HK/China Equity Long-Short

Osbert Tang, CFA

Osbert Tang is an equity analyst with over 20 years of experience with focuses on China transport, infrastructure, industrials and utilities sectors. He has been based in Shanghai since 2003, accumulated nearly 20 years of on-ground knowledge on the Chinese economy and financial markets, and has a wealth of contacts with China corporates and government entities. 

Osbert has received votes from top-tier institutional investors and has been a highly-ranked transport and infrastructure analyst in the Asiamoney, Institutional Investors and Greenwich surveys. In addition to his extensive experience with international investment banks including RBS, ABN AMRO (both served as Shanghai Chief Representative), Paribas Asia Equity, Maybank Kim Eng and DBS Securities, he has been a senior analyst with Moody’s Investors Service with focus on ratings of China infrastructure and related LGFV issuers. He has also worked in the area of strategic development at Sun Hung Kai Properties Limited. 

Osbert holds a BBA from the Chinese University of Hong Kong, an MBA from the University of Texas at Austin and a MSSc in Applied Psychology from the City University of Hong Kong. He was accredited with the CFA charter in 1997, and is a member of both British Psychological Society and Hong Kong Psychological Society.

China Comm Const (1800 HK): Well Placed for an Upturn

China Construction Machinery: Better Trajectory for 2H21

China Comm Const (1800 HK): A Healthy 1H21 with Full Operational Recovery

China Comm Const (1800 HK): Key Takeaways from Post-FY20 Result Call

China Comm Const (1800 HK): 3Q20 - A Return to YoY Growth

China Comm Const (1800 HK): Positive Takeaways from Call with Company

Equity Bottom-Up

China Communications Construction / Equity Bottom-Up

China Communications Construction (1800 HK)

<p>The 1Q21 result of <a href="https://www.smartkarma.com/entities/china-communications-construction-co-ltd" target="_blank" data-smartkarma-citation="entities:265:1" rel="noopener">China Communications Construction (1800 HK)</a> (CCCC) should provide comfort to the market given it showed the sustained pace of earnings recovery. Recurring profit grew 87.5% YoY, or 13.3% versus 1Q19, driven by sharp surge in revenue and good YoY margin expansion on remarkable cost control performance.  </p><p>We believe CCCC has kick-started an encouraging FY21 - its 1Q21 profit already almost equals to the 1H20 profit. Adding to that is the enchanting new contract addition momentum in the quarter - up 80.3% YoY and 24.5% QoQ, providing good security and visibility for its earnings outlook. All these evidences are supportive to our relentless call that its 12-month forward PER of 2.7x and P/B of 0.2x are just too depressed.</p>

The 1Q21 result of China Communications Construction (1800 HK) (CCCC) should provide comfort to the market given it showed the sustained pace of earnings recovery. Recurring profit grew 87.5% YoY, or 13.3% versus 1Q19, driven by sharp surge in revenue and good YoY margin expansion on remarkable cost control performance.  We believe CCCC has kick-started an encouraging FY21 - its 1Q21 profit already almost equals to the 1H20 profit. Adding to that is the enchanting new contract addition momentum in the quarter - up 80.3% YoY and 24.5% QoQ, providing good security and visibility for its earnings outlook. All these evidences are supportive to our relentless call that its 12-month forward PER of 2.7x and P/B of 0.2x are just too depressed.

China Railway Construction Corp (1186 HK)

China Comm Const (1800 HK): Kick-Start a Rewarding Year