Investment Rating - The report assigns a **Hold** rating to Intuitive Surgical (ISRG) with a target price of **$558.63**, representing a **3.7% upside** from the current price [3] Core Views - Intuitive Surgical reported strong Q3 2024 growth, with revenue reaching **$2.04 billion**, a **17% YoY increase**, driven by robust procedure growth and system installations [1] - The company installed **379 Da Vinci systems** in Q3 2024, a **67-unit increase** YoY, with the new DV5 system showing strong momentum, reaching **110 installations** in Q3 [1] - Non-GAAP net income grew **28% YoY** to **$669 million** in Q3 2024, reflecting strong operational performance [1] - The company expects **16-17% procedure growth** for full-year 2024, with gross margins maintained at **68.5-69%** [3] Procedure Growth and System Installations - Total procedure volume grew **18% YoY** in Q3 2024, driven by strong growth in general surgery in the US and increased volumes in Japan, Germany, France, and the UK [1] - Despite headwinds from declining bariatric surgery volumes and the impact of doctor strikes in South Korea, overall procedure growth remained robust [1] - The Da Vinci system installed base reached **9,539 units** as of September 30, 2024, a **15% increase** YoY [1] DV5 System and Market Expansion - The DV5 system, launched in March 2024, is expected to achieve broader rollout by mid-2025, with its advanced features such as force feedback technology and 3D imaging enhancing surgical precision and user experience [2] - The company is gradually increasing DV5 installations, with regulatory approvals secured in South Korea for multiple surgical applications, and CE mark approval expected by late 2025 [2] - The DV5 system is being deployed in the US through a trade-in model, with significant revenue growth potential expected post mid-2025 when deployment restrictions are lifted [2] Financial Projections - The company forecasts **10-12% growth** in operating expenses for 2024, with non-cash stock compensation expected to be **$670-690 million** [3] - Other income, primarily from interest income, is projected to increase to **$325-345 million**, while capital expenditures are expected to remain at **$1.0-1.2 billion** [3] - The DCF valuation assumes an **8% discount rate** and a **5% perpetual growth rate**, resulting in the target price of **$558.63** [3]

Investment Rating - The report maintains a "Buy" rating for the company [2]. Core Views - The company is undergoing a restructuring of its hydropower assets, positioning itself as a flagship in clean energy [2]. - The total electricity sales volume for the first ten months of the year reached 108,220,668 MWh, representing a significant increase of 30.56% year-on-year [2]. - The company plans to sell its hydropower assets (5.9 GW) to its parent company's subsidiary, Yuanda Environmental Protection, in exchange for newly issued shares, which will enhance its position in the clean energy sector [2]. - The company aims to integrate approximately 20 GW of remaining hydropower assets into Yuanda Environmental Protection over the next three years [2]. - The company has accelerated the construction of wind and solar projects, with a total of 3.3 GW of new clean energy capacity added in the first half of the year [2]. - The company targets a clean energy installed capacity ratio of 90% by 2025, with expected new installations of about 7 GW for the year [2]. Summary by Sections Sales Performance - The company reported a year-on-year increase in wind power sales volume of 57.05% and solar power sales volume of 79.55% [2]. - Hydropower sales volume increased by 62.62% due to improved water conditions in the first half of the year [2]. Financial Projections - The company forecasts revenue growth from 44,262 million in 2023 to 50,228 million in 2024, representing a 13.5% increase [4]. - The net profit attributable to shareholders is projected to rise from 2,660 million in 2023 to 5,109 million in 2024, indicating a 92.1% growth [4]. - The company expects to achieve a basic earnings per share of 0.41 in 2024, up from 0.22 in 2023 [4]. Asset Management - The company’s total assets are projected to grow from 305,807 million in 2023 to 329,340 million in 2024 [4]. - The debt ratio is expected to increase from 68.9% in 2023 to 70.7% in 2024, indicating a rising leverage [4]. Market Position - The company aims to solidify its status as a comprehensive clean energy flagship platform, leveraging its control over Yuanda Environmental Protection [2]. - The target price for the company's stock is set at 4.73 HKD, reflecting a potential upside of 52% from the current price of 3.11 HKD [2].

Investment Rating - The report assigns a "Hold" rating for lululemon, with a target price adjusted to $400 per share, corresponding to a FY2025 P/E ratio of 26.4 times [1][15]. Core Insights - The North American market has reached a bottom, while significant growth is observed in the Chinese market, indicating that the global expansion strategy is yielding results [1][5]. - In Q3 2024, lululemon's total revenue was $2.4 billion, representing a year-over-year increase of 9%, exceeding the consensus growth expectation of 7% [5][6]. - The adjusted gross margin for Q3 was 58.5%, which is 40 basis points higher than the adjusted gross margin in Q3 2023, outperforming the guidance of a 50-60 basis point decline [5][6]. - Net profit increased by 41.5% year-over-year to $350 million, surpassing the consensus expectation of $340 million [5][6]. - The company plans to launch more colors, prints, and patterns in Q1 2025 to enhance product offerings, which is expected to drive growth [15]. Summary by Sections Performance Overview - In Q3 2024, lululemon's revenue was $2.4 billion, up 9% year-over-year, driven by strong performance in North America and international markets [5][6]. - The adjusted operating margin increased by 70 basis points to 20.5%, benefiting from lower inventory and management costs [5][6]. - The company reported an EPS of $2.87, exceeding the consensus estimate of $2.75 [5][6]. Regional Performance - North American revenue grew by 2% year-over-year, with Canadian revenue increasing by 9% and U.S. revenue remaining flat [5][6]. - International revenue surged by 33% year-over-year, with mainland China showing a 39% increase [5][6]. Future Guidance - For FY2024, lululemon expects net revenue to be between $10.452 billion and $10.487 billion, up from previous guidance of $10.375 billion to $10.487 billion [6][5]. - The company anticipates Q4 2024 net revenue to be between $3.475 billion and $3.510 billion [6][5].

Investment Rating - The report maintains a positive outlook on ASML, with a slight adjustment in the shipment guidance for EUV lithography machines in 2025 [2]. Core Insights - ASML's Q3 revenue reached €7.47 billion, a year-on-year increase of 11.9%, slightly exceeding the company's guidance of €6.7-7.3 billion and Bloomberg consensus of €7.2 billion [2]. - The gross margin for Q3 was 50.8%, down 1.1 percentage points year-on-year, aligning with the company's guidance of 50%-51% [2]. - Net profit for the quarter was €2.08 billion, a 9.7% increase year-on-year, with an operating profit margin of 32.7% [2]. - The EPS was €5.28, surpassing Bloomberg consensus of €4.88 [2]. - New orders for the quarter totaled €2.6 billion, significantly below market expectations of €5.4 billion, with logic and storage accounting for 46% and 54% respectively [2]. - The backlog stood at €36 billion, a decrease of €3 billion quarter-on-quarter [2]. - The company declared a dividend of €1.52 per share for Q3 [2]. Financial Performance Summary - Total revenue for the fiscal year ending December 31 is projected to be €27.56 billion, with a year-on-year growth of 30.16% [4]. - Net profit is expected to be €7.84 billion, with a slight decrease in EPS forecasted for 2025 at €19.2 [4]. - The estimated P/E ratio based on a share price of $706.52 is 36.3 [4]. - The dividend per share is projected to increase to €6.4 in 2025 [4]. Future Guidance - The company has revised its 2025 net sales guidance to €3-3.5 billion, down from the previous €3-4 billion, primarily due to expected lower shipments of High NA EUV lithography machines [2]. - The gross margin guidance for 2025 has been adjusted to 51%-53%, down from 54%-56% [2]. - The company anticipates a CAGR of 9% for semiconductor sales from 2025 to 2030, with sales expected to exceed $1 trillion by 2030 [2]. - For Q4 2024, the net sales guidance is set at €8.8-9.2 billion, aligning with Bloomberg consensus of €9 billion [2].

Investment Rating - The report assigns a "Buy" rating for the company with a target price of $4.40 [2][6]. Core Insights - The company continues to experience high revenue growth, with a projected revenue increase of 51.2% for FY24 and 28.1% for FY25, despite short-term profit pressures due to ongoing investments in expansion [2][6]. - The K9 business segment shows significant growth, with comparable cash collections increasing over 200% year-on-year, while the K12 business remains dominant, contributing over 75% of total revenue [2][6]. - The company anticipates a revenue growth rate of 69.2%-71.9% for FY24Q4, with total revenue expected to reach between 12.88 billion and 13.08 billion yuan [2][6]. Financial Overview - For FY24Q3, the company reported a revenue of 12.08 billion yuan, reflecting a year-on-year increase of 53.1% [2][6]. - The non-GAAP operating loss for FY24Q3 was 4.76 billion yuan, indicating an increase in losses compared to previous periods [2][6]. - Cash reserves grew by over 67.2%, reaching 33.1 billion yuan, with no interest-bearing debt [2][6]. Business Segment Performance - The K9 business segment's revenue grew by over 100% year-on-year, while traditional adult and university student services faced pressure, with revenue growth remaining flat [2][6]. - The company is actively expanding its offline teaching network, currently operating nearly 150 teaching points across the country, which is expected to enhance operational efficiency and profitability in the long term [2][6]. Future Projections - The company expects to narrow its adjusted net loss significantly to 2.1 billion yuan by FY25, with profitability anticipated by FY26 [2][6]. - The report highlights a projected revenue of 5.73 billion yuan for FY25, with a continued focus on balancing growth and profitability [2][6].

Investment Rating - The report assigns a **Buy** rating to the company with a target price of **HKD 77.7**, representing a **19% upside** from the current price of HKD 65.2 [5] Core Views - The company's R&D pipeline demonstrates **world-class potential**, particularly with its key products **AK104 (PD-1/CTLA-4)** and **AK112 (PD-1/VEGF)**, which have shown significant clinical progress and market potential [2][3] - The company's revenue in H1 2024 increased by **24% YoY to RMB 940 million**, driven by strong sales of **AK104 (RMB 710 million, +16.5% YoY)** and **AK105 (RMB 130 million)** [2] - Despite a net loss of **RMB 240 million** in H1 2024, the company maintains a strong cash position of **RMB 2.4 billion**, supported by two successful placements in 2024 raising **HKD 1.17 billion** and **HKD 1.92 billion** respectively [2] Product Pipeline Summary AK104 (PD-1/CTLA-4) - Achieved **PFS (12.7 vs 8.1 months, HR 0.62)** and **OS (not reached vs 22.8 months, HR 0.64)** endpoints in **first-line cervical cancer**, with significant efficacy across all populations, including **PD-L1 low/negative expression** (CPS <1, 23% reduction in death risk) [3] - Approved for **first-line gastric cancer** in October 2024, showing **OS benefit (15 vs 10.8 months, HR 0.62)**, addressing the unmet need in **PD-L1 low/negative gastric cancer** (mOS 17.6 months vs 11 months for PD-1) [3] - Multiple **Phase III trials** ongoing for **gastric cancer post-PD-(L)1 progression**, **hepatocellular carcinoma**, and **non-small cell lung cancer (NSCLC)** [3] AK112 (PD-1/VEGF) - Approved in May 2024 for **EGFR-mutated NSCLC post-treatment progression**, with **Summit global Phase III** trial completed and **FDA Fast Track** designation [3] - Achieved **PFS endpoint (11.14 vs 5.82 months, HR 0.51)** in **first-line PD-L1-positive NSCLC** vs **Pembrolizumab**, with **NDA submitted** in July 2024 [3] - Expanded **Summit Phase III** trial to include **non-squamous NSCLC** with a sample size of **1,080 patients**, alongside ongoing trials for **biliary tract cancer**, **pancreatic cancer**, and **head and neck squamous cell carcinoma** [3] Other Key Products - **AK105 (PD-1)**: Under review for **first-line nasopharyngeal carcinoma** and submitted for **first-line hepatocellular carcinoma** [3] - **AK102 (PCSK9)**: Approved in October 2024 [3] - **AK101 (IL-12/IL-23)**: Submitted for **moderate-to-severe plaque psoriasis** in August 2023 [3] - **AK111 (IL-17)**: Completed Phase III enrollment for **psoriasis** and ongoing for **ankylosing spondylitis** [3] - **AK117 (CD47)**: Global first **Phase III** trial for **solid tumors** [3] Financial Summary - Revenue for 2024E is projected at **RMB 2.5 billion**, with a **32.6% YoY growth** expected in 2025E to **RMB 3.3 billion** [4] - Gross margin remains strong at **91.3%** in H1 2024, with **R&D expenses** increasing by **3% to RMB 590 million** [2] - Net loss for 2024E is estimated at **RMB 184 million**, with a turnaround to **RMB 775 million net profit** expected in 2026E [4] Valuation - The target price of **HKD 77.7** is derived using a **DCF model** with a **WACC of 10.0%** and **perpetual growth rate of 3.0%**, incorporating **AK112's overseas potential** (USD 6 billion sales, 60% success probability) [3]

Investment Rating - Buy rating with a target price of $981.8, implying an 18.8% upside from the current price of $827 [2][3] Core Thesis - Tirzepatide (Mounjaro and Zepbound) is expected to continue driving strong revenue growth for the company [2] - Q3 2024 revenue increased 20% YoY to $11.44 billion, with 42% growth excluding Zyprexa divestiture impact [2] - Global volume grew 36%, led by Mounjaro and Zepbound, while non-GLP-1 products also grew 17% [2] - Gross margin improved 0.6pp to 81.0% due to favorable product mix and pricing [2] - Q4 revenue growth is expected to reach 50%, with full-year revenue forecast at $45.4-46.0 billion and EPS of $12.1-12.6 [2] Segment Performance Metabolic - Q3 revenue grew 57% YoY to $7.41 billion, driven by 210% growth in Tirzepatide to $4.37 billion [2] - Mounjaro holds 34% TRx SOM in the US diabetes market, while Zepbound has 43% TRx SOM in obesity [2] - SURMOUNT-1 study showed Tirzepatide reduced risk of type 2 diabetes by 94% in pre-diabetic, obese or overweight adults [2] - Zepbound demonstrated superior weight loss (20.2%) vs Wegovy (13.7%) in head-to-head trials [2] Neuroscience - Q3 revenue declined 80% YoY to $350 million due to Zyprexa divestiture [2] - Kisunla (Alzheimer's drug) approved in US, Japan and UK, with ARIA-E incidence reduced from 24% to 14% through modified titration [2] Immunology - Q3 revenue grew 20% YoY to $1.19 billion [2] - Taltz (IL-17A) revenue increased 18% to $880 million due to price and demand growth [2] - Ebglyss (IL-13) approved for moderate-to-severe atopic dermatitis [2] Oncology - Q3 revenue grew 28% YoY to $2.23 billion [2] - Verzenio (CDK4/6) revenue increased 32% to $1.37 billion, driven by early breast cancer indication [2] Other - Q3 revenue declined 5% to $260 million [2] Financial Summary - 2024E revenue forecast at $45.8 billion, representing 34.1% YoY growth [4] - 2024E net profit expected to reach $11.0 billion, with 110.5% YoY growth [4] - 2024E EPS projected at $12.20, implying 110.3% YoY growth [4] - 2024E EBITDA margin forecast at 33.2%, up from 23.4% in 2023 [6] - 2024E net margin expected to improve to 24.1% from 15.4% in 2023 [6] - 2024E R&D expense ratio forecast at 24.5%, down from 27.3% in 2023 [6] - 2024E SG&A/Revenue ratio expected to decline to 18.5% from 21.7% in 2023 [6]

Investment Rating - The report maintains a "Buy" rating for the company, with a target price of HKD 58.29, indicating a potential upside of 23.9% from the current share price of HKD 47.05 [2][4]. Core Insights - The company has demonstrated robust global store expansion, achieving a record high gross margin of 44.1% in Q3 2024, up 3.7 percentage points year-on-year [2][4]. - Revenue for the first three quarters of 2024 reached HKD 12.281 billion, reflecting a year-on-year increase of 13.7% [2][4]. - The adjusted net profit margin for Q3 was 15.7%, slightly down from 15.2% in the previous year, indicating a minor decline of 1.3 percentage points [2][4]. - Domestic same-store sales faced pressure, with a decline of approximately 1.7%, particularly in lower-tier cities, while higher-tier cities performed better [2][4]. - The company is expected to benefit from strategic initiatives that enhance average transaction value, with a projected increase in same-store sales driven by IP strategies [2][4]. Financial Performance Summary - For the first three quarters of 2024, the company reported revenue of HKD 12.281 billion, a 13.7% increase year-on-year, with Q3 revenue at HKD 4.523 billion, up 6.9% [2][4]. - The adjusted net profit for the first three quarters was HKD 1.768 billion, reflecting a year-on-year increase of 177.2% [2][4]. - The company’s gross margin improved due to a higher contribution from overseas markets, with overseas revenue share rising from 32% to 37% year-on-year [2][4]. - The report forecasts continued revenue growth, with projected revenues of HKD 17.212 billion in 2024, HKD 20.729 billion in 2025, and HKD 24.359 billion in 2026 [6][7]. Store Expansion and Market Strategy - As of Q3 2024, the company had a total of 4,250 stores in China, with a net increase of 135 stores during the quarter [2][4]. - The overseas store count reached 2,936, with a net addition of 183 stores in Q3, indicating strong international expansion [2][4]. - The report highlights the potential for further growth in overseas markets, particularly with the upcoming Harry Potter IP release expected to boost sales [2][4].

Investment Rating - The report maintains a "Buy" rating for BYD Electronics with a target price of HKD 54, indicating a potential upside of 36.4% from the current price of HKD 39.4 [2][3][5]. Core Insights - The consumer electronics and automotive electronics segments are expected to continue their growth trajectory, driven by increased demand from overseas clients and the recovery of high-end Android smartphone demand. The company anticipates a stronger performance in Q4 compared to Q3 due to seasonal trends [2]. - The automotive electronics segment is projected to generate nearly RMB 20 billion this year, with expectations of exceeding RMB 30 billion next year as high-value products ramp up production [2]. - AI-related business is beginning to contribute revenue, with expectations of generating around RMB 1 billion this year and potentially doubling next year [2]. - The company forecasts revenue growth of 28.7%, 12.7%, and 8.3% for the years 2024, 2025, and 2026, respectively, with net profits expected to grow by 14.3%, 23.2%, and 18.1% during the same period [2][4]. Financial Summary - Total revenue for 2022 was RMB 107.19 billion, with a growth of 20.4% in 2023 to RMB 129.96 billion. Forecasts for 2024, 2025, and 2026 are RMB 167.30 billion, RMB 188.47 billion, and RMB 204.05 billion, respectively [4][8]. - Net profit for 2022 was RMB 1.86 billion, increasing to RMB 4.04 billion in 2023, with projections of RMB 4.62 billion, RMB 5.69 billion, and RMB 6.72 billion for the following years [4][8]. - The company’s gross margin is expected to improve slightly due to increased automation and cost reductions, with gross profit projected to reach RMB 12.71 billion in 2024 [4][8].

Company Overview - The company, Agora, is a leading real-time audio and video communication technology provider founded in 2014 and headquartered in Shanghai, China [3] - Agora specializes in offering high-quality, low-latency real-time audio and video communication solutions for developers, widely used in online education, social entertainment, enterprise collaboration, live streaming, and gaming [3] - The core product is the real-time audio and video API, supporting cross-platform (iOS, Android, Web) functionalities such as audio and video calls, interactive live streaming, and real-time messaging [3] - Agora's cloud-based technology provides global coverage, low latency, and high stability, making it ideal for scenarios requiring high real-time performance [3] Financial and Market Data - The stock price of Agora is $5.06 as of December 3, 2024 [3] - The market capitalization stands at $466 million [3] - The company has 92.075 million shares outstanding [3] - The 52-week high and low prices are $6.49 and $1.654, respectively [3] Strategic Collaboration - Agora has partnered with OpenAI to integrate OpenAI's AI technology with Agora's real-time audio and video communication solutions [4] - The collaboration aims to enhance voice and video communication experiences, improve service quality, and explore new application scenarios [4] - A conversational AI SDK has been launched, allowing developers to incorporate AI-driven voice editing experiences into any application [4] - Both Agora and OpenAI will charge developers based on usage [4] Management Commitment - The company's management team, including CEO Zhao Bin, CTO Zhong Sheng, CFO Wang Jingbo, and COO Liu Bin, has voluntarily entered a lock-up period starting December 2, 2024, and ending December 31, 2025 [5] - This move demonstrates the management's confidence in the company's future development [5]