Investment Rating - The report maintains a "Buy" rating for Melco Resorts & Entertainment Ltd. (MLCO) with a 12-month price target of $9.70, indicating an upside potential of 87.6% from the current price of $5.17 [2][3]. Core Insights - The report highlights that MLCO's market share in Macau is expected to improve due to reinvestment in product and service quality, despite facing higher costs [4][6]. - The company has experienced a decline in non-gaming revenue but managed to grow its gaming revenue by 6% quarter-over-quarter, reflecting successful property upgrades and new initiatives [4][5]. - Management is cautiously optimistic about the business outlook, noting improved GGR momentum in late July and August, with daily GGR reaching $653 million in the first two weeks of August [6][7]. - The report revises FY24E-26E EBITDA estimates down by 6% to 5% due to lower margins and GGR trends, but expects EBITDA to reflect market share momentum moving forward [8]. Financial Summary - MLCO's total revenue is projected to grow from $3,775.2 million in 2023 to $5,140.4 million by 2026, with EBITDA increasing from $961.7 million to $1,346.1 million over the same period [3]. - The company reported a net debt of $6.0 billion with a net leverage ratio of 5.3x, indicating stable financial health despite refinancing activities [5][6]. - The report notes that MLCO's GGR market share improved by 0.7 percentage points quarter-over-quarter to 15%, with specific properties showing varied performance [5][7].

13 August 2024 | 2:07PM EDT Midday Market Intelligence: disinflation-nation US stocks are trading higher on Tuesday as investors digest a softer-than-expected July PPI report ahead of tomorrow's CPI release. back to micro? The producer price index (PPI) increased by 0.1% in July, somewhat below expectations, with the PPI excluding food and energy remaining unchanged (vs. consensus +0.2%) and the PPI excluding food, energy, and trade services increasing 0.3% (vs. consensus +0.2%) (see "USA: Core Producer Pri ...

13 August 2024 | 10:29AM BRT Latin America Metals & Mining: Good 2024; Leverage Concerns and Weak Capex Execution Remains CSNA3 (Sell) EBITDA of R$2.6B (+35% α/q and +17% γ/γ) was 4% above GSe (+13% vs. Bloomberg consensus) mostly due to stronger steel earnings (beat on cost and product mix). CMIN3 (Sell) EBITDA of R$1.6B (+44% q/q and +47% y/y) came broadly in line with GSe, but 8% above consensus. We expect a slightly positive reaction for both CSN and CMIN. Steel weakness has been driven by a combination ...

13 August 2024 | 8:37AM EDT Market Intelligence: US Morning Update Click "here" to listen to the US Morning Call. Stocks in Asia traded higher Tuesday, led by Japan's Nikkei 225 (+3.5%) as it resumed trading after a long weekend. Mainland China's markets also ended higher, despite weak loan in demand in 2Q (see: "China: PBOC Q2 Surveys: Weaker loan demand; more willingness to spend on travel; muted house price expectations"). Australia's ASX also eked out a minor gain on the back of rebounding business surv ...

Investment Rating - The report assigns a "Buy" rating for Carlsberg with a 12-month price target of DKK 1,100, indicating a potential upside of 36.7% from the current price of DKK 804.40 [10][11]. Core Insights - Carlsberg reported strong organic EBIT growth of +4.6% in H1, with a gross margin expansion of +160bps to 46.3%, allowing for a 20% year-on-year increase in marketing spend [1][2]. - The company raised its organic EBIT growth guidance to +4% to +6%, up from a previous range of +1% to +5%, reflecting confidence despite unfavorable weather conditions in Western Europe [2][9]. - The report highlights that Carlsberg's valuation is undemanding, trading at 12.9x CY25 P/E and 8.3x EV/EBITDA, excluding the expected accretion from Britvic [3][9]. Summary by Region Western Europe - Western Europe, accounting for 51% of FY23 sales, experienced a volume decline of -3.0% in Q2 due to poor weather, leading to an organic revenue decline of -1.3% [6]. - The region's organic operating profit grew by +1.0%, supported by higher revenue per hectoliter despite increased marketing costs [6]. Asia - Asia, representing 32% of FY23 sales, saw organic revenue growth of +4.7% in Q2, with beer volumes increasing by +1% [7]. - Despite significant marketing investments, organic operating profit grew by +5.3%, with strong performance in the premium portfolio in China [7]. Central & Eastern Europe and India (CEE&I) - CEE&I, which contributed 18% to FY23 sales, reported total volume growth of +6.0% in Q2, with organic revenue growth of +9.8% [8]. - The region's organic operating profit increased by +14.1%, driven by strong performance in Ukraine and solid growth in the premium portfolio [8].

13 August 2024 | 10:19PM HKT 2131d4eaf4cb4d50b1d51c8af07b64b4 China Banks Gov. bonds supported July TSF, lowering both bank asset yields and capital consumption The July TSF data suggests strong government credit demand but weak corporate and retail. This trend has not changed since 2H23, but we highlight: 1) Slower growth of both loans and deposits. New loans to the real economy came in at Rmb -0.08tn, with new corporate and retail deposits coming in at Rmb -0.8tn in July 2024. 2) Further diverging yoy gro ...

13 August 2024 | 8:01PM EDT 2131d4eaf4cb4d50b1d51c8af07b64b4 CAE Inc. (CAE.TO): F1Q25 First Take: mixed results Bottom Line: CAE F1Q25 results are mixed. Revenue beat FactSet consensus by 2% in each business segment, but total segment EBIT is below on a softer Civil margin. The utilization rate in Civil remains high, and its book-to-bill was 1.31X in the quarter as demand remains strong. Defense posted its highest margin in over a year and owns 50% of a JV that booked a 25-year contract worth $11bn. The com ...

13 August 2024 | 7:40PM GST 2131d4eaf4cb4d50b1d51c8af07b64b4 CEEMEA Chemicals Names with growth optionality to outperform 2H24 outlook: remain selective in the space Following 2Q24 results, we update our numbers to incorporate the latest financial/operational metrics from the quarter. We see the combination of elevated feedstock costs and high freight cost weighing on margins in 2H24, while a focus on operational efficiency and volume improvement along with higher ethane/methane availability in 4Q could sup ...

Global Investment Research Australia Energy Monthly August 2024 Table of contents 2 3 . 1. . ( • . | --- | |------------------------------| | Key updates | | Coverage summary | | Company production summaries | | Commodity prices & FX | | | Oceania LNG exports Western Australia gas production Western Australia gas consumption Eastern Australia gas production Eastern Australia key energy flows New Zealand gas production Australia liquid fuel New Zealand liquid fuel Offshore activity map 4-12 13-14 15 16-17 18 ...

13 August 2024 | 8:32AM EDT Brazil: Strong Services Activity in June (Ramos) Bottom Line: Services activity firmed in June, well above consensus for an already strong rebound from May. The strength of services activity in June was broad-based across the 5 main categories. On a quarterly basis services activity expanded to 0.7% goq sa (2.0% yoy) during 2Q24. The carry-over for 3Q2024 is at 1.0% and for 2024 at 2.0%. Going forward, we expect services activity to benefit from continued strong fiscal stimulus ( ...