Industry Rating - The industry rating for the agriculture, forestry, animal husbandry, and fishery sector is **Buy** [4] Core Views - The pig price experienced a downward trend in early November, with the price falling below 17 yuan/kg, while the breeding sow capacity continued to recover slowly [10] - The overall breeding profit remains in the positive range, with self-breeding profits at 264 yuan/head as of November 8 [10] - The total number of commercial pigs sold by listed companies in October reached 13.99 million, a month-on-month increase of 15.19% and a year-on-year increase of 15.88% [23] - The average sales price of listed companies in October was 17.57 yuan/kg, a month-on-month decrease of 6.74% [25] - The average weight of pigs sold by listed companies in October was 107.15 kg/head, a month-on-month decrease of 2.39% [26] Company Tracking - **Muyuan Foods**: Sold 6.498 million commercial pigs in October, a month-on-month increase of 21.3% and a year-on-year increase of 33.2% [23] - **Wens Foodstuff Group**: Sold 2.672 million commercial pigs in October, a month-on-month increase of 6.4% and a year-on-year increase of 11.5% [23] - **New Hope**: Sold 1.253 million commercial pigs in October, a month-on-month increase of 5.1% but a year-on-year decrease of 14.8% [23] - **Tangrenshen Group**: Sold 497,000 commercial pigs in October, a month-on-month increase of 55.3% and a year-on-year increase of 29.5% [23] - **Tiankang Bio**: Sold 284,000 commercial pigs in October, a month-on-month increase of 0.9% and a year-on-year increase of 22.9% [23] - **Huazhong Agriculture**: Sold 201,000 commercial pigs in October, a month-on-month decrease of 4.1% but a year-on-year increase of 9% [23] Investment Recommendations - The pig breeding sector is currently undervalued, with large-scale breeding companies such as **Wens Foodstuff Group** and **Muyuan Foods** being key recommendations [37] - Smaller-scale breeding companies like **Tangrenshen Group**, **Tiankang Bio**, and **Huazhong Agriculture** are also worth monitoring [37] - The industry's supply is expected to remain tight, with cautious expansion actions from companies, which may lead to a longer-than-expected period of high profitability [37]

Investment Rating - The industry investment rating is "Buy" [2] Core Viewpoints - The report emphasizes the regulatory optimization of the capital market ecosystem, highlighting trading opportunities in the non-bank financial sector [2] - The issuance of the market value management guidelines aims to regulate low-price competition in sponsorship services, enhancing investor confidence and promoting the healthy development of the capital market [2][19] - The insurance sector is expected to benefit from increased demand for savings-type products and regulatory support for elderly financial services, leading to a sustained high growth rate in profits [19][15] - The report suggests focusing on stocks with high earnings elasticity in the brokerage and securities IT sectors, particularly in light of favorable policy implementation and improved performance [2][19] Summary by Sections 1. Recent Performance - As of November 15, the Shanghai Composite Index fell by 3.52%, and the Shenzhen Component Index decreased by 3.70% [13] - The average daily trading volume in the Shanghai and Shenzhen markets was 2.2 trillion yuan, a decrease of 9.03% month-on-month [2] 2. Industry Dynamics and Weekly Review (1) Insurance - The insurance sector is experiencing a phase of recovery, with life insurance premium growth slowing slightly while property insurance continues to accelerate [15] - For the first ten months, the premium growth rates for major life insurers were 9% for Ping An, 4.9% for China Life, 1.8% for New China Life, and 2.4% for China Pacific [15] - Property insurance premiums grew at rates of 4.8% for PICC, 6.5% for Ping An, and 7.4% for China Pacific, indicating a positive trend [15] (2) Securities - The newly released market value management guidelines are designed to enhance the quality of listed companies and improve shareholder returns [21] - The guidelines require listed companies to adopt strategies that reflect their investment value and shareholder return capabilities, including mergers, stock buybacks, and dividend policies [21][22] - The report notes that the guidelines provide greater flexibility while also imposing stricter requirements on certain companies, particularly those with long-term undervaluation [23][30] 3. Stock Recommendations - The report recommends focusing on stocks such as China Pacific Insurance (A/H), New China Life (A/H), and Ping An (A/H) in the insurance sector [19] - In the securities sector, stocks like Huatai Securities, CITIC Securities, and Guotai Junan are highlighted for their potential [2][19]

Investment Rating - The industry rating is "Buy" [1] Core Viewpoints - The pet food industry showed strong performance during the Double 11 shopping festival, with total online sales reaching 5.9 billion CNY, a year-on-year increase of 23% [28] - The trend towards quality and health in pet consumption continues, with new processing methods and health-related products maintaining rapid growth [28] - Domestic pet food brands are rapidly catching up, with top brands dominating sales on major platforms during the Double 11 event [28] Summary by Sections Weekly Insights - The pet food sector's sales during Double 11 reached 5.9 billion CNY, with cat and dog food sales growing over 40% year-on-year [28] - New processing methods, such as low-temperature baking and fresh food, are leading the market, with cat baking food sales increasing by over 120% and dog baking food by over 60% [28] - Health awareness among pet owners is driving demand for medical and health products, with sales in this category growing by over 60% [28] Industry Tracking - As of November 15, the average price for live pigs was 16.3 CNY/kg, down 2.3% week-on-week but up 14.2% year-on-year [40] - The average price for piglets was 476 CNY/head, with a week-on-week increase of 3.0% [40] - The price of broiler chickens in Yantai remained stable at 3.8 CNY/lb, while chick prices fell by 0.5% [40] Agricultural Sector Performance - The agricultural sector underperformed the market by 2.8 percentage points, with a decline of 6.1% compared to a 3.3% drop in the CSI 300 index [44] - Sub-sectors such as animal health, agricultural processing, and feed experienced significant declines [44] Agricultural Product Price Tracking - The average price of corn fell by 1.1% week-on-week to 2208 CNY/ton, and soybean meal prices decreased by 4.4% to 3035 CNY/ton [68] - The price of wheat was 2462 CNY/ton, down 0.1% week-on-week [68]

Investment Rating - The report rates the communication industry as "Buy" [2]. Core Insights - The 2024 Global 6G Development Conference was successfully held in Shanghai, focusing on the theme "Advancing New Journeys - Looking Ahead to 6G Standard Frontiers" [16][17]. - The conference emphasized the importance of maintaining a unified global 6G standard and fostering a conducive environment for the development of the global mobile communication industry [16]. - Key application scenarios for 6G include ubiquitous connectivity, ultra-reliable low-latency communication, large-scale connections, immersive communication, and the integration of AI with communication [17][20]. Summary by Sections Industry Investment Rating - The communication industry is rated as "Buy" with a previous rating also being "Buy" [2]. Core Insights - The conference highlighted the need for collaboration among governments, industry organizations, and academia to create a high-performance, open, and standardized 6G ecosystem [16]. - The report notes that 6G will integrate more intelligent agents and will combine terrestrial and non-terrestrial networks to create a three-dimensional network [17][20]. Industry Data Updates - As of the end of 2023, China has built 3.377 million 5G base stations, a net increase of 1.065 million from the previous year, accounting for 29.1% of all mobile base stations [43]. - In September 2024, the domestic smartphone market saw a shipment of 25.371 million units, a year-on-year decrease of 23.8%, with 5G smartphones accounting for 88.9% of the total shipments [45]. - The three major telecom operators in China have developed 2.596 billion cellular IoT terminal users, representing 59.2% of the total mobile network terminal connections [51]. Market Performance - The communication sector outperformed the broader market indices, with a year-to-date increase of 27.2%, compared to 15.7% for the CSI 300 index [26][28]. - The report indicates that the communication sector's PE-TTM is 34.28, ranking it 8th among all sectors [34]. Investment Recommendations - The report suggests focusing on telecom operators participating in the digital economy, such as China Telecom, China Mobile, and China Unicom [20]. - It also recommends investing in companies involved in traffic and computing infrastructure, including ZTE, NewEase, Tianfu Communication, and Infinera [20].

[Table_Page] 金融工程|量化投资专题 2024 年 11 月 18 日 证券研究报告 识别风险，发现价值 请务必阅读末页的免责声明 1 / 31 ⚫ AI 看图：在去年发布的《基于卷积神经网络的股价走势 AI 识别与分类》 研究报告中，创新性地采用基于深度学习的图像识别技术，将价量数 据图表与未来股价走势进行建模，以实现股票价格预测。 ⚫ 股价预测之多模态多尺度：本文以"多模态、多尺度"为题，基于 AI 看图初版模型进行了大幅改进，新的模型结构如右图 1 所示。本文模 型在日度价量数据图表的基础上，加入了高频因子数据、日频时序数 据、周度价量数据图表，采用 4 个独立的深度时序模型和深度卷积模 型进行多模态、多尺度的特征提取，并同时采用回归损失和分类损失 以端到端的方式进行模型训练，有效提升了模型对未来股价的预测能 力，取得了更为显著的超额收益。 ⚫ 对比提升：以 2020/01/01~2024/10/31 作为样本外回测区间，每 20 个 交易日进行换仓，本文模型预测结果在全市场、沪深 300、中证 500、 中证 800、中证 1000、国证 2000、创业板的 RankIC 均值分别为 8. ...

Investment Rating - The report does not explicitly state an investment rating for the industry Core Insights - The performance of US tech stocks has shown strong resilience since August 2024, with stock prices stabilizing or reaching new highs, driven by robust company earnings and market patience towards AI developments [1][40] - Q3 2024 earnings continued to show strength, with a slight acceleration in revenue and an increase in profit margins. Major tech companies reported a total revenue growth of 13.9% year-on-year, reaching $363.2 billion, with a net profit margin of 23.2% [1][45] - AI technology is driving growth in cloud services, with significant contributions to revenue from AI applications, while traditional demand remains relatively weak [1][45] Summary by Sections Stock Price Review - Since the pandemic, US tech stocks have benefited from increased online activities and loose monetary policies, leading to a rise in both earnings and stock prices. However, from November 2021 to 2022, stock prices adjusted due to tightening liquidity expectations and economic recession concerns [34][40] - The market has shown strong resilience since August 2024, with companies demonstrating robust earnings and the market exhibiting patience towards AI developments [40] Q3 2024 Summary - Major US tech companies maintained strong performance in Q3 2024, with total revenue growth of 13.9% year-on-year and net profit growth of 29.5%. Microsoft, Amazon, Google, Meta, and Netflix all reported significant revenue increases [45][49] - Cloud services continued to show strong growth, with Microsoft Azure revenue increasing by 33% year-on-year, and Google Cloud revenue growing by 35% [45][49] - Advertising revenue growth has slowed but remains strong, with Google and Meta reporting year-on-year increases of 10.4% and 18.6%, respectively [46][49] Q4 2024 and Future Outlook - Companies are maintaining conservative guidance for Q4 2024, with expected revenue growth rates slowing but still showing strength. Microsoft anticipates a revenue increase of 10% to 11% for FY25Q1 [68] - High capital expenditures are expected to continue, with Microsoft and Amazon reporting significant year-on-year increases in capital spending [45][68] AI-Driven Cloud Growth - AI applications are deepening within companies, contributing significantly to revenue growth in cloud services. Microsoft, Google, and Amazon are all expanding their AI capabilities, with Microsoft projecting annual AI revenue to exceed $10 billion [1][68] - The report highlights the importance of AI in driving user engagement and advertising conversion rates, with applications like Copilot being gradually commercialized [1][40]

Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 53.35 CNY per share, compared to the current price of 48.50 CNY [6]. Core Insights - The company reported significant profit growth, with Q3 2024 revenue reaching 530 million CNY, a year-over-year increase of 13.1%. The net profit attributable to shareholders was 60 million CNY, down 11.6% year-over-year, while the adjusted net profit was 20 million CNY, down 27.0% year-over-year. In Q3 alone, revenue was 230 million CNY, up 40.8% year-over-year, and net profit was 50 million CNY, up 138.4% year-over-year, with a gross margin of 60.8% [4][5]. Summary by Sections Financial Performance - For the first three quarters of 2024, the company achieved a revenue of 530 million CNY, with a year-over-year growth of 13.1%. The Q3 revenue alone was 230 million CNY, reflecting a 40.8% increase year-over-year. The gross margin improved to 60.8%, up 2.6 percentage points year-over-year, while the net profit margin reached 23.0%, an increase of 9.4 percentage points year-over-year [4][5]. Product Development - High-end oscilloscope products have seen significant sales growth, with the sales of the DHO series high-resolution digital oscilloscopes increasing by 71% year-over-year. The revenue from high-end digital oscilloscopes (bandwidth ≥ 2GHz) surged by 145% year-over-year, accounting for 42% of total oscilloscope sales, an increase of 18 percentage points year-over-year [4]. Strategic Initiatives - The company has realized synergies with the acquisition of Naisou Electronics, enhancing its market, product, and technology capabilities. In Q3 2024, the sales revenue from solutions reached 30.56 million CNY [4]. Profit Forecast - The company is expected to achieve net profits of 109 million CNY, 156 million CNY, and 205 million CNY for the years 2024, 2025, and 2026, respectively. The report anticipates a continued increase in gross margin and a reduction in expenses due to the ramp-up of high-end product sales [4][5].

Investment Rating - The report assigns a "Buy" rating to the company, with a target price of 35.24 CNY per share, compared to the current price of 33.21 CNY per share [7]. Core Views - The company reported a revenue of 6.07 billion CNY for the first three quarters of 2024, reflecting a year-on-year increase of 0.99%. However, the net profit attributable to shareholders decreased by 74.25% to 553 million CNY. In Q3 alone, revenue reached 2.04 billion CNY, up 16.80% year-on-year, while net profit dropped by 88.49% to 169 million CNY. Excluding last year's one-time gain from a project, the net profit would have increased by 62.17% year-on-year [3][4]. Summary by Sections Financial Performance - For Q1-Q3 2024, the company achieved a gross margin of 48.14%, a net margin of 9.66%, and a non-recurring net margin of 7.77%, all showing slight declines compared to the previous year. In Q3, the gross margin was down by 0.04% year-on-year, while the non-recurring net margin improved by 3.05% [4]. - The company’s expenses increased due to heightened marketing efforts, with sales, management, R&D, and financial expense ratios at 25.96%, 7.71%, 3.82%, and -0.75%, respectively [4]. Business Segments - In Q3, the medical consumables segment generated 940 million CNY in revenue, a 13.1% increase year-on-year, while the All Cotton Era segment reported 1.08 billion CNY, up 20.6% year-on-year [3]. Equity Incentive Plan - The company announced an equity incentive plan on October 28, 2024, granting 7.4763 million shares at a price of 15.39 CNY per share, with performance targets set for revenue growth of 13% and 18% for 2024 and 2025, respectively [4]. Earnings Forecast - The earnings per share (EPS) for 2024, 2025, and 2026 are projected to be 1.36 CNY, 1.80 CNY, and 2.17 CNY, respectively. The company is expected to maintain strong growth in its consumer and medical consumables segments [5].

Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 8.07 CNY per share, compared to the current price of 6.65 CNY per share [4][22]. Core Views - The company reported a revenue of 11.6 billion CNY for the first three quarters of 2024, a year-on-year increase of 3.7%, while the net profit attributable to shareholders was 699 million CNY, a decrease of 43.8% year-on-year. In Q3 alone, revenue was 3.689 billion CNY, down 14.21% year-on-year and 9.03% quarter-on-quarter, with a net loss of 112 million CNY, marking a 118.8% decline year-on-year and a 130.4% decline quarter-on-quarter [1][10]. Summary by Sections Photovoltaic Glass - The profitability of photovoltaic glass is under pressure due to declining prices and widespread industry losses. The average price of 2.0mm coated glass in Q3 2024 was 12.1 CNY per square meter, down 3.3 CNY from the previous quarter. The industry is experiencing a phase of supply-demand imbalance, leading to a reduction in production capacity [2][11]. - As of late September, the industry had a production capacity of approximately 9.3wt/d, down 14% from the peak in mid-July. The inventory days have stabilized around 37-39 days, indicating a potential turning point, although price increases may take time due to inventory digestion [2][11]. Float Glass - The float glass segment is validating the company's cost advantages as the industry undergoes concentrated cold repairs. The gross margin for the natural gas production line turned negative in July, with further losses expected in Q3. The industry is accelerating cold repairs, with significant reductions in production capacity observed [12]. - The gross margin for Q3 was reported at 7.7%, a decrease of 20.01 percentage points year-on-year and 14.87 percentage points quarter-on-quarter. The operating expense ratio increased to 13.7%, reflecting a challenging operating environment [12]. Financial Forecasts - The company is projected to have earnings per share (EPS) of 0.25, 0.36, and 0.51 CNY for the years 2024, 2025, and 2026, respectively. Given the cyclical nature of the glass industry and the current bottoming out of the market, a price-to-book (PB) ratio of 1.4x is applied for 2024, leading to a reasonable value estimate of 8.07 CNY per share [2][20][22]. - Revenue forecasts for the float glass segment are expected to be 71.02 billion CNY in 2024, with a gross margin of 21%. The photovoltaic glass segment is anticipated to generate revenues of 55.39 billion CNY in 2024, with a gross margin of 11% [14][17]. Operational Performance - The company's operational capabilities and cash flow remain robust, with inventory turnover days at 70 days and accounts receivable turnover days at 37 days as of Q3 2024. The net cash flow from operating activities was 299 million CNY, indicating strong cash management [13].

Investment Rating - The report maintains a "Buy" rating for Langzi Co Ltd (002612 SZ) with a target price of 21 30 RMB, representing a 36X PE multiple for 2024 [4][5] Core Views - Langzi Co Ltd reported Q3 2024 revenue of 12 65 billion RMB, a 6 80% YoY decrease, with net profit attributable to shareholders of 0 42 billion RMB, down 17 21% YoY [2] - The company achieved 41 78 billion RMB in revenue for the first three quarters of 2024, a 1 45% YoY increase, with net profit attributable to shareholders of 2 09 billion RMB, down 4 87% YoY [2] - Non-GAAP net profit attributable to shareholders increased by 11 29% YoY to 1 80 billion RMB for Q1-3 2024 [2] - The company's medical aesthetics business is accelerating nationwide expansion through acquisitions and strategic investments [3] Financial Performance - Gross margin improved by 1 34 percentage points to 58 92% for Q1-3 2024, while net margin decreased by 0 17 percentage points to 5 56% [3] - Operating expenses were well controlled, with sales/management/R&D/financial expense ratios at 39 83%/8 72%/1 95%/1 71% respectively [3] - The company's apparel business remains stable, providing consistent cash flow [3] Business Development - Langzi Co Ltd has made significant acquisitions in the medical aesthetics sector, including 100% stakes in Zhengzhou Jimei and Beijing Lido, and a 70% stake in Hunan Yamei [3] - The company invested in Langxi Ziyan in September 2024, entering the upstream medical device sector to enhance supply chain stability and group purchasing power [3] Financial Projections - EPS is projected to be 0 59/0 71/0 85 RMB per share for 2024/2025/2026 respectively [4] - Revenue is expected to grow at a CAGR of 12 2% from 2024 to 2026, reaching 72 63 billion RMB by 2026 [4] - Net profit attributable to shareholders is forecasted to increase from 263 million RMB in 2024 to 376 million RMB in 2026 [4] Valuation Metrics - The company's P/E ratio is expected to decline from 31 52X in 2024 to 22 04X in 2026 [4] - ROE is projected to improve from 8 0% in 2024 to 9 5% in 2026 [4] - EV/EBITDA is forecasted to decrease from 13 35X in 2024 to 10 13X in 2026 [4]