Investment Rating - The report maintains a "Buy" rating for Huahong Semiconductor (1347 HK) with a target price of HK$44.00, representing a potential upside of 28% from the current price of HK$34.30 [2][9]. Core Insights - The new president, Dr. Bai Peng, has a solid background in IDM and foundry sectors, and he aims to enhance performance and efficiency by migrating some products to more advanced processes [7]. - The company is expected to benefit from the "China for China" strategy, competitive pricing compared to overseas peers, and the gradual ramp-up of its new 12-inch production line in Wuxi [7]. - The integration of Huahong's subsidiary, Huali Microelectronics, is anticipated to bring significant operational improvements and potential profit increases [7]. - Despite a slight increase in average selling prices (ASP), strong demand driven by consumer electronics is expected to continue into the first half of 2025 [8]. - Revenue forecasts for 2025 and 2026 have been adjusted downwards by 5% and 6% respectively due to pricing pressures, but the overall growth strategy remains intact [8][11]. Summary by Sections Financial Adjustments - The target price has been raised from HK$30.40 to HK$44.00, reflecting a revised P/B multiple of 1.5x for 2025 [9][13]. - The 2025E EPS has been adjusted down from US$0.12 to US$0.09, a decrease of 22% [3][11]. - Revenue estimates for 2025E and 2026E have been reduced to US$2,339 million and US$2,770 million, respectively, with year-on-year growth rates of 17% and 18% [11]. Valuation - The report emphasizes a P/B valuation approach, with the target P/B multiple increased to 1.5x, indicating a more optimistic outlook for Huahong's industry positioning and technology portfolio [13][14]. - The estimated book value per share for 2025 is projected at US$3.72, leading to a target price of HK$44.00 [14]. Market Comparison - Huahong's current P/B ratio of 1.2x is at a discount compared to its peers, such as UMC at 1.7x and SMIC at 2.5x, highlighting its valuation attractiveness [9][14].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HK$208.22, indicating a potential upside of 25% from the current price of HK$166.70 [1][6]. Core Insights - The company's revenue for 2024 is projected to reach US$3.81 billion, representing a year-on-year growth of 55.96%. The GAAP net loss is expected to narrow to US$568 million, a 53% improvement compared to the previous year [1]. - Global sales of the drug Zepzelca are anticipated to drive strong growth, with sales reaching US$2.6 billion in 2024, a 104.9% increase year-on-year. The U.S. market sales are expected to grow by 106.3% to US$2 billion, while European sales are projected to increase by 194% to US$359 million [2]. - The company is optimistic about 2025, forecasting revenue between US$4.9 billion and US$5.3 billion, a year-on-year growth of 29% to 39%, and aims to achieve operational breakeven [2]. Financial Summary - The company’s financial data for the years 2022 to 2026 shows a significant increase in revenue, with projections of US$4.9 billion in 2025 and US$5.8 billion in 2026. The gross profit is expected to rise to US$3.86 billion in 2025 [4]. - The net profit is projected to turn positive in 2025, with an expected net income of US$137 million, compared to a loss of US$554 million in 2024 [4]. - The earnings per share (EPS) is expected to improve from a loss of US$0.40 in 2024 to a profit of US$0.10 in 2025 [4].

Investment Rating - The report maintains a "Buy" rating for Budweiser APAC with a target price of HK$11.00, reflecting a potential upside of 27% from the current price of HK$8.66 [1][8]. Core Insights - The report indicates that Budweiser APAC's sales during the Chinese New Year were encouraging, with management stating that shipments to retailers matched last year's levels. The company is expected to achieve mid-single-digit volume growth in 2025, with a 3% increase in the Chinese market [6][13]. - A strategic shift has been announced, focusing on the "Core++" segment rather than ultra-premium products, aiming to enhance market share amidst a challenging macroeconomic environment [7][13]. - The company declared a dividend of $0.0566 per share, with a high payout ratio of 96%, which is expected to support long-term investor returns [7][8]. Financial Adjustments - The target price has been adjusted downwards from HK$11.60 to HK$11.00, while the earnings per share (EPS) estimates for 2025 and 2026 have been slightly increased by 0.7% and 1.9% respectively [2][8]. - Revenue forecasts for 2025 and 2026 have been raised by 2.0% and 3.2% respectively, reflecting better-than-expected recovery in beer sales in China [13][14]. - The normalized net profit for 2025 is projected at $887 million, with an adjusted net profit margin of 13.4% [10][14]. Market Performance - Budweiser APAC's stock has shown a 52-week range of HK$14.08 to HK$6.84, with a market capitalization of approximately $14.75 billion [1][8]. - The report highlights that the company's valuation is currently at a forward P/E of 21.1x for 2025, which is one standard deviation below the average of the past three years [15][17]. Strategic Focus - The management emphasizes that the strategic adjustment does not neglect high-end products but rather aims for a more comprehensive approach to current market conditions [7][8]. - The report suggests that the focus on the "Core++" segment will create significant synergies within Budweiser APAC's overall product portfolio [7][8].

Investment Rating - The report maintains a "Buy" rating for Li Ning (2331 HK) with a target price of HK$19.30, indicating a potential upside of 16% from the current price of HK$16.68 [1][4][5] Core Views - The report projects a revenue growth of 2.2% and a decline in net profit of 3.3% for 2024, with expected revenues of RMB 28.2 billion and net profits of RMB 3.08 billion [2][5] - The company is entering a stable development phase, with a forecasted revenue increase of 3.9% to RMB 29.33 billion and a net profit increase of 6.4% to RMB 3.28 billion for 2025 [2][3] Summary by Sections Revenue and Profit Forecast - For 2024, revenue is expected to grow by 2.2% to RMB 28.2 billion, while net profit is projected to decline by 3.3% to RMB 3.08 billion [2][5] - For 2025, revenue is forecasted to increase by 3.9% to RMB 29.33 billion, and net profit is expected to rise by 6.4% to RMB 3.28 billion [2][3] Financial Data Summary - The financial data for Li Ning shows a revenue of RMB 27.6 billion for 2023, with projections of RMB 28.2 billion for 2024 and RMB 29.3 billion for 2025 [4][6] - The net profit for 2023 is recorded at RMB 3.19 billion, with expectations of RMB 3.08 billion for 2024 and RMB 3.28 billion for 2025 [4][6] Valuation and Earnings - The report maintains the earnings forecast and target price, corresponding to a P/E ratio of 14 times for 2025 [3][5] - The projected earnings per share (EPS) for 2024 is RMB 1.19, for 2025 is RMB 1.27, and for 2026 is RMB 1.34 [4][5]

Investment Rating - The report maintains a "Buy" rating for SharkNinja, Inc. with a target price of US$122.25, indicating a potential upside of 19% from the current price of US$102.70 [1][5]. Core Insights - SharkNinja has demonstrated a strong track record of product innovation and market expansion, with a revenue CAGR of 17% to 21% over the past years, reflecting its high success rate in new product launches [3]. - The company is expected to achieve double-digit revenue growth this year, with new product introductions contributing significantly to its sales [3]. - The financial outlook remains positive, with revenue and profit guidance raised to a year-on-year growth of 10%-12% and 12%-15%, respectively [4]. Financial Summary - Revenue projections for SharkNinja are as follows: - 2025E: US$6.367 billion - 2026E: US$7.241 billion - 2027E: US$8.084 billion [6][11]. - Adjusted net profit estimates are: - 2025E: US$731 million - 2026E: US$854 million - 2027E: US$976 million [6][11]. - The expected EPS for 2025 is US$5.21, increasing to US$6.09 in 2026 and US$6.96 in 2027 [6][11]. Valuation Metrics - The report maintains a target price of US$122.25, corresponding to a P/E ratio of 20x for 2026, indicating a favorable risk-reward profile [5][7]. - The company’s current P/E ratio is 19.7, which is competitive compared to its peers in the durable consumer goods sector [9]. Market Performance - SharkNinja's stock has shown a trading range between US$90 and US$110, with expectations of continued fluctuations in the near term [4]. - The company is focusing on meeting demand for its top products in North America while expanding into European markets [4]. Product Innovation - SharkNinja plans to introduce 25 new products this year, including enhancements to existing lines and new entries into beauty and kitchen appliance categories [3]. - The successful launch of products like the CryoGlow beauty device has already shown promising sales, further validating the company's innovation strategy [3]. Shareholder Information - The major shareholder, Wang Xuning, holds 48% of the company, indicating a strong insider commitment to the company's future [1]. Conclusion - Overall, the report presents a positive outlook for SharkNinja, highlighting its strong growth potential driven by innovation and market expansion, while maintaining a favorable valuation compared to peers [5][9].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HK$8.88, indicating a potential upside of 77% from the current price of HK$5.01 [1][4]. Core Insights - The company has achieved a significant milestone in its innovative transformation with the exclusive licensing agreement for SYS6005, a targeted ADC drug, which covers key markets including the US, Canada, UK, Australia, and the EU. The agreement includes an upfront payment of US$15 million and potential milestone payments totaling up to US$1.575 billion [1][2][7]. - SYS6005 targets ROR1, which is highly expressed in various malignancies, positioning it as a promising new "golden target" for cancer treatment. The drug's mechanism involves mediating non-canonical Wnt signaling pathways, particularly Wnt5a, which activates the NF-κB pathway in tumor cells [2][7]. - The company has rapidly advanced in the ADC development space, with nearly 10 ADC products having received clinical trial approvals, and several progressing to Phase III trials. The company also recently entered into a licensing agreement for SYS6002, targeting Nectin-4, with a total deal value close to US$700 million [3][6]. Financial Summary - The company's revenue is projected to grow from RMB 30,937 million in 2022 to RMB 32,296 million in 2025, with a slight decline expected in 2026 [6]. - Gross profit is expected to remain stable, with projections of RMB 22,256 million in 2022 and RMB 23,517 million in 2026 [6]. - Net profit attributable to shareholders is forecasted to increase from RMB 6,232 million in 2022 to RMB 6,909 million in 2026, reflecting a steady growth trajectory [6].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HK$60.00, representing a potential upside of 19% from the current price of HK$50.25 [1][9]. Core Insights - The stock price of the company has increased by 74% year-to-date, significantly outperforming the Hang Seng Index, which rose by 16%. This growth is attributed to a revaluation of the company's value driven by multiple factors, including renewed market interest in Chinese-made AI hardware and language models, potential benefits from domestic consumption stimulus policies, and new land use rights for expansion [7][9]. - The management's optimistic outlook includes a target to exceed overall industry growth, particularly benefiting from the recovery in demand for consumer electronics and automotive sectors. The company is well-positioned to capitalize on the trend of migrating to 28nm process technology [8][9]. Summary by Sections Investment Rating - The investment rating remains "Buy" with a target price adjustment from HK$21.30 to HK$60.00, reflecting a 182% increase in target price [2][9]. Financial Performance - Revenue estimates for 2025 have been increased to US$9,693 million, a 4% rise from previous estimates, with net profit projections raised by 69% to US$927 million [11][10]. - The expected EPS for 2025 is now US$0.12, up from US$0.07, indicating a 70% increase [2][11]. Market Position and Trends - The company is expected to benefit from favorable domestic policies and a recovering demand environment, particularly in the consumer electronics sector, with anticipated growth in smartphone, PC, and tablet demand [7][8]. - The report highlights the company's strategic advantage in the semiconductor industry, particularly in the context of local production and technological advancements [9][10]. Valuation - The valuation approach has shifted to a price-to-book (P/B) ratio of 2.85, which is a significant increase from the previous year's P/B of 1.05, indicating a strong market sentiment towards the company's future prospects [9][13].

Investment Rating - The report maintains a positive outlook on the online pharmacy sector, suggesting a "buy" rating for JD Health, with a target price of HK$42.61 [4]. Core Insights - The overall growth rate of China's retail pharmaceutical market is expected to remain low at 5-6% in 2025, with a sales scale reaching approximately 574 billion yuan in 2024, reflecting a year-on-year growth of 3.7% [1][4]. - Online pharmacies are experiencing significant growth, with sales reaching 75.8 billion yuan in 2024, marking a year-on-year increase of 14.4%, while traditional brick-and-mortar pharmacies face challenges with a closure rate of 5.7% [2][4]. - The report highlights the potential of online pharmacies, driven by changing consumer habits, policy support for prescription drug sales online, and the gradual implementation of online medical insurance payments [2][3]. Summary by Sections Market Overview - The retail pharmaceutical market in China is projected to grow at a rate of 5-6% in 2025, with the market size reaching 574 billion yuan in 2024 [1][4]. - The growth of the retail market is influenced by demographic changes, macroeconomic conditions, and healthcare reforms [1]. Channel Performance - In 2024, online pharmacies accounted for 13.2% of the market share, up from 12% in 2023, while traditional pharmacies saw a mere 2.3% growth in sales [2][4]. - The number of traditional pharmacies closing has accelerated, with 39,000 closures in 2024, indicating increased competition and declining profit margins [2]. Future Outlook - The report expresses optimism about the future of online pharmacies, anticipating continued growth due to supportive policies and increasing penetration of online medical insurance [3][4]. - The demand for flu medications in December 2024 led to a peak in sales, although overall sales for the year showed a slight decline compared to 2023 [3].

Investment Rating - The report indicates a neutral investment rating for the automotive and auto parts industry, reflecting a cautious outlook on the sector's performance in the near term [2]. Core Insights - January saw a decline in overall passenger car sales, with retail sales dropping by 12.1% year-on-year to 1.794 million units, while wholesale sales decreased by 0.3% to 2.101 million units [2]. - New energy vehicle (NEV) retail sales reached 744,000 units in January, marking a year-on-year increase of 10.5% and a penetration rate of 41.5%, up 9 percentage points from the previous year [2]. - The report highlights the launch of BYD's advanced driving system "Tian Shen Zhi Yan," indicating the arrival of a new era of affordable intelligent driving features in the market [4]. Summary by Sections Passenger Vehicle Sales - January passenger vehicle retail sales were 1.794 million units, down 12.1% year-on-year and 31.9% month-on-month [2]. - NEV retail sales were 744,000 units, with a year-on-year growth of 10.5% and a penetration rate of 41.5% [2]. - Exports of passenger vehicles reached 380,000 units, a year-on-year increase of 3% [2]. Battery Installation and Performance - The total installed capacity of power and energy storage batteries in January was 80.4 GWh, a year-on-year increase of 40.8% [3]. - Power battery sales were 62.9 GWh, with a year-on-year growth of 24.6% [3]. - The average energy capacity of new energy vehicles was 48.5 kWh, showing a month-on-month decrease of 1.9% [3]. Intelligent Driving Technology - BYD's "Tian Shen Zhi Yan" system is segmented into three versions, aiming to integrate intelligent driving features into more affordable vehicle models [4]. - The report anticipates that models priced above 100,000 yuan will increasingly include basic intelligent driving functionalities, intensifying market competition [4].

此港股通报告之英文版本于 2025 年 2 月 17 日 中午 12 时 35 分由华兴证券(香港)发 布。中文版由华兴证券的王国晗（证券分析师登记编号: S1680524080001）审核。如果 您想进一步讨论本报告所述观点，请与您在华兴证券的销售代表联系。 预计本季度 IoT 和整体盈利强劲：我们预测小米 4Q24 收入首次超过 1,000 亿人民币大关 ，达到 1,050 亿元，同比提升 40%。分板块来看，我们根据 Canalys 数据（4,270 万部出 货）预测智能手机收入为 490 亿元人民币，且因高端机型贡献提升，单价同比增长 6%至 人民币 1,153 元。IoT 方面，我们预测总收入同比增长 46%至 297 亿元人民币，受益于国 内刺激政策，尤其是家电产品。我们预测互联网服务在强劲广告业务势能下收入同比提升 13%至 89 亿元人民币，并预测季度电车交付量为 7 万台、收入为 163 亿元人民币。我们 预测 4Q24 整体综合毛利率环比提升 20 个基点至 20.6%，并预计随着小米持续扩大规模， 电车毛利率将接近 20%。利润层面，我们预测小米的经调整净利润为 70 亿元人民币，涵 盖 ...