In today’s briefing:
- Link’s On Again-Off Again Scheme Is All but Off
- Taiwan Tech Weekly: Biden Says US Will Defend Taiwan, Texas Instruments Gives Hope
- Meituan (3690 HK): User Base Beating Competitor, Industry Recovering, Upgrade to Hold
- Post-Merge Market Mayhem
- Broadcom Inc: Collaboration With Dell & Other Drivers
- Uber Technologies: AV-Based Food Delivery Pilot & Other Developments
- HP Inc.: Weakened Macro & Other Developments
- Autodesk Inc: Introduction of AutoCAD Web & Other Drivers
- Match Group: The League Acquisition & Other Drivers
- Zscaler Inc: New Feature Additions
Link’s On Again-Off Again Scheme Is All but Off
- Dye & Durham/DND has proposed a revised Link Administration (LNK AU) offer to address any FCA redress payments. Around A$1.00 per share will hang on the outcome of the FCA investigation.
- The Link Board has said it cannot recommend the revised proposal based on value, structure and alternatives available to Link. We agree with the Board’s view.
- The scheme is all but dead. The shares are now a back-end play and remain attractive for value investors.
Taiwan Tech Weekly: Biden Says US Will Defend Taiwan, Texas Instruments Gives Hope
- Biden makes the most definitive statement to date that the US will defend Taiwan.
- Texas Instruments hikes dividend, annouces additional buyback. Will other cash rich semiconductor stocks follow suit?
- Intel vs. TSMC/UMC Trade Monitor: We look at performance streaks for the pairs. Intel outperforming over the last trading sessions.
Meituan (3690 HK): User Base Beating Competitor, Industry Recovering, Upgrade to Hold
- In July, Meituan’s user base exceeded Ele.me and Ele.me’s active user base decreased by 24% YoY.
- In China, Monthly active user bases of local life and food delivery recovered from May to July.
- We believe Meituan’s stock has only a downside of 6% for year end 2023.
Post-Merge Market Mayhem
- Price Movements: ETH is down 25% on the week despite the successful completion of the Merge.
- Market Liquidity: The U.S. dollar remains the dominant fiat currency in crypto, possessing 70% of total fiat trade volume.
- Derivatives: ETH funding rates have returned to neutral after dipping to all time lows of less than -0.4%.
Broadcom Inc: Collaboration With Dell & Other Drivers
- Broadcom reported an all-around beat in the quarter with an increase in revenues in semiconductor solutions and infrastructure software.
- Service and cloud provider growth remained strong in the quarter, driven by infrastructural upgrades and data center build-outs.
- As both enterprise and cloud data centers refresh, they continue to increase the adoption of the company’s Jericho, Trident, and Tomahawk switching silicon platforms.
Uber Technologies: AV-Based Food Delivery Pilot & Other Developments
- Uber Technologies delivered a mixed quarterly result with revenues above expectations resulting from an increase in the annualized run rate and gross bookings.
- The company failed to meet market expectations on the earnings front as a result of considerable forex challenges through it did generate a positive free cash flow.
- The top-line growth of the company continues to be durable and the onboarding process has shown a significant improvement.
HP Inc.: Weakened Macro & Other Developments
- HP Inc also had a significantly below par result along with its rival, Dell Technologies as the industry cycle has commenced its downward trend after the huge upswing during the pandemic.
- The results of this quarter were impacted by macroeconomic challenges, which included a significant slowdown in consumer demand to geopolitical, currency, and inflation challenges.
- Recently, the company introduced its HP Instant Ink for its small business and its innovative LaserJet Pro with HP+.
Autodesk Inc: Introduction of AutoCAD Web & Other Drivers
- Autodesk reported a solid quarter in terms of revenue, free cash flow, and non-GAAP operating margin.
- The end market’s demand remained strong for the company and it delivered another all-around beat.
- Among key developments, Autodesk introduced AutoCAD Web, a new combined subscription to AutoCAD Web and AutoCAD Mobile from Autodesk with improved access to drawings.
Match Group: The League Acquisition & Other Drivers
- Match Group had a weak quarter with a below-par growth in the total revenue that resulted in the company failing to meet Wall Street expectations.
- The direct revenue of the company grew in the U.S with strength at Tinder, Chipsa, BLK, and Hinge.
- Additions of Tinder payers came in addition, while the established brands of the company, including Match Infinity brands and Match, Plenty of Fish, OkCupid, and Meetic, declined more than 10% in total.
Zscaler Inc: New Feature Additions
- Zscaler continued with its robust growth story and delivered yet another all-around beat in the recent result with 15% free cash flow margins, 63% year-over-year revenue growth, and a 54% year-over-year billing increase in the third quarter.
- The company saw a considerable increase in Q3 in the number of new deals for $1 million or more across the most important customer sectors.
- In this report, we have carried out a fundamental analysis of the historical financial statements of the company.
💡 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
