- Potential government bond bubble forming
- China search engine sohu.com prepares for IPO
- The Euro is the most undervalued G10 currency on PPP basis
- Schwab records highest ever number of retail account openings
ACX.AX: a leading provider of cloud based collaboration software for the construction industry. Profit margins are below expectations while the company is trying to expand outside of ANZ region. Current revenue of 250m in a potential future market size of 7b. Buying for value @ 3.40, buying momentum below 3.70.
BIDU: leading internet search engine in China. Revenue growth guided by company to resume from a 1-year halt following increased online advertising regulation. Own a subsidiary (iQiyi) which has sole distribution rights of Netflix in China (3% of current revenue). Partnered with Microsoft to work on autonomous driving project which a potential free option for the stock. Buying @ 130 for value, buying momentum below 220.
DBK.DE: German investment bank. Returned to profitability however CEO Cryan has recently guided future revenues lower. Buying for value at potential arbitrage boundary of €15 per share based on 25% of tangible book value (€6.75) + intrinsic value of cash flows (€5.20) + litigation premium (€3).