Increasing estimates on strong growth trends

Research evidence excerpt

Increasing estimates on strong growth trends

Macquarie Equity Research Dixon Technologies

Alpha Model Decomposition Key Quant Findings

The quant model currently holds a strong negative view The Macquarie Alpha is decomposed into its sector and

on Dixon Technologies. The strongest style exposure is market relative factor & styles exposures (a higher/better

Profitability, indicating this stock is efficiently converting percentile is coded in green, whilst lower in red).

investments to earnings; proxied by ratios like ROE or ROA.

The weakest style exposure is Valuations, indicating this relativePercentileto

stock is over-priced in the market relative to its peers.

sectors market

Factors / Styles (/677) (/1102) Core factors in definition

ALPHA 9% 9% Built from the styles below

Macquarie Alpha Model: Key rankings VALUE 3% 4% Book, CF, Yield, Earnings Multiples

The Macquarie Quant’s flagship Alpha model is a dynamic ANALYST 53% 36% Revisions (Earnings, Recommendations)

multi-factor model based on a staple of quant factors such MOMENTUM 26% 26% Price Momentum

as value, momentum, revisions, quality, and risk.

GROWTH 92% 84% EPS, Sales (Forecast, Historic)

Global Market (Country) Sector

Consumer PROFITABILITY 96% 91% ROE, Margin, Asset Turnover

Whole Universe India Durables QUALITY 63% 65% Accruals, Earn Stability, Cash Conversion

& Apparel

CAPITAL 2% 5% Investment/Capex, Net share issuance

Macquarie Alpha 16185/17995 1007/1102 615/677

Model LIQUIDITY 88% 81% Size, Turnover, Analyst Coverage

Fundamental 7566/17995 534/1102 278/677 LOW RISK 46% 77% Beta, Volatility, Earn.Cert, Leverage (Consensus) *

TECHNICAL 8% 9% MACD, RSI, Bollinger, Williams R, etc

* based on Total Shareholder Return = Consensus Price target / Current Price

Factors driving the Alpha Model vs peers