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

Trade/Investment Ideas for 2019/20 China ADR Listings

Trade/​Investment Ideas from 2019/​20 IPOs - Mostly IN, SG and AU

Luckin Coffee Flash: Ugly Fraud Development

Starbucks (SBUX): Luckin (LK) Not a Concern Anymore According to Its IPO Form

Starbucks (SBUX): China Strategy Reaped by Luckin’s Parasitical Tactic, a Visit and Case Study

Starbucks (SBUX): Castles Made of Stimulants (Capitalism's Less Explored Darkside)

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>LK has lost office consumers, as very few employees are in their offices.</li>
<li>LK also lost resident consumers, as delivery men cannot enter communities.</li>
<li>We believe LK can hardly survive the epidemic.</li>
</ul>
Our previous coverage on Luckin Coffee:
<ul>
<li><a href="https://www.smartkarma.com/insights/starbucks-sbux-luckin-lk-not-a-concern-anymore-according-to-its-ipo-form" target="_blank" rel="noopener">Starbucks (SBUX): Luckin (LK) Not a Concern Anymore According to Its IPO Form</a></li>
<li><a href="https://www.smartkarma.com/insights/starbucks-sbux-china-strategy-reaped-by-luckin-s-parasitical-tactic-a-visit-and-case-study" target="_blank" rel="noopener">Starbucks (SBUX): China Strategy Reaped by Luckin’s Parasitical Tactic, a Visit and Case Study</a></li>
</ul>


LK has lost office consumers, as very few employees are in their offices.
LK also lost resident consumers, as delivery men cannot enter communities.
We believe LK can hardly survive the epidemic.

Our previous coverage on Luckin Coffee:

Starbucks (SBUX): Luckin (LK) Not a Concern Anymore According to Its IPO Form
Starbucks (SBUX): China Strategy Reaped by Luckin’s Parasitical Tactic, a Visit and Case Study


Luckin Coffee (LK) On the Ground: Lost Residential and Office Consumers Due to Epidemic