21 February 2025 NetEase (NTES US) FINANCIALS AND RATIOS (CNY) | Year to | 12/2024a | 12/2025e | 12/2026e | 12/2027e | | --- | --- | --- | --- | --- | | HSBC EPS | 51.86 | 57.99 | 63.98 | 69.44 | | HSBC EPS (prev) | 49.56 | 56.26 | 62.91 | na | | Change (%) | 4.6 | 3.1 | 1.7 | na | | Consensus EPS | 49.24 | 54.69 | 59.50 | 60.85 | | PE (x) | 14.6 | 13.1 | 11.9 | 10.9 | | Dividend yield (%) | 2.5 | 2.0 | 2.2 | 2.5 | | EV/EBITDA (x) | 14.2 | 12.4 | 10.7 | 9.6 | | ROE (%) | 25.5 | 25.5 | 24.8 | 23.5 | 52-WEEK ...

Summary of Key Points from the Conference Call Company and Industry - **Company**: Alibaba Group (BABA) - **Industry**: Technology and Investment in China Core Insights and Arguments - **Earnings Performance**: Alibaba's recent results significantly exceeded expectations, indicating strong operational performance and market confidence [2] - **Capital Expenditure**: The announcement of increased capital expenditures surprised the market positively, suggesting a robust growth strategy [2] - **China's Technology Leadership**: There is a growing belief that China can lead in the AI-driven global technology competition, which should be recognized by global investors [2][3] - **Investor Sentiment**: Increased investor conviction in China's investibility as a technology leader is anticipated, with a shift in valuation expectations for MSCI China from 8-10x to 10-12x forward P/E ratios [3] - **Return on Equity (ROE)**: Expected improvements in MSCI China's ROE due to corporate self-help initiatives, better equity universe composition, and technology endorsements [3] Additional Important Information - **Valuation Shift**: The anticipated valuation shift is expected to compress the discount of MSCI China compared to emerging markets, potentially converging within the next 12 months [3] - **Market Dynamics**: The report emphasizes the importance of diligent corporate strategies and the evolving landscape of technology investments in China [3] - **Research Integrity**: Morgan Stanley acknowledges potential conflicts of interest due to its business relationships with companies covered in its research [4] This summary encapsulates the essential insights from the conference call, highlighting Alibaba's strong performance, the optimistic outlook for China's technology sector, and the anticipated shifts in investor sentiment and valuations.

FICC Research Economics 21 February 2025 US Outlook 3.5 will turn heads at the FOMC Longer-run inflation expectations jumped to 3.5%, their highest level since 1995, and surveys point to some cooling in activity, on tariff fears. This complicates the FOMC's policy. The minutes of the January meeting indicate that participants are in no rush to adjust the policy rate. +1 212 526 8536 colin.johanson@barclays.com BCI, US Please see analyst certifications and important disclosures beginning on page 10. Complete ...

Asia Pacific Equity Research 21 February 2025 This material is neither intended to be distributed to Mainland China investors nor to provide securities investment consultancy services within the territory of Mainland China. This material or any portion hereof may not be reprinted, sold or redistributed without the written consent of J.P. Morgan. Shenzhen Inovance Technology Co. Ltd - A JPM China Opportunities Forum Takeaways: Cycle inflection gaining traction, humanoid robot development underway Shenzhen In ...

North America Equity Research 21 February 2025 J P M O R G A N Tariffs & Sector Implications U.S. Equity Thematic Research Since President Trump took office, trade policy announcements have been rapidly evolving, with significant implications across sectors. Key developments include: (1) Potential 25% tariffs on Canada and Mexico; (2) 10% additional tariffs on China; (3) A 25% tariff on all steel and aluminum imports; (4) Intentions to impose further tariffs on specific sectors, including pharmaceuticals, s ...

February 21, 2025 05:37 AM GMT Enterprise Storage | North America CQ4 Storage Preview: Few Multiple Expansion Catalysts Into Storage Prints Our checks and survey results point to a healthier storage spend environment, although we are hesitant on any meaningful acceleration. Most cautious PSTG into print on FY26 guide risk. NTNX our preference for LT time horizon, but see little catalysts into print. Key Takeaways Healthier spend environment, although we lean cautious on any meaningful acceleration. Checks a ...

21 February 2025 | 2:31PM HKT Source: Wind, Goldman Sachs Global Investment Research Andrew Tilton +852-2978-1802 | andrew.tilton@gs.com Goldman Sachs (Asia) L.L.C. Hui Shan +852-2978-6634 | hui.shan@gs.com Goldman Sachs (Asia) L.L.C. Lisheng Wang China Economic Activity and Policy Tracker: February 21 (Song) In this note, we update four sets of high frequency indicators that we track: 1) consumption and mobility; 2) production and investment; 3) other macro activity; and 4) markets and policy. We publish o ...

February 21, 2025 01:39 AM GMT China Materials | Asia Pacific Morgan Stanley Asia Limited+ Korea Imposes 28-38% Tariff on Chinese Steel Plates What's new: On Feb 20, Korea's Ministry of Trade, Industry and Energy (MOTIE) announced preliminary anti dumping duties of 27.91%-38.02% on steel plates imported from China. Our view: We think the tariff on steel plate alone is not material, as steel plates exports (~1.47mnt in 2024) to Korea make up only ~1.3% of total China steel exports. Meanwhile, Korea is an imp ...

J P M O R G A N Global Emerging Markets Research 21 February 2025 EM Flows Weekly Turning the tide? EM bond funds see the largest inflow since early October EM Flows Weekly includes fund flow data, non-resident EM portfolio flow data, weekly retail fund flow models, EM-dedicated retail bond fund beta trackers, and historical cross-asset fund flows. – Within local currency, EM ex-China saw inflows of +$146mn (from + $60mn), and China-focused funds saw outflows of -$57mn (from -$274mn). – Within hard currency ...

February 21, 2025 03:50 AM GMT Investor Presentation | Asia Pacific M Foundation Taiwan – Financials We believe cash dividend yield remains the key focus in 1H25, Industry View Attractive and insurers and securities have competitive dividend yields compared to banks. Higher long-term rates and the FSC's localized measure should also help insurers implement IFRS 17 and ICS smoothly and deliver higher ICS ratios in 2026. Key stock calls: Cathay (2882.TW; OW): Higher dividend yield for 2024 with improving recu ...