Japan/Asia Long-Short, LightStream Research

Mio Kato

Over 15 years analysing Japanese and Asian stocks from a long/short perspective

I focus on cyclically driven sectors such as Gaming, Factory Automation and Autos

An eclectic background as a long-short analyst, upper management at a financial data startup through its listing, and as the founder of a team analysing big/alternative data, all of which supports independent and differentiated views... we hope

An appreciation for Mathematics drives the development of a "Micro-Quantamental" process which can provide a data-driven, historically-informed and semi-automated foundation upon which to layer more qualitative and judgemental analysis, thus improving investment decision-making speed and accuracy

Japan/Asia Long-Short

SMM: Disordered Structures for Li-Ion Increase Risk of Cobalt and Nickel Substitution with Manganese

Pacific Metals: Boost from Indonesian Nickel Ore Export Resumption Could Put This on 7x PE

SMM: 2Q Results Look Weak Due to Various One-Offs, Underlying Trend Positive, Still Expensive Though

Sumitomo Metal Mining: Metal Price Recovery and Battery Material Growth Priced In; Upside Limited

Dowa Visit: Accelerating Silver Powder Growth, Higher Metal Prices Should Lift PE to Double Digits

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Equity Bottom-Up

<p>SMM reported CP of JPY125bn for FY03/18, more or less in line with consensus at JPY126.4bn. At the time the company raised its guidance to JPY89bn at 1H results, we suggested that a JPY20bn beat was possible and we do not consider the result a surprise (the materials segments outperformed somewhat compared to our forecasts). Guidance was much weaker than consensus as the company projected PTP (accounting standards will change to IFRS for next year) of JPY121bn vs. consensus at JPY161bn.</p><p>The…</p>

SMM reported CP of JPY125bn for FY03/18, more or less in line with consensus at JPY126.4bn. At the time the company raised its guidance to JPY89bn at 1H results, we suggested that a JPY20bn beat was possible and we do not consider the result a surprise (the materials segments outperformed somewhat compared to our forecasts). Guidance was much weaker than consensus as the company projected PTP (accounting standards will change to IFRS for next year) of JPY121bn vs. consensus at JPY161bn.The…

SMM: Forecast 25% Below Consensus Is Not THAT Conservative