Investment Rating - The report maintains a "Buy" rating for Tongcheng Travel with a target price of HKD 20.18 per share, based on a 25-year 13X PE valuation [2][6] Core Views - Tongcheng Travel's 24Q3 GMV grew 2.4% YoY to RMB 72.8 billion, with revenue increasing 51.3% YoY to RMB 4.99 billion [1] - Adjusted net profit for 24Q3 rose 46.6% YoY to RMB 910 million, with an adjusted net margin of 18.2% [1] - 24Q3 adjusted EBITDA increased 51.6% YoY to RMB 1.32 billion, maintaining a 26.4% margin [1] - MPU grew 5% YoY to 46.4 million, while APU increased 3.4% YoY to 230 million, and ARPU surged 53.2% YoY [1] Business Segment Performance - Transportation ticketing revenue grew 20.6% YoY to RMB 2.03 billion in 24Q3 [2] - Accommodation booking revenue increased 22.2% YoY to RMB 1.38 billion in 24Q3 [2] Operational Highlights - Sales expense ratio decreased 9.1pp YoY to 29% in 24Q3, reflecting improved marketing efficiency [2] - International ticket volume grew over 110% YoY, and international hotel room nights increased over 130% YoY in 24Q3 [2] - Cross-selling rate improved to 12% [2] Financial Projections - Revenue is forecasted to grow 44.2% YoY to RMB 17.2 billion in 2024, with further growth of 17.2% and 19.5% in 2025 and 2026 respectively [2] - Non-IFRS net profit is expected to reach RMB 2.72 billion in 2024, growing 24.4% YoY, with continued growth of 22.6% and 20.5% in 2025 and 2026 [2] - Non-GAAP EPS is projected to increase from RMB 1.21 in 2024 to RMB 1.78 in 2026 [4]

Investment Rating - The investment rating for the company is "Buy" with a current price of HKD 196.00 and a reasonable value of HKD 205.82 [2]. Core Views - The report highlights that the approval of SKB264 as the first domestically developed original drug for treating advanced or metastatic triple-negative breast cancer (TNBC) marks a significant milestone in the company's development process [2]. - The company is expected to achieve substantial revenue growth, with projected revenues of RMB 16.55 billion, RMB 18.06 billion, RMB 24.23 billion for the years 2024 to 2026 respectively [2]. - The report emphasizes the successful progress of the company's drug pipeline, particularly in the TROP2 ADC platform, which is anticipated to drive revenue growth [2]. Summary by Sections Company Overview - The company has made significant advancements in its drug development pipeline, particularly with SKB264, which has received approval for treating advanced or metastatic TNBC [2]. - The report notes that the company has successfully submitted two New Drug Applications (NDA) for EGFR-TKI in China, indicating a strong domestic market presence [2]. Financial Projections - Revenue for 2022 was RMB 804 million, with a projected increase to RMB 1.54 billion in 2023, and further growth to RMB 1.655 billion and RMB 1.806 billion in 2024 and 2025 respectively [4]. - The report forecasts a significant growth rate of 2,387.3% in 2022, followed by 91.6% in 2023, and a more moderate growth rate of 7.4% in 2024 [4]. Profitability Metrics - The report indicates that the company is currently operating at a loss, with a projected net profit of -RMB 728 million in 2024 and -RMB 919 million in 2025 [4]. - The gross margin is expected to improve from 65.6% in 2022 to 71.3% by 2026, reflecting better operational efficiency [4]. Market Position - The company is positioned as a leader in the domestic TROP2 ADC market, with expectations for significant market share growth as new drugs are launched [2]. - The report suggests that the company’s innovative drug pipeline and successful clinical trials will enhance its competitive edge in the biopharmaceutical industry [2].

Investment Rating - The industry investment rating is "Buy" [2] Core Viewpoints - The report highlights the acceleration of low-orbit satellite mobile direct connection applications, particularly through Huawei's Mate series, which now supports multiple satellite communication systems [2][3] - The report emphasizes the potential growth in the domestic satellite internet manufacturing and ground equipment sectors, as well as the terminal side and rocket industry chain leaders [2][3] Summary by Relevant Sections Industry Overview - The report discusses the advancements in satellite communication technology, particularly the launch of Huawei's Mate X6, which is the first mass-market smartphone to support three satellite communication systems [2] - It notes the successful testing of low-orbit satellite internet systems, with public testing expected to begin in the second half of 2025 [2] Investment Recommendations - The report suggests focusing on domestic satellite internet manufacturing, ground equipment, and terminal sectors, as well as key players in the rocket industry chain such as Guobo Electronics and Ruichuang Micro-Nano [2][3] Company Analysis - Specific companies mentioned include: - Haige Communication (002465.SZ) with a current price of 11.81 CNY and a target price of 14.29 CNY, rated as "Increase" [5] - Guangwei Composite (300699.SZ) with a current price of 32.60 CNY and a target price of 43.26 CNY, rated as "Increase" [5] - Ruichuang Micro-Nano (688002.SH) with a current price of 45.35 CNY and a target price of 62.57 CNY, rated as "Buy" [5] - Other companies include Bolite (688333.SH), Gaohua Technology (688539.SH), and Zhongke Xingtai (688568.SH), all rated as "Increase" [5]

Investment Rating - The industry investment rating is "Buy" [2] Core Viewpoints - The micro-drama industry continues to grow, driven by the supply of quality micro-dramas, free models, overseas expansion, and AI empowerment. The market size of the micro-drama industry is expected to reach 50.4 billion yuan in 2024, representing a year-on-year growth of nearly 35% [2][3] - The competition landscape in the domestic short drama app market shows a strong rivalry between Hongguo and Heima/Xingya, with Hongguo's monthly active users (MAU) surpassing 120 million in September 2024. The revenue sharing from Hongguo's short dramas exceeded 200 million yuan in September, with four works generating over 3 million yuan each [2][3] - The overseas market for short dramas presents significant opportunities, with varying content preferences and payment awareness across different regions. The acceleration of commercialization and the rise of platforms like TikTok are expected to enhance profit margins for domestic content production companies [2][3] Summary by Sections Industry Growth - The micro-drama market is projected to grow to 50.4 billion yuan in 2024, with a growth rate of nearly 35% year-on-year. The industry is also seeing a push towards standardization and quality content supply [2][3] Competitive Landscape - The competitive dynamics in the domestic short drama app market highlight Hongguo's dominance, with significant user engagement and revenue generation. The ecosystem encourages content creators to produce more quality content, leading to a positive feedback loop for advertising revenue [2][3] Overseas Expansion - The report emphasizes the vast potential of the overseas short drama market, where domestic companies can leverage AI technology for content adaptation and marketing efficiency. This includes rapid translation and subtitle generation for international audiences [2][3] Investment Recommendations - Recommended companies include Mango Super Media, Huace Film & TV, and Ningmeng Film & TV, with a focus on platforms, content production, marketing, technology, and content review sectors [2][3]

Investment Rating - The report assigns a "Buy" rating to the company with a target price of 15.24 CNY, compared to the current price of 14.45 CNY [2][3][4] Core Views - The company has a diversified business layout in water and solid waste treatment, with a historical CAGR of 44.1% in revenue and 32.9% in net profit from 2019 to 2023 [11] - Large orders in environmental protection projects, particularly in BOT and EPC, support future growth, with contract amounts reaching 3.296 billion CNY in 2023 for BOT projects and 477 million CNY for EPC projects [11] - The company is exploring new business opportunities in renewable energy, including a 1GW photovoltaic project in Wusu City and a hydrogen energy equipment project in Yangzhou [11] Financial Performance - Revenue is expected to grow from 2.552 billion CNY in 2024E to 4.414 billion CNY in 2026E, with a CAGR of 31.6% [10] - Net profit is projected to increase from 344 million CNY in 2024E to 594 million CNY in 2026E, with a CAGR of 29.8% [10] - The company's ROE is expected to rise from 10.9% in 2024E to 15.0% in 2026E, indicating improving profitability [10] Business Segments - The engineering construction segment contributes 81% of total revenue in 2023, driven by large-scale BOT and EPC projects [53] - The company's BOT projects are expected to generate stable cash flow post-construction, with BOT revenue increasing from 0 in 2021 to 792 million CNY in 2023 [64] - The company is expanding into renewable energy, with a 1GW photovoltaic project in Wusu City and a hydrogen energy equipment project in Yangzhou, aiming to diversify its revenue streams [108][118] Policy Impact - The company is expected to benefit from debt resolution policies, which will improve accounts receivable and open up expansion opportunities in lower-tier cities [11] - The company's investment intensity is higher than peers, with investment cash flow outflows accounting for 39.8% of revenue in 2023, positioning it well for future growth [133][134] Industry Outlook - The environmental protection industry is expected to benefit from debt resolution policies, with accounts receivable improvements and increased demand for waste and water treatment projects [128] - The company's focus on county-level waste incineration projects aligns with national policy goals, providing growth opportunities as local government payment capabilities improve [144][147]

Investment Rating - The industry rating is "Hold" [3] Core Views - In October, narrow infrastructure investment showed signs of recovery, and the decline in real estate sales significantly narrowed. The National Bureau of Statistics reported that in October 2024, the year-on-year changes for real estate development investment, new construction area, sales area, construction area, and completed area were -12.3%, -26.7%, -1.6%, -35.0%, and -20.1% respectively, compared to September's -9.4%, -19.9%, -11.0%, -29.5%, and -31.4% [1][46] - Cement prices continued to rise in October, supported by ongoing supply-side policy optimization. The national cement production from January to October 2024 was 1.501 billion tons, down 10.3% year-on-year, with October's production at 175 million tons, down 7.9% year-on-year [1][2] - Float glass demand and sentiment improved in October, with price rebounds due to capacity reductions from cold repairs. The national flat glass production from January to October 2024 was 839 million weight cases, up 4.6% year-on-year, while October's production was 79 million weight cases, down 6.0% year-on-year [1][2] Summary by Sections 1. Infrastructure and Real Estate - In October, narrow infrastructure investment growth improved, while real estate investment decline expanded. The year-on-year growth rates for fixed asset investment, real estate development investment, narrow infrastructure, broad infrastructure, and manufacturing investment were -10.3%, +4.3%, +9.3%, +9.3% respectively for January to October 2024 [38] - The October single-month fixed asset investment growth was 3.4%, with real estate development investment at -12.3% [38][46] 2. Cement - Cement prices continued to rise in October, with a national average price of 429 RMB/ton as of November 22, 2024, up 56 RMB/ton year-on-year. The cement shipment rate was 50.13%, down 6.87 percentage points year-on-year [1][2] 3. Float Glass - The float glass market saw a recovery in demand and sentiment in October, with prices rebounding due to capacity reductions. The average price of float glass was 1453 RMB/ton as of November 22, 2024, down 26.9% year-on-year [1][2] 4. Investment Recommendations - The report recommends investing in companies such as Three Trees, Rabbit Baby, North New Materials, and others in the building materials sector. For cement, it suggests companies like Conch Cement and Huaxin Cement. In the float glass sector, it highlights companies like Qibin Group and Shandong Pharmaceutical Glass [1][2]

Industry Rating - The industry rating is **Buy** [1][2] Core Views - **Base Metals**: Expect domestic and overseas demand resonance. Copper supply remains tight, and with domestic policies like trade-in programs and overseas interest rate cuts, global restocking momentum persists. Aluminum demand is expected to improve globally, with prices having room to rise [4] - **Steel**: Supply-demand balance is expected to recover, and costs are expected to decline, leading to a stabilization of steel prices and profits in 2025 [4] - **Precious Metals**: Gold prices are expected to continue hitting new highs due to the Fed's rate-cutting cycle and its anti-inflation properties [4] - **New Energy Metals**: Lithium prices are expected to rise as supply-demand imbalances improve, driven by performance upgrades, domestic trade-in subsidies, and rapid development in energy storage [4] - **Other Minor Metals**: Rare earths are expected to remain in tight supply-demand balance, with tungsten and molybdenum prices expected to rise [4] Base Metals - **Copper**: Copper concentrate supply remains tight, and with domestic trade-in policies and overseas rate cuts, global restocking momentum is expected to continue. Copper prices are expected to rise with improvements in the macro environment [4][55] - **Aluminum**: Global aluminum demand is expected to improve, with prices having room to rise. Profits from alumina are expected to shift to electrolytic aluminum [4][81] Steel - **Supply**: Crude steel production is expected to slightly decrease in 2025 due to low profitability driving active production cuts [108][109] - **Demand**: Steel demand in 2024 was resilient, with strong demand from infrastructure and manufacturing sectors. In 2025, demand is expected to improve further with macro policy support [113][116] - **Costs**: Steel costs are expected to decline in 2025, with iron ore prices expected to remain weak due to weak global demand [133] Precious Metals - **Gold**: Gold prices are expected to continue rising due to the Fed's rate-cutting cycle and its anti-inflation properties. Global geopolitical tensions and "de-globalization" trends will further support gold prices [4][30] New Energy Metals - **Lithium**: Lithium prices are expected to rise as supply-demand imbalances improve, driven by performance upgrades, domestic trade-in subsidies, and rapid development in energy storage [4][42] Other Minor Metals - **Rare Earths**: Rare earths are expected to remain in tight supply-demand balance, with prices expected to remain high [4][46] - **Tungsten and Molybdenum**: Tungsten prices are expected to remain strong, while molybdenum prices are expected to rise with downstream steel demand recovery [4][49][50] Investment Recommendations - **Base Metals**: Focus on companies like China Hongqiao (H), Chalco (A, H), and Tianshan Aluminum [4] - **Steel**: Focus on companies like Baosteel, Hunan Valin Steel, and CITIC Special Steel [4] - **Precious Metals**: Focus on companies like Yulong Gold, Chifeng Gold, and Zhaojin Mining (H) [4] - **New Energy Metals**: Focus on companies like Ganfeng Lithium, Tianqi Lithium, and Shengxin Lithium [4] - **Other Minor Metals**: Focus on companies like Jinduicheng Molybdenum and Xiamen Tungsten [4]

Investment Rating - The textile and apparel industry is rated as "Buy" [2] Core Insights - The report highlights six key themes for 2025: trade friction, second curve, brand recovery, home textile rebound, outdoor trends, and market capitalization management [2] - As of November 15, 2024, the textile manufacturing and apparel sectors have underperformed compared to the CSI 300 index, with changes of -6.1% and -11.7% respectively, while the CSI 300 increased by +15.7% [2][91] - In October 2024, textile exports increased by 16.1% year-on-year, while apparel exports rose by 8.1% [99] Summary by Sections 1. Review of the Textile and Apparel Industry from Early 2024 - The textile manufacturing and apparel sectors have shown negative performance compared to the CSI 300 index, with textile manufacturing at -6.1% and apparel at -11.7% [91] - The textile export value in October 2024 was $12.39 billion, a 16.1% increase year-on-year, while apparel exports were $13.09 billion, an 8.1% increase [99] 2. Investment Strategy for the Textile and Apparel Industry in 2025 - The report suggests focusing on leading companies in the textile manufacturing sector that are exploring new products and markets [2] - It is recommended to pay attention to companies involved in mergers and acquisitions aimed at industry consolidation and new productivity developments [2] 3. Key Company Analysis - A-share companies to watch include Huayi Group, Weixing Co., and Jiasheng Group, among others [2] - Hong Kong-listed companies of interest include Shenzhou International and Anta Sports [2]

Investment Rating - The report rates the environmental protection industry as "Buy" [2]. Core Insights - The report emphasizes the resilience and growth potential of the environmental protection sector, highlighting the shift towards stable operational assets and the importance of policy support for debt restructuring and recovery [2][3]. Summary by Sections 1. Year in Review: Stability and Continued Growth - The environmental protection sector showed steady growth with a revenue increase of 2.1% and a net profit increase of 1.8% in Q1-Q3 2024 [44]. - The sector's performance has improved since the downturn in 2018, with a gradual recovery in revenue and profits [44][45]. - The solid waste and water sectors contributed significantly, with their net profit accounting for 67% of the total sector profit, reflecting a 4.0 percentage point increase year-on-year [51][52]. 2. Outlook for 2025: Policy Intensification and Debt Restructuring - The report anticipates intensified policy measures for debt restructuring, which will be crucial for restoring confidence and promoting development in the sector [2]. - The focus will be on state-owned enterprises as key players in the debt restructuring process, with potential for mergers, acquisitions, and asset securitization [2][3]. 3. Stock Selection Strategies - The report suggests focusing on state-owned enterprises that have experienced significant market declines and have strong reform demands [2]. - Companies such as Wuhan Holdings, Juguang Technology, and Zhongjin Environment are highlighted as potential investment opportunities due to their growth prospects and operational stability [2][3]. 4. Performance of Sub-sectors - The report identifies strong performance in sub-sectors such as hazardous waste resource recovery and recycled plastics, with respective revenue growth rates of 27% and 15% [69]. - The report notes that operational assets in the solid waste and water sectors are expected to maintain stable profitability, contributing to the overall resilience of the environmental protection industry [69].

Investment Rating and Valuation - The report assigns a "Buy" rating to the company with a current price of 33.84 yuan and a fair value of 41.62 yuan [1][2][3] - The stock has shown significant growth over the past 3 and 6 months with increases of 44.44% and 17.71% respectively [6] Financial Performance and Projections - Revenue for 2024E is projected at 9,031 million yuan, a 10.3% increase from 2023A, with further growth expected to reach 12,635 million yuan by 2026E [6] - EBITDA is forecasted to grow from 1,348 million yuan in 2023A to 2,131 million yuan by 2026E, indicating strong operational efficiency improvements [6] - Net profit attributable to the parent company is expected to rise from 580 million yuan in 2023A to 1,224 million yuan by 2026E, reflecting a robust recovery and growth trajectory [6] Business Segments and Market Position - The company operates through two main brands: "Winner" for medical products and "Purcotton" for consumer goods, leveraging cotton as a core material [47] - Medical segment revenue accounted for 43.8% of total revenue in 2024Q1-3, with consumer goods contributing 55.4%, showing a balanced business model [7] - The company has expanded its medical product line through acquisitions, enhancing its market position in high-end wound care and surgical products [49] Strategic Initiatives and Growth Drivers - A new equity incentive plan has been introduced, aiming to align management interests with long-term growth targets, with performance triggers set at 13% and 18% revenue growth for 2025 and 2026 [7] - The company is focusing on both organic growth and strategic acquisitions to strengthen its market position and expand its product offerings [49] Industry Analysis and Competitive Landscape - The domestic medical consumables market is large and growing, with a CAGR of 16.10% from 2015 to 2023, expected to reach 3,633 billion yuan by 2025 [94] - Low-value medical consumables, which the company specializes in, are projected to grow at a CAGR of 19.49%, reaching 2,213 billion yuan by 2025, indicating significant market potential [94] - The company is well-positioned to benefit from industry consolidation and the shift towards higher-value medical products, supported by its strong R&D capabilities and international certifications [110]