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April2024
Vitarka
ANTYA’s views on investing markets, economy, and more
Latest Insights
FOMC Minutes – Growth, Financials and Technology Outperforms; Gold, Yen, HY and EMs Will Correct
The Federal Open Market Committee (“FOMC”) released its minutes of the March 20-21, 2018 meeting on April 11, 2018, and it appears that the capital markets were surprised by the more hawkish tone emanating from the FOMC. We have been of the view that investors are underestimating the resolve of …
Tesla Inc.-Musk Exudes Confidence in Attaining a Production Rate of 5,000/Week for Model 3 by July
Musk said, and we quote, We need to achieve 5k/week with Model 3 before adding complexity that would inhibit production ramp. So probably July.” We view this as a positive development because it appears to suggest that Tesla is on track as anticipated by us and as per its revised …
Tesla Inc.-Defying Gravity: Tiangong-1 or Voyager-1
Dear Friends at SC Capital and Others, Many thanks for reading my note, appreciating it, and for providing feedback. I am publishing my response to your comments in the interest of the broader community on our platform. I have republished your comments in italics while delivering my view after each …
Tesla Inc. – Headed Higher, Will Defy Skeptics
As per its news release of April 03, 2018, Tesla Inc. (“Tesla”, “TSLA” or the “Company”) produced 34,494 vehicles, which was a 40% increase from Q4-17 production of 24,565 cars. More importantly, all eyes and ears were on the production run rate for Model 3. On February 7, 2018, Elon …
The Indian Conundrum – A Growing Economy & Stagnant Bank Credit
The Reserve Bank of India’s (“RBI”) latest release of March 28, 2018, on sectoral deployment of bank credit for the first 11 months of fiscal year 2018, i.e. for April 2017 to February 2018, is at odds with tales of accelerating GDP and a revival in growth emanating from India. …
The Dot Plot Giveth — The Fed Presses On
Consistent with our view that the U.S. economy is firing on all cylinders and that the FOMC has its task cut out, the Federal Open Markets Committee (“FOMC”) release of March 21, 2018, was more hawkish than capital markets participants have been expecting. Although Jerome H. Powell (“Powell”), the new …
February 2018 Employment Report – Supports 4 Hikes in 2018 and 4 in 2019 – Are Asian Equities Ready?
The U.S. Labour Market is Much Stronger than Expected BLS release outlined 313,000 jobs created for February 2018, which is the highest number of jobs added in the month of February in the last ten years. BLS also upwardly revised job creation data for January 2018, and December 2017 by …
Broadcom Limited — Undone by Its Conduct
In our earlier research, we have repeatedly said that the Company showed up at Qualcomm’s door with nothing but chutzpah ( Broadcom Limited – Staring at Defeat ) and that culturally the two companies were unlikely to be compatible given different histories and approach to business development, product design and …
Qualcomm Inc. – Throws Down the Gauntlet
February 26, 2018, was an eventful day in the saga surrounding Qualcomm Inc. (“QCOM”, “Qualcomm” or the “Company”), Broadcom Limited (“Broadcom” or “AVGO”), and the much-ballyhooed 5G wireless technology. Prior to market open, investors were excited by the prospects of the company engaging constructively with AVGO, especially given QCOM’s filing …
Hong Kong Monetary Authority–Blindsided by Indian Banks in HK – Could Increase Regulatory Scrutiny
Punjab National Bank (“PNB”) gained international notoriety earlier in February 2018, when much to the chagrin of the Government of India (“GOI”) which is its largest shareholder at 57%, and the Reserve Bank of India (“RBI”) which is its primary supervisor, PNB alleged fraud approximating $1.8B committed by a group …
General Electric – Marching to a Single Digit Stock Price – Part 3
Readers that have followed our published view on GE previously ( General Electric (GE US )- 25% Downside and Perhaps a Single Digit Stock Price in Its Future?) will recall that we were and still are sceptical of capital’s prospects for 2018 and beyond. Therefore, this recent update from …
Zuma Sacked, PNB Hacked and Bank of Baroda South Africa Axed
The South African Reserve Bank (“SARB”) issued a media advisory on February 12, 2018, informing South African citizens that the Bank of Baroda South Africa (“BoBSA” or “bank”) was shuttering its operations. The bank issued a curt statement outlining its intent to rationalise international operations, thereby justifying the decision to …