Investment
Editor's Notes: * Memory and lithium cost surge will have negative impact on downstream players (gaming consoles, computers, EVs, mobile phones, etc.) The margin hit may be temporary, but the impact on stock prices have been asymmetric - beneficiaries stock price surging while losers stock price decline relatively muted.
Investment
Editor's Notes: * This is the stock that 10x over 5 years. Key supplier to TSMC (going where it goes - Arizona plant, Taiwan, etc.) * Stock got further attention earlier today (see our daily brief earlier). * Valuation fair (not cheap) given high-single-digit annual growth at the company level and
Investment
Editor's Notes: * Mentioned a few days ago about BOJ rate impact mostly priced in and hence the JP market recovery. Continue to bet that AI "broadening out" trend will lift up Japan-listed supply chain companies. Now seeing a few names coming up - Kioxia, Tokyo Electron,
Investment
Editor's Notes: * We summarize recent discussions from 30+ podcasts every week, to monitor sentiments, what's priced in and which stocks professionals are looking into. * 3 themes we have been looking into are somewhat confirmed: * Hormel showed up as an recommendation by an investor. We highlighted this
Investment
Editor's Notes: * My hypothesis is that investors largely believe in AI's disruptive power and long-term value, but the excess liquidity, high valuation of a few concentrated names (e.g. NVIDIA and like), and narrative fatigue are turning investors away. The natural act now is to look
Investment
Editor's Notes: * Companies I'd look into: Enerpac (hydraulic machinery space, 13x fwd EV/EBIT, ~6% FCF yield), Jabil (construction & engineering space, now focusing more on AI racks, 13.5x fwd EV / EBIT, ~6% FCF yield), Kobe Bussan (food products / grocery stores, 20x EV/EBIT, 2-3%
Investment
Editor's Notes: * As AI overvaluation debates continue, investors still reacted positively to memory chip shortages (memory chip shortages been going on for a while, but market still seems surprised by MU earnings). The broadening of AI impact may continue in 2026, as the investors find unexpected consequences / bottlenecks
Investment
Editor's Notes: * Generated the following recent development review on Luckin, given recent news (potential bid for Blue Bottle), and stock price jump yesterday (~10%), see earlier digest. * I love Luckin for 3 reasons: (1) low cost advantage at scale, which is a sustainable moat against others, (2) aggressive
Investment
Editor's Notes: * Rotation out of AI top names continued in the US, and investors looking for value opportunities outside the US. I am in the camp believing in the long-run continued demand for AI / compute, and success of AI apps, so I would look out to "buy
Investment
Editor's Notes: * Everything related to electricity is hot (e.g. GEV doubled this year)... so we surveyed the upstream electrical equipment sector a few days ago. Then we found everything is expensive, except Nidec. * Nidec's 12x P/E is super cheap relative to its positioning -
Investment
Editor's Notes: * No significant new themes - caution around AI, EV, JP interest rate increase and China economy, overall pointing to short-term profit-taking at year end. * No names caught my eyes today. Crocs indeed is super cheap now, but lacking near-term catalyst. And the narrative-driven Tesla continues to
Investment
Editor's Notes: * US listed hotels are either too expensive or face challenges (e.g. declining RevPAR), and I'd stay away given cycle phase. * Cruise line are getting too much positive attention than they deserve. See the newsletter from yesterday (incl. Jim Cramer's bullish call)