Asia Equity Strategy:Asia Heat Maps – What’s Hot, ...

UBS Investment Research
Asia Equity Strategy
Asia Heat Maps – What’s Hot, What’s Not
􀂄 An update from our valuation heat maps. What’s least expensive?
Chinese Capital Goods, Materials and Transport look inexpensive relative to the
market compared to their history. Financials in China and Banks and Real Estate in
Hong Kong also look inexpensive as do Banks in Korea. Capital Goods and
Transport in India also look relatively inexpensive.
􀂄 What’s most expensive?
Capital Goods in Taiwan and Malaysia, Transport in Korea and Singapore, and
Autos in India and Korea look expensive relative to the market relative to history.
Banks and Telecom also look expensive in most of ASEAN and Taiwan. Utilities
in Hong Kong and Semis in Taiwan also look expensive.
􀂄 What has good earnings momentum with reasonable valuations?
Many sectors in China appear to have inexpensive valuations coupled with good
earnings momentum, especially Banks, Property, Retailing and Telecom. Banks in
India and Insurance in Korea also have positive earnings momentum with
reasonable valuations. At the other extreme are Transport stocks in Korea and
Singapore, and Malaysian Utilities. Capital Goods, Banks and Semis in Taiwan
also look expensive with poor earnings momentum.
􀂄 What’s changed most over the last six weeks?
Indian Consumer Durables and Transport, Korean Autos, Retailing and Banks, and
Taiwan Retailing have become more inexpensive over the last one month. On the
other hand, Telecom in Thailand, The Philippines, Singapore, Utilities in Indonesia
and Thailand, and Semis in Korea and Taiwan look more expensive.

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撰写时间：

2011-12-16