Daily Brief Financials: Hang Seng Index, Del Monte Pacific, JDC Group AG, TMT Investments, Yuexiu Real Estate Investment Trust and more

• Brian Freitas has highlighted in his August 18th’s insight the details of what to expect in the upcoming, September 5, index rebalance for the Hang Seng Index (HSI INDEX) .
• The HSI started a modest pullback this week, outlook for the index remains bullish, this insight will try to determine both buy-the-dip and profit targets areas for the coming weeks.
• We have attached at the end of the insight an Excel file with all our price and time model’s data for the HSI INDEX. Check it out.

• Oxley Holdings’ ADT surged to S$0.583 million since May, a 10.6× increase, with S$5.3 million profit before tax in 1HFY25.
• UOB-Kay Hian Holdings recorded S$23.09 million net institutional inflow, with P/E ratio rising from 7x to 10x.
• Non-index mid and small cap stocks attracted over S$100 million net institutional inflows since May, led by UOBKH and CSE Global.

• Oxley Holdings’ ADT surged to S$0.583 million since May, a 10.6× increase, with S$5.3 million profit before tax in 1HFY25.
• UOB-Kay Hian Holdings recorded S$23.09 million net institutional inflow, with P/E ratio rising from 7x to 10x.
• Non-index mid and small cap stocks attracted over S$100 million net institutional inflows since May, led by UOBKH and CSE Global.

After the announcement that it has acquired 60% of lead-generating specialist FMK Group (FMK), JDC reported Q2 results last week. Management reiterated the new FY25 and FY26 guidance that was provided with the announcement of the FMK transaction. With the acquisition, the former FY30 target for EBITDA of €40–50m is already in sight and is now expected to be reached by FY27 at the latest. On our estimates, the lower end of this range could be reached in FY26. JDC is trading on an FY25e EV/adjusted EBITDA multiple of 15.3x (was 13.7x at Q1), which still appears undemanding, particularly compared to platform peers. Our discounted cash flow (DCF) values JDC at €36.89/share, increased from €34.56/share previously largely due to the FMK transaction.

• Since inception in 2010, there has been a 14.5% per annum increase in IRR to December 2024 as management has grown the portfolio to a total of approximately 50 maturing tech companies.
• These companies are in impactful technologies primarily focused on Big Data/Cloud, Ecommerce, Edtech, Mobility, FinTech and SaaS (software-as-a-service).
• The Interims to June 2025 reported a 3.8% increase in NAV to $6.80 from $6.55 as of 31 December 2024 and an Operating gain of $7.89m compared to a $0.19m Operating loss as at 30 June 2024.

• In today’s Morning Views publication we comment on developments of the following high yield issuers: Yuexiu REIT
• UST yields rose 1-2 bps yesterday, with limited major catalysts ahead of Fed Chairman Jerome Powell’s Jackson Hole appearance later this week. The yield on the 2Y UST inched up 1 bp to 3.77%, while that on the 10Y UST was up 2 bps at 4.33%.
• Equities were flat, with the S&P 500 and Nasdaq stable at 6,449 and 21,630, respectively.