TMT/Internet Archives | Page 58 of 121 | Smartkarma

• AI server cooling options include liquid & air solutions to improve efficiency and performance.
• India is set to introduce a new chip incentive package to boost its semiconductor industry.
• Apple’s supply chain expansion in Southeast Asia, especially Vietnam, has been significant, while MediaTek aims for 30% market share in China with upcoming flagship SoC.

• In this insight, we discuss the alpha generation through companies that announced share buybacks in Korea in March and April 2024.
• We provide a list of 30 stocks in the Korean stock market that have announced share buyback programs in the past two months.
• Major companies that have announced share buybacks in Korea in the past two months include Krafton (259960 KS), Celltrion Inc (068270 KS), and Woori Financial Group (316140 KS).

• Samsung 1Q24 results beat consensus by a wide margin and the company gave strong guidance for its Memory segment, guiding for further strength driven by servers, PCs, & phones needs.
• Guided strong demand for PC/Mobile Memory in 2H24E driven by on-device AI, which supports the case of edge AI hardware beginning to drive demand in addition to cloud/server-based AI hardware.
• Foundry segment’s losses reduced, but still loss-making? Samsung’s order backlog is at an all-time high but Samsung Foundry results suggest manufacturing yield performance likely well behind TSMC.

• Branded PC makers’ shares have been mostly lower in April, however Intel and Microsoft developments are providing strong signals for a future PC upgrade cycle into AI PCs.
• Over 60% of Fortune 500 companies are now using Microsoft’s CoPilot AI assistant; Intel expects the industry to exceed its prior forecast for AI PC shipments in 2024E.
• CoPilot is the killer app that will trigger a global enterprise PC upgrade cycle; The next generation of CoPilot will be an edge AI app that will require powerful hardware.

• Under Mohit Joshi’s leadership, Tech Mahindra (TECHM IN) targets a 15%+ EBIT margin and revenue growth surpassing industry averages by FY2027, with a focus on operational reform and portfolio integration.
• Project Fortius aims to achieve $250 million annual cost savings over 3 years, emphasizing high-margin services and organic growth, signaling a departure from  reliance on traditional acquisitions.
• This strategic shift towards operational efficiency and organic growth alters the company’s outlook, positioning Tech Mahindra for sustainable growth and shareholder returns, underlining a commitment to long-term value creation.

• TBO Tek (0395045D IN) is looking to raise approximately US$200m in its upcoming India IPO.
• TBO Tek is a global travel distribution platform. Its two-sided technology platform serves companies involved in the travel industry such as hotels, airlines, travel agencies and travel management companies.
• In our previous note, we talked about the company’s historical performance. In this note, we talk about its refiling updates and undertake a peer comparison.

• 1Q24 sales reached 96% of 4Q23, the recent low of sales, but GM upside 1% QoQ.   
• Demand is gradually picking up in 2Q24F, but inventory adjustments for industrial and automotive applications are ongoing.  
• Specifically speaking, in 2Q24 we expect to see a revival in demand, with QCOQ and MPS potentially beginning to place orders in Fab 5.

• Visa’s Fiscal Second Quarter 2024 Earnings indicate that Visa appears to be standing on solid financial ground with plenty of room for growth.
• The leading global payments technology company recorded $8.8 billion in net revenue for the quarter, marking a 10% increase.
• Its GAAP Earnings Per Share (EPS) rose by 12%, while non-GAAP EPS also saw an upward movement by 20%.

• Texas Instruments (TI) reported a first quarter of 2024 revenue that met expectations, despite witnessing a 10% sequential and 16% year-over-year decrease to $3.7bn.
• Revenue declined across all of its end markets as customers continued to pare their inventory levels.
• In terms of individual revenue components, Analog revenue declined 14% year-over-year, Embedded Processing declined 22%, and the Other segment declined 33% from the year-ago quarter.

• SmartRent aims to increase their market share in the smart home solutions industry, specifically in the multifamily real estate sector in the US
• They leverage their innovative Smart Home Operating System to lower costs for landlords and increase revenues through enhanced property management capabilities
• SmartRent’s three business lines offer a comprehensive and scalable solution for property owners, with a focus on professional services, hardware sales, and hosted services to capitalize on the growing demand for smart home technologies in the real estate market.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Mimasu Semiconductor Industry (8155 JP) recommended a pre-conditional tender offer from Shin Etsu Chemical (4063 JP) at JPY3,700, a 14.4% and 35.4% premium to the last close and undisturbed price, respectively. 
• The pre-condition, which cannot be waived, is approval under the competition laws of Japan and Taiwan. The tender offer is expected to start in late July.
• While the offer is below the mid-point of the IFA DCF valuation range and the requested price, it is 7.7% higher than the all-time high of JPY3,435. This is done. 

• Apple diversifies supply chain, focusing on Southeast Asia, led by Vietnam, while also shifting suppliers in India.
• MediaTek plans to boost market presence and R&D in India, targeting 30% market share in China by 2H24 with Dimensity 9400 SoC.
• US probe into China’s RISC-V role could impact Samsung’s AI chip ambitions, while STMicroelectronics aims for 100% renewable electricity by 2027.

• Taiwan Semiconductor Manufacturing Company’s (TSMC) Q1 2024 earnings presented several key details about the firm’s current market standing and future performance.
• For Q1 2024, they reported a 5.3% sequential decrease in revenue due to the impact of smartphone seasonality despite strong demand in high-performance computing (HPC).
• Gross margin was also up to 53.1%, reflecting product mix changes, and the firm’s operating margin increased to 42%.

• ASML Holding N.V., a Europe-based semiconductor company, reported its 2024 first quarter financial results in a recent conference call.
• Notably, the total net sales for the period were EUR 5.3 billion, matching the midpoint of the company’s guidance.
• The company shipped 12 EUV systems and recognized revenue from 11 such units, amounting to EUR 1.8 billion in revenue.

• Cadence demonstrated a robust start to 2024 with a strong first quarter that exceeded its guidance range on all critical financial metrics.
• Due to this exceptional performance, Cadence is increasing its financial outlook for the year.
• Cadence finished the first quarter with an unexpected record backlog of $6 billion, placing the company in a strong position for the remainder of 2024 and beyond.

• We have been of the opinion that tokenized real world assets (RWAs), especially tokenized debt will represent a more understandable underlying value of tokens or cryptocurrencies than Bitcoin.
• We are positive on tokens backed by risk-free assets such as US Treasuries or even investment-grade bonds as rates products for crypto funds and fractional investments for retail investors.
• Private debt could be the next in line to enjoy mass adoption if the legal elements and credit protection have been put in place to gain trust of institutional investors.

• Verizon reported a solid start to the fiscal year, with its demonstrated financial and operational performance primarily driven by its strategic focus and the relentless efforts by the company’s entire team.
• The company achieved momentum across different segments, with Verizon’s Consumer business demonstrating significant improvements.
• It saw an upturn in the postpaid phone net adds and marked another sturdy quarter of growth in the broadband subscriber base, indicating that the Consumer business is expected to contribute positively to the net adds this year.

• Thoma Bravo offers to acquire Darktrace (DARK LN) for $7.75/share in cash, 19.6% premium, 44.3% premium to 3-month VWAP, 148% to IPO price, 6.2x EV/Fwd NTM Revenue, 26.8x EV/Fwd NTM EBITDA.
• Irrevocable undertakings total 14.4%. Darktrace’s innovative technology aligns well with existing offerings in the cybersecurity ecosystem, making it a potential target for acquisition by a larger, established vendor.
• I think the proposed price is fair and see the take-out as a strong result for Darktrace shareholders. I believe the deal will close. Gross spread is 2.3%. Long.

• Nokia Corporation reported its first quarter 2024 results, which showed a decline in net sales by 19% year-on-year in constant currency.
• This decrease was due to the weak spending environment present since the second quarter of last year.
• The profit of Nokia’s three network businesses was affected by this trend, but this was counterbalanced by the benefits of deals signed in Nokia Technologies and ongoing cost reductions.

• SAP’s Q1 2024 showcased a solid beginning towards their longer-term growth goals.
• The company realized its targets of scaling up revenue and profitability for this period.
• Key metrics for Q1, such as the current cloud backlog grew by 28% to €14.2 billion, and cloud revenue increased by 25%, reaching €3.9 billion.

• MBK Partners will launch a tender offer for ConnectWave from today to May 24th. The target volume is 16.6M shares (40% of SO) at ₩18,000 per share, a 15.6% premium.
• MBK commits to acquiring all tendered shares, regardless of subscription rates, in order to expedite the delisting process. So, there is no cancellation or allocation risk.
• ConnectWave’s retail investor base, with high entry prices, may hinder reaching 70% of the target volume. Absence of risks suggests considering buy positions for potential secondary tender offer.

• After the market close on 26 April, it was reported that MBK Partners has launched a tender offer of a 29.61% stake of Connectwave (119860 KS).
• The tender offer price is 18,000 won, which is 15.6% higher than the closing price (15,570 won) of the company on 26 April.
• The tender offer period is from 29 April to 24 May. The amount of the tender offer is about 300 billion won. 

• TSMC: Premium Soars to +15.2%, Good Level to Consider Shorting the Spread
• UMC: Spread Bounces from Lows to Relatively Extreme High of +1.9%; Good Level to Short
• ASE: Spread Soars to Near All-Time High of +15.5%; Consider Shorting the Spread

• Mediatek Enjoying a Massive Rebound for its Mobile Phone Segment; Most Optimistic About High-End Smartphone Demand
• New AI Data Center Growth Driver on the Horizon; Recent Investment in U.S. AI Server Chip Startup
• Recent Share Price Dip is an Accumulation Opportunity; We Rate Mediatek as a Structural Long

• Taiwan Tech Rebounds Sharply Alongside Major Nvidia/U.S. Tech Rebound Last Week. Wave of Major Earnings Releases This Week — See Our Key Events Section.
• Apple’s Latest Supplier List Released Last Week — Nanya Tech, Lotes, and Novatek Dropped. New List Shows Apple Struggling to Diversify from China.
• Apple iOS 18 Will Heavily Feature Edge AI Running Locally on the iPhone for User’ Privacy and Security — We Believe This Could Be a Major Driver of Phone Upgrades

• China announced game approval for the April 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, though the number of approvals appears to be slower than March.
• While Tencent scored zero, Netease got approval for one game.

• Aequitas Research puts out a weekly update on the deals that were covered by the team recently along with updates for upcoming IPOs.
• On the IPO front, Sichuan Baicha Baidao Industrial (2555 HK) and Mobvoi (2438 HK)‘s listing doesn’t really help the HK sentiment.
• On the placement front, Vodafone Idea (IDEA IN) managed to do well, while Krafton (259960 KS) followed  Samsung Electronics (005930 KS) footsteps.

• Big Tech has been lagging the market since February and the relative performance reset is nearing an end. The overall stock market is undergoing a bottoming process.
• Investment-Oriented accounts should be accumulating positions at these levels, but should be prepared for some near-term choppiness.
• Tactically, we are inclined to overweight value over growth stocks for short-term performance.

• Playtech is recommended as a long investment due to its undervalued status and strong financial position
• The company has divested non-core assets and shifted focus to two profitable segments, including a B2B software and services provider and a leading B2C gaming operator in Italy under the Snaitech brand
• Playtech’s Snaitech segment is considered a crown jewel in its portfolio, with significant market share in Italy and potential for share price to triple over the next 3 years

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• The last week of SPACs was packed with activity including buyouts, amendments, and terminations.
• A digital mapping firm gets a boost with an acquisition by a Real Estate firm, and a Rare Earth mining-focused firm rejects a buyout from a SPAC.
• Also, a SPAC lowers the valuation of a deal with a biotech firm, and a UK-based blank-cheque firm terminates a deal with an engineering business. 

• Roland DG Corp (6789 JP) has re-recommended Taiyo’s revised offer of JPY5,370, which is 6.7% higher than its previous JPY5,035 offer and 3.3% higher than Brother Industries (6448 JP)’s JPY5,200 offer.
• The Board articulates a compelling case on Brother’s offer dis-synergies, which will help swing some shareholder opinion towards Taiyo (irrespective of the price). 
• Brother could bump, but it would not address the issue of satisfying the condition precedent (non-completion of Taiyo offer) and securing the Board’s recommendation.  

• SK Reports Massive Margin Rebound; Nanya Tech’s Financial Performance Appears Relatively Weak in Perspective
• AI Applications Now Translating Into Rising Solid-State Memory (SSD) Demand
• SK Povided Positive Color for Taiwan PC Names; New TSMC Collaboration Highlights TSMC Strength vs. Samsung

• A shares were up small on the week, largely due to a big rally on Friday (led by record Northbound buying). HK Stocks had a HUGE week. 
• Net SOUTHBOUND buying was +HK10.3bn. Net buys every day and now 20 days straight, but buying was foreign-led.
• Little market news. More geopolitical news. Big SOE bank H-shares see relentless buying. HSTECH +13.4%, HSI +8.8%, HSCEI +9.1%.

• Performance of SU7 so far, margin of EV biz and globalization potential prompted us to take another look at Xiaomi and we like what we saw;
• Xiaomi surprised during the Investor Day by guiding SU7 gross margin of 5-10%. Delivery guidance also surprised to ship 100k units in 2024. 
• We raise EV profitability estimates on margin guidance and expect market share to expand as it expands to SUVs.

• Originally, Brother Industries (6448 JP) wanted to buy Roland DG Corp (6789 JP).  Roland invited others to bid, didn’t tell Brother, then said Taiyo Pacific’s ¥5,035 bid won.
• That was low. Weeks later, Brother lobbed a ¥5,200 overbid. They are going through the approvals process but it isn’t clear Brother is negotiating.
• Taiyo has extended and extended and shown up in interviews. Now it has overbid at ¥5,370.

• Q124 revenue was $12.7 billion, down 17.5% QoQ but up 9% YoY.
• Q224 revenue forecast of just $13 billion & vague promise of full year YoY growth disappoints
• Capacity constraints on wafer level assembly limited Meteor Lake shipments. So much for a maniacal focus on execution.

• Corporations need to adapt to smarter AI as 6G, the next evolution in mobile communication, is coming soon, bringing faster speeds and advanced technology.
• Taiwan’s AI startups showcase cutting-edge B2B solutions at 2024 AI Expo, while Microsoft’s third-quarter revenue reaches a record high with the help of AI technology.
• Despite record high SiPh shipments, LMOC had a net loss in 1Q24. Taiwan’s biggest curved interactive MiniLED display, ‘Wishing Tree,’ steals the show at Touch Taiwan 2024.

• In 2Q24F, customer demand has slowed down in the traditional low season, as inventory levels normalize.  
• In summary, sales in USD are expected to grow in the mid-teens YoY in 2024F. Smartphone growth will be the strongest driver of this growth. 
• MediaTek is a leader in the Wi-Fi 7 market and aims to gain significant market share with its diverse product portfolio this year.

• Despite following Big Tech closely for the last 5 years, this sentence from today’s call still somewhat surprised me!
• The scale and the height of success of Google truly boggles my mind.
• Over the last year or so, Google has had its fair share of skeptics, including yours truly. 

• Regulatory risks could derail TikTok’s drive to become Vietnam’s No. 1 online marketplace, an industry expert said.

• The ByteDance-owned short-video app launched TikTok Shop in Vietnam in April 2022 as part of its broader ambition to control 35% of Southeast Asia’s e-commerce market.

• Since then, it has surpassed Alibaba-backed Lazada to become Vietnam’s second-largest online marketplace by gross merchandise volume — TikTok’s vendors sold about $1.3 billion worth of goods in the past six months, according to local media which cited data from local analytics firm Metric. Now, only Singapore-based Shopee stands between TikTok and the top spot.

• CMG is a small-cap company with a leading market share in the unconventional reservoir space
• They see a significant opportunity for their software and machine learning offerings to help maximize asset value and reduce costs and risks in the energy industry
• Under new leadership since mid-2022, the company has shifted towards a more commercially focused approach and is targeting clean energy opportunities such as carbon capture

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• ATNI is trading at approximately 35 percent discount to tangible book value after reporting first quarter results with negative free cash flow and reducing adjusted EBITDA guidance by 4.4 percent.
• ATNI experienced delays in securing government contracts in the quarter and slower process in growing commercial broadband accounts.
• ATNI is forecasting adjusted EBITDA of $190 million to $200 million leading to calculation of positive free cash flow. 

• WEX is a payments company trading at a discount to its historical valuation, with a P/E of 12.5x
• WEX operates in three segments including Mobility and Corporate Payments, with a market cap of $9bn
• WEX’s growth is driven by share gains, technology add-ons, and price increases, making it an attractive investment opportunity

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Shin Etsu Chemical (4063 JP), owner of a 44% stake in Mimasu Semiconductor Industry (8155 JP), has announced a Tender Offer to take out minorities in Mimasu. 
• This is not surprising. They bought in 19 years ago, raised to 40+% 18yrs ago, then waited. Finally, we have a deal. But it’s too cheap. 
• Shin-Etsu starts with ~45%, and crossholders and the chairman get it to 52%. Then they need a bit to get them to 67% but it should be straightforward.

• SK hynix earnings were announced, with a 10% Q/Q revenue increase driving a 734% increase in operating profit
• Although the company cited AI demand as the basis for this, its DRAM revenues, which are very AI dependent, increase very little
• NAND SSD demand increased significantly, with a 30% increase in revenues, largely attributable to price increases

• Almost every sectors are recovery since 1Q24, and auto and industrial applications sectors still need more time to digest inventory. .    
• The capex for 2024F has been increased by 10% for further investments in the testing business, targeting turnkey or testing customers. 
• All product lines expected to grow in 2H24F, with APT outperforming corporate average. UTR growth expected in 2H24F, reaching above 70%. 

• If you have been following Meta for some time, you probably are accustomed with after-hours (AH) volatility by now.
• While Meta was -20% at one point AH today, it does seem a bit overdone.
• Of all the post-earnings drop that I have experienced following Meta since 2018, this one probably made me nervous the least.

• The SE600 index is one of the most widely followed benchmark indices in Europe. This index is rebalanced on a quarterly basis.
• In this insight, we take a look at the potential index changes that could take place between now and the end of the June 2024 index rebal event.
• Currently, I see 7 ADDs and 7 DELs for the SE600 index. There are more names just outside the border requiring small price changes to get involved in index changes. 

• Intel misses 1H24 market consensus again, post market correction of over 7%. Can shifting focus away from foundry/manufacturing help?
• Is the breakdown change for future spin off/IPO of foundry/manufacturing, and non focus businesses like Altera and Mobileye positive?
• We disagree Intel foundry to breakeven in two years; we see AI product lagging behind competitors and non AI server CPU being squeezed by AI server GPU and GPU/CPU integration.

• Nextnav is a flying car company with valuable low band spectrum covering 93% of the US population
• The spectrum could be worth $18 per share within a year
• Investment in Nextnav is likely to be successful due to the valuable spectrum and experienced team

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

Freelancer’s Q124 results were mixed. Operationally, the company is seeing rising demand for AI specialists as customers seek affordable ways to develop proprietary AI. Notably, in Enterprise, the company delivered a large-scale AI pilot for a tech giant, sourcing 20,000 freelancers in 24 hours across 52 languages. This impressive achievement could lead to a substantial multi-year contract. Major initiatives across Loadshift and Escrow with leading organisations are set to be deployed over the coming months, potentially catalysing performance and diversifying revenue streams. We revise our forecasts to account for a weaker Q1 than anticipated, though positive lead indicators, especially relating to AI, underscore long-term optimism.

Lucror Analytics Morning Views comprise our fundamental credit analysis, opinions and trade recommendations on high yield issuers in the region, based on key company-specific developments in the past 24 hours. Our Morning Views include a section with a brief market commentary, key market indicators and a macroeconomic and corporate event calendar.

• SK Hynix
• Vedanta Resources

• There were only 12 new listings on the Main Board of the HKEX (388 HK) in the first quarter of the year. More than half the listings were in March.
• Of those stocks, we only see Robosense Technology (2498 HK) having a chance of being added to the HSCI in June and then into Southbound Stock Connect.
• There is a big lock-up expiry for Robosense Technology (2498 HK) in July and that should keep the stock under pressure.

• UMC expects macro uncertainties and cost headwinds to linger into 2H24. 
• The P3 project has received strong support from the Singapore government with a US$5 billion Capex. 
• UMC has seen high interest from customers for its 14nm capacity. 

• TKC Corporation provides accounting and tax services to accounting firms (and client companies they advise), local governments, and others using its own computational centers, while subsidiary TLP Corp.
• In full-year FY09/23, the company reported consolidated sales of JPY71.9bn, operating profit of JPY14.3bn, recurring profit of JPY14.8bn, and net income attributable to owners of the parent of JPY10.8bn.
• TKC does not release a medium-term business plan. However, it is pursuing the following four objectives in close cooperation with TKC National Federation.

• ARLO ) changed their subscription plans at the beginning of 2024 and Q1 results are expected to show little change in consumer habits since these pricing plans were instituted
• ARLO started 2024 with new pricing for its lowest subscription tier as cloud costs for such customers were more than the monthly subscription rate
• The focus of the first quarter results should remain on subscriber growth, especially as holiday period hardware sales begin to transition to paid subscription

• ODDITY, a data-driven beauty platform, posted strong financial results, reaching two important milestones in 2023: surpassing $500 million in revenue and generating over $100 million of adjusted EBITDA. The company’s net revenue grew 57% to $509 million, while adjusted EBITDA surged 173% to $107 million.
• ODDITY’s online platform, launched only five years ago, currently has over 50 million users and is responsible for these robust financial results.
• Baptista Research looks to evaluate the different factors that could influence the company’s price in the near future and attempts to carry out an independent valuation of the company using a Discounted Cash Flow (DCF) methodology.

• Horizon Robotics is looking to raise US$500m in its upcoming Hong Kong IPO. The bookrunners on the deal are GS, MS and China Securities.
• Horizon Robotics (HR) is a provider of advanced driver assistance systems (ADAS) and autonomous driving (AD) solutions for passenger vehicles, empowered by its proprietary software and hardware technologies.
• In this note, we talk about the positive aspects of the deal.

• Again, Tesla reports a 1Q24 sales with 4% miss but post market share price up more than 10% for 6 reasons. 1. Gross margin was stable on 15% sales drop;
• 2. ASP was stable; 3. Affordable EV on track for 2025; 4. Factory expansion to slow; 5. Optimus to sell end of 2025; 6. 2024 EV shipment higher than 2023.
• Near term risks to remain: 1. When will margin trough? 2. Why bother to buy EV if 2nd hand market collapsing? 3. Will Robotaxi/FSD bring in meaningful sales/profits soon?

• Horizon Robotics is looking to raise US$500m in its upcoming Hong Kong IPO. The bookrunners on the deal are GS, MS and China Securities.
• Horizon Robotics (HR) is a provider of advanced driver assistance systems (ADAS) and autonomous driving (AD) solutions for passenger vehicles, empowered by its proprietary software and hardware technologies.
• In this note, we talk about the not-so-positive aspects of the deal.

• SK Square is looking to raise around US$198m via selling 2.1% of Krafton (259960 KS).
• The stock has been doing well over the past few months and its earnings and price momentum remain strong.
• In this note, we will run the deal through our ECM framework and talk about the recent updates.

• On 19 April, Taiyo Co-CEO Brian Heywood told Bloomberg and Reuters they were considering three options to Brother Industries (6448 JP)’s tender for Roland DG Corp (6789 JP). 
• Taiyo’s options are bumping its offer, walking away or tendering into the Brother’s offer if it bumps and alleviates dis-synergies concerns.
• All three options are likely a ruse. Taiyo’s primary play is to frustrate and pressure Brother to withdraw its bid if it cannot get the Board’s recommendation.

• After the market close on 22 April, it was reported that SK Square plans to sell 2.2% stake in Krafton in a block deal sale worth about 270 billion won. 
• The estimated block deal sales price range is from 243,000 won to 251,000 won, representing a 3.1% to 6.2% discount to the closing price of 259,000 won on 22 April.
• We would take the deal. The company’s valuations remain attractive and it has been successful in expanding its sales and profits. 

• A shares were up on the week, while Hs were down. BIG divergence among liquid names. 
• Net SOUTHBOUND buying was +HK32.1bn. SOUTHBOUND ended its consecutive post-CNY daily net buy streak on 25 March, then started a new one. No net sell days since.
• Little market news. More geopolitical news. SOE bank H-shares are seeing relentless net and gross buying, very very little selling.

• A nasty power struggle between ADOR CEO Min Hee-Jin and HYBE has erupted which is likely to continue to negatively impact HYBE’s share price in the next several months.
• ADOR CEO Min Hee-Jin owns an 18% stake in ADOR which was founded in 2021. HYBE owns the controlling 80% stake in ADOR.
• Given the nasty fight between ADOR and HYBE, it is likely that the two companies (including ADOR’s CEO Min Hee-Jin) are likely to part their ways.

• Taiwan Tech Shares Fell Sharply Along With Global Selling — Semiconductor and AI Names Most Exposed
• What Is TSMC Telling Us About Semi Supply Chain Stories at Its Investor Conference? 
• ASE Technology Holding (3711 TT) Wins iPhone 16 System-in-Package Order from Apple (AAPL US)

• In 1Q24, Xiaomi and Transsion shipments grew rapidly, while Samsung Electronics (005930 KS) and Apple (AAPL US) shrank.
• Tims China’s revenue expanded with new openings, which is encouraging in the competitive market.
• In China, Tesla fired salespeople who had served the company for less than six months.

• Mr. Yashish Dahiya is an impatient man. In one of the interviews with The Ken, he narrated a story of how while in college he used to run home to Noida every Friday and back to college on a Monday morning (both 30kms in one direction) as he found public buses too slow for his liking.
• Mr. Dahiya, is also persistent and doesn’t give up easy – he is one of the few people in the world who has completed the grueling Ironman triathlon – an intense race that consists of swimming, bicycle ride and a marathon all raced in that order – widely considered one of the most difficult one-day sporting events in the world.
• It’s these qualities of impatience, persistence and continuously improving oneself that can be found in the business of PolicyBazaar or PBFinTech, the name of the parent company applying for IPO.

• IRDM reported first quarter results with equipment revenue providing the necessary lift to total revenue for IRDM to beat consensus estimates
• IOT subscribers continued to rise in the quarter with IRDM disclosing it has entered into a two-year agreement with a major IOT partner that provides revenue clarity for both parties.
• IRDM reported first quarter revenue of $203.9 million compared to our estimate of $197.7 million. The reason for the outperformance was due to equipment revenue

• eBay has the potential to become a trillion-dollar AI powerhouse in e-commerce
• Offers anti-inflationary savings and eliminates fraud risks
• Seen as undervalued with high growth potential compared to Amazon

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• 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: Qantm Intellectual Property (QIP AU), Southern Cross Media (SXL AU), Azure Minerals (AZS AU), QV Equities Ltd (QVE AU), Hollysys Automation Technologies (HOLI US), Shinko Electric. 
• Lowest spreads: Chilled & Frozen Logistics Holdings (9099 JP), Roland DG Corp (6789 JP), Mma Offshore (MRM AU), Pact Group Holdings (PGH AU), Newmark Property REIT (NPR AU), Lawson.

• TSMC and ASML reported 1Q24 results last week; both stocks have fallen post results, impacted by global concerns despite a strong outlook for these two leaders into 2025E.
• TSMC guided for strong growth not just in 2024E, but if one digs into management’s comments, they actually provided strong visibility into their 2028E internal revenue expectations.
• For ASML, its EUV product business is the key indicator to watch. We believe TSMC shares will continue to re-rate even through a period of global economic softness.

• TSMC: +9.2% Premium, Major Breakdown From Previous Historically Extreme High
• UMC: -1.9% Discount, Is Near Low End of Historical Range
• ASE: +10.4%; ADR Short Interest Jumps to Very High Level vs. History

• Aequitas Research puts out a weekly update on the deals that were covered by the team recently along with updates for upcoming IPOs.
• On the IPO front, Sichuan Baicha Baidao Industrial (2555 HK)‘s deal launch made it the first large HK IPO for this year.
• On the placement front, Vodafone Idea (IDEA IN) deal was live. Also there are lockup expiries in Kokusai Electric (6525 JP) and J&T Global Express (1519 HK) coming up. 

• Shift Inc (3697 JP) ’s share price has been down more than 50% YTD with the release of 1QFY08/2024 results in January 2024 which saw a drop in margins.
• The company’s aggressive investment in HR and system reinforcement led to a decline in margins, however, margins saw a QoQ improvement in 2QFY08/2024.
• Despite there being an improvement in 2Q and the company expecting the margins to bounce back in 4Q, Shift’s share price has continued to fall.

• It’s time for the main event: earnings are upon us. As is customary, let’s start with TSMC, move to ASML and Alphawave, and then discuss VAT Group.
• TSM revenue is above guidance, gross margins are a bit ahead of the midpoint, and operating margins are at the high end of guidance.
• First, while this is a good result, semiconductors are due for a correction. I wrote about this in March, and SOXX has quietly crept downwards since then.