Report
Dave Nicoski ...
  • Ross LaDuke
EUR 233.15 For Business Accounts Only

Vermilion Int'l Compass: Global Equity Strategy

Bottoms-up view on developed int'l, part two

Big Picture: Our outlook remains neutral on the MSCI ACWI ex-U.S. index (when priced in local currency) while horizontal consolidation continues. On the other hand, we are negative on broad global ex-U.S. markets when priced in USD... see charts below.
In today's report we take a bottoms-up approach to developed ex-U.S. equities, highlighting stocks that present attractive buy opportunities at current levels. Specifically we present actionable stocks within the Communications, Health Care, Manufacturing, Materials, Technology, Transportation, and Utilities Sectors. For your reference we include a table of all stocks highlighted in this report on page 3, sorted first by sector and then by market cap.

Notable themes:

• Of the 7 Sectors highlighted today, Health Care and Technology continue to present the most favorable price and RS trends on a global basis. It's the defensive areas within these Sectors that we like best - pharma within Health Care and software/services within Tech. These are great places to hide - especially in Japan and Europe where the major indexes are struggling. Over half of today's individual stock recommendations hail from these two Sectors... see page 2.

• Materials is another attractive Sector. However, it is the non-metals and mining stocks that are most attractive, i.e., chemicals and paper/forest products.

• Within Manufacturing, aerospace & defense remains a favorite industry of ours, with multiple actionable stocks highlighted in today's report.
Underlyings
ABCAM PLC

Abcam produces and distributes research-grade antibodies and associated protein research tools. Co.'s main product types consist of: antibodies, which is generated to target antigens on molecules it is interested in studying to understand where they are located within a cell or tissue sample; research-grade antibodies, which is used in academic pharma and biotech laboratories to investigate fundamental scientific questions; in vitro diagnostic antibodies, which is used in a clinical setting, such as a hospital or medical institute lab, to help diagnose a particular disease or condition; and kits, which contains everything a researcher needs to run an experiment.

AddNode Group

addNode AB acquires, manages and develops information technology (IT) companies. Co. is a supplier of IT solutions to private companies and the public sector. Co. has four business areas. Through the business areas Design Management and Product Lifecycle Management, Co. is engaged in the Nordic market for design, construction and installation projects and product information solutions. Through the business areas Process Management and Content Management, Co. is engaged in the Swedish market for document and case management, e-archives, geographic IT system and web solutions.

Ag Growth International

AG Growth International is a manufacturer of portable and stationary grain handling, storage and conditioning equipment. Co.'s divisions include: Batco Manufacturing, which manufactures portable belt conveyors; Union Iron, which manufactures material-handling and storage equipment; Edwards Group, which manufactures natural air grain drying equipment; Wheatheart Manufacturing, which manufactures portable grain augers, grain-handling accessories and fencing equipment; Hi Roller, which manufactures dust-tight and self-reloading conveyors; Twister, which manufactures corrugated steel bins; and Applegate Livestock Equipment Inc., which manufactures cattle-handling and containment equipment.

Airbus SE

Airbus is an European Aeronautic Defense and Space company whose core business is the manufacturing of commercial aircraft, civil and military helicopters, commercial space launch vehicles, missiles, military aircraft, satellites and defense systems and defense electronics and the rendering of services related to these activities. Co. organizes its businesses into the following five operating divisions: Airbus Commercial, Airbus Military, Eurocopter, Cassidian and Astrium. In addition, Co.'s Other Businesses division engages in the development, manufacturing, marketing and sale of regional turboprop aircraft and aircraft components.

Alumina Limited

Alumina is engaged the business of the global bauxite, alumina and aluminium industry, which it conducts primarily through bauxite mining and alumina refining. All of those business activities are conducted through its 40% investments in Alcoa World Alumina and Chemicals ("AWAC"). Co.'s equity interests in AWAC forms a reportable segment.

Amadeus IT Group SA Class A

Amadeus is a transaction processor for the global travel and tourism industry. Co. provides transaction processing power and technology solutions to both travel providers (including full service carriers and low-cost airlines, hotels, rail operators, cruise and ferry operators, car rental companies and tour operators) and travel agencies (both online and offline). Co. acts both as a worldwide network connecting travel providers and travel agencies through a processing platform for the distribution of travel products and services (through the Distribution business), and as a provider of a portfolio of IT solutions which automate certain business processes (through the IT solutions business).

Amplifon S.p.A.

Amplifon is multinational company engaged in the ddistribution, fitting, adaptation and personalization of hearing systems (hearing aids) designed to meet the needs of those suffering from hearing disabilities. Co. is also engaged in the sale of accessories such as batteries, consumables and spare parts, as well as in the distribution of biomedical devices. Co. is active in 20 different countries: Italy, France, Germany, Switzerland, The Netherlands, Belgium, Luxembourg, the U.K., Ireland, Spain, Portugal, Hungary, Turkey, the U.S., Canada, Australia, New Zealand, India, Egypt, and in Poland.

Arvida Group

Arvida Group Ltd. Arvida Group Limited is engaged in the business of owning, operating and developing retirement villages and rest homes for the elderly in New Zealand. The Company's villages are located in New Zealand, with over 2,000 residents across approximately 29 locations. The Company offers three levels of care: rest home, dementia and hospital. The Company's total aged care beds include approximately 1,761 and over 1752 retirement units, including approximately 379 apartments/villa, and over 529 serviced apartments. The Company offers a range of accommodation options, including independent villas, serviced apartments, rest home and continuing care facilities, apartments and studios. The Company offers lawn and indoor bowls, a dart board, supervised exercise programs, movie afternoons, happy hours, spa pool, unisex hairdresser, music therapy, craft sessions, exercise classes, church programs, and weekly shopping trips-transport provided.

Asahi Kasei Corporation

Asahi Kasei is a holding company. Co., through its affiliates, operates in three principal business segments. Material segment manufactures and sells petrochemicals, synthetic rubber, performance materials, household products (plastic wrap and storage bags), cleaning agents, elastic polyurethane filament, and battery separators. Homes segment is engaged in the development, construction and sale of unit houses and apartment buildings; and the provision of construction materials. Health Care segment manufactures and sells pharmaceuticals, diagnostic reagents, and critical care devices. In addition, Co. is engaged in the electricity supply, engineering, and employment agency businesses.

Ashtead Group plc

Ashtead Group is an international equipment rental company. Co. rents a range of construction and industrial equipment across a variety of applications to a diverse customer base. Co.'s equipment can be used to lift, power, generate, light, move, dig, compact, drill, support, access, scrub, pump, direct, heat and ventilate. Co.'s rental fleet ranges from hand-held tools to construction equipment. As of Apr 30 2017, Co. had 612 stores in 47 states in the U.S. and 17 stores in Canada, and 179 stores in the U.K. Co. operates as Sunbelt in North America and as A-Plant in the U.K.

Asia Pile Holdings

Asia Pile Holdings is a holding company. Co. is mainly engaged in the manufacture and sale of concrete piles and general foundation construction business. Co. operates in three business segments: concrete pile, steel pipe pile, and cast-in-place pile. Co., along with its subsidiaries and affiliates, is engaged in the manufacture and sale of concrete piles for foundation works, cement and sound-absorbent materials. Co. is also engaged in the construction work and foundation work businesses, as well as the manufacturing sound absorbing porous which is a solution for noise pollution. As of Mar 31 2017, Co. has 17 consolidated subsidiaries in Japan, Vietnam and Myanmar.

Astellas Pharma Inc.

Astellas Pharma is engaged in the development, research, manufacture, and sale of pharmaceuticals. Co. operates its operation in Japan, Americas, Europe, and Asia/Oceania. Co.'s principal product for the global market include "Xtandi" a therapeutic agent for prostatic cancer, "Eligard" a luteinizing hormone-releasing hormone (LHRH) agonist for the treatment of prostate cancer,"Prograf" an immunosuppressant used to prevent rejection in organ transplants, "Vesicare" a treatment for overactive bladder, "Harnal ( "Omnic" in the U.S. and Europe)" an 1 blocking agent for prostatic and urethral smooth muscle, and "Fungurad ("Mycamine" in the U.S. and Europe)" a candin-type antifungal agent.

AstraZeneca PLC

AstraZeneca is a holding company. Through its subsidiaries, Co. operates as a biopharmaceutical company engaged in discovering, developing, manufacturing and commercializing its pipeline of small molecule and biologic prescription medicines, including targeted business development through collaboration, in-licensing and acquisitions. Co. is focused on three main therapy areas: Oncology, Cardiovascular and Metabolic Diseases, and Respiratory. Co. is also selectively active in autoimmunity, infection and neuroscience. In addition, Co. works across small molecules, oligonucleotides and other drug platforms, as well as biologic medicines.

Capital Power Corporation

Capital Power is engaged in the building, owning and operating of power plants and managing its related electricity and natural gas portfolios by undertaking trading and marketing activities within Canada and the United States.

Chugai Pharmaceutical Co. Ltd.

Chugai Pharmaceutical is a pharmaceutical company. Along with its subsidiaries, Co. is engaged in the research and development of new prescription medicines and the subsequent manufacturing, marketing and distribution activities. Co. sells its pharmaceutical products to the nationwide appointed stores in Japan, as well as in overseas, such as Germany, the U.K., France, Taiwan, China, South Korea and the U.S. Co., through its subsidiaries, is also involved in the management of research facilities, and the research on drug discovery, as well as the provision of literature research services for pharmaceutical information, and pharmaceutical academic information.

Codan

Codan is a global company that develops rugged electronics solutions for government, corporate, non-governmental organization and consumer markets across the globe. Co. has four segments. The communications equipment segment includes the design, development, manufacture and marketing of communications equipment. The metal detection segment includes the design, development, manufacture and marketing of metal detection equipment. The tracking solutions segment includes the design, manufacture, maintenance and support of a range of electronic products and associated software for the mining sector. The other business segment includes the manufacture and marketing of printed circuit boards.

Croda International Plc

Croda International creates, makes, and sells specialty chemicals. Co.'s sales, marketing and research activities are organized into four global market sectors: Personal Care, which focuses on ingredients for skin, hair, sun protection and color cosmetic products; Life Sciences, which comprises of three complementary businesses: Health Care, Crop Protection, and Seed Enhancement; Performance Technologies, which targets technologies in Smart Materials and Energy Technologies and continues to develop its presence in Home Care and Water Treatment; and Industrial Chemicals, which is a sector based on selling co-streams, developing niche industrial applications and undertaking toll processing.

ENCE Energia y Celulosa SA

Ence Energia Y Celulosa is engaged in the manufacture and commercialization of wood pulp and derivatives. Co. divides its activities into the following two business lines: Forest Division: Co. manages timberlands in South America and the Iberian Peninsula. Co. is involved in trading of wood, and supplies solid wood products including: plywood, sawn timber, parquet flooring and glued-edge paneling. Co. is involved in forest and environmental consulting. Pulp Division and Energy Production: Co. is engaged in the production of Eucalyptus globulus-based TCF and ECF paper pulp. Co. is also involved in the generation of electricity through biomass power producing plants.

Fagron SA

Fagron supplies products, services to professionals and institutions in the healthcare sector in Europe, the U.S.A. and Brazil. Co.'s activities are subdivided into four divisions. Through Fagron, Co. offers products and concepts for pharmaceutical compounding. Through Arseus Dental, Co. supplies dental products and concepts to dentists and dental laboratories in Belgium, the Netherlands, France, Germany and Switzerland. Through Arseus Medical, Co. supplies medical and surgical products to specialists, elderly homes, homecare nurses and hospitals in Belgium and the Netherlands. Through Corilus, Co. supplies ICT total solutions for medical specialists in Belgium, the Netherlands and France.

Hansa Biopharma AB

Hansa Medical is a biopharmaceutical company focusing on novel immunomodulatory enzymes. The research project IdeS is an antibody-degrading enzyme in clinical development, with potential use in transplantation and rare autoimmune diseases. Additional projects focus on development of new antibody modulating enzymes, as well as HBP, a diagnostic biomarker for prediction of severe sepsis at emergency departments that is already introduced on the market. Co.'s business consists of research and development for production of pharmaceuticals.

Iljin Materials

Iljin Materials is engaged in the manufacturing of elecfoils used in electronic products. Co. develops and produces elecfoils needed for printed circuit board ("PCB"). Co.'s elecfoil is used for cathode collectors in rechargeable lithium batteries for cellular IT products such as cellular phones, laptop computers, digital cameras, and camcorders. Co. is also engaged in the business of light emitting diode (LED).

IMCD N.V.

IMCD Group is a specialty chemicals group based in the Netherlands. Co. is engaged in the sale, marketing and distribution of specialty chemicals and food ingredients globally. Co.'s business groups are Detergents, Pharma, Personal Care, Coatings, Food & Nutrition, Lubricants, Synthesis, Plastics and others. Co.'s product offering includes additives, antioxidants, extracts, preservatives, acids, lubricants, oils, softeners, wax, components for oral, topical and vaccine drug formulations, fragrances, pigments, solvents, resins, flavors, herbs and spices, surface active agents, and fillers, among others. Co. maintains offices and warehouses in Europe, Asia Pacific, Africa, the USA and Brazil.

Infocom Corp

Infocom is mainly engaged in the provision of information technology ("IT") solutions and information communication system services. Along with its affiliates, Co. operates in two business segments. IT Service segment is engaged in the planning, development and consultation of information systems for cellular phone carriers, general consumers, government, education and research organizations, and medical institutions. Co. provides a total Web-based ERP called "GRANDIT®" to streamline work flow. Net Business segment delivers digital contents such as e-books, mobile games, and other social applications for smartphones as well as the operation of e-commerce sites for food.

Interroll Holding AG

Interroll Holding is a holding company. Through its subsidiaries, Co. develops, manufactures and markets components and subsystems for the areas of material flow and conveyor technology. Three globally operating business units are responsible for managing the activities of Co.: Interroll Drives & Rollers within the Components segment, Interroll Dynamic Storage and Interroll Automation within the Subsystems segment. The Components segment includes drum motors, roller drives and rollers. The Subsystems segment includes conveyor and distribution systems as well as storage systems for airports, parcel and mail sorting, distribution and commissioning systems.

Ipsen SA

Ipsen is global biotechnology specialty care company. Co. engages in research, development, manufacture and sale of pharmaceutical products for human healthcare. Co.'s product portfolio includes pharmaceutical products marketed around the world to specialists working in its targeted therapeutic areas (oncology, endocrinology, neurology and haematology). These products are specialist care drugs. Co. also markets products in other therapeutic areas including gastroenterology, cardiovascular and cognitive disorders. These products are primary care drugs. Co.'s brand names include Decapeptyl®, Somatuline®, Dysport®, Nutropin Aq®, Smecta®, Forlax®, Nisis®,Adrovance®, Exforge® and Adenuric®.

KH Neochem Co. Ltd.

KH Neochem Co Ltd. KH Neochem Co., Ltd. is a Japan-based company engaged in the manufacture and sale of petrochemicals. The Company's business is divided into three business units. The Basic Chemical business's main products include butyl alcohols, octyl alcohols and butyl acetates. The business is involved in the provision for the manufacture of paints, inks, commodity resins, plasticizers, detergents and others. The Performance Material business's main products include isononanoic acids and octylic acids, among others. The business is involved in the provision of raw materials for surfactants, water-based paints, cosmetics, pesticides, as well as pharmaceutical products. The Electronic Material business's main products include propylene glycol methyl ether-pure (PM-P) and propylene glycol methyl ether acetate-pure (PMA-P). The business is involved in the provision for semiconductors, display materials and optical materials, among others. The Company has six subsidiaries and two associated companies.

Kinaxis Inc.

Kinaxis Inc. is a Canada-based company that provides cloud-based, software-as-a-service (SaaS) solutions. The Company's subscription software enables its customers to analyze and make decisions across their supply chain operations. Its solutions include sales and operations planning, integrated project management, live lens, capacity planning (Constraints), capacity planning (CRP), demand planning, order fulfillment, inventory management, inventory planning and optimization, self-healing supply chain, aggregate supply planning, distribution requirements planning, master production scheduling, supply action management, supplier collaboration and engineering change management. The Company serves various industries, such as aerospace and defense, automotive, consumer products, industrial and life sciences.

Lonza Group AG

Lonza supplies services and products that range from active pharmaceutical ingredients and stem-cell therapies to drinking water sanitizers, from vitamin B compounds and organic personal care ingredients to agricultural products, and from industrial preservatives to microbial control solutions. Co. operates in two segments: Lonza Pharma & Biotech, which clusters all of Co.'s offerings for pharmaceutical markets, focuses on providing custom development, custom manufacturing, cell therapy, viral therapeutics and bioscience solutions; and Lonza Specialty Ingredients, which includes offerings in its consumer care, agro ingredients, industrial solutions, wood protection and water treatment.

MCJ
MCJ

MCJ is engaged in the retail of personal computers and peripherals. Co. operates in two business segments: Personal Computer Related and General Entertainment. Personal Computer Related segment is engaged in the manufacture and sale of personal computers and monitors, as well as the purchase, wholesale and retail sale of computers and peripherals. General Entertainment segment operates "aprecio" brand membership cafA(c) chain stores that offer various services including Wi-Fi, movies, karaoke, comic books, table tennis, pool tables, and shower rooms.

Meiko Electronics Co. Ltd.

Meiko Electronics is mainly engaged in the electronics-related business. Along with its subsidiaries, Co. is engaged in the pattern design, manufacture and sale of electronic circuit boards, the manufacture of dies, the manufacture and sale of testing equipment, as well as the development and manufacture of circuit board testing machines, the assembly of circuit boards, and the manufacture and sale of multi-video-processors. As of Mar 31 2017, Co. maintains its plants in Kanagawa, Fukushima, Yamagata and Miyagi Prefectures and 12 consolidated subsidiaries and 4 non-consolidated subsidiaries.

Merck KGaA

Merck is a global science and technology company based in Germany. Co. diversifies its activities into four business divisions: Merck Serono, Consumer Health, Performance Materials and Merck Millipore. The Merck Serono develops, manufactures and markets prescription drugs to treat cancer, multiple sclerosis, infertility, growth disorders, and selected cardiovascular and metabolic diseases. The Consumer Health manufactures and markets over-the-counter drugs addressing health themes such as mobility, women's and children's health, cough and cold. Performance Materials is a specialty chemicals business. The Merck Millipore is the supplier of products and services for the life science industry.

Methanex Corporation

Methanex is a producer and supplier of methanol to the international markets of Asia Pacific, North America, Europe and South America. Co.'s operations consist of the production and sale of methanol, a commodity chemical.

Mondi plc

Mondi is organized into the following businesses: Packaging Paper, which manufactures and sells virgin and recycled containerboard and sack and speciality kraft paper; Fibre Packaging, which manufactures and sells corrugated packaging products, industrial bags and extrusion coatings; Consumer Packaging, which develops, manufactures and sells consumer goods packaging solutions, technical films, components for personal care products and release liners; Uncoated Fine Paper, which manufactures and sells papers for use in offices and printing houses; and South African Division, which manages plantation forests and manufactures and sells pulp, virgin containerboard and uncoated fine paper.

MTU Aero Engines AG

MTU Aero Engines manufacturers engine modules and components, and providers MRO (Maintenance, Repair and Overhaul) services for commercial aero engines. Co.'s activities range through the development, construction, testing and production of new commercial and military engines and spare parts, through to maintenance, repair and overhaul of commercial and military engines. Co.'s segments comprised of: OEM business (Original Equipment Manufacturing), which covers new commercial engines, including spare parts, and the whole of the military sector; and MRO business, which engaged in commercial maintenance activities covering the areas of maintenance and logistical support for commercial engines.

Nihon Unisys Ltd.

Nihon Unisys is mainly engaged in the provision of information technology solution services. Co.'s principal business segments are system services, support services, outsourcing, software, and hardware. Co. offers software development, system engineering services, and consulting services. Co.'s principal services include software and hardware maintenance and support services, installation services as well as contracted information system administration services. Co. also provides software through software license agreement, and hardware through sales or lease contracts.

NMC Health PLC

Noritake Co. Ltd.

Noritake is mainly engaged in the industrial equipment, tableware, ceramics materials and engineering businesses. Co. has four business segments. The Industrial Equipment segment is engaged in the manufacture and sale of grinding wheels, diamond tools and abrasive cloth. The Ceramic Material segment is engaged in the manufacture and sale of electronic paste, ceramic materials and parts, fluorescent display tubes, as well as dental products. The Engineering segment is engaged in the manufacture and sale of industrial furnaces. The Tableware segment is engaged in the manufacture and sale of ceramic tableware.

Open Text Corporation

Open Text is a provider of a suite of software products and services that assist organizations in finding, utilizing, and sharing business information from any device. In addition, Co. provides solutions that facilitate the exchange of information and transactions between supply chain participants, such as manufacturers, retailers, distributors and financial institutions. Co. provides software through on-premise solutions, cloud solutions or a combination of both on-premise and cloud solutions. Co.'s enterprise information management offerings include: content services, business process management, customer experience management, discovery, business network, and analytics.

QIAGEN NV

Qiagen is provider of Sample to Insight solutions to transform biological materials into valuable molecular insights. Co.'s sample technologies process DNA, RNA and proteins from blood, tissue and other materials. Assay technologies make these biomolecules visible and ready for analysis. Bioinformatics software interprets data. Automation solutions unite these together in molecular testing workflows. Co. provides these workflows to four classes: Molecular Diagnostics (human healthcare), Applied Testing (forensics, veterinary testing and food safety), Pharma (pharmaceutical and biotechnology companies) and Academia (life sciences research). Co. markets its products in more than 130 countries.

Revenio Group Oyj

Revenio Group' main business is the design, manufacture and sales of medical instruments used for measuring intraocular pressure and bone density. Co. has additional business operations: software for indoor logistics automation systems, the manufacture of Rigid Inflatable Boats and the provision of Contact Center services. Co.'s operations are divided into two reported business segments. Revenio Health Tech - Design, manufacture and sales of tonometers; design, manufacture and sales of bone density measurement device. Revenio Technology and Services - Contact center services; deliveries of software for material handling systems; design, manufacture and sales of Rigid Inflatable Boats).

RYMAN HEALTHCARE LTD.

Ryman Healthcare develops, owns and operates integrated retirement villages, resthomes and hospitals for the elderly within New Zealand and Australia.

S&T AG

S&T AG is an Austria-based supplier of information technology (IT) solutions, specializing in Industry 4.0, embedded computer systems and Internet of Things (IoT) technology. The Company operates through three segments: IT Services, which handles the end-to-end realization of IT projects, from planning (consulting), through implementation (integration) to long-term operation (outsourcing); IoT Solutions, which focuses on the development of IoT and Industry 4.0 solutions combining hardware, middleware and services marketed to the industrial automation, medical technologies, infotainment and smart energy sectors, and Embedded Systems, which provides hardware featuring embedded technologies used by the transport, aviation and communication sectors. The Company is a full-service-provider of IT services in Central and Eastern Europe. Its core markets are Germany, Austria, Switzerland, Eastern Europe and North America.

Saab AB Class B

Saab is a technology company, with main operations in defence, aviation and civil security. Co.'s operations are primarily focused on areas in defence electronics and missile systems as well as military and commercial aviation. Co. also provides technical services and maintenance. Co. has six operating segments: Aeronautics, Dynamics, Electronic Defence Systems, Security and Defence Solutions, Support and Services, and Combitech, AB, Co.'s subsidiary. Aeronotics provides a product portfolio comprising the Gripen fighter system unmanned aerial systems and components for Co.'s own aircraft and for passenger aircraft manufactured by others.

Samsung SDI Co. Ltd

Samsung SDI is engaged in the manufacture, sale and export of miniature to wide screen color picture tubes, including Liquid Crystal Displays ("LCDs") and plasma display panels (PDPs). Co. is also engaged in the manufacture of small-sized lithium-ion battery, automotive battery, and lithium-ion energy storage.

Savaria Corp.

Savaria is engaged in the manufacturing, installation and distribution of residential and commercial accessibility equipment such as elevators, vertical and inclined platform lifts, and stair lifts for people with mobility challenges, as well as converting and adapting vehicles for persons with physical disabilities. Co.'s operations are principally divided into two business segments: the first consists of manufacturing and distributing residential and commercial accessibility equipment for people with mobility challenges, and the second consists of converting and adapting vehicles for persons with a physical disability.

Schibsted Asa Class A

Schibsted is engaged in the media industry and has four segments: Online classifieds, which include the Norwegian online marketplace and operations outside Norway; Schibsted Norge media house, which includes the media houses VG, Aftenposten, Bergens Tidende, Stavanger Aftenblad and Faedrelandsvennen, printing and distribution operations, and the publishing house Schibsted Forlag; Schibsted Sverige media house, which includes media houses Aftonbladet and Svenska Dagbladet and a portfolio of internet-based growth companies; and Media Houses International, which includes of free newspapers 20 Minutes in Spain and France and Eesti Meedia Group comprising of operations in the Baltic States.

Siegfried Holding AG

Siegfried Holding is a worldwide pharmaceutical supplier with production sites in Switzerland, Malta, and in the United States. Co. develops manufacturing processes for active pharmaceutical ingredients and their intermediates and manufactures these (Drug Substances). Co. also produces finished pharmaceutical products (Drug Products).

SKC Kolon PI

SKCKOLONPI, Inc. is a Korea-based company principally engaged in the manufacturing and distribution of polyimide films. The Company's polyimide films are mainly used in flexible printed circuit boards (FPCBs), displays, aerospace, heaters, transformers, motors, gaskets, tapes, labels and other areas. The Company distributes its products within domestic market and to overseas markets. In addition, the Company engages in the real estate rental business.

Stagecoach Group plc

Stagecoach Group is a holding company. Through its subsidiaries, Co. operates in four main divisions: U.K. Bus (regional operations), which connects communities in more than 100 towns and cities across the U.K. on bus networks stretching from the Highlands of Scotland to south west England; U.K. Bus (London), which is an operator in the London bus market; North America, which provides bus and coach transport services in the U.S. and Canada; and U.K. Rail, in which its subsidiary, South West Trains, runs train services in south west England out of London Waterloo railway station, and operates Island Line services on the Isle of Wight.

Thales SA

Thales is an electronics and systems group, serving defense, aeronautics, transport, space and security markets. Co.'s operations can be divided into four operating segments: Aerospace (Avionics, Space), Transportation (Ground Transport Systems), Defence & Security (Secure Communications & Information Systems Land and Air Systems, Defence Mission Systems), and DCNS. Co. designs and delivers systems for all four environments: air, land, sea and space. These systems detect and assess threats, manage information, support command decisions and control engagements through to threat neutralization. Co. is active in ground transportation; air transport; navigation systems.

Trend Micro Incorporated

Trend Micro is engaged in the development and sale of computer security products. Co. offers security and protection products for data centers, cloud computing, networks, endpoints and gateways, email, webs and SaaS applications for enterprises, small business and governments. Co. also provides enterprise ransomware protection products, regulatory compliance products, healthcare security products and point-of-sale protection products. In addition, Co offers security software and cleanup and other related services for home networks, PCs, tablet computers and smartphones for individual users.

Virbac SA

Virbac is an independent veterinary pharmaceutical laboratory. Co. develops and provides veterinarians and farmers with medicines and vaccines that improve the health of food producing animals. Co. markets a range of products designed for pets and livestock. It offers seven types of products for companion animals (Parasiticides, Immunology, Antibiotics/dermatology, Specialties, Equine, Specialized pet food and Other products), and four types of products for food producing animals (Bovine parasiticides, Bovine products (excluding parasiticides), Pig/poultry antibiotics and Other products). Co. markets its products in the ethical (veterinarian) and OTC markets.

Wolters Kluwer NV

Wolters Kluwer operates through four divisions: Health is a global provider of information for medical and health professionals; Financial & Compliance Services is a U.S. provider risk management, compliance, finance, and audit professionals the services they need to optimize risk and business performance, and ensure compliance with local, regional, and global regulation; Tax & Accounting is a provider of tax, accounting, and audit information, and services; and Legal & Regulatory provides customers with expert content, software, and services in the areas of law, business, and regulatory compliance in Europe, North America and Asia Pacific.

Xero Limited

Xero is engaged in the provision of a platform for online accounting and business services to small businesses.

Provider
Vermilion Research
Vermilion Research

Vermilion Research delivers timely, actionable, and unique research inputs to professional investors. Our research strategists highlight securities which we believe are at major inflection points, based on our various proprietary technical indicators, and offer asymmetric risk/return profiles. We believe our research methodology, which is not limited by industry sector or market capitalization, enables us to deliver superior investment recommendations.

Our process begins by organizing all actively traded stocks into coherent sectors, then into logical industry groups. We then apply our proprietary relative strength tools to identify developing price trends. Once attractive trends are identified within a selected sectors or groups, we screen for individual stocks which we believe offer the best risk/reward profile. Vermilion offers U.S. and global equity market research products. Vermilion’s research team, which has received numerous awards and accolades, has a combined 70 year of experience in the analysis of investment securities.

Analysts
Dave Nicoski

Ross LaDuke

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