In today’s briefing:
- IHI Corp (7013 JP): Global Index Inclusion in May
- Spindex (SPE SP) Illiquid but Very Cheap Company
- The Beat Ideas: Danish Power Limited – Riding the Green Energy Wave
- The Beat Ideas- Shilchar Technologies: Powering the Grid, Energizing Growth
- Furukawa (5715 JP) – Course-Correcting for Growth
- ASR US – Actinver Research – ASUR 1Q25: Positive Results In Line With Our Estimates (Quick View)
IHI Corp (7013 JP): Global Index Inclusion in May
- IHI Corp (7013 JP) has had a monster rally over the last year with the stock price tripling over the period. That could now result in a global index inclusion.
- IHI Corp (7013 JP) has outperformed its peers over the last year but still trades cheaper than the average and median of its peers on quite a few valuation metrics.
- The appears to be a lot of positioning in the stock, but we see a similar pattern in its peers too. There could be some upside over the near term.
Spindex (SPE SP) Illiquid but Very Cheap Company
- Spindex is an illiquid but well managed company listed in Singapore
- It trades at less than 2X EV/EBDITA multiple while its competitor Innovalues got privatised at 9 X EV/EBDITA
- With 60% of market cap in cash, ex-cash current assets are more than total liabilities, offering limited downside
The Beat Ideas: Danish Power Limited – Riding the Green Energy Wave
- Danish Power (DANISH IN) stands to benefit from India’s aggressive shift towards renewable energy, particularly solar, supported by strong product offerings like Inverter Duty Transformers, which drive substantial revenue growth.
- DPL’s strategic shift to higher-margin products, improved operating leverage, and expanded capacity should fuel margin expansion and support sustained profitability, positioning it well for continued growth and competitiveness.
- With a robust order book exceeding INR 400 crore and an active pipeline, DPL has solid revenue visibility supported by strong demand in domestic and international markets.
The Beat Ideas- Shilchar Technologies: Powering the Grid, Energizing Growth
- Shilchar’s focus on Inverter Duty Transformers positions it to capitalize on the booming renewable energy sector, especially solar, supporting long-term growth and profitability.
- Shilchar’s recent capacity expansion, with a potential to scale further, ensures it can meet increasing domestic and export demand for transformers, positioning it for sustained market leadership.
- Shilchar’s debt-free balance sheet and strong cash reserves enable strategic reinvestment in capacity and technology, ensuring continued growth in the competitive transformer industry.
Furukawa (5715 JP) – Course-Correcting for Growth
- With a 150-year track record, Furukawa operates in Machinery and Materials production.
- Machinery focuses on heavy equipment for infrastructure, mining, and crushed stone, while electrolytic copper and byproducts have traditionally led Materials.
- The company is undergoing a strategic shift, prioritizing higher-margin Machinery growth while significantly reducing unprofitable electrolytic copper exports.
ASR US – Actinver Research – ASUR 1Q25: Positive Results In Line With Our Estimates (Quick View)
- Operating Revenues of P$8.2bn were driven by solid aeronautical growth and positive performance on the non-aeronautical front.
- Total operating sales growth of 14% YoY was driven by a 12% YoY gain in aeronautical revenues, mainly explained by higher average tariffs (+12% YoY), which supported the 0.2% gain in total PAX.
- On the other hand, non-aeronautical revenues (36% of the total) gained 17% YoY, supported by an implicit gain of 17% YoY in the non-aeronautical revenue per PAX.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
