Equity Bottom-Up Archives | Page 22 of 222 | Smartkarma

• Mercedes-Benz Group (MBG GR)’s EBIT fell 30% in 2024 and another 24% in Q12025; management expects significantly lower earnings &free cash flow in 2025 amid rising capex, weak pricing and tariffs
• China & JV Risk: 34% of units sold in China yield limited profit. EV price wars and slowing demand in the region continue to erode margins.
• Valuation Trap: Despite a low P/E (~8x FY25e), high dividend yield (~8%), the cheap valuation may be unsustainable as structural pressures mount from tariffs, EV transition costs, and falling RoS.

• Schloss Bangalore’s Rs3,500 crore IPO includes a Rs2,500 crore fresh issue largely earmarked for debt repayment, with limited allocation toward growth investments.
• The company operates 13 ultra-luxury hotels under The Leela brand, delivering premium ARR and F&B-led revenue, but with relatively modest scale versus larger peers.
• While expansion plans are underway with 678 new keys by FY28, the IPO is priced at a rich ~12x EV/Sales—significantly above Oberoi’s ~8x, despite being half its size.

• Alibaba Cloud is doubling down on globalization with a bold new strategy and 380-billion-yuan ($52.7 billion) investment plan aimed at creating a unified global cloud network and accelerate the international rollout of its AI offerings.
• The initiative seeks to establish Alibaba Cloud as the digital backbone for China’s next generation of global companies.
• Speaking at the Alibaba Cloud “Go Global Summit” on Thursday, Wu Yongming, Alibaba Group CEO and Alibaba Cloud chairman, said China’s globalization is entering a new era — one led not just by product exports but by the global rise of Chinese technology, brands and advanced manufacturing.

• After four years of behind-the-scenes development, Xiaomi has officially joined the top tier of smartphone chipmakers with the launch of its first in-house 3-nanometer system-on-chip (SoC), the Surge Xuanjie O1, along with its first self-developed 4G baseband chip, the Xuanjie T1.
• The announcement came during the company’s product launch event in Beijing on Thursday, where Xiaomi also introduced its new flagship phone 15s Pro and 7Ultra tablet — both powered by the Xuanjie O1— as well as a smartwatch using the T1 chip.
• The Xuanjie O1 is built using TSMC’s second-generation 3nm N3E process the same advanced node used in Apple’s A18 chips and Qualcomm’s Snapdragon 8 Elite.

• In this insight, we provide the top 10 stocks picks and key catalysts in the Korean stock market for the two weeks (23 May to 6 June 2025).
• Our top 10 picks were up on average 2.4% in the past two weeks (from 9 to 23 May), outperforming KOSPI which was up 0.6% in the same period.
• The top 10 picks in this bi-weekly include Samsung Securities, LG Uplus, Amorepacific Holdings, Samsung C&T, JYP Entertainment, Nongshim, Krafton, LS Electric, F&F, and Emart. 

• Huawei Technologies Co. Ltd. unveiled its first personal computers Monday in Chengdu, with machines powered by the company’s self-developed chips and HarmonyOS operating system in a direct challenge to the long-standing dominance of Windows-Intel (Wintel) and Apple’s macOS technology.
• The MateBook Fold, priced from 23,999 yuan ($3,328), features an 18-inch foldable screen and a split keyboard, while the lighter MateBook Pro, starting at 7,999 yuan, follows a more conventional laptop design with a 14.2-inch display.
• Huawei did not disclose the specific chip used in either model, but industry observers believe the devices are equipped with the company’s Kirin X90 processor built on an Arm architecture.

• Xiaomi has its own smartphone chip! It’s the 4th announcement (2014, 2017, 2021, 2025)? Yes it is. Why it didn’t succeed before, will it work out now? It won’t.
• Mobile chip development costs US$800m-1bn, to be amortized on Xiaomi’s small volumes. The economics don’t work. It won’t give Xiaomi any performance / differentiation benefits.  
• Why now? Computex was ongoing in Taipei with 10 big-size CEOs, Nvidia, AMD, Qualcomm, Mediatek, TSMC… maybe they felt lonely in Beijing? If you bought Xiaomi, please sell.

• The Samsung Fire & Marine Insurance (000815 KS) vs. Woori Financial Group (316140 KS) Price-Ratio has deviated two standard deviations from its one-year average, highlighting a potential tactical opportunity.
• Statistical and fundamental arguments are provided for and against a relative value trade in this pair that derives from two different industries.
• Trade setup, statistical properties, factor exposure, risk management strategies, and key events are discussed.

Dentsu Group’s Q125 figures show 0.2% organic net revenue growth and an improvement in operating margin. Japan performed well, with international operations more challenged. Dentsu’s new management plan aims to drive profitability and competitiveness, particularly ex-Japan. It targets up to ¥50bn of operating cost reductions, returning the group to consistent profit growth from FY27. The ¥50bn cost of reshaping the group weighs on FY25 profits but should result in a simpler organisation. A further ¥45bn will be invested over three years with the aim of no markets being loss-making by FY26. The group will focus on the key Japanese and US markets, with the international business centred on adding value to Dentsu’s existing strengths in media. The goal is to achieve a mid-teens return on equity by the plan’s completion.

• IDEX Corporation recently reported its first-quarter results for 2025, outlining both positive performances and areas of challenge.
• The company exceeded expectations across revenue, profitability, and adjusted earnings per share, thanks to incremental cost savings and strategic price adjustments.
• This highlights IDEX’s effective operational management, despite an environment marked by policy-driven uncertainties, such as newly introduced tariffs.

• Sumber Alfaria Trijaya (AMRT IJ) booked a surprisingly strong set of 1Q2025 results, going against softer consumer sentiment, underlining Alfamart as a supplier of essential goods. 
• The company cut promotional spending in 1Q2025 by half, which improved profitability by 30% QoQ, but it still booked SSSG of 8.8% YoY, outperforming other consumer staples players. 
• Alfamart continued to open new stores in 1Q2025, targetting 1,000 new outlets this year. This should help drive growth in 2025, along with SSSG. Valuations remain attractive versus growth prospects.

• TSMC explained that the growing demand for autonomous driving technologies in smartphones, PCs, IoT devices, and the automotive industry is driving the development of its N4/N3 and N6RF process technologies.
• TSMC announced that the A14 process, which will adopt the new NanoFlex Pro technology, is scheduled to begin production in 2028.
• TSMC plans to launch CoWoS-L with 5.5x reticle size in 2026 and surpass current CoWoS limitations with 9.5x reticle size by 2027.

• The Bajaj Finance Ltd (BAF IN) vs. Kotak Mahindra Bank (KMB IN) Price-Ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
• While one of the two companies displays higher revenue growth, the valuation might begin to become stretched. Fundamental key figures are provided to complement the statistical analysis.
• Trade setup, statistical properties, factor exposure, risk management strategies, and key events are discussed.

• Vulcan Materials is a major player in the construction aggregates market, providing the foundation for buildings, roads, and infrastructure in the United States.
• The company owns and operates quarries across the country, with a market cap close to $30 billion.
• Aggregates are essential for asphalt and concrete production, with Vulcan playing a crucial role in supplying this key material for construction projects.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Xiaomi to launch strategic new products on the 22nd, including the new SoC chip “Surge O1”.
• Xiaomi Surge O1 at a glance: benchmark scores suggest it’s a strong rival to MediaTek and Qualcomm.   
• While Xiaomi has not confirmed the chip’s foundry partner,  we believe it is very likely manufactured by Taiwan Semiconductor (TSMC) – ADR (TSM US).  

• Reports of Samsung securing 2nm customers (Nvidia, Qualcomm), but AMD is saying that TSMC has the best and only 2nm, Nvidia saying there’s no alternative to TSMC CoWoS.   
• Competition at 2nm / 18A is already over. Chips tape-out are rolling out. If Intel, Samsung can gain Foundry customers, it is for the next node 14A in 2027-28.
• The difficulty for Intel and Samsung is that TSMC is a lot faster to develop PDK, qualify process, tape-out chips. The total cost of chipdesign at US$0.5-1bn is another hurdle.  

• VEON returned to billion-dollar quarterly revenue in 1Q25; EBITDA grew 13.7% YoY on strong digital execution.
• Digital revenues rose 50% YoY, now 14.3% of group total.
• Kyivstar IPO on track for 3Q25 at US$2.3bn valuation; fintech optionality in Bangladesh and Ukraine emerging.

• CARE Ratings achieved its highest-ever standalone and consolidated income and profitability in FY25, significantly improving margins across the group.
• The results validate the effectiveness of the company’s quality-led growth strategy, operational efficiencies, and strategic investments in non-ratings and international businesses.
• The performance reinforces confidence in Care’s ability to outpace the industry and achieve its diversification targets, supported by strong execution and market positioning.

• F1 is evolving to be more than just a sport, focusing on entertainment and business development
• The fan base is becoming younger and more diverse, with 40% women and 60% men, average age 35
• F1 is balancing historic venues with new races, aiming for 24 races per season and considering new markets in Asia and Africa

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Alibaba (BABA) reported C1Q25 top line in-line with our estimate and consensus. Taobao/Tmall (T/T) outperformed while Cainiao and Int’l commerce underperformed. 
• Stabilization of domestic e-commerce is a major positive. However, on-demand e-commerce at home and video e-commerce abroad are two global growth drivers, 
• We see new challenges emerging following business stabilization. We believe the management is up to the task. We keep BABA in our TOP BUY list and reiterate rating and TP.

• On 20 May, Samsung C&T (028260 KS) made an important announcement that it started research and development on a space project that includes a rocket launch facility construction.
• This is a signal that the Samsung Group may be interested in expanding in the global defense/aerospace industry once again. 
• The recent news flow on Samsung’s expansion into aerospace business including Samsung C&T’s development of rocket launch facility is likely to positively impact Samsung C&T’s share price. 

• Metaplanet’s secret weapon? Moving-strike warrants that raise equity into strength—fueling BTC buys while sidestepping the deep discounts typical of Japan’s small-cap raises.
• Forget buybacks. Metaplanet is redefining shareholder value by issuing stock, not retiring it—turning dilution into accretion via Bitcoin per-share growth.
• A 4.6x mNAV premium gives Metaplanet unmatched BTC buying power—creating a capital flywheel that most traditional treasuries can only envy.

• China announced game approval for the May batch. The number of games approved remained at a higher level than 2023.
• The pace of China’s game approval appears to have accelerated to the same level as pre-tightening.
• Of the companies that we are monitoring, none of them got approval for domestic games but a handful approvals of imported games save their day.

• The Canara Bank (CBK IN) vs. Punjab National Bank (PNB IN) price-ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
• The relative value opportunity has a target return of approximately 6% and can be implemented through stocks, derivatives, or as relative over-/underweights in a long only context.
• Trade setup, statistical properties, factor exposure, risk management strategies, and key events are discussed.

• Indusind Bank (IIB IN) faces significant accounting discrepancies, leadership resignations, and suspicions of fraud, with the bank announcing a net loss of Rs 2,329Crs in Q4 FY25 due to this.
• The escalating situation, involving fraud suspicions and leadership resignations, raises concerns about the bank’s internal controls, financial reporting, and governance.
• IndusInd Bank’s path forward hinges on transparent investigations, fixing internal control systems, and restoring leadership accountability. Investors should closely monitor the regulatory response and management’s corrective actions.

• SEA reported C1Q25 top line, non-GAAP operating profit and GAAP net income (3.7%), 10% and 8.4% vs. our estimates and 1.4%, (16%) and 31% vs. consensus. 
• SEA has weathered the return of TikTok Shop better than rivals three quarters in a roll, but we see its e-commerce business vulnerable to future attacks. 
• We raised TP from US$75 to US$134 but DG to a SELL on rich valuation

• Tencent reported C1Q25 rev., IFRS op. profit, and IFRS net inc, in-line, (3.1%), (5.6%) vs. our est. and 3.8%, (2.3%), (4.9%) vs. cons. 
• As predicted, Tencent maintained a transitional game quarter well, going forward new game launches shall fill the pipeline while recovering consumption helping on advertising and fintech. 
• We raised our TP to HK$584 for better outlook and place Tencent back to the TOP BUY list. Our TP implies 21x PE.

• Iron ore mining capacity expansion from 2.35 MTPA to 6 MTPA and pellet capacity from 2.7 MTPA to 4.7 MTPA expected by 3QFY26 with full ramp-up by Q4 FY26.
• 4QFY25 consolidated revenues of ₹1,468 crore, with EBITDA at ₹318 crore and PAT at ₹221 crore, reflecting a slight decline year-on-year due to lower realizations.
• Valuations appear reasonable driven by steady earnings growth backed by capacity addition, mine expansion and operational efficiencies.

• Allied Blenders & Distillers (9844250Z IN)‘s FY25 marked a pivotal shift with record profitability, fueled by premiumization, cost efficiency, and expansion into international markets, notably through its luxury portfolio.
• Record profitability and a strengthened balance sheet position ABDL for aggressive expansion in the high-margin super-premium and luxury segments, supported by strategic CapEx.
• ABD’s transformation into a premium-focused brand with significant global expansion potential, particularly in luxury segments, positions it for sustained growth and higher margins.

• Strong results reflect progress of existing approved drugs including key oncology drugs.
• Mazdutide is set to be released in 2025, and the company is currently making plans for the release.
• Innovent Biologics continues to add to its drug development portfolio.

• Total travelers grew by 26% YoY in China in 1Q25, up from 13% YoY in 4Q24.
• Trip.com’s total revenue grew by 16% YoY in 1Q25, among which hotel booking grew by 23%.
• We believe operating margin will be stable, as the growth of sales and market expense has been slowing down.

• PROTEAN eGov Technologies LTD (PROTEAN) has experienced a significant setback by not being shortlisted for the Indian government’s PAN 2.0 project worth INR 1,440 crore, a material negative.
• This exclusion, despite earlier confidence, is expected to lead to a substantial decline in this revenue stream over the next 2-3 years, potentially collapsing by 75-100%.
• The PAN business has historically been a key driver of profitability and free cash flow, funding new initiatives now under threat. 

• Following its AGM on May 13 last, AMD announced a new $6 billion share repurchase program, despite still having $4 billion remaining on the previous buyback program
• The AGM also approved a proposal to authorize a 78% increase in the company’s share count, from 2.25 billion to 4 billion shares
• It’s a bold move on AMD’s part and it reawakens memories of the company’s acquisition of Xilinx back in 2022 in a $35 billion all stock deal. Deja vu ?

• We expect Baidu to report C1Q25 top line,non-GAAP operating profit and GAAP net income inline, (4.2%) and (8.2%) vs. the consensus, and C2Q25 top line guidance (2.7%) vs. the consensus
• Although we expect rebounding consumption to help BIDU’s advertising business, its traffic share losses were alarming. Further, we expect some of BIDU’s core advertising categories to experience sluggish recovery;
• We maintain our view that Baidu lacks visible growth drivers, reiterate our SELL rating, and cut its TP to US$88.

• JD.com C1Q25 revenue exceeded our estimate/consensus by 2.4%/4.3% and adjusted NI by 19%/20%, thanks to better-than-expected cross selling from trade-in subsidies and gross margin;
• We, however, raise full year new businesses operating loss from RMB(6bn) to RMB(12bn). We estimate 80% of the loss will come from food delivery;
• In lieu of the continued uncertainty in take-out investments, we remove JD.com from TOP BUY while cut TP from US$58 to US$54.

• In Q125, ZTO’s rate of volume growth accelerated, but it still lagged overall market growth
• Despite a sharp (-18% Y/Y) decline in SG&A expenses, OpInc margin fell by -70 bps Y/Y
• Guidance suggests ZTO will chase volume share rest of FY25, pressuring margins further

• Welspun Living targets INR 15,000 crore revenue by FY27, focusing on debt reduction and expanding its non-core businesses, diversifying its growth and financial resilience.
• The company’s emphasis on sustainability and innovation, including renewable energy initiatives, positions it as a leader in eco-friendly home textiles, responding to market shifts.
• Despite fierce competition, Welspun Living’s strong brand portfolio and global presence reaffirm its leadership in the home textiles market, making it well-positioned for long-term growth.

• Archean Chemical Industries (ACI IN) posted strong operational performance, driven by robust export growth and stable demand across key segments.
• Despite external market challenges, Archean’s diversified product portfolio and strategic acquisitions provide a solid foundation for future growth.
• Archean is well-positioned to continue expanding, with significant upside in bromine derivatives and energy storage, supporting its long-term growth trajectory.

Borussia Dortmund’s strong Q325 results reflect a relatively busy football schedule with just under one-half of the cumulative home games of the season played in the period. It is safe to say the most important result came after the Q325 results were published, as the first team qualified to play in the Champions League in 2025/2026. An impressive surge with seven wins in the last eight games took the club to the treasured fourth position, having been in 11th position prior to those games and fifth ahead of the final game. The last time the team was in the top four of the Bundesliga this season was after the third game. The replacement of the first team coach at the end of January 2025 certainly has paid off. We make no change to our estimates.

• Apcotex Industries (APCO IN) reported a robust 12.5% YoY revenue growth in Q4 FY25, driven by strong volume and export growth.
• Despite external challenges like crude price volatility and global overcapacity in latex, the company showcased strong operational performance.
• The recovery in margins, driven by improved capacity utilization and higher exports, supports optimism for FY26 despite market uncertainties.

• NVIDIA Corp (NVDA US) CEO Jensen Huang visited Taiwan to attend the COMPUTEX Taipei International Computer Exhibition.  
• Meanwhile, NVIDIA continues expanding its workforce, recently opening over a thousand job vacancies globally.  
• Throughout his speech, Huang repeatedly mentioned Taiwan. He opened with “Hello Taiwan,” noting that both of his parents were present in the audience, highlighting his personal connection to Taiwan.  

• Nvidia will provide IP blocks to other semiconductor designers (hyperscalers Amazon, Google, their design partners Alchip, Mediatek) so that they can integrate their own CPU or ASIC into Nvidia’s systems.    
• A small size RTX-Pro-Server for Enterprise to run their own AI models, AI agents. That’s “on-premise” AI. AI Data Platform, a tool to structure and train AI data and models.  
• Mediatek is promoted to the title of “great partner”. Lots of mentions of Hon Hai / Foxconn, TSMC. No mention of Broadcom.

• TSMC: +19.2% Premium; Rebounded from Previous Lows, Consider Shorting ADR Spread at 20% or Higher
• ASE: +6.0% Premium; Near Level to Go Short the ADR Spread
• ChipMOS: +3.4% Premium; Good Level to Short the ADR Spread

• COMPUTEX 2025 Kicks Off — Nvidia CEO unveils Taiwan AI Supercomputer investment plan with Hon Hai, TSMC as key partners.
• Nvidia Opens Up Ecosystem with new “NVLink Fusion” — A strategic move to cement long-term platform dominance.
• PC Monitor — Asus Results Warn of Coming Slowdown; PCs’ Next Edge AI Shift 

• There’s been an avalanche of biased or disingenuous comments along the lines of “Samsung, TSMC won’t use High N.A. EUV” or “too expensive, too difficult”. 
• Samsung will use High NA in 4F² DRAM by 2028; TSMC in some but not all A14 processes by 2028. 
• We should really think about High NA as optionality value for ASML (share price), rather than a catalyst.

• Unveiled a Rs1.3 lakh crore capex program is planned over FY26–FY30 to reach 30 GW total capacity and 40 GWh energy storage by FY30.
• Reported a 16% year-on-year increase in Q4 FY25 net profit to ₹408 crore, with revenue rising 16% to ₹3,189 crore.
•   Trades at ~46x P/E—above Adani Power (~17x) and Tata Power (~33x).

• Aarti Industries (ARTO IN) posted a solid 9% QoQ revenue growth, driven by higher volumes in the energy sector.
• The company is navigating external volatility, including US tariffs and geopolitical uncertainty, while maintaining growth through volume recovery and diversification.
• The solid volume uptick in key sectors positions Aarti for continued growth in FY26, despite margin pressures.

Georgia Capital (GCAP) delivered a solid NAV total return of 11.2% in Q125 in local currency terms (9.8% in GBP), continuing its strong 15.1% growth per annum since end-2018. Q125 NAV growth was driven primarily by Lion Finance Group’s stock performance (BGEO, formerly Bank of Georgia), which contributed 6.9pp to NAV performance. The strength of GCAP’s private portfolio continues to be reflected in robust earnings growth and sustained dividend flows. The group has reiterated its guidance to receive GEL180m in recurring dividends in 2025 (flat vs 2023 and 2024, which was sufficient to cover 169% of GCAP’s share buybacks over the last two years). Given the persistent wide discount to NAV (currently 37% to end-March NAV), GCAP remains focused on accretive share repurchases, reinforcing its commitment to disciplined capital allocation.

• In this edition: • AkzoNobel | believed to be close to a final deal with JSW Paints on Akzo Nobel India • KPN | VodafoneZiggo investigating possible sale of transmission towers • InPost | poor delivery quality in to-door segment damaging to e-commerce growth • Just Eat TakeAway.com (“JET”) | Prosus launches recommended cash offer • Corporate agenda | week 21 – 24

• On May 14, 2025, Edesa Biotech, Inc. (EDSA) announced financial results for the second quarter of fiscal year 2025 that ended March 31, 2025 and provided a business update.
• The company has initiated outreach to potential investigators along with manufacturing-related activities to support U.S. regulatory approval for a Phase 2 study of EB06 in the treatment of vitiligo.
• Manufacturing of EB06 is likely to be finished in the second half of 2025 such that the company can submit the manufacturing data to the FDA as part of the Investigational New Drug (IND) application.

• Management claimed 4Q25 total revenue should grow by 10% YoY excluding two sold subsidiaries.
• The growth rate of customer management revenue rose to two digits in 4Q25.
• The main business margin was stable and most of the minor business margins rose YoY in 4Q25.

• In 1Q25, BEKE’s active stores increased by 29% YoY and total revenue increased by 42% YoY.
• New home revenue and rental revenue grew by 64% YoY and 94% YoY in 1Q25.
• We believe the stock price can double and is undervalued for the concerns on the general property market.

• Nexon underperformed the software segment by 32% in the past 12 months, and analysts expect earnings to decline over the next 5 years.
• But the company beat Q1 consensus EBIT estimates.by 54% and the stock lurched 17% the very next day.
• Nexon’s business is immune to tariffs and tends to perform well in recessions. The company’s pipeline appears to be stronger than anyone imagined.

• In FY25, Eisai Co Ltd (4523 JP) reported 6% YoY growth in revenue, driven by 3Ls. Operating profit rose 2% YoY and net profit climbed 9% YoY to ¥46B.
• Eisai guided for FY26 revenue of ¥790B, flat YoY. Revenue for Leqembi is expected to grow significantly (¥76.5B, up 73% YoY). Operating profit is expected to remain flat at ¥54.5B.
• Leqembi’s potential market expansion holds promise, especially in the developed economies with the proportion of aged population gradually on the rise and with a dearth of suitable treatment options available.

• More US restrictions on export of SPE Semi Production Equipment to Chinese firms (CXMT, SMIC, YMTC). The big increase in Chinese spending was done over 2023-24, it’s declining in 2025-26. 
• Chinese domestic SPE vendors are growing fast and gaining share from AMAT, LAM, TEL. ASML is a monopoly below 65nm. KLA is very dominant. Focus on best 2: ASML, KLA.
• China’s efforts to grow its own supply chain and equipment makers will continue, AMEC and Naura are the leaders. Consolidation could start. 

• Belrise Industries, founded by the Badve family, is a leading auto component maker launching its Rs2,150 crore IPO from May 21–23, 2025, at a price band of Rs85–90.
• It supplies key chassis and metal parts to top OEMs like Bajaj Auto, Hero MotoCorp, and HMSI, playing a critical role across ICE and EV platforms.
• While most proceeds are earmarked for debt repayment, high working capital needs suggest leverage could rebuild as the business scales.

• Philippine Stock Exchange (PSE PM) reported an encouraging Q1 2025 with revenue/operating income up 82%/72% YoY, buoyed by the acquisition of PDS. 
• Despite acquiring 91.6% of PDS (as of 15 May 2025), the company has net cash and investments of 4.8 bn pesos, representing more than 30% of its current market capitalization. 
• Trading at 13x PE, with a >6% forward dividend yield, and ex-cash ROCE>20%, the stock is cheap. We believe there is a long runway for growth with multiple catalysts.

• ASUS beat 1Q25 expectations, but flagged tariff risks and a potential PC demand slowdown in 2H25 as consumers front-load purchases ahead of pricing uncertainty.
• PC segment growth outperformed the market, led by >30% YoY gains in commercial PCs and strong momentum in AI-capable and gaming systems.
• On-Device AI execution is emerging as the next PC evolution; Asus is preparing for this shift with GX10 edge devices and deeper integration of AI across product lines.

• Reported surge in listing interest on SGX (SGX SP) driven by escalating U.S.- China trade tensions and associated geopolitical uncertainties.
• Singapore’s proactive policy toolkit announced in February 2025  offer issuers both cost savings and regulatory certainty and could play a role in attracting more companies to list in Singapore.
• An uptick in listings on the Singapore Exchange (SGX) can set off a virtuous cycle, strengthen valuation multiples  and lead to upward revisions to 2026 earnings forecasts.

• Domestic Demand Sluggish:Hyundai Motor India (HYUNDAI IN)’s Q4 FY25 profit declined 3.7% YoY as weak domestic sales persisted, partly offset by 14% YoY export growth and price hikes.
• SUV Focus Drives Mix Shift: SUVs formed 69% of domestic volumes in Q4, benefiting from rising first-time buyer interest and driving improved average selling prices.
• Valuation Fair; Profitability to Soften: Stock trades at ~27x EPS. Near-term margins may be pressured by depreciation from the underutilized new Pune plant ramping up in FY26.

• Momentum building – With a continued recovery at the core Optical segment, and high double-digit sales growth YoY at Life Science & Equipment, we believe Q1-3 FY3/26 results indicate sustained upward momentum at JTEC.
• The company has maintained FY6/25 guidance, and while this implies a back-end-loaded Q4 FY6/25, order visibility appears firm from demand on a global basis for the Optical business.
• Indications of progress in the Life Science and Equipment Development segment, driven by the semiconductor initiative, are promising, even if its full earnings potential remains longer-term. 

Pan American Silver (PAAS) delivered strong quarterly results, with higher commodity prices boosting revenues and lowering costs. Q125 EBITDA was US$330m, just 5% shy of the seasonally strongest Q4 number, as costs were markedly below and production was in line with quarterly guidance for both segments. The company maintained its FY25 operating outlook, which points to seasonally strong quarters ahead. PAAS also announced a proposed acquisition of MAG Silver (MAG), valuing the company at US$2.1bn. MAG owns 44% in a top-tier Juanicipio silver operation in Mexico. In this note, we provide an initial take on the transaction, while keeping our revised estimates and valuation of PAAS on a standalone basis.

• Indusind Bank (IIB IN) does not seem to be able to get out of hot water.
• In yet another accounting and governance pothole, the bank has disclosed a surprising take on interest income, which was overstated by INR 6.7 bn. 
• The internal audit department also reported unsubstantiated balances of INR 6 bn in other assets, which was netted off with liabilities. 

• New Horizon Aircraft is a Canada-based aviation company specializing in the development of hybrid electric Vertical Takeoff and Landing (eVTOL) aircraft
• HOVR’s flagship aircraft, the Cavorite X7 is likely to be commercially available in the next 24 to 36 months. HOVR has already completed the development of a 50%-scale prototype.
• The timeline looks achievable, and the Company has already committed to supplying five Cavorite X7 to Air Chile Ltd by the end of 2028.

• Tsi Holdings (3608 JP) is a leading apparel company in Japan. Net cash was 45 billion yen at end of February 2025, representing 58% of its current market cap.
• The company has an excellent record of increasing its BPS, reducing outstanding shares, and buying back shares. Valuations have become more attractive.
• Its share price has had a nice pullback in the past three months (down 22% from its peak levels in February 2025). 

• Q4 FY25 volumes grew 1.8%, value declined; FY26 guidance is for low growth with 18–20% margins supported by integration and cost control.
• Grasim and JSW are aggressively expanding with large capex and dealer networks, intensifying pricing pressure in decorative paints.
• Stock corrected 15–20% but still trades at ~55x P/E, which remains expensive given slowing growth and rising competitive risks.

• GMDC delivered strong FY25 results with 8MT of lignite sales and Rs992 crore in EBITDA, its second-best performance.
• The company is focused on scaling lignite and coal volumes through new mines within Gujarat and Odisha. It also plans to diversify into rare earths and critical minerals. 
• While valuations appear slightly elevated, upside optionality exists from the revival of Akrimota power plant and operationalization of new mines.

• Revenue increased to JPY1.2bn (+24.4% YoY), driven by growth in WafCharm and CloudFastener, with ARR at JPY4.5bn (+30.9% YoY).
• Operating profit declined to JPY241mn (-23.6% YoY) due to increased operating expenses, including personnel and outsourcing costs.
• Shadankun’s ARR reached JPY1.7bn (+6.1% YoY) with a user count of 1,322 companies and a churn rate of 1.06%.

• Consolidated sales reached JPY262.1bn (+2.5% YoY), with operating profit at JPY13.1bn (+54.0% YoY), driven by market recovery.
• Segment sales varied, with packaging inks declining in Asia, while jet inks for digital printing increased significantly.
• Operating profit rose in Japan and overseas, supported by cost savings and stable sales prices across product lines.

• Akzo Nobel N.V. earlier announced its plans to exit India to focus on core markets where it holds a position of “differentiating scale.
• JSW Paints has reportedly entered exclusive talks to acquire Akzo India, edging out Advent–Indigo and Pidilite.
• Shareholders may tender in the open offer or stay invested for potential upside via JSW which has a long stellar track-record.

• FY03/25 revenue was JPY60.6bn (+2.4% YoY), operating profit JPY4.7bn (+2.4% YoY), net income JPY2.9bn (-6.0% YoY).
• Medical Services revenue rose 4.2% YoY, Home Furnishing and Health revenue decreased 1.3% YoY, with GPM at 54.6%.
• FY03/26 forecast: revenue JPY62.3bn (+2.9% YoY), operating profit JPY4.8bn (+1.1% YoY), net income JPY3.1bn (+3.5% YoY).

• Typical Intel? 18A node was going to be a great success with customers lining up. CFO now says that revenues from external customers is “not significant”, limited to packaging only.
• Intel CFO toned expectation of significant external 18A revenues by 2027: some revenues with UMC, Tower, some packaging, some older gen Intel16 “not a ton has to come from 18A”.   
• Clear admission that Intel Foundry won’t be ready for external clients before 14A in 2028 due to lack of design tools (PDK). All that is good for TSMC.

• Solid Q1 and reaffirmed guidance: Appier delivered 27% organic growth in Q1, maintained FY targets, and continues to benefit from resilient demand for AI marketing solutions.
• Strategic acquisition of AdCreative.ai: The deal expands Appier’s AI portfolio, enhances creative automation capabilities, and supports cross-sell potential, despite short-term margin pressure from integration.
• Attractive valuation with upside: Despite strong fundamentals, shares trade below 3x EV/sales; H2 seasonality and AI adoption present a compelling re-rating opportunity.

• In FY25, Paramount Bed Holdings Co Lt (7817 JP) reported 2% YoY revenue growth to ¥109B, mainly driven by the nursing care business.
• Due to higher SG&A expenses, operating profit decreased 6% YoY to ¥13B and net profit was down 15% YoY to ¥9B.
• Paramount guided FY26 revenue to grow 4% YoY to ¥113B and also trimmed FY27 targets in mid-term plan.

• Tata Motors posted its highest-ever annual revenue and PBT for FY25, with strong sequential growth in Q4 driven by robust performance in both commercial and passenger vehicle segments.
• The company successfully managed to navigate global trade and tariff challenges, improved its profitability through cost-saving measures, and expanded its leadership in electric mobility.
• The results demonstrate Tata Motors’ resilience and long-term growth strategy, especially with a continued focus on electric vehicles and new product innovations.

• Asics reported its first-quarter results during trading hours, with the stock closing down 8.6% on the day.
• While headline numbers were strong, investors may have been disappointed by the lack of upward revision to full-year guidance.
• Our positive view on Asics remains unchanged. The company is successfully navigating geopolitical and macro uncertainties while strengthening its brand.

• In this insight, we propose a pair trade between a basket of major securities stocks (long) versus banking stocks (short) in Korea.
• We believe the five major securities stocks in Korea could continue to outperform the five major banking stocks in Korea over the next 6-12 months.
• We present 3 major headwinds on the Korean banking sector and 4 major tailwinds on the Korean securities sector. 

• Intel has signalled a shift from its long held Copy Exactly strategy to a “democratization of innovation between Technology Development & High Volume Manufacturing
• This may be more akin to how TSMC operates. Some hail this as a positive, others are not quite so convinced, but it’s a seismic shift at a critical juncture 
• If Intel is indeed switching from CE to CT, it needs to be a carefully thought out, well planned transition to succeed. But that’s not what what we see happening. 

• Freee KK (4478 JP) reported 3QFY06/2025 results today. Revenue for the quarter was marginally below consensus despite increasing 27% YoY, while GAAP OP beat consensus by a huge margin.
• Due to the tax filing season, freee’s S&M costs tends to be higher during 3Q which led to slightly lower Adj. OP during the quarter. Price revisions have improved ARPU.
• Freee’s share price has been up more than 40% YTD, strengthening profitability and its solid business model vs Money Forward (3994 JP) mean there is further upside.

• FY03/25 revenue increased 13.8% YoY to JPY18.0bn, driven by membership growth in domestic Anytime Fitness clubs.
• Operating profit decreased 4.7% YoY to JPY3.3bn due to higher costs, despite revenue growth and cost-curbing efforts.
• FY03/25 saw 71 club openings and 11 closures, ending with 1,194 clubs and 974,000 members.

• Geely announced that total revenue increased by 25% YoY in 1Q25.
• Sales volume continued to grew strongly by 53% YoY in April 2025.
• The operating margin improved YoY for the third quarter in 1Q25.

• In 1Q25, both total revenue and game revenue growth rates accelerated.
• The authorities have been turning from containing games to encouraging games.
• We expect the stock has an upside of 34% and a price target of HK$700. Buy.

• Raymond Lifestyle’s stock plummets 60% in six months post-demerger, due to lots of governance lapses.
• Corporate Governance Crisis: CEO,CFO, Director Resignations, Delayed disclosures, Controversial Remuneration and Many More.
• The company gave excuses such as inflation, an IT incident, etc. in their management meeting after not being able to deliver the performance.

• There is a brewing sibling conflict at the Kolmar Group. Kolmar Holdings and Kolmar BNH have clashed regarding the reorganization of Kolmar BNH’s board of directors.
• Yoon Sang-Hyun (brother) wants to shake things up. Yoon Sang-Hyun wants to appoint new members at Kolmar BNH’s BOD but his sister Yoon Yeo-Won is opposing this. 
• We see a higher upside for Kolmar Holdings. Our base case valuation of Kolmar Holdings is NAV per share of 14,675 won (57.5% upside from current levels).

• Origin story of the book: Becoming interested in Apple’s Achilles heel in China after being too bullish on the company’s success
• Focus on the role of manufacturing design engineers in custom manufacturing and orchestration of Apple’s supply chain in China
• Thesis of the book: Exploring Apple’s strategic positioning in China and the symbiotic relationship between economic scale and customer allure in the luxury market

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• Cognizant Technology Solutions reported its financial performance for the first quarter of 2025, demonstrating substantial growth and strategic progress amidst an evolving macroeconomic landscape.
• Revenue for the quarter was $5.1 billion, reflecting an 8.2% increase year-over-year in constant currency, largely driven by the acquisition of Belcan and organic growth in the Health Sciences and Financial Services sectors.
• This growth was instrumental in placing Cognizant in what the company refers to as the “Winner’s Circle,” indicating notable progress in achieving strategic targets.

• KLA Corporation reported strong financial results for the March quarter of 2025, with revenues of $3.06 billion, slightly exceeding the midpoint of their guidance.
• Their non-GAAP diluted earnings per share (EPS) of $8.41 and GAAP EPS of $8.16 also met the upper end of expectations.
• This performance was largely driven by robust demand in advanced logic, high-bandwidth memory (HBM), and significant contributions from its advanced packaging businesses.

• Last week, I wrote a quick article flagging the seemingly absurd valuation discrepancy of Chagee vis-a-vis beverage peers on the HK stock exchange i.e. Mixue and Guming, as well as Luckin Coffee on the OTC markets.
• Chagee currently trades around ~31 (doing extremely poorly on a good day), and at the bottom of its recent trading range; there is no analyst coverage and the firm has yet to report its Q1 25 results so it’s just really stuck in no-man’s land.
• I postulated then that delisting risk was an overhang on Chagee, a Chinese ADR, but lo and behold, it appears that the market has shrugged off a large portion of it for the large cap Chinese tech companies.

• ANSYS, Inc., a leader in engineering simulation software, presented mixed financial results for Q3 2023, weighed down by unexpected external challenges yet demonstrating robust business fundamentals.
• The quarter was significantly impacted by new U.S. Department of Commerce export restrictions on certain products to Chinese entities.
• These restrictions led to additional vetting requirements, resulting in transaction delays and a $20 million headwind, ultimately causing ANSYS to fall short of its initial revenue and ACV (annual contract value) expectations.

• Automatic Data Processing, Inc. (ADP) reported solid financial performance in its third quarter of fiscal year 2025, demonstrating robust capabilities amidst varying global economic conditions.
• The company achieved a 6% increase in revenue, alongside a 10 basis point rise in adjusted EBIT margin and a 6% growth in adjusted EPS.
• ADP showed significant growth across its U.S. portfolio, especially in its small business, mid-market, enterprise, and compliance solutions offerings.

• eBay Inc. began 2025 with results surpassing expectations across key financial metrics, despite a challenging operational environment triggered by ongoing trade policy changes and consumer concerns over increasing prices for imported goods.
• The first quarter saw a nearly 2% increase in Gross Merchandise Volume (GMV) to approximately $18.8 billion, marking a consecutive streak of positive growth for four quarters.
• The company’s revenue rose over 1% to $2.58 billion, and non-GAAP earnings per share grew by 10% to $1.38.