The growth of Cloud services regained its momentum and beats our expectation, but that
of traditional ERP just fell below our expectation. We believe the most critical part of
the short selling report is about the transaction with related parties on Cloudhub, but the
Group currently failed to provide further information on it. However, we expect there
will be a further disclosure in the future. We give a target of $9.21, 5.4%, higher than
previous, maintaining an “Neutral” recommendation, with 0.44% potential upside.
(Closing price at 20 Mar 2019)