< The 2015 All-Asia Research Team
Total appearances: 11
Team debut: 1998Despite dropping one notch to No. 2, Bank of America Merrill Lynch’s group wins plaudits from one fund manager for being “a skilled team that is good at channel checks and making investable calls.” Sheng-Jung (Robert) Cheng now oversees coverage with Shiang (Robin) Cheng. He also co-captains, with Chuan-Hsiang (Katherine) Hu, the No. 3 squad on the Taiwan roster. Robin Cheng, a newcomer to the ranking, joined the firm in 2011 after working in equity research at Deutsche Bank, UBS and Credit Suisse. He holds a bachelor’s degree in mechanical engineering from the University of Wisconsin–Madison and an MBA from Loyola Marymount University in Los Angeles. Their seven-strong crew works out of offices in Hong Kong, Seoul and Taipei. Smartphones have been the growth driver for regional hardware names, the analysts note, but they contend that cloud computing, industrial automation and the so-called Internet of Things will be the next catalysts. As a result, they recommend that clients buy Taiwan’s Delta Electronics, whose management is repositioning the consumer components and power supply manufacturer to gain share in these areas. BofA Merrill’s team likewise favors China-based Sunny Optical Technology Group Co., a leading maker of handset camera modules and other optical products. The company will see upside earnings potential from the rising popularity of smartphone brands in its home market, the analysts reason, as well as continuing camera upgrades from domestic brands and its edge over its peers in technology and operational flexibility.