Overseas Chinese Equities, Aequitas Research

Ming Lu

A veteran with 19-year experience in equity research.

Geographical coverage:
* Companies operating in China, but listed in Hong Kong and the U.S.
* Previously China A-share (listed in mainland China).

Equity sector coverage:
* Chinese App / Internet-based consumption in China, e.g., Alibaba, Tencent, etc.
* Previously covered education, transportation, telecom, power, bank, advertisement, hotel, etc.

Research methods:
* Generally bottom-up.
* Talk to related people on the ground.  Talk to readers and independent writers for analyzing a news portal.  Talk to parents and teachers for analyzing a tutoring school. 
* Visit stores and show photos as evidence in notes.
* Do technical analysis when finding a short-seller attacking an equity.

Languages:
* English
* Mandarin Chinese (Official language of China)
* Shanghainese (Language of Shanghai, the most developed city in China)
* Cantonese (Language of Hong Kong and Canton Province, one of the most developed provinces in China)

Overseas Chinese Equities

China Internet Weekly (17Feb2020): Companies May Hide Profits, BABA Fee Exemption Not a Big Deal

China Internet Weekly (20Feb2020): More Physical Stores Moving Online, Logistics Recovering

China Internet Weekly (2Mar2020): Photos of Rush Hour in Shanghai, ByteDance Starts Search App

JD.com (JD): Raised Goods Prices Significantly After Wuhan Was Sealed as Epicenter of Coronavirus

China Internet Weekly (20Jan2020): 18,000 Game Developers Bankrupt, PDD Sued in 1,765 Lawsuits

Alibaba (BABA): Want Fresh Food? Order Between 0:01~7:00 A.m. Due to Coronavirus

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

Equity Bottom-Up

<ul>
<li>About 50% delivery men came back to their jobs.</li>
<li>Xiaomi (1810 HK) achieved rapid growth in Europe in 4Q2019.</li>
<li>Koolearn (1797 HK)’s stock had risen by 37% last week after many schools postponed the spring semester.</li>
<li>
Muddy Waters published an anonymous short report on Luckin Coffee (LK).
</li>
</ul>
Ratings of our coverage in China:
<ul>
<li>Buy: Alibaba (BABA), Tencent (700 HK), JD.com (JD), Meituan (3690), TAL Education (TAL), New Oriental (EDU).</li>
<li>Hold: Ctrip.com (CTRP), Autohome (HTHM), 58.com (WUBA), NetEase (NTES)</li>
<li>Sell: Tencent Music (TME), Baidu (BIDU), Weibo (WB), Pinduoduo (PDD)</li>
</ul>


About 50% delivery men came back to their jobs.
Xiaomi (1810 HK) achieved rapid growth in Europe in 4Q2019.
Koolearn (1797 HK)’s stock had risen by 37% last week after many schools postponed the spring semester.

Muddy Waters published an anonymous short report on Luckin Coffee (LK).


Ratings of our coverage in China:

Buy: Alibaba (BABA), Tencent (700 HK), JD.com (JD), Meituan (3690), TAL Education (TAL), New Oriental (EDU).
Hold: Ctrip.com (CTRP), Autohome (HTHM), 58.com (WUBA), NetEase (NTES)
Sell: Tencent Music (TME), Baidu (BIDU), Weibo (WB), Pinduoduo (PDD)


China Internet Weekly (10Feb2020): Xiaomi Expanding in Europe, Koolearn Stock Up 37%

Xiaomi Corp

China Internet Weekly (10Feb2020): Xiaomi Expanding in Europe, Koolearn Stock Up 37%