Best Research Ideas

Telecom Services - Investor Guide to China’s 5G Scenarios: Short-term Pain for Long-term Gain

— Edison Lee, Jefferies Asia Equity Research – Telecom Services

China is set to become a leader in 5G, but government decisions on spectrum and thus licensing are taking longer than expected. To help investors, we offer in this 300-page report three most likely scenarios, analyzing in each how the Chinese telcos and the supply chain would fare. We think a CT-CU merger is much more likely than the market thinks, which makes CU and CT our top Buys, followed by ZTE and YOFC. We initiate on China Tower at Underperform. FULL REPORT