HUYA and DouYu Combined Is More Than Just A Monopoly

HUYA Inc.’s (NYSE: HUYA) merger with DouYu International Holdings Limited (NASDAQ: DOYU) is the kind of aggressive strategic maneuvering that makes investors go for Chinese ADRs in the first place. The combination will create a live game streaming behemoth with dominant market share, almost monopolistic if I’m allowed to use that word, with a major strategic advantage over peers, leadership in technology, and better access to top streamers, right set of ingredients to ward off any emerging threats from the likes of Kuaishou. Financially, the combined company will have some…

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Stocks On My Screen For Week Starting August 31ST, 2020

Every week, our model comes up with 40 stocks, 20 positive and 20 negatives, to watch for next week’s trading. The model is based on a mix of fundamental and quantitative factors, built on our proprietary database of detailed earnings model on more than 1225 U.S. listed companies. The historical data for these earnings models is sourced from SEC filings. Performance of last week’s model portfolio was, Net: -1.1% Longs: 3.2% Shorts:  -4.3% Assuming 5% is dedicated to each position, resulting in 0% net exposure and no change in position…

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Aggressive Zynga Is Better Than A Cash Rich One

Zynga Inc. (NASDAQ: ZNGA), like the broader video game sector, is doing well, enjoying a favorable demand environment. What is more exciting is that the company is finally stepping on the gas to execute a growth strategy that the company talked about forever. Lockdown has fueled every video game company in the world, thanks to people staying indoors and sharpening their video game skills, and you could have picked any stock in the space; chances are you would have made money, but as we enter the ‘second leg’ of the…

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Stocks On My Screen For Week Starting July 13th, 2020

Every week, our model comes up with 40 stocks, 20 positive and 20 negatives, to watch for next week’s trading. The model is based on a mix of fundamental and quantitative factors, built on our proprietary database of detailed earnings model on more than 1200 U.S. listed companies. The historical data for these earnings models is sourced from SEC filings. Performance of last week’s model portfolio was, Net: 2.6% Longs: 4.6% Shorts: -2.0% Assuming 5% is dedicated to each position, resulting in 0% net exposure and no change in position…

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DouYu Has Achieved Critical Mass For Profitable Growth

DouYu International Holdings (Nasdaq: DOYU) is a live streaming service in China, like Twitch owned by Amazon (Nasdaq: AMZN) in the U.S., that has achieved critical mass needed for the stock to attract investor interest. The live streaming of e-sports and video games has been accepted as a mainstream form of entertainment in China. Two players, DouYu and Huya Inc. (Nasdaq: HUYA), dominate the market, second largest in the world, commanding close 60% market share combined with the industry growing at healthy double-digit rates. The Street continues to ignore these names…

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