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

Tencent (700 HK): Trading Above Support Line, Popular Large Language Model to Boost Businesses

Tencent (700 HK): 2Q26, Revenue Growth Back to Double Digits.

Tencent/Netease: One Approval for Each in April

Tencent (700 HK): 2025, Game Back After Advertising

Tencent/NetEase: Second Consecutive Month of Zero Approvals

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>The game revenue slowed down, as the lunar new year was late this year.</li>
<li>However, the game business is far from dead according to gross margin, deferred revenue, and operating cash flow.</li>
<li>The difference means an upside of 24% and a price target of HK$572 for year end 2026.</li>
</ul>


The game revenue slowed down, as the lunar new year was late this year.
However, the game business is far from dead according to gross margin, deferred revenue, and operating cash flow.
The difference means an upside of 24% and a price target of HK$572 for year end 2026.


Tencent (700 HK): Game Slowing, But Far from Dead After Close Look at 1Q26 Results