Tag Archives: Apple

Taiwan Earthquake Affecting Apple & other Smartphone Competitors

Taiwan Semicondoctor, TSM, and United Microelectroncics, UMC, have reported damage to production lines.  This, couples with recent power outages at Semiconductor Manufacturing Int’l, SMI, and UMC,  puts suppliers to Apple, AAPL, Huawei and Xiaomi under pressure.

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Shanghai Hang Seng Weekly Recap

Shanghai Composite & Hang Seng were up today.  However, Shanghai was down 6.13% for the week while the Hang Seng finally stopped hitting new lows and posted a 3.16% change for the week.  All sectors on the Hang Seng were up with only 4 of the 50 in the red:

  • Beer distributor China Resources Beer Holdings, HK 291, market cap $3.9B;US down 2%.  Sold non-beer holdings in 2015 to concentrate on beer only. Brands include Snow & Kingway and 20 year cooperation with SABMiller.
  • Real estate developer and manager Hang Lung Properties, HK 101, market cap $8.5B US; down 1.7%. This mall operator reported a 56% drop in core earnings on Thursday and cut the dividend.  South China Morning Post
  • Real estate developer and manager Henderson Land Dev., HK 12, market cap $18.4B US; down 1.75%. Interim report issued 9/11/2015 showed 6 month revenue increase of 16% whittling down to a “reported profit” increase of just 4%.
  • Food product company Want Want China, HK 151, market cap $8.5B US. Last semi-annual report, despite improved margins thanks to lower commodity input prices, 6 month revenue declined by 1.9%; EBITDA dropped 3.3%  Bought back 64.2million shares in first half. Special note: 99% of borrowing in US$.

Index Recap

shanghai hang seng

The yuan finished down against the dollar just -.05% for the week, with China vowing to  maintain, Reuters.   Apple, AAPL and Alibaba, BABA revealed the weakness in the Chinese consumer and the roadblocks in the transformation to a consumer-oriented economy.

yuan dollar update