Summary of Key Points from the Conference Call Industry Overview - The report focuses on the Asia ex Japan market, particularly highlighting the performance of various sectors and companies within this region, including China, Taiwan, Korea, and ASEAN countries [1][2][3]. Core Insights 1. **Style Rotation in China**: In early February, there was a notable style rotation in China, with a rebound in Low Risk and Value stocks, while Momentum stocks began to unwind from their peaks [1]. 2. **Earnings Revision Trends**: Earnings revisions are increasing in Taiwan, while Korea experienced a dip in mid-January but has since rebounded. In China and ASEAN, earnings revisions have plateaued after declining from their peaks [2]. 3. **Market Concentration**: The top five companies in the MSCI AC Asia ex Japan index now account for 33% of the index weight, the highest concentration since 2000. This high concentration could lead to increased volatility in Value and Price Momentum as these holdings unwind [3][52]. 4. **Sector Performance**: The Information Technology sector shows the best earnings momentum across the region, while the performance of Value and Price Momentum remains volatile [2][24]. 5. **Crowding Scores**: The report highlights crowding scores for various sectors, indicating that defensive sectors are less crowded compared to cyclical sectors, which are more crowded on the long side [38][39][48]. Additional Important Insights 1. **Earnings Momentum**: Year-to-date, both price and earnings momentum have performed well compared to other factors, although Price Momentum faced volatility in late January and early February [1][18]. 2. **Regional Contributions**: Korea and Taiwan were significant contributors to the total return in MSCI AxJ, accounting for 84% of the +8.2% total return in January [30]. 3. **Stock Connect Flows**: There was a net inflow of US$8.9 billion into Hong Kong via Southbound Connect in January, indicating renewed interest in the market [77]. 4. **Sector Contributions**: The report provides detailed sector contributions to long-short factor returns, with Financials and Consumer Discretionary showing notable performance in the Asia ex Japan region [19][21]. 5. **Investment Strategies**: The report discusses the effectiveness of AH Pairs Trading strategies, indicating that a relative approach can yield robust performance [81][84]. Conclusion The Asia ex Japan market is experiencing significant shifts in style and sector performance, with a focus on the implications of market concentration and earnings revisions. Investors should be aware of the potential volatility stemming from concentrated holdings and the performance of key sectors like Information Technology and Financials.

09 Feb 2026 18:23:25 ET │ 12 pages Thematic Equity Strategy Searching for Software Opportunities after AI De-Risking CITI'S TAKE This report serves as an addendum to our latest US Equity Strategy report on the software selloff. Herein, we screen for fundamental opportunities within corrected software names where upward revisions have persisted, providing near-term fundamental support, even though markets have implicitly taken down terminal multiples below current valuations, better recognizing longer-run bu ...

Core Viewpoint - The content emphasizes the importance of conducting personal due diligence and consulting with competent advisors before making any financial decisions, particularly in relation to investments in cryptocurrencies and CFDs [1]. Group 1 - The website provides general news, personal analysis, and opinions, as well as materials from third parties for educational and research purposes [1]. - It explicitly states that the information should not be interpreted as a recommendation or advice for any financial actions, including investments or purchases [1]. - The content is not tailored to individual financial situations or needs, highlighting the necessity for users to exercise their own discretion [1]. Group 2 - The website includes information about complex financial instruments such as cryptocurrencies and CFDs, which carry a high risk of losing money [1]. - Users are encouraged to conduct their own research and fully understand the workings and risks of any financial instruments before investing [1]. - The website may feature advertisements and promotional content, and FX Empire may receive compensation from third parties related to such content [1].

Core Viewpoint - Webster Financial Corporation (NYSE:WBS) is experiencing a notable upward trend in its consensus price target, indicating growing analyst confidence in the company's performance and growth potential [1][6]. Group 1: Price Target Trends - The average price target for WBS increased to $103 last month, reflecting positive sentiment among analysts [2]. - A year ago, the average price target was $81, showing a significant increase over the past year, suggesting analysts have become increasingly bullish on the stock [4]. - The average price target rose from $97.25 in the last quarter, indicating a steady increase and growing optimism about the company's prospects [3]. Group 2: Financial Performance - Webster Financial reported a net income of $254.1 million in the latest quarter, showcasing its financial strength [2][6]. - The company has demonstrated strong asset quality and solid earnings momentum, contributing to the positive outlook [6]. - Significant growth in deposits and loans has been observed, further enhancing the company's positive sentiment despite a slightly higher price-to-earnings multiple compared to peers [3][6]. Group 3: Future Outlook - Upcoming earnings reports and company announcements, including the fourth quarter 2025 earnings release scheduled for January 23, 2026, are important events that could influence analyst sentiment and stock price targets [5].

Core Insights - Chevron and Shell are leading players in the global energy sector, focusing on capital discipline, free cash flow, and shareholder returns as the oil market stabilizes after volatility [1][2] - Their strategies are diverging, with Chevron emphasizing upstream expansion and Shell prioritizing profitability and LNG growth [2] Chevron Overview - Chevron's strategy relies on its strong upstream portfolio, particularly in the Permian Basin and Guyana, providing long-term growth visibility [4] - In Q2 2025, Chevron's production reached 3,396 thousand oil-equivalent barrels per day, a more than 3% increase year-over-year [4] - The company generated approximately $8.6 billion in operating cash flow and $4.9 billion in free cash flow in the last quarter, supporting share repurchases and dividends [5] - Chevron's annual buyback program is $20 billion, reflecting management's confidence in cash generation [5] - The company has a debt-to-total capitalization of 16.8%, indicating a strong balance sheet [5] - Near-term earnings momentum has softened due to weaker oil realizations and lower natural gas prices, alongside integration costs from the Hess acquisition [6] Shell Overview - Shell's strategic shift towards operational excellence and cash discipline has resulted in significant improvements, generating $11.9 billion in operating cash flow and $6.5 billion in free cash flow in Q2 2025 [7] - Shell's LNG business is a core strength, expected to benefit from rising global demand through the late 2020s [8] - The company has streamlined its renewable energy portfolio to focus on higher-return assets, improving return on capital [9] - Shell trades at a lower forward P/E of 11.02X compared to Chevron's 18.7X, making it a more attractive option for value-seeking investors [13] - Recent EPS estimates for Shell have been upgraded, while Chevron's estimates have been revised downward, indicating stronger earnings momentum for Shell [15][16] Price Performance - Over the past year, Shell shares have increased by more than 12%, while Chevron's shares have risen by only 3.5% [11] - Shell's performance is attributed to its integrated model and effective cost control, whereas Chevron's underperformance is linked to oil price volatility and refining margin compression [11] Conclusion - Both companies are solid players in the energy sector, but Shell appears better positioned due to its lower valuation, improving earnings trajectory, and stronger stock performance [17]

Group 1 - The article maintains a "Buy" recommendation on Comcast Corporation (NASDAQ: CMCSA) shares, indicating confidence in the company's stock performance [1] - Key growth drivers for Comcast include successfully offsetting the decline in cable TV with growth in other areas, although specific figures are not provided [1] Group 2 - The analysis highlights the importance of understanding the underlying stories behind financial statements, suggesting a focus on fundamentals in investment decisions [1]

Group 1: Apple (AAPL) - Apple is expected to struggle slightly at the open, remaining just below the previous close [1] - The stock is hovering around the 50-day EMA, a key technical indicator, suggesting limited downside potential until the earnings call [1] - A barrier at the 200-day EMA indicates that the current pullback may be more technical in nature [1] Group 2: Google (GOOGL) - Google is anticipated to drop slightly at the open following a better-than-expected earnings call [2] - The stock is entering an area with previous market noise, indicating potential market memory affecting current performance [2] - Short-term pullbacks are likely, but they may present buying opportunities, particularly near the $190 level [3]

Core Viewpoint - The Williams Companies (WMB) has experienced significant stock performance, rising over 61% in the past year, outperforming the S&P 500 and its midstream competitors, leading to discussions among investors about profit-taking or continued investment [1]. Group 1: Company Performance and Growth - Williams is expanding its natural gas infrastructure with eight new interstate transmission projects expected to add 1.25 Bcf per day of capacity by 2025, supporting LNG exports and power generation [2]. - The Transco pipeline set a record in early 2025, moving 522 million decatherms, which is 10% above the previous peak, and the company has achieved 12 consecutive years of EBITDA growth, with 2024 adjusted EBITDA reaching $7.08 billion, exceeding initial guidance [3]. - Recent acquisitions, including full ownership of the Wamsutter upstream JV and Rimrock in the DJ Basin, enhance Williams' asset portfolio while maintaining a disciplined capital strategy [4]. - Williams has a quarterly dividend of 50 cents per share, with a compound annual dividend growth rate exceeding 4% over the last five years, appealing to income-focused investors [5]. - The company has consistently surpassed earnings expectations, reporting 47 cents per share in the fourth quarter, exceeding consensus estimates by 4.4% [6]. Group 2: Challenges and Risks - Williams has a high debt-to-capitalization ratio of 64.1% as of the end of 2024, which increases financial risk and vulnerability to market downturns [9]. - The company faces project delays in key offshore growth projects, particularly the Shenandoah and Whale developments, which may limit near-term growth potential [10]. - The outlook for gathering and processing operations is uncertain due to fluctuating producer activity, with tempered expectations for volume growth [11]. - Williams' stock trades at a 29% premium to its three-year average EV/EBITDA multiple, raising concerns about limited near-term upside [12]. - The growth strategy relies on large-scale infrastructure projects that are subject to regulatory approvals, with execution risks potentially impacting revenue growth timelines [13]. Group 3: Investment Outlook - Despite the challenges, Williams remains an attractive long-term investment due to its robust infrastructure and consistent dividend growth, although its elevated valuation suggests much growth potential is already priced in [15]. - Holding WMB shares could offer rewards given its strong dividend yield and earnings momentum, but waiting for a more attractive valuation before increasing exposure may be prudent [16].