO, Aegis Vopak has rapidly expanded its LPG capacity and is strategically de-leveraging to fund its massive, long-term ‘GATI’ (Gateway Access to India) expansion pipeline.
• As India’s largest third-party tank storage operator, the company is a critical, high-barrier-to-entry infrastructure play, directly capitalizing on the country’s surging energy, chemical, and industrial import dependence.
• The strategic joint venture and execution focus on high-margin, sticky, and growing segments like LPG and specialty chemicals position the company for sustainable, asset-backed growth.

• Sa Sa International Hldgs (178 HK)‘s 1.63x P/B is near-trough level, but the recovery in earnings in FY26 (+56.4%) and improving industry figures suggest earnings have bottomed. 
• Its 2Q FY26 turnover grew 8.4%, accelerating from 4.7% in 1Q and -9.7% in FY25. The 1H turnover equals 49.3% of FY26F (vs. 47.2% historically). We see upgrade potential.
• With net cash amounting to 19.3% of the share price, its 15.9x and 12.4x PERs for FY26F and FY27F do not look stretched.

• We highlight large and small cap companies that experienced significant insider buying during September 2025, as reported on the stock exchanges.
• We also present key sectors which saw insider buying during the month along with names which have moved significantly above the insider buying price.
• As September is a month just before the result season starts, some of these companies may highlight about improving prospects during coming quarters.

• Midea will achieve double-digit growth in 2025. As domestic home appliance market enters a stage of competition for existing customers, B-end market and overseas markets have become new growth keys.
• The development path of three giants becomes clear – Midea pursues full industry chain synergy with diversified layout/digital capabilities.Haier builds a global brand matrix through high-end/localized operations.Gree is lagging behind.
• For mature industry leading enterprises, 10-18x P/E is reasonable, or market value of RMB430-855bn based on Midea’s 2025 net profit forecast. Considering higher growth, valuation would be higher than Haier.

• Henderson Far East Income Ltd (HFEL) is an investment trust focused on providing a high and growing annual dividend, alongside capital appreciation, from a portfolio of Asia-Pacific equities.
• The trust is positioned to benefit from the structural growth trends in Asia, but its performance has been hampered by market volatility and its value-oriented approach, leading to a trade-off between a high yield and capital growth.
• Key risks for investors include geopolitical tensions in the region, the inherent volatility of Asian markets, and the use of gearing which can amplify both gains and losses.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• ABC Mart holds a dominant position in the Japanese footwear market, leveraging strong relationships with major brands and a successful private label strategy to drive consistent growth.
• The company is pursuing a dual-pronged growth strategy focused on expanding its high-end ‘Grand Stage’ store format in Japan and accelerating its presence in overseas markets, particularly in South Korea and Taiwan.
• Financial performance has been robust, with a strong 3-year CAGR in net income and free cash flow, supported by recovering margins and efficient inventory management. The company maintains a healthy balance sheet and a consistent dividend payout.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• Bureau Veritas, a global leader in testing, inspection, and certification services, reported its financial results for the first half of 2025 with several key highlights.
• The firm achieved a revenue of EUR 3.2 billion, which represents an organic growth of 6.7% and a total growth of 5.7% on a reported basis.
• This increase was driven by high volumes and strategic pricing programs.