Investment Rating - The report maintains a "Buy" rating for Baidu Group [2][7] Core Views - Baidu's core advertising business is expected to face pressure due to AI search transformations, with a projected revenue decline of 16.3% year-on-year in Q2 2025 [7] - Baidu's Robotaxi service, "Luobo Kuaipao," is leading the global market, with a significant increase in order volume, up 75% year-on-year to 1.44 million in Q1 2025 [7] - The company's intelligent cloud business is experiencing rapid growth driven by the demand for generative AI and large language models, with Q1 2025 cloud service revenue expected to grow by 42% year-on-year [7] - The overall revenue forecast for 2025-2027 has been adjusted to reflect a decline of 5.2% in 2025, followed by growth of 4.4% and 4.8% in 2026 and 2027, respectively [7] - The target price for Baidu has been revised down to HKD 95.15 based on DCF valuation [7] Financial Projections - Revenue projections for Baidu are as follows: - 2024: 133,125 million CNY - 2025: 126,265 million CNY - 2026: 131,853 million CNY - 2027: 138,172 million CNY [2][12] - Net profit projections are: - 2024: 23,760 million CNY - 2025: 18,324 million CNY - 2026: 20,200 million CNY - 2027: 22,172 million CNY [2][12] - The P/E ratio is projected to be 10.9 in 2024, increasing to 14.1 in 2025, and then decreasing to 11.7 by 2027 [2][12] Business Segments - The core online marketing service revenue is expected to decline by 15.3% in 2025, while cloud service revenue is projected to grow by 22.2% [8] - The iQIYI segment is expected to see a slight revenue decline of 1.0% in 2025 [8] Valuation Metrics - The report provides a DCF valuation breakdown, indicating a total enterprise value of approximately 370.45 billion CNY, with equity value at 287.44 billion CNY [9][10]

Investment Rating - The industry investment rating is not explicitly stated in the provided content Core Insights - 2025 is identified as the year of Agent applications in China, with generative AI transitioning to Agentic AI, emphasizing deep thinking, multimodal understanding, and tool invocation as core evolution directions [2][12] - The Doubao model 1.6 series has significantly enhanced capabilities, supporting "thinking while searching" and Deep Research, improving complex reasoning and information retrieval efficiency [2][12] - Seedance 1.0 Pro has achieved global leadership in text-to-video and image-to-video categories, with significant advancements in video generation quality and efficiency [3][16][18] - The Doubao model 1.6 has reduced overall costs by 63%, with a unified pricing model that enhances its competitive edge [11][12] Summary by Sections AI Model Developments - The Doubao model 1.6 series supports multimodal capabilities, 256K long context, and deep thinking abilities, with specific models enhancing various functionalities [11][12] - The Seedance 1.0 Pro model generates high-quality 1080P videos with seamless transitions and industry-leading motion stability, achieving significant breakthroughs in video generation [3][16][18] Market Performance - Doubao model daily token usage reached 16.4 trillion, maintaining a 46.4% market share in China's public cloud sector, with substantial growth in AI tools and interactive entertainment [8] - The model's applications extend into various industries, including e-commerce, automotive, and finance, demonstrating a comprehensive ecosystem from developer engagement to vertical industry solutions [8][12] Technological Innovations - The conference highlighted advancements in AI cloud-native capabilities, including the launch of AICC secure computing and multimodal data lakes, enhancing the AI development toolchain [6][7] - The integration of AI with IoT technologies was showcased, indicating a path for deeper industry collaboration and innovation [6][7]

Investment Rating - The investment rating for Home Depot (HD.N) is maintained at "Neutral" [6][20]. Core Views - The company's Q1 2025 performance met expectations, with comparable sales down 0.3% year-over-year. Revenue increased by 9.4% to $39.86 billion, primarily due to the acquisition of SRS, while net profit decreased by 4.6% to $3.43 billion [6]. - The company maintains guidance for a comparable sales growth of approximately 1% for 2025, with plans to open about 13 new stores [6]. - Despite a challenging high-interest-rate environment affecting the housing market, Home Depot's operational data showed improvement, with customer transactions up 2.1% year-over-year [6]. Financial Forecasts - Revenue projections for Home Depot are as follows: - 2024A: $159.514 billion - 2025E: $163.502 billion (growth of 2.5%) - 2026E: $167.099 billion (growth of 2.2%) - 2027E: $175.153 billion (growth of 4.8%) [6][12]. - Net profit forecasts are: - 2024A: $14.806 billion - 2025E: $14.284 billion (decline of 3.5%) - 2026E: $14.855 billion (growth of 4.0%) - 2027E: $15.500 billion (growth of 4.3%) [6][12]. - The projected earnings per share (EPS) are: - 2024A: $14.90 - 2025E: $14.37 - 2026E: $14.95 - 2027E: $15.59 [6][12]. Valuation Metrics - The price-to-earnings (P/E) ratios are projected as follows: - 2024A: 24.89 - 2025E: 25.80 - 2026E: 24.81 - 2027E: 23.78 [6][12]. - The target price for Home Depot is set at $371.89, based on discounted cash flow (DCF) analysis [6].

Investment Rating - The investment rating for Costco is maintained at "Neutral" [1][3]. Core Views - Costco's revenue for FY25 Q2 increased by 9.1% year-on-year to $62.5 billion, with net profit rising by 2.6% to $1.79 billion, and diluted EPS also up by 2.6% to $4.02 per share [3]. - Membership income grew by 7.4% year-on-year, with a global renewal rate of 90.5% and a membership count of 78.4 million, of which 36.9 million are premium members [3]. - E-commerce comparable sales surged by 20.9% year-on-year, driven by a 13% increase in website traffic and a 10% rise in average order value [3]. - The company plans to open 18 new warehouse stores globally in FY2025, increasing the total to 915 stores by the end of the fiscal year [3]. - Potential tariff issues may pressure the company's cost structure, as approximately one-third of products sold in the U.S. are imported, with nearly half sourced from China, Mexico, and Canada [3]. - Revenue projections for FY2025-2027 are expected to grow by 5.60%, 6.75%, and 5.60% respectively, with net profit growth of 8.30%, 3.77%, and 13.32% [3][4]. Financial Summary - FY2024 projected revenue is $254.453 billion, with a year-on-year growth of 5.02% [1]. - FY2025 projected revenue is $268.702 billion, with a year-on-year growth of 5.60% [1]. - FY2026 projected revenue is $286.840 billion, with a year-on-year growth of 6.75% [1]. - FY2027 projected revenue is $302.903 billion, with a year-on-year growth of 5.60% [1]. - FY2024 projected net profit is $7.367 billion, with a year-on-year growth of 17.09% [1]. - FY2025 projected net profit is $7.978 billion, with a year-on-year growth of 8.30% [1]. - FY2026 projected net profit is $8.279 billion, with a year-on-year growth of 3.77% [1]. - FY2027 projected net profit is $9.382 billion, with a year-on-year growth of 13.32% [1].

Investment Rating - The investment rating for Costco is maintained at "Neutral" [1][3]. Core Insights - Costco's revenue for FY25 Q2 increased by 9.1% year-on-year to $62.5 billion, with net profit rising by 2.6% to $1.79 billion and diluted EPS also up by 2.6% to $4.02 per share [3]. - Membership revenue grew by 7.4% year-on-year, with a global renewal rate of 90.5% and a membership count of 78.4 million, of which 36.9 million are premium members [3]. - E-commerce comparable sales surged by 20.9% year-on-year, driven by a 13% increase in website traffic and a 10% rise in average transaction value [3]. - The company plans to open 18 new warehouse stores globally in FY2025, increasing its total to 915 stores by the end of the fiscal year [3]. - Potential tariff issues may pressure the company's cost structure, as approximately one-third of its products sold in the U.S. are imported, with nearly half sourced from China, Mexico, and Canada [3]. Financial Projections - Revenue projections for FY2025-2027 are $268.7 billion, $286.8 billion, and $302.9 billion, reflecting year-on-year growth rates of 5.60%, 6.75%, and 5.60% respectively [1][3]. - Net profit forecasts for the same period are $7.98 billion, $8.28 billion, and $9.38 billion, with growth rates of 8.30%, 3.77%, and 13.32% respectively [1][3]. - The projected P/E ratios for FY2025-2027 are 51.97, 50.08, and 44.20 [1][3].

Investment Rating - The report maintains a "Buy" rating for the company [6] Core Views - The company's performance in Q4 2024 met expectations, with a net revenue of HKD 7.47 billion, recovering to 87.2% of Q4 2019 levels. The gaming and non-gaming net revenues were HKD 6.95 billion and HKD 0.52 billion, respectively, recovering to 83.0% and 285.0% of the same period in 2019 [6] - The adjusted EBITDA for Q4 2024 was HKD 0.99 billion, aligning closely with market expectations of HKD 1.02 billion, and recovering to 83.8% of Q4 2019 levels [6] - The company is focused on upgrading its properties, with a target market share of 5% for its flagship property, and has implemented several strategies to enhance operational efficiency and customer experience [6] - The company does not express concern over satellite casinos potentially ceasing operations, as it believes it can effectively utilize its own gaming tables and staff to maintain performance [6] - The revenue forecast for 2024-2026 is maintained at HKD 28.92 billion, HKD 31.41 billion, and HKD 33.52 billion, respectively, with adjusted property EBITDA forecasts of HKD 3.79 billion, HKD 4.71 billion, and HKD 5.43 billion [6] Financial Projections - Total revenue projections for 2023A, 2024E, 2025E, and 2026E are HKD 21,623.2 million, HKD 28,921.2 million, HKD 31,408.8 million, and HKD 33,521.4 million, respectively, with year-on-year growth rates of 223.8%, 33.8%, 8.6%, and 6.7% [6][7] - Adjusted property EBITDA for the same years is projected at HKD 1,928.0 million, HKD 3,786.5 million, HKD 4,712.1 million, and HKD 5,427.4 million, with growth rates of 96.4%, 24.4%, and 15.2% for 2024E, 2025E, and 2026E [6][7] - The diluted earnings per share are forecasted to be HKD -0.28, HKD 0.03, HKD 0.18, and HKD 0.31 for 2023A, 2024E, 2025E, and 2026E, respectively [6][7]

Investment Rating - The report maintains a "Buy" rating for the company [1][6] Core Views - The company's performance in Q4 2024 was below expectations, with adjusted property EBITDA margin declining by 3.6 percentage points. The net revenue for Q4 2024 was $1.19 billion, aligning with market expectations, and the overall recovery to 76.5% of Q4 2019 levels [6] - The company anticipates a gradual decrease in average daily operating expenses to $3 million in 1H25, following a peak of $3.2 million in Q4 2024 due to increased promotional activities and employee compensation [6] - The company expects to maintain its market share and has seen a 17% year-on-year increase in property foot traffic during the Chinese New Year period [6] Financial Forecasts and Valuation - The company forecasts total revenue of HKD 36.62 billion for 2024, with a year-on-year growth of 24%. Adjusted property EBITDA is projected at HKD 9.47 billion, reflecting a 26.2% increase [1][7] - The current stock price corresponds to EV/Adjusted EBITDA multiples of 7.2, 6.0, and 5.5 for 2024, 2025, and 2026, respectively [6][7] - The target price is set at HKD 6.6, with net income forecasts of HKD 36.62 billion, HKD 40.24 billion, and HKD 42.52 billion for 2024, 2025, and 2026 [6][7]

Investment Rating - The investment rating for Galaxy Entertainment is "Buy" (maintained) [1] Core Views - The company's performance exceeded expectations, and there is optimism for continued growth in 2025, particularly in EBITDA profit margins [5] - The recovery in gaming revenue is attributed to non-gaming activities such as concerts, which have attracted high-net-worth clients [5] - The company is exploring upgrades for its hotel offerings to enhance revenue generation [5] Financial Projections - Total revenue is projected to grow from HKD 35,684 million in 2023 to HKD 53,525.8 million by 2026, reflecting a compound annual growth rate (CAGR) of approximately 6.3% [1][6] - Adjusted property EBITDA is expected to increase from HKD 9,955 million in 2023 to HKD 16,663.4 million in 2026, with a significant year-on-year growth of 34.5% in 2024 [1][6] - The earnings per share (EPS) is forecasted to rise from HKD 1.56 in 2023 to HKD 3.24 in 2026 [1][6] Market Position - The company achieved a total gaming revenue of HKD 110.3 billion in Q4 2024, recovering to 76.3% of the levels seen in Q4 2019 [5] - The market share for the company's mass gaming segment increased to 22.5%, while the overall gaming market share rose to 19.8% [5] - The company is expected to maintain stable operating costs, which will support profit margin recovery to pre-pandemic levels [5]

Investment Rating - The report maintains a "Buy" rating for Galaxy Entertainment [1] Core Views - The company's performance exceeded expectations, and there is optimism for continued EBITDA margin improvement in 2025 [5] - The recovery in gaming revenue is attributed to non-gaming activities, such as concerts, which have attracted high-net-worth clients [5] - The company is exploring upgrades for its hotel offerings to enhance revenue generation [5] Financial Projections - Total revenue is projected to grow from HKD 35,684 million in 2023 to HKD 53,525.8 million by 2026, reflecting a compound annual growth rate (CAGR) of approximately 6.3% [1][6] - Adjusted property EBITDA is expected to increase from HKD 9,955 million in 2023 to HKD 16,663.4 million in 2026, with a significant growth rate of 20.6% in 2025 [1][6] - The earnings per share (EPS) is forecasted to rise from HKD 1.56 in 2023 to HKD 3.24 in 2026 [1][6] Market Position - The company achieved a total gaming revenue of HKD 110.3 billion in Q4 2024, recovering to 76.3% of the Q4 2019 level [5] - The market share for the company's mass gaming segment increased to 22.5%, while total gaming revenue market share rose to 19.8% [5] - The company is expected to maintain stable operating costs, contributing to improved profit margins [5]

Investment Rating - The investment rating for the company is "Neutral" [5][7]. Core Insights - The company has demonstrated steady growth in performance, with global e-commerce continuing to gain momentum. For FY25 Q4, revenue increased by 4.1% year-on-year to $180.6 billion, with a gross margin improvement of 53 basis points to 23.9% [7]. - The company's revenue for FY2025 is projected to grow by 4.96% to $674.54 billion, with net profit increasing to $19.44 billion [7]. - The growth in e-commerce revenue was significant, rising by 16% to $117.3 billion, accounting for 17.4% of total revenue [7]. - The U.S. segment saw a revenue increase of 5.0% to $123.5 billion, with e-commerce growing by 20% and advertising revenue up by 24% [7]. - International revenue was slightly impacted by currency fluctuations, with a year-on-year decline of 0.7% to $32.2 billion, although e-commerce sales grew by 20% in the second half of the year [7]. - The company expects revenue growth of approximately 3.0%-4.0% for FY2026 and Q1 FY26, with adjusted EPS projected at $0.57-$0.58 [7]. Financial Summary - For FY2025, the company forecasts total revenue of $680,985 million, with a growth rate of 5.07% [5]. - The projected net profit for FY2025 is $19,436 million, reflecting a year-on-year growth of 19.05% [5]. - The company anticipates continued growth in net profit for FY2026 and beyond, with estimates of $21,039 million for FY2026 and $23,275 million for FY2027 [5][8]. - Key financial metrics include a projected P/E ratio of 39.17 for FY2025, decreasing to 29.33 by FY2028 [8].