HK/China Equity Long-Short

Osbert Tang, CFA

Osbert Tang is an equity analyst with over 20 years of experience with focuses on China transport, infrastructure, industrials and utilities sectors. He has been based in Shanghai since 2003, accumulated nearly 20 years of on-ground knowledge on the Chinese economy and financial markets, and has a wealth of contacts with China corporates and government entities. 

Osbert has received votes from top-tier institutional investors and has been a highly-ranked transport and infrastructure analyst in the Asiamoney, Institutional Investors and Greenwich surveys. In addition to his extensive experience with international investment banks including RBS, ABN AMRO (both served as Shanghai Chief Representative), Paribas Asia Equity, Maybank Kim Eng and DBS Securities, he has been a senior analyst with Moody’s Investors Service with focus on ratings of China infrastructure and related LGFV issuers. He has also worked in the area of strategic development at Sun Hung Kai Properties Limited. 

Osbert holds a BBA from the Chinese University of Hong Kong, an MBA from the University of Texas at Austin and a MSSc in Applied Psychology from the City University of Hong Kong. He was accredited with the CFA charter in 1997, and is a member of both British Psychological Society and Hong Kong Psychological Society.

Orient Overseas Intl (316 HK): Still Not Too Late to Be Bearish

SITC International (1308 HK): Decently Attractive

China Pair Trade: Long SITC Intl (1308 HK), Short OOIL (316 HK)

HK Strategy: Assessing the Oil Vulnerability

COSCO Shipping Energy (1138 HK): Is It Too Stretched?

Equity Bottom-Up

Orient Overseas (International) / Equity Bottom-Up

<ul>
<li>We continue to adopt this strategy, as the outlook for <a href="https://www.smartkarma.com/entities/orient-overseas-international" target="_blank" data-smartkarma-citation="entities:801:1" rel="noopener">Orient Overseas International (316 HK)</a> is weaker than <a href="https://www.smartkarma.com/entities/sitc-international-holdings" target="_blank" data-smartkarma-citation="entities:15301:1" rel="noopener">SITC International (1308 HK)</a>, which generated 51pp in the last year. </li>
<li>For FY26-27, OOIL will face more bunker and capacity pressure. Its metrics are less attractive, for example, dividend yield of 1.2-2%, vs. SITC's 7.6-9.2%.</li>
<li>OOIL is more expensive at 25x FY26F PER, against 11.3x for SITC. While SITC's P/B is the highest among peers, it has an enviable average ROE of 42.8%.</li>
</ul>


We continue to adopt this strategy, as the outlook for Orient Overseas International (316 HK) is weaker than SITC International (1308 HK), which generated 51pp in the last year. 
For FY26-27, OOIL will face more bunker and capacity pressure. Its metrics are less attractive, for example, dividend yield of 1.2-2%, vs. SITC's 7.6-9.2%.
OOIL is more expensive at 25x FY26F PER, against 11.3x for SITC. While SITC's P/B is the highest among peers, it has an enviable average ROE of 42.8%.


ZIM Integrated Shipping Services (ZIM US)

중국 통화쌍 거래 업데이트: SITC Intl 매수 (1308 HK), OOIL 매도 (316 HK)