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): Every Business Line Looks Great in 3Q20, Upgrade to Buy

Tencent – This Deal Keeps Rolling Along

Tencent: Listed Associates Continue to Outperform

Tencent (700 HK): Illegal Gambling Risk in Merger of Huya and Douyu

Tencent (700 HK): Game Accelerating, But Others Slowing Down, Limited Upside

Tencent (700 HK): Potential Merger of E-Sports Subsidiaries, Huya Merely The Tip of The Iceberg

China Internet Weekly (19Oct20): Tencent Mgt Reduced Shares, HUYA & DOYU Merged in Our Expected Way

TAL Education (TAL): App User Base Bounced, While Competitors Shrank in F2Q21, Upgrade to Hold

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 class="">
<li>The growth rate of China game market fell back to 15% YoY in 2Q20 and 3Q20 from 30% in 1Q20, but the growth rate was still higher than before the pandemic.</li>
<li>E-sports and overseas market are more promising.</li>
<li>Foreign game revenue from China stopped shrinking.</li>
</ul>


The growth rate of China game market fell back to 15% YoY in 2Q20 and 3Q20 from 30% in 1Q20, but the growth rate was still higher than before the pandemic.
E-sports and overseas market are more promising.
Foreign game revenue from China stopped shrinking.


テンセント（700 HK）：2020年第3四半期の中国ゲーム市場は好調