GS 高盛-中国每日报告 07.06

China-Daily-Insights 07.06 12页

Today’s focus
ASM Pacific Technology (0522.HK) Buy: Thriving as IDM and smaller packagers up capex; initiate with Buy
China Resources Power (0836.HK): Jinzhou Power Plant acquisition is another positive; reiterate Buy
Netease (NTES): Further buyback, competitor IPO, limited news on core business
Sohu.com (SOHU): Tian Long Ba Bu: Perfect World better revenue guide than Shanda
China: Telecom Services: Datang Mobile may receive equity investment from various SOEs
Asia Pacific: Chemicals: Commodity: Tax concession expiry -ve for SH Petrochem, less so for Yizheng
Shanda Interactive Ent (SNDA): Aurora acquisition strengthens Shanda development skill
Headline news
China top choice for investors (China Daily)
Stocks rally boosts value of assets (Shanghai Daily)
Economists: Pork price rise alone won't affect CPI much (Xinhua)
China to lead world IPOs league (Financial Times)
ASM Pacific Technology (0522.HK) Buy: Thriving as IDM and smaller packagers up capex; initiate with Buy, Donald Lu
• Source of opportunity: The Street is concerned that the top four global semiconductor packaging subcontractors, who purchase equipment made by ASM Pacific (ASMP, 0522.HK, HK$59.95, Buy), have reined in their capex. But we see this as an opportunity not a threat for ASMP. We expect ASMP to gain market share given its low exposure to the wirebonder market of top subcontractors and high exposure to Integrated Device Makers (eg, STM, NXP, TI) and 2nd-tier subcontractors (particularly in China) who are outspending top subcontractors. The largest AEJ supplier, ASMP enjoys a low-cost, vertically-integrated supply model, economies of scale, a diverse product line and high barriers to entry.