TMT/Internet Archives | Page 27 of 121 | Smartkarma

• With the averaging period for the April rebalance now complete, we forecast just 1 change for the FnGuide Semiconductor Top10 Index at the upcoming rebalance.
• Based on the passive assets tracking the index, there will be between 0.8-2.2x ADV to trade in the forecast changes.
• The resumption of short selling makes it easier to position for these events. That could also result in the shorts moving a lot ahead of implementation.

• Rather than love, than money, than fame, give me the truth
• I intend to under promise and over deliver. I will not be satisfied until we delight you
• How long will I stay at Intel? I’m here for as long as it takes

• GoI converts ₹36,950 crore of spectrum dues into equity, increasing its stake to ~49%. Promoters’ stake diluted to ~25.5%, with public shareholders now owning just ~23.8%. 
• While the move eases cash outflows till H1FY28, Vodafone Idea’s AGR dues, weak subscriber base, and funding needs remain material headwinds.
• Structural concerns remain unresolved, and further dilution risks persist along with loosing market share.

• EQT and First Kraft’s SEK 90 per share bid values Fortnox at SEK 54.9 billion, offering a 38% premium and reflecting confidence in Fortnox’s high-growth, high-margin SaaS model.
• Fortnox’s Board, supported by a fairness opinion, unanimously recommends the offer. Olof Hallrup’s 18.9% stake is committed, making competing bids highly unlikely.
• The current gross spread is 4.36%, offering an estimated annualized return of 20.1% to arbitrage investors, assuming a purchase at SEK 86.24 and settlement by late June.

• This week, two charts caught my eye. First, investor sentiment continues to be very bad.

• Second, non-US stocks are actually performing well.

• Quietly, one of my recommendations, Airtel Africa (AAF) is at an all-time high. Airtel Africa is a good example of what you can find in international markets.

• On March 31st 2025 I spoke to Mark Schneider of investor relations from IAC.
• Mark currently covers investor relations for Angi, Inc as well. but Angi will be hiring its new head of investor relations soon.
• Our conversation was productive and increased my confidence in the outlook for Angi.

• Sigenergy Technology (Sigenergy) is looking to raise at least US$100m in its upcoming Hong Kong IPO.
• Sigenergy is a market leader in the stackable all-in-one DESS solutions market. Since inception, its sales grew exponentially as it expands its distribution network, causing net loss to narrow significantly.
• There are various areas of risks regarding its high customer and supplier concentration, high raw material sensitivity, high related party transactions, and having a short operating history.

• Both United Microelectron Sp Adr (UMC US) and GLOBALFOUNDRIES (GFS US) saw positive reactions in their stocks following a possible merger news, despite the current instability in the stock markets.  
• Although GLOBALFOUNDRIES (GFS US)‘s technology is held above 7nm, it is ahead of United Microelectron Sp Adr (UMC US), which is still certain generations above China’s current technology in general.  
• If these two companies wish to merge, there are still some subjective factors that need to be considered, and it will not be easy to get approval.  

• Media report 2nm “Customers Lined Up To Pay An Estimated $30,000 Per Unit”. Capacity is full but small. Wafer price at 28k. US$30bn revenue in 4Q25 is very likely.
• UMC Singapore Fab expansion is nearing completion and will increase capacity in Singapore to 22% of total. UMC needs GlobalFoundries to diversify?
• TSMC is trading just slightly below average PE at 15.0x forward EPS. Similarly for UMC trading at 12.3x forward EPS. As such, we’re far from valuations support levels.

• The developer, manufacturer, and distributor of high quality and effective rapid tests reports interim results to December 2024.
• Financial highlights include a £5.2m placing, a 28% increase in Revenue to £3.1m, but with an Operating loss of £2.6m up from a loss of £1.2m in H123 as a result of investments in growth initiatives.
• The adjusted EBITDA loss was £1.9m and an improved EBITDA performance is expected in H2 due to forecast revenue growth as key strategic milestones are passed, such as the acquisition of CS Lifesciences, the opening of Abingdon Analytical in Doncaster, and the commencement of work in April from the new US site. 

• Over the past five trading days, Tencent (700 HK) multi-leg option strategies showcased a variety of approaches. Strategy highlights and volatility context are provided.
• With short-term implied volatility below its median, long volatility strategies dominate, with a balanced mix of bullish and bearish positions. 
• Open interest spread across monthly and quarterly expiries, with some notable strategies taking advantage of longer expiration dates, and a steep negatively sloped skew $475.

• Reports of merger between UMC and GlobalFoundries. Beyond the threat of US import tariffs for UMC, it would create a larger firm to counter SMIC’s expansion. Easier said than done
• TSMC second 2nm Fab in KaoHsiung “inaugurated”, 2nm production unchanged mid of 2025. A16 process and equipment qualification underway for risk production in 2027.
• Biden era CHIPS Act subsidies (US$52bn) could be cancelled or the program is completed and the assigned staff leaving?

• TSMC Accelerates U.S. Expansion — New Arizona Fab to Be Built at ‘Taiwan Speed’
• Phison CEO Sees Decade-Long Boom for NAND Flash as AI Shifts to the Edge
• Delta Taiwan Vs. Thailand Monitor: Delta Thailand Crash Closes Gap, But Still Relatively Expensive 

• UiPath reported its fourth-quarter and full-year fiscal 2025 financial performance, marking several high and low points that are critical for investors to examine as they consider their future involvement with the company.
• On the positive side, UiPath achieved a quarterly revenue of $424 million, with only a slight impact from foreign exchange fluctuations.
• For the full fiscal year, revenue increased to $1.43 billion, reflecting a 9% improvement year-over-year.

• MIXI has announced an all-cash deal worth ¥35.2bn for PointsBet Holdings (PBH), an Australian sports and racing online betting company operating in Australia and Canada.
• The deal is due to close in mid-June 2025. We view this transaction as aligned with MIXI’s strategies of business diversification and overseas expansion, leveraging the expertise gained from TIPSTAR in Japan’s keirin and auto-race betting businesses to enter the Australian market, thereby accelerating the growth of both TIPSTAR and PointsBet.
• MIXI is demonstrating a positive and active allocation of its capital, with a high intent to accelerate the development of its Sports business and make it a key earnings pillar.

• C3.ai has exhibited a solid performance in the third fiscal quarter of 2025, ending January 31, 2025, with both positive developments and certain challenges.
• The company reported total revenue of $98.8 million, representing a 26% increase year-over-year.
• Subscription revenue, constituting the majority of its revenue, grew by 22% to $85.7 million.

• For the month of March 2025, 13 new transactions (firm and non-binding) were discussed on Smartkarma with an overall announced deal size of ~US$14bn.
• The average premium for the new transactions announced (or first discussed) in March was ~53%, with a year-to-date average also of 55%.
• The average premiums for transactions in 2024 (129 transactions), (2023 (117), 2022 (106), 2021 (165), 2020 (158), and 2019 (145 ) were 43%, 39%, 41%, 33%, 31%, and 31% .

• Angi Inc. (“Angi”) is set to be spun off from IAC Inc. (IAC owns 85% of the company) on March 31, 2025 following a multi-year turnaround that restored profitability and improved cash flow.

• The first day of regular way trading will be April 1, 2025.

• Angi operates the largest digital marketplace for home services in the U.S., connecting homeowners with contractors across Angi’s Ads and Leads platform (formerly HomeAdvisor/Angie’s List) and Services (pre-priced jobs fulfilled via Angi’s network), with an international segment spanning Europe and Canada.

• The difference between an LBO (Leveraged Buy Out) and an MBO (Management Buy Out) is that an MBO is usually just an LBO where the buyers don’t replace the CEO.
• After 4+mos  of speculation/noise since a Bloomberg article said Topcon was weighing takeover bids, we have a deal. KKR and JIC will buy out Topcon in an “MBO” at ¥3,300/share.
• Unusually, the lower limit is 50.1%. This is an OK exit for the “Bad Cops” but not a great one. It should be higher. Start delayed for 4 months.

• Short selling in Korea resumes in a couple of hours. Expect heightened volatility for a few days before things settle down.
• Foreign investors have increased their holdings over the last five weeks and there could be further buying in select stocks on stock price drops.
• The KOSPI 200 INDEX has outperformed the KOSDAQ 150 Index, and the forecast index deletes have underperformed the indices indicating that there will be positioning for the short-sell resumption.

• TSMC: +14.9% Premium; Spread Has Fallen Close to Long Levels
• UMC: -2.6% Discount; Good Level to Go Long the Spread
• ASE: -3.2% Discount; Spread at Extreme Low, Good Level to Go Long

• Aequitas Research’s weekly update on the IPOs, placements, lockup expiry and other ECM linked events that were covered by the team over the past week.
• On the IPO front, DN Solutions (298440 KS)‘s range looks a little pricey, while Eco-Shop Marketing (ECO MY) could trade ahead of its listed peers, in our view.
• On the placements front, Xiaomi Corp (1810 HK) matched BYD (1211 HK) in size, but couldn’t do so in returns.

• CoreWeave (CRWV US) is forecasted to be added to snp TMI at the June 2025 review after failing the fast-entry fcap threshold of $2bn. 
• CoreWeave (CRWV US) is ineligible in 2025 for inclusion to Global-F and rasel due to public voting rights below 5%. 
• Lock-Up expiry causes free float thus public voting rights to increase above 5%. Addition to Global-F SmallCap and R1000 is expected in March and June 2026, respectively.

• Delta Thailand Has Dramatically Underperformed Delta Taiwan — Delta Thailand Now Finally Trading at a Less Extreme Level vs. Delta Taiwan
• Latest Relative Growth Profiles — Delta Taiwan Has Higher Growth Profile in 2025E
• Even After the Major Pricing Reversion Since Mid-February, Delta Thailand Remains Overvalued Relative to Delta Taiwan

• SailPoint, a pioneer of enterprise identity governance market with industry leadership position, returned to the public markets in 2025.
• American technology company has raised ~$1.4B in US IPO and paid down all outstanding debt in 1Q FY26, according to Brian Carolan, CFO of SailPoint, Inc.
• The company reported mixed 4Q FY25 results with ~78% y/y increase in customers with ARR˃$1M and a bullish tone on AI agent identity management.

• Topcon Corp (7732 JP) recommended a KKR/JICC-sponsored preconditional MBO at JPY3,300, representing an 87.9% premium to the undisturbed price and a 5.4% premium to the last close.
• The offer is preconditional on regulatory approvals and is scheduled to start at the end of July. The offer is attractive and represents an all-time high. 
• The offer comes with caveats: the Board recommendation is not unanimous, the lower limit is set below the two-thirds threshold, and KKR offered a higher price during the discussions. 

• The largest ETF inflows in the region have been in Taiwan as investors rush into indices that have higher dividend yields.
• China had large inflows last year as markets floundered. With markets trading in a range over the last 6 months, those flows have reversed in Q1 this year.
• Australia has seen net inflows this year, while there have been net outflows from Hong Kong, India and Japan focused ETFs.

• I tally 55 – mostly firm, mostly Asia-Pac – transactions currently being discussed and analysed on Smartkarma.
• Three news new deals discussed this week: Gold Road Resources (GOR AU),ENN Energy (2688 HK), and Sinarmas Land (SML SP).
• Key updates/news took place on: Shinko Electric Industries (6967 JP), Domain Holdings (DHG AU),Japfa Ltd (JAP SP), Paragon REIT (PGNREIT SP), and Tsuruha Holdings (3391 JP)/Welcia Holdings (3141 JP).

• The 1Q25 outlook is slightly affected by earthquakes, but production can resume in late 1Q25.
• The UMC 12nm project could be in vain if Intel collaborates with TSMC or if TSMC takes over Intel’s foundry service.   
• UMC’s annual revenue could see a -5% year-over-year growth in 2025, but there may be a few percentages increase in wafer shipments.  

• Sprinklr recently reported its financial results for the fourth quarter and the full fiscal year of 2025.
• The company showcased a moderate revenue growth rate, with total revenue for the fourth quarter up 4% year-over-year to $202.5 million, while subscription revenue also grew by 3% year-over-year to $182.1 million.
• Non-GAAP operating income was noted at $25.9 million, resulting in a 13% non-GAAP operating margin.

• Cogent Communications Holdings reported its fourth-quarter and full-year 2024 financial results, with some noteworthy developments across its business segments and operations.
• The company closed the year with total revenue of $252.3 million for the quarter, bringing the full year’s revenue to $1 billion, an increase from $940.9 million in 2023.
• EBITDA, as adjusted, was $66.9 million for the quarter and $348.4 million for the year, showing a slight decrease compared to the previous year’s $352.5 million.

• Viasat’s latest financial results provide a comprehensive view of its current performance and future outlook in the satellite communications industry.
• The company demonstrated a solid financial standing, with revenues for the third quarter of fiscal year 2025 at $1.12 billion and an adjusted EBITDA of $393 million, reflecting a 3% increase year-over-year.
• The adjusted EBITDA margin stood at 35%, indicating moderate growth and operational efficiency improvements.

• GitLab Inc. delivered a strong performance in the fourth quarter of fiscal year 2025, showcasing impressive top line growth and improved profitability metrics.
• The company’s revenue increased by 29% year-over-year to $211.4 million, driven by robust momentum in its enterprise offerings, particularly GitLab’s Ultimate and Duo products.
• Notably, the company demonstrated significant operating leverage with a non-GAAP operating margin of 17.7%, an increase of more than 960 basis points compared to the same period in the previous year.

• HashiCorp has reported its fiscal 2024 fourth-quarter earnings, surpassing expectations with $156 million in revenue, signaling a 15% year-over-year growth.
• The company has shown strong overall performance in the context of a challenging economic landscape, indicating potential recovery signs in the market.
• The non-GAAP remaining performance obligations also reported a growth of 21% year-over-year, reaching $483 million, reflecting continuous demand for its offerings.

• Lumentum Holdings recently released its second-quarter fiscal year 2025 earnings, presenting a blend of strong performance in certain segments and ongoing challenges in others.
• Led by CEO Alan Lowe, who has announced his retirement, the company highlighted key financial results and strategic initiatives amidst a backdrop of leadership transition.
• In the second quarter, Lumentum exceeded the high end of its guidance range for both revenue and earnings per share.

• One factor that I closely follow in the spin-off universe is insider buying.
• Here’s what Peter Lynch wrote about insiders and spin-offs in One Up on Wall Street: [Spin-offs] are a fertile area for amateur investors…….A month or two after the spinoff is completed, you can check to see if there is heavy insider buying among the new officers and directors.
• There are four names in my universe that have interesting insider activity.

• Chosun reports that some Samsung affiliates are exploring tax-free dividends at the operational level, with execs reportedly briefed on the idea.
• Surprisingly, regulators and politicians haven’t objected to tax-free dividends, which ironically align with the value-up policy. The delay in Samsung’s value-up announcements may be due to this decision.
• It’s unclear if Samsung Electronics and Life will drop tax-free dividends, but if regulators approve, they could introduce it suddenly in their value-up updates, especially with Lee Jae-yong’s cash crunch.

• Analog Devices, Inc. (ADI) reported its financial results for the first quarter of fiscal year 2025, showing better than-anticipated performance despite prevailing macroeconomic and geopolitical challenges.
• Revenue reached $2.42 billion, surpassing the midpoint of its outlook, although this marked a 4% year-over-year decline.
• When adjusted for an extra week in the comparable period last year, sales represented a 4% year-over-year increase.

• CoreWeave priced a down-sized transaction of 37.5mm shares at $40.00 ($7 Below the Original $47-$55 range) and opened at $39.00 for a loss of 2.5% at first trade
• According to our underwriter sources, the deal finished multiple-times oversubscribed with the top three accounts getting 50% of the deal and the top 15 accounts taking down 90% of the transaction.
• This IPO in particular was a difficult deal to value for IPO investors based upon being a “first mover” in the AI space.

• DeepSeek app revolutionizes smart vehicles with advanced technology for a seamless driving experience and enhanced safety features.
• Primarius enhances EDA consolidation in China through the acquisition of Actt, accelerating innovation and growth in the semiconductor industry.
• SMIC experiences record revenue growth in 2024, but sees a 23% decline in profit, highlighting the challenges faced by the company in a competitive market. Trend Micro warns of AI security risks and ‘grandma prompt’ threat at the AI Expo 2025. Uni-President Group strengthens e-commerce presence through strategic acquisitions and investments in Yahoo Taiwan and PChome Online.

• SentinelOne reported strong financial results for the fourth quarter and fiscal year 2025, with significant achievements and certain challenges that are crucial for investors to assess.
• The company experienced noteworthy revenue growth, reaching $226 million in Q4, marking a 29% increase year-over-year.
• The total revenue for fiscal year 2025 amounted to $821 million, demonstrating an annual growth rate of 32%.

• Kuaishou reported C4Q24 revenue, IFRS operating profit, and IFRS net income slightly below our estimates and consensus. Margin outperformed.
• Advertising and e-commerce revenue growth temporarily slowed from due to Kuaishou’s offering traffic subsidies to the internal merchants, reducing incentive to advertise, but will translate to revenues later;
• We cut TP from HK$72 to HK$70 to reflect lowered margin outlook due to AI-related capex and R&D expenses

• Horizon Robotics, a leading provider of integrated computing solutions for ADAS and AD for consumer vehicles, went public in October of 2024 in Hong Kong.
• The Chinese technology company priced its IPO at HK$3.99 per share and raised ~HK$5.4B or $696M. The offering was multiple times oversubscribed.
• The company’s market cap peaked at ~$18B in February and exceeded valuation of Mobileye Global. I expect a near-term selling pressure as IPO lock-up expires in April.

• We believe addressing these three key areas remains essential for strengthening the investment thesis and enhancing investors’ confidence in the company’s long-term value proposition.
• 1) The company’s differentiation strategy within the relatively crowded Hong Kong and Singapore insurance marketplaces; 2) its insurance offerings’ product market fit; 3) disclosure on cross-selling metrics going forward
• We think articulating a comprehensive strategy and detailed implementation roadmap, targeting these key areas, can enhance investor confidence and potentially provide support for the company’s valuation.

• Synaptics Inc.’s second quarter fiscal year 2025 performance provides a multifaceted picture of the company’s current standing and future opportunities.
• In this period, Synaptics reported revenue of $267 million, a 4% sequential increase and a 13% year-over-year rise, indicating modest growth driven primarily by gains in its Core IoT and Enterprise & Automotive sectors.
• A significant topic of discussion was the company’s acquisition agreement with Broadcom, a $198 million all-cash transaction intended to enhance Synaptics’ presence in the wireless connectivity space.

• Domain Holdings Australia (DHG AU) announced a final non-binding proposal from Costar Group (CSGP US) at A$4.43, a 5.5% premium to the previous A$4.20 offer.
• The scheme vote is low-risk as Nine Entertainment Co Holdings (NEC AU) seems supportive. Nine suggested that the revised price would result in after-tax cash proceeds of A$1.4 billion.
• While attractive to precedent transaction multiples, the revised offer remains light compared to peer multiples. Nevertheless, expect a binding proposal to be forthcoming. 

• According to sources, the deal is being reworked with significant share size reduction and a downwardly-revised price.
• Ultimately, a smaller size transaction with a more attractive valuation will make this IPO easier to digest. 
• We lack conviction in this IPO at this time and believe that investors looking to have a long-term position in the company may be better suited as an aftermarket participant. 

• US and China are fiercely competing in the development of humanoid robots, with China’s DeepSeek V3 setting new standards in AI technology on Apple’s Mac Studio.
• A Dell executive cautions against the hype surrounding AI, emphasizing the critical need for a strategic approach and proposing a two-question reality check at the AI EXPO 2025.
• Vietnam responds to US trade surplus and tariff concerns by reducing tariffs and approving StarLink, showcasing the country’s efforts to address economic challenges.

• Qualys, Inc., a pioneer in software-as-a-service (SaaS) security, recently shared its fourth-quarter 2024 financial results and strategic updates, marking its 25th anniversary.
• The company’s CEO, Sumedh Thakar, emphasized the transformation and rebranding efforts that have strengthened Qualys’ position in the cybersecurity sector.
• Their platform, initially focused on vulnerability scanning, has evolved into a comprehensive risk analytics and quantification solution, leveraging AI to provide an integrated risk management workflow for customers.

• Arrow Electronics concluded the fourth quarter of 2024 with a mixed performance, characterized by resilience and adaptability amidst challenging market conditions, notably in the semiconductor industry.
• The company reported financial metrics that exceeded expectations, with total sales of $7.3 billion and non-GAAP earnings per share of $2.97.
• These results reflect Arrow’s strategic focus on navigating the semiconductor market’s cyclical correction and strengthening its global components segment.

• Soluna has begun the initial energization and phased commissioning of Project Dorothy 2, a 48- MW green data center in Texas, for Bitcoin hosting.
• The initial 18-MW phase is being powered up and is expected to be fully ramped up in 2Q25.
• The remaining two phases, totaling 30 MW, are scheduled for completion by 4Q25.

• SURG reported 4Q results that were in line with what one would expect from a company that has made significant strategic shifts during the year.
• More importantly, on the call, management highlighted that early indicators in its new initiatives, which we discussed in detail in our initiation, The Lull Before the Surge; Assuming Coverage, look robust.
• The next 12- month guide for top line, at more than $200 million, materially exceeds consensus of ~$125 million over the same period.

• Sylogist is a public sector software business which provides purpose-built ERP and CRM solutions to over 2,000 clients such as schools, non-government organisations, religious organisations, municipalities, and other government entities.
• Their cloud software is built off the foundation of Microsoft Dynamics 365 Business Central and specifically catered towards the education, government, and donor verticals.
• Historically, Sylogist was run under various management teams who all conducted acquisitions along the way.

• Peloton Interactive has shared its Q2 2025 financial results, highlighting a mix of achievements and challenges.
• The company’s strategic focus has been on stabilizing its financial position, improving unit economics, and fostering a solid base for future growth.
• Peloton’s approach centers around enhancing its product and service offerings.

• Atlassian’s second quarter of the fiscal year 2025 presented a mixed yet insightful picture for investors.
• The company’s strategy continues to be shaped by its evolving product offerings, investment in innovation, particularly in AI, and a strategic focus on enterprise-level clients.
• Below is a detailed analysis, capturing both the positive and negative aspects from the earnings call and related materials.

• The Tender Offer closed end of last week. The bidder JICC-04 got 59.281mm shares. Most of what was left over – perhaps even more than 100%, was passive-owned.
• More than 100%? How does that work? It works because of how the logistics goes. 
• And right now, the reason why the stock is trading well through terms is a matter of Chicken and Logistics.

• Janaghan Jeyakumar, CFA put out June rebal predictions on HSCEI, HSTECH, and Hang Seng Internet & Infotech on 17-Mar-25 (and 7 mainland indices 19-21 March) and…
• …the Quiddity team put out its regular predictions of all 7 major HS indices and 11 mainland indices, but on 21-March after the close, the Hang Seng team updated methodology.
• They changed the way float is calculated for Secondary Listings in Hang Seng indices. It affects only a few names, but this adds US$2.7bn of buying to three names.

• Gigabyte Technology (2376 TT) is looking to raise up to US$395m in its upcoming global depository receipts (GDRs) offering.
• On 14th Mar 2025, Gigabyte announced that it received its board’s approval to sell upto 50m common shares via a GDR offering. The proceeds will be used for business development.
• Similar to previous GDR listings, the deal is a long drawn out process with the firm required to jump through a number of board/shareholder/regulatory approval loops.

• 25,000 people attended Nvidia sessions, making it one of the busiest single company shows
• Initial disappointment at keynote, followed by renewed enthusiasm after investor Q&A and show attendance
• Disillusionment with lack of new AI advancements and repeated demos at Nvidia booth, feeling like a cult atmosphere

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

• Foxconn is exploring a potential partnership with Mitsubishi Motors to expand into markets in ASEAN and Oceania regions.
• Experts from Taiwan and the US are discussing cutting-edge advancements in AI at the AI Expo 2025.
• Foxconn is revolutionizing traditional manufacturing methods with their innovative approach, as highlighted in a SEMI Country excerpt.

• Micron Technology’s recent performance has sparked mixed reactions across Wall Street, as investors try to reconcile strong product innovation with weak near-term financial guidance.
• The company’s fiscal first-quarter results beat Wall Street expectations, with adjusted earnings of $1.79 per share, slightly above the consensus of $1.76.
• Revenue stood at $8.7 billion, in line with projections.

• Rambus has delivered a strong performance for the fiscal year 2024, achieving impressive results in both its financials and execution of strategic initiatives.
• The company reported revenue of $161.1 million for the fourth quarter, surpassing the high end of its forecasts, and a record product revenue of $247 million for the year.
• The company’s memory interface chip segment has been a significant contributor to this success, with revenue of $73 million for Q4, marking an 11% sequential increase and a 37% year-over-year increase.

• In our 2/25/25 Compass, we discussed our expectation for near-term downside. Also said one or two 8-10% pullbacks in a given year on the SPX is common
• And said to not be surprised if there is a test of the bottom of the range at either 5770-5850 or 5600-5670, where we would be buyers
• The SPX had a -10.3% peak-to-trough decline, with support showing up at 5500; close enough to our 10% pullback and 5600 level. This has been a stellar buy area

• Kyndryl Holdings Inc. delivered strong financial results for the third quarter of fiscal 2025, reflecting robust execution of its strategic initiatives and growth in key areas.
• The company reported a significant 31% increase in contract signings over the past year, amounting to $16.3 billion.
• This represents the fifth consecutive quarter of year-over-year growth in signings, indicative of sustained demand for Kyndryl’s modernization, cloud, security, and AI services.

• As of December 31, 2024, they had approximately 3.5 million Funded Accounts across their global footprint of 75 countries.
• As of December 31, 2024, the Company had $113 million of cryptoassets presented as current assets, and $5,775 million cryptoassets held on behalf of its users in custody.
• In 2024, eToro generated $12.6bn of revenue, of which $12.1bn was attributable to crypto assets and the remainder from equities, commodities and currencies. 

• KKR’s Second Tender Offer for Fuji Soft Inc (9749 JP) ended 19 February 2025 and KKR got a whopping 57.9% after Bain bowed out. It was close.
• The Nozawa founder said it would not tender. Others family members may have, but now KKR has signed a deal with Nozawa family company YK NFC, to support the squeezeout.
• Assuming, Nozawa Hiroshi’s stake and the NFC stake remain unchanged, that cements the result of the 25 April AGM. But there may be games to play.

• Shopify (SHOP US) is eligible for Nasdaq100 following its listing transfer from NYSE to Nasdaq on 31 March. Inclusion is anticipated in December 2025 or earlier as a replacement.
• Shopify (SHOP US) is expected to be added to R1000 and Krisp Mega in June 2025 due to a new domestic 10-K filing which results in a US nationality assignment.
• The company can be considered for TMI and S&P500 only if it re-domiciles to US. New filings and US headquarters point towards that direction, but no plans have been announced.

• Kuaishou (KS)’ operating margin improved to 10% in 2024 versus 4% in 2023.
• Online marketing revenue increased by 20% and GMV increased by 17% in 2024.
• We conclude an upside of 104% for the next twelve months.

• Oracle Corporation’s third quarter fiscal year 2025 earnings report indicated significant strategic advancements and robust financial performance, balanced by some challenges.
• On the positive side, the company reported a record $48 billion addition to its backlog, bringing the remaining performance obligations (RPO) to $130 billion, which represents a 63% increase year-over-year.
• This growth suggests strong demand for Oracle’s cloud services, which is a key positive indicator for future revenue streams.

• Operator of one of  the largest global secondary ticketing marketplace for live event, StubHub Holdings, filed for an IPO on Friday, March 21st.
• Their revenue was $1,770.6 million, $1,367.7 million and $1,036.7 million  for the years ended December 31, 2024, 2023 and 2022, respectively. 
• GMS increased from $6.85b –> $8.67b from 2023 to 2024 representing a 26.5% increase

• Accenture delivered better-than-expected results for the second quarter of fiscal 2025, but the stock took a steep hit as investor concerns mounted over potential fallout from U.S. federal cost-cutting initiatives.
• The consulting giant posted earnings of $2.82 per share, just above the analyst consensus of $2.81, and reported revenue of $16.7 billion, surpassing expectations of $16.6 billion and marking a 5% year-over-year increase.
• However, despite this beat, the company’s shares plunged 9.4% to $292.72, logging their worst single-day performance since June 2013 and becoming the S&P 500’s worst performer on the day.

• Sage launched its Copilot AI assistant automating accounting, HR and payroll tasks. This aims to roll out across all products by 2026. Sage plans to integrate AI agents into workflows. 
• The Sage Network platform connects accounting systems across businesses, facilitating automated workflows and real-time data integration. It enhances Sage Copilot’s capabilities and creates opportunities for migration to cloud-based solutions.
• Sage’s resilient business model, supported by subscriptions, positions it well in a challenging market. The company is focused on expanding its customer base through AI-powered solutions.

• Jabil Inc. reported strong financial results for its second quarter of fiscal year 2025, delivering $6.7 billion in revenue and highlighting a year-on-year growth of 3% when adjusted for divestitures.
• Core operating income was reported at $334 million, with a core operating margin of 5%.
• On a GAAP basis, the company reported operating income of $245 million and diluted earnings per share of $1.06.

• DeepSeek is participating in a China-US AI competition, showcasing their innovative technology and competing on an international stage.
• The China chip sector is rebounding at SEMICON China, with a focus on AI technology to drive growth and progress in the industry.
• Samsung Electronics co-CEO Jong-Hee Han tragically passes away, while Hyundai makes a significant $21B investment in US production, supply chain, and future mobility. The EU is investigating Chinese subsidies for BYD’s $4.3B Hungary EV plant.

While Team Internet’s Search business faces ongoing challenges, Comparison had a breakout year (revenues +43% y-o-y) and appears to have established an effective model for international expansion. DIS continues to generate solid growth and margins. Between them, these latter two divisions account for 80% of our FY25 EBITDA estimate. Our sum-of-the-parts (SOTP) analysis indicates a valuation over 90p is readily achievable and the c 68p share price attributes no value to Search. We believe a successful migration of Search revenues from AdSense for Domains to Related Search on Content will be the key catalyst for doubts to wane and for more value from Search to become priced in.

• Xiaomi Corp (1810 HK) is looking to place 750m shares at a price range of HK$52.8-54.6/share, a 4.2-7.4% discount from last. That could raise up to HK$40.95bn (US$5.27bn).
• There will be limited passive buying near-term. There will be more passive buying at the end of May. Then there will be passive selling early June.
• Shorts will be hurting from the relentless move higher in the stock and there could be short covering if the stock moves lower from these levels.

• Xiaomi Corp (1810 HK) is looking to raise around US$5.3bn via selling 3% additional shares.
• The shares have done exceedingly well this year and are now trading at their all time highs.
• In this note, we will talk about the placement and run the deal through our ECM framework.

• China announced game approval for the March batch. The number of games approved remained at a higher level than 2023.
• The pace of China game approval appears to have accelerated to the same level as pre-tightening. We see pick up in approval rate this month.
• Both Tencent and Netease received approval for one game. In addition, Kingsoft received approval for its legendary Sword Heroes series.

• Korea’s rights issues offer a clean arb setup—track stock rights vs. spot price, with first price as a cap, and lock in predictable entry vs. exit costs.
• Aggressive locals skip hedging, betting the discount holds between final pricing and listing. History backs it, but it’s a case-by-case call—not a blanket recommendation.
• Samsung SDI and Hanwha Aerospace’s KRW 5.5T raise is massive, likely flooding stock rights into the market—prime setup for arb plays.

• DeepSeek is a significant factor driving global chip demand with implications for various industries including automotive.
• Tesla and Tata are in talks regarding the sourcing of EV components, highlighting the growing importance of electric vehicles in the market.
• Tim Cook’s visit to China to discuss collaboration with DeepSeek signals potential advancements in the supply chain and technology sectors.

• NVIDIA GTC 2025 Last Week — Delta Electronics Expands Role in Nvidia Ecosystem Showcasing AI-Centric Power Solutions
• Foxconn’s Huge EV Bet Pays Off: Key Mitsubishi Win Could Spark Additional Automaker Deals to Come 
• Semiconductors. Key Indicator Updates, 2024 In Review, and 2025 Forecasts 

• DocuSign, Inc. delivered a noteworthy performance in the fourth quarter of Fiscal Year 2025, underpinned by both strategic pivots and operational efficiency gains.
• The company reported a revenue of $776 million, marking a 9% year-over-year rise, culminating in an annual revenue of $3 billion—an 8% increase over the prior year.
• This growth trajectory underscores a positive momentum, primarily fueled by the launch of Intelligent Agreement Management (IAM), a comprehensive AI-driven platform focused on transforming how businesses manage agreements.

• Telefónica is nearing completion of its Latin American divestment strategy, unlocking capital from low-margin markets and reducing geopolitical risk, with €2.5 billion equity value estimated for remaining Hispam units.
• A conservative 4x EV/EBITDA multiple applied to Hispam subsidiaries yields a fair value of €5.06 per share, while a prudent €4.50 target reflects geopolitical and execution risk buffers.
• Proceeds from disposals strengthen Telefónica’s balance sheet, support its 7% dividend yield, and enable reinvestment into high-growth segments like Tech and fibercos, enhancing long-term shareholder value and operating efficiency.

• Earlier this week, Soluna announced that it has successfully closed a $5 million loan facility with Galaxy Digital (TSX: GLXY), a financial services and investment management innovator in the digital asset and blockchain technology sectors.
• CEO John Belizaire highlighted that the deal underscores the strength of the company’s project cash flow and demonstrates confidence in its ability to monetize energy through AI and Bitcoin mining.
• Belizaire said, “Simply put, the assets we build are durable and very, very valuable. With this financing, we gain access to additional capital to accelerate our execution— without diluting our shareholders.”

• Asana, Inc. reported its financial results for the fourth quarter and fiscal year 2025, showing a blend of achievements and challenges.
• The company’s revenue grew by over 10% year-over-year, slightly exceeding adjusted guidance when accounting for currency impact, signaling stabilization in growth rates.
• Positively, Asana reached a significant milestone by generating positive free cash flow for the entire fiscal year.

• Hang Seng Indexes has announced a change in the FreeFloat-Adjusted Factor (FAF) methodology for Secondary Listings that will be implemented from the next rebalance in June.
• NetEase (9999 HK), Baidu (9888 HK), Trip.com (9961 HK), NIO (9866 HK), New Oriental Education & Techn (9901 HK) and Weibo (9898 HK) benefit; GDS Holdings (9698 HK) loses out.
• The FAF changes along with capping changes will result in a round-trip trade of HK$34.2bn (US$4.4bn) at the June rebalance with the largest turnover for the Hang Seng TECH Index. 

• We summarise the latest spreads and newsflow of merger arb situations we cover across Hong Kong, Australia, New Zealand, Singapore, Japan, Indonesia, Malaysia, Philippines, Thailand and Chinese ADRs.
• Highest spreads: Seven & I Holdings (3382 JP), OneConnect Financial Technology (OCFT US), Insignia Financial (IFL AU), Smart Share Global (EM US), Soundwill Holdings (878 HK).
• Lowest spreads: Makino Milling Machine Co (6135 JP), Shibaura Electronics (6957 JP), Domain Holdings Australia (DHG AU), Tonami Holdings (9070 JP), PointsBet Holdings (PBH AU).

• TSMC: +20% Premium; Wait for Higher Premium Before Shorting, ADR Headroom Has Increased Further
• UMC: -1.6% Discount; Wait for Lower Discount Before Going Long
• ASE: -0.1% Discount; Discounts Are Good Level to Long the Spread Given Maxed Headroom

• Micron this week reported revenues of $8.1 billion, down 8% QoQ but up 38% YoY, and at the top end of the guided range
• Micron is expecting to reach an annual run rate of $7.8 billion by Q425. Wow!
• NAND is headed for yet another downturn after six quarters of sequential growth. 

• Most key P&L items and revenue drivers improved Y/Y and sequentially vs Q324
• Although GTV per transaction dipped slightly, estimated “take rate” improved in Q424
• Strong OpCF obviates need for quick FY25 IPO — but it could still happen this year

• On the 18th June 2024, PC Partner (1263 HK)‘s board said it was considering an SGX listing, by way of introduction, and applying for the withdrawal of the HKEx listing.
• A 30th August 2024 announcement provided clarity on a step-by-step approach for the HKEx withdrawal. A secondary listing on the SGX was established on the 15th November.
• The next step is to establish a dual-primary listing in Singapore. Then withdraw the HKEx listing. The key driver behind this exercise is ensure the uninterrupted supply of NVIDIAs GPUs.

• Mitsubishi Motors plans to outsource EV production to Foxconn, signaling the most significant commercial validation of Foxconn’s MIH EV platform to date.
• While Foxconn’s AI server manufacturing is currently the company’s strongest growth driver, its EV strategy is increasingly gaining credibility as a second long-term pillar.
• Foxconn — Structural Long. We see depressed share price as buying opportunity. Mitsubishi contract win increases the probability for additional major OEM production partnership wins this year for Foxconn.

• Kuaishou Technology (1024 HK) is set to report its latest financial results today, on March 24, 2025, after market close.
• Expected Price Movement: Historical median price movement post-earnings is 5.6%, with option implied movement at 5.9%, indicating consistent expectations.
• Options Strategies: Discussion of option strategies and trading opportunities, or the lack thereof, based on the narrow margin of the March 28 straddle pricing.

• On March 31, 2025, IAC Inc (IAC) will spin off Angi Inc (ANGI). The first day of trading will be April 1st.

• Transaction Structure: The spin-off is designed to be tax-free, providing IAC shareholders with direct ownership of Angi. This move will eliminate Angi’s dual-class share structure, transitioning to a one share/one vote system.

• Distribution Ratio: IAC shareholders will receive approximately 0.5178 shares of Angi Class A common stock for each IAC share they hold. This ratio accounts for a planned 1-for-10 reverse stock split of Angi’s shares, effective March 24, 2025.

• RoboSense Technology shares significantly outperformed in 2025 with shares up ~43% over the year versus a ~18% gain on the HSI.
• Chinese mass producer of LiDAR products and sensor systems has successfully completed a placing of new shares and raised ~$HK1B or ~US$131M in March. 
• I think the stock is overvalued vs. peers given long path to profitability, lower relative gross margin profile and intense competition in Mainland China.