Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Viewpoints - The report emphasizes the importance of stablecoins and AI as two major industry trends, with global regulatory policies accelerating the development of stablecoins [5][12] - The ongoing competition in large model development is expected to accelerate the prosperity of AI applications, with significant advancements from major companies like Tencent and Alibaba [6][13] Summary by Sections Market Review - During the week of June 23-27, 2025, the CSI 300 index rose by 1.95%, while the computer index increased by 8.09% [4][11] Weekly Viewpoint - The report highlights the rapid introduction of stablecoin policies globally, including initiatives from South Korea, Hong Kong, and the EU, which are expected to foster a healthy development of the stablecoin industry [5][12] - The competition among major companies in AI model development is intensifying, with new models being released that enhance performance and efficiency [6][13] Investment Recommendations - For stablecoins and RWA, recommended companies include Langxin Group and Zhuoyi Information, with beneficiaries such as Anheng Information and Sifang Chuangxin [14] - For AI applications, recommended companies include Kingsoft Office and Keda Xunfei, with beneficiaries like Meitu and Hanbang High-Tech [14] - In the computing power sector, recommended companies include Zhongke Shuguang and Chunzhi Technology, with beneficiaries such as Cambrian and Unisplendour [14] Company Dynamics - Information Development announced a plan for its chairman to increase shareholding, with a minimum investment of 10 million RMB over the next six months [15] - Jinli Technology plans to establish a fund in partnership with professional investment institutions, with a total investment of 100 million RMB [21] Industry News - Huoshan Engine launched the enterprise AI platform HiAgent 2.0, enhancing capabilities for intelligent agent development and management [22] - Tesla has begun trial operations of its Robotaxi service in Austin, Texas, marking a significant step towards paid operations [26]

Investment Rating - Investment rating for the basic chemical industry is "Positive" (maintained) [1] Core Viewpoints - The report emphasizes that the price of phosphate rock remains high, and the supply-demand dynamics are expected to continue to support this trend. The performance of listed companies in the phosphate chemical sector, such as Yuntianhua and Chuanheng Co., has been strong, with significant dividends expected [4][14] - The report maintains the view that barriers to phosphate mining and selection are increasing, which may lead to lower-than-expected supply growth, keeping price levels elevated. The optimization of the product structure in the phosphate chemical sector is expected to help companies maintain stable operations and enhance cash dividend capabilities [4][14] Resource Side - In 2024, China's phosphate rock reserves are approximately 3.7 billion tons, a decrease of 1 million tons year-on-year, representing a decline of 2.6%. The domestic phosphate rock production in 2024 is projected to be 113.52 million tons, an increase of 8.2% year-on-year [5][16] - The report forecasts limited new supply of phosphate rock from 2025 to 2026, with domestic production expected to reach 120.38 million tons in 2025, 136.33 million tons in 2026, and 151.73 million tons in 2027 [5][32] Product Side - The supply of phosphate ammonium and feed-grade calcium phosphate is optimizing, with wet-process phosphoric acid production continuing to increase. The demand for wet-process phosphoric acid is expected to rise steadily, reaching a 17.3% share of phosphate rock demand in 2024, up from previous years [5][36] - The report highlights that the domestic phosphate ammonium market is experiencing limited new capacity, with the CR5 capacity shares for various types of phosphate ammonium being 71%, 30%, and 44% respectively [5][35] Supply-Demand Matching - The report anticipates that the supply-demand balance for phosphate rock will remain tight in 2025, with consumption expected to be 98.3% of production. The supply-demand situation is expected to ease slightly in 2026 and 2027 [6][32] Profit Forecast and Investment Recommendations - The report recommends companies with integrated mining and processing capabilities, such as Xingfa Group and Yuntianhua, as potential investment targets due to their strong operational performance and dividend potential [4][14]

Group 1 - The report highlights the significance of the upcoming military parade on September 3, 2025, showcasing China's domestic military capabilities and innovations in weaponry [1][11][12] - There are currently 17 military-related companies listed on the Beijing Stock Exchange, with a total market capitalization of 73.434 billion yuan as of June 27, 2025 [1][12][13] - Key companies include Star Map Control (920116.BJ), which specializes in aerospace measurement and control management, and Minshida (833394.BJ), known for its aramid paper products used in various critical industries [1][19][20] Group 2 - The five major industries on the Beijing Stock Exchange saw average weekly gains, with high-end equipment, information technology, chemical new materials, consumer services, and pharmaceutical biology showing increases of +6.80%, +12.82%, +5.33%, +4.65%, and +5.18% respectively [2][24] - The average price-to-earnings (P/E) ratios for these industries have also risen, with high-end equipment reaching 47.2X and information technology at 93.0X [2][26] Group 3 - In the technology sector, 145 out of 150 companies experienced stock price increases, with an average gain of +7.42% during the week [3][37] - The overall market capitalization for these companies rose from 443.941 billion yuan to 478.908 billion yuan, with the median market capitalization increasing from 22.40 million yuan to 23.57 million yuan [3][40] Group 4 - Star Map Control reported a revenue increase of 25.90% year-on-year for 2024, with a net profit growth of 35.68% [16][18] - Minshida achieved a revenue of 408 million yuan in 2024, reflecting a growth of 19.82%, and a net profit of 101 million yuan, up by 23.14% [20][22]

Investment Rating - The investment rating for the company is "Buy" (maintained) [2] Core Views - The company achieved a revenue of 1.536 billion yuan in Q1 2025, representing a year-on-year growth of 28.34%, and a net profit attributable to shareholders of 187 million yuan, up 58.45% year-on-year [4] - The company is expected to maintain its profit forecast for 2025 while adjusting the forecast for 2026 downwards and introducing a new forecast for 2027, with projected net profits of 858 million yuan, 980 million yuan, and 1.091 billion yuan for 2025, 2026, and 2027 respectively [4] - The integration of new energy and autonomous driving technologies is expected to enhance the company's growth potential and profitability [4][6] Summary by Sections Section 1: Focus on Non-Road Wide Body Dump Trucks - The company is recognized as a national champion in non-road wide body dump trucks and is actively expanding into overseas markets [13] - The company has developed a range of products including fuel-driven, gas-driven, pure electric, and autonomous vehicles, positioning itself as a leader in intelligent and information technology applications [13][16] - The company has achieved a second-place market share in the autonomous driving dump truck segment in open-pit coal mines as of September 2024 [28] Section 2: Economic Benefits of Non-Road Wide Body Dump Trucks - Non-road wide body dump trucks have a lower purchase cost per ton compared to other types of dump trucks, making them economically advantageous [5][43] - The operational efficiency of non-road wide body dump trucks is significantly higher than that of traditional trucks, with a 30% increase in carrying capacity under similar conditions [45][47] Section 3: Financial Summary and Valuation Indicators - The company's revenue is projected to grow from 5.86 billion yuan in 2023 to 8.19 billion yuan in 2027, with a compound annual growth rate (CAGR) of 20.53% [7] - The net profit attributable to shareholders is expected to increase from 615 million yuan in 2023 to 1.091 billion yuan in 2027, with a CAGR of 31.43% [7] - The gross margin is anticipated to improve from 19.1% in 2023 to 22.2% in 2027, reflecting the higher profitability of new products [7][36] Section 4: Research and Development Focus - The company has significantly increased its R&D investment, with expenses growing from 37.59 million yuan in 2019 to 196 million yuan in 2024, representing a CAGR of 39.11% [21][24] - Key R&D projects include the development of large-scale hybrid dump trucks and autonomous driving technologies, aligning with national policies promoting green and intelligent mining [22][23] Section 5: Market Trends and Future Outlook - The market for non-road wide body dump trucks is expected to grow due to increasing demand in mining and infrastructure projects, with the industry size estimated at approximately 13 billion yuan in 2023 [52] - The company is well-positioned to capitalize on the growing trend of automation and new energy in the mining sector, with significant potential for market expansion [57]

Investment Rating - The report assigns a "Buy" rating for the company, marking its first coverage [3]. Core Insights - The company is a global leader in smart imaging devices, established in 2015, focusing on panoramic and action cameras. It has achieved a revenue CAGR of approximately 66.9% and a net profit CAGR of about 94.7% from 2018 to 2024, driven by continuous product iterations and technological advancements [3][4][25]. - The company is expected to maintain rapid growth, with projected net profits of 1.201 billion, 1.662 billion, and 2.304 billion yuan for 2025, 2026, and 2027 respectively, corresponding to EPS of 3.00, 4.14, and 5.75 yuan [3][6]. Summary by Sections Business Overview - The company has a diverse product range and operates both domestically and internationally. It has successfully launched several innovative products, including the first consumer-grade panoramic camera in 2016, which gained popularity due to its user-friendly features [13][14]. - The company has established a strong market presence, leading the global panoramic camera market for seven consecutive years and maintaining a top-three position in the action camera market [4][5]. Market Demand and Positioning - The global market for panoramic cameras was valued at 5.03 billion yuan in 2023, with a CAGR of 12.3% from 2017 to 2023. The action camera market reached 31.44 billion yuan in 2023, growing at a CAGR of 14.5% during the same period [4]. - The company has differentiated itself by creating a new category of "panoramic action cameras," addressing pain points in traditional models and enhancing user experience through innovative features [4][5]. Research and Development - The company invests heavily in R&D, with a team of 1,367 people, accounting for 57.68% of its workforce. The average R&D expense ratio exceeds 12%, and it holds 900 patents in key technology areas [5][6][14]. - The company's core technologies include panoramic image stitching, AI image processing, and stabilization algorithms, which have been effectively translated into product applications [15][16]. Financial Performance - The company's revenue grew from 258 million yuan in 2018 to 5.574 billion yuan in 2024, with a CAGR of 66.86%. The revenue from panoramic and action cameras constitutes 54.1% and 26.7% of total revenue in 2024, respectively [25][28][33]. - The company has maintained a gross margin above industry averages, with a gross margin of 52.2% in 2024, despite a slight decline due to changes in product mix [40][41]. Marketing Strategy - The company employs a dual-channel strategy, with online and offline sales contributing nearly equally to total revenue. Online sales have a higher gross margin compared to offline sales [35][44]. - The marketing approach includes experiential offline promotions and online content generation, enhancing brand awareness and customer engagement [5][6].

Group 1: Non-Bank Financial Sector - The report highlights a positive outlook for the brokerage sector, driven by favorable economic policies and a stable stock market environment, with a recommendation to focus on low-valuation leading brokerages, high beta fintech stocks, and firms benefiting from the expansion of the Hong Kong IPO market [4][11][10] - The brokerage sector has shown a significant increase, with a 9.6% rise in the first three days of the week, outperforming the CSI 300 by 6.6% [8] - Key metrics indicate a strong recovery in brokerage performance, with a 48% year-on-year increase in average daily stock trading volume in Q2 2025, and a 22% increase in margin financing scale [9][11] Group 2: Media Sector - Giant Network - The company is recognized as a leading online game developer, with a solid core IP and a focus on innovative game development, receiving a "Buy" rating [15][16] - Expected net profits for 2025-2027 are projected at 1.919 billion, 2.307 billion, and 2.560 billion yuan, with corresponding EPS of 0.99, 1.19, and 1.32 yuan, indicating a favorable PE ratio [15][17] - The company is expanding into new game categories, with promising titles like "Supernatural Action Group" and "Five Thousand Years" set to drive future growth [17][16] Group 3: Non-Ferrous Metals - Jincheng Mining - Jincheng Mining is positioned as a leading mining service provider in China, with a dual business model of mining services and resource development, expecting significant profit contributions from copper and phosphate sales [19][20] - The company anticipates net profits of 2.170 billion, 2.466 billion, and 3.245 billion yuan for 2025-2027, with a favorable PE ratio [19][21] - The mining service sector is expected to grow rapidly due to increasing global demand and the aging of copper resources, providing Jincheng Mining with a competitive advantage [20][21]

Core Insights - The report highlights the significant growth of the semiconductor third-party testing industry, with a projected domestic market space reaching 180-200 billion yuan by 2027, driven by rapid technological iterations and increased R&D investments in the semiconductor sector [15][16]. Company Overview - The specific company, Victory Nano (688757.SH), is recognized as a leading semiconductor third-party testing service provider in China, often referred to as the "chip general hospital." The company has experienced rapid growth, with a CAGR of 35% in revenue and 43% in net profit from 2021 to 2024 [4][14]. - In 2023, the company achieved a market share of 7.86% in the failure analysis and material analysis sectors, solidifying its position as a top player in the industry [14][16]. - The company's testing capabilities extend to 3nm process technology, with nearly 80% of its advanced process revenue coming from the first half of 2024. Future investment projects are expected to further enhance revenue from advanced processes [14][16]. Industry Analysis - The semiconductor third-party testing industry is characterized by a "small, scattered, and weak" competitive landscape, but leading companies are expected to benefit significantly from industry demand growth and the deepening of the Labless model [15][16]. - Key drivers of industry demand include the rapid iteration of semiconductor technology, which increases R&D spending, and the rising requirements for fault tolerance due to advanced process iterations [15][16]. - The report emphasizes that leading companies in the sector are well-positioned to capitalize on the growth opportunities presented by the expanding semiconductor industry and can achieve counter-cyclical growth by relying on resilient R&D demand during market fluctuations [15][16]. Technology Trends - The report discusses the emergence of AI glasses as the next generation of personal smart devices, with major companies like Meta and Xiaomi leading the innovation [5][18]. - Key trends in AI glasses include electrochromic technology, SIP packaging, AR/VR displays, and bone conduction technology, which are expected to enhance user experience and functionality [19][21][22].

Investment Rating - The investment rating for the non-bank financial industry is "Positive" (maintained) [1] Core Viewpoints - The report highlights a significant improvement in market data for the second quarter of 2025, with brokerage firms experiencing a year-on-year increase in trading volume and new account openings [4] - The report anticipates a continued high growth rate for listed brokerage firms' mid-year reports, projecting a year-on-year growth of approximately 50% [4] - The report emphasizes the favorable policies aimed at stabilizing the stock market and boosting the economy, which are expected to benefit the brokerage sector [5] - The report identifies three main investment themes within the brokerage sector: undervalued leading brokers with strong retail business, high beta financial technology stocks, and brokers benefiting from the expansion and activity of the Hong Kong IPO market [6] Summary by Sections Market Data Improvement - In Q2 2025, the average daily stock trading volume reached 12.5 trillion, a year-on-year increase of 48% [4] - The number of new accounts opened from January to May 2025 was 10.95 million, up 30% year-on-year [4] - The margin trading scale as of June 24 was 1.82 trillion, a year-on-year increase of 22% [4] Investment Banking and IPOs - The IPO scale from January to June 2025 was 37.1 billion, with 50 projects, reflecting a year-on-year increase of 14% [4] - The report notes a significant increase in IPO activity in Q2 2025, with a scale of 23.6 billion and 30 projects, representing a quarter-on-quarter increase of 75% [4] Policy Environment - The report discusses the "1+6" policy measures introduced by the China Securities Regulatory Commission, which are expected to facilitate IPOs for unprofitable companies [5] - The report mentions a joint guideline from the central bank and other departments aimed at boosting consumption and stabilizing the economy [5] Valuation and Fund Allocation - The report indicates that public funds are significantly underweight in the non-bank financial sector, with a notable need for reallocation [6] - As of June 25, the brokerage sector's price-to-book (PB) and price-to-earnings (PE) ratios were 1.44 and 20.75, respectively, indicating that valuations remain low [6]

Investment Rating - The investment rating for the company is maintained at "Outperform" [3][5] Core Views - The company is expected to achieve a revenue of 540 million yuan in 2024, representing a year-on-year growth of 12.89% [5] - The company has begun trial production of its 30,000 tons/year THF production line, with a current load of 70% as of mid-May 2025 [6] - The expansion of the benzyl alcohol production line is ongoing, with 61% of the project completed by the end of 2024 [6] Financial Summary - In 2024, the company is projected to generate a revenue of 540 million yuan, with a net profit attributable to the parent company of -3.45 million yuan [5][8] - The estimated earnings per share (EPS) for 2025, 2026, and 2027 are 0.19 yuan, 0.39 yuan, and 0.53 yuan respectively, with corresponding price-to-earnings (P/E) ratios of 86.0, 42.2, and 30.9 [5][8] - The gross margin for 2024 is expected to be 17.5%, with a net margin of -0.6% [11] Production and Expansion - The company is focusing on expanding its THF production capacity and has also initiated projects related to mercury-free PVC catalysts and NMN [6] - The fine chemical segment is projected to achieve a revenue of 501 million yuan in 2024, with a growth rate of 14.55% [5] Research and Development - The company has completed the industrial verification of a mercury-free ionic liquid catalyst for VCM synthesis and is in discussions with downstream PVC customers [6] - Ongoing research includes small molecule heparin and enzyme-based solutions, with significant progress in the development of NMN products [6]

Quantitative Models and Construction Methods 1. Model Name: LSTMtech - **Model Construction Idea**: Directly use LSTM to extract factors from stock price data and technical indicators without incorporating financial data[13][15] - **Model Construction Process**: 1. Input layer includes stock price data (open, high, low, close, volume) and technical indicators generated using the `talib` library[15] 2. Training process uses a rolling window: 6 years for training, 2 years for validation, updated annually[15] 3. Factor performance metrics: RankIC of 7.42%, RankICIR of 4.25, annualized return of 24.02% for 10 long-short groups[15] 2. Model Name: LSTMdeap_tech - **Model Construction Idea**: Combine effective factors extracted by genetic algorithms with original technical indicators, then use LSTM for further factor mining[3][24][26] - **Model Construction Process**: 1. Genetic algorithm is applied to original technical indicators to extract effective factors using a sample period from 2010 to 2016[24] 2. Effective factors are combined with original technical indicators and input into the LSTM framework[26] 3. Factor performance metrics: RankIC of 9.27%, RankICIR of 4.54, annualized return of 32.44% for 10 long-short groups[26] 3. Model Name: LSTMgraph - **Model Construction Idea**: Use LSTM to extract factors based on manually defined graphical states of stock price patterns and technical indicators[32][41] - **Model Construction Process**: 1. Graphical states are manually defined based on K-line patterns and technical indicator positions (e.g., relative positions of moving averages)[33] 2. States are input into the LSTM framework for training, including synthesized K-line patterns from 1 to 20 days[41] 3. Factor performance metrics: RankIC of 9.01%, RankICIR of 4.70, annualized return of 32.25% for 10 long-short groups[41][44] 4. Model Name: LSTMdeap_tech_graph - **Model Construction Idea**: Combine LSTMdeap_tech and LSTMgraph factors equally to enhance performance[5][47][49] - **Model Construction Process**: 1. Combine LSTMdeap_tech and LSTMgraph factors with equal weights[47] 2. Factor performance metrics: RankIC of 10.89%, RankICIR of 4.99, annualized return of 37.28% for 10 long-short groups[49] 5. Model Name: LSTMpro_combined - **Model Construction Idea**: Combine LSTMdeap_tech_graph with a factor derived from broader data sources (e.g., minute-level aggregated daily indicators, financial data)[6][54] - **Model Construction Process**: 1. Combine LSTMdeap_tech_graph with the broader factor using equal weights[54] 2. Factor performance metrics: RankIC of 11.93%, annualized return of 39.85% for 10 long-short groups[54] --- Model Backtesting Results 1. LSTMtech - RankIC: 7.42% - RankICIR: 4.25 - Annualized return (10 long-short groups): 24.02%[15] 2. LSTMdeap_tech - RankIC: 9.27% - RankICIR: 4.54 - Annualized return (10 long-short groups): 32.44%[26] 3. LSTMgraph - RankIC: 9.01% - RankICIR: 4.70 - Annualized return (10 long-short groups): 32.25%[41][44] 4. LSTMdeap_tech_graph - RankIC: 10.89% - RankICIR: 4.99 - Annualized return (10 long-short groups): 37.28%[49] 5. LSTMpro_combined - RankIC: 11.93% - Annualized return (10 long-short groups): 39.85%[54] --- Quantitative Factors and Construction Methods 1. Factor Name: Tech_K_similarity - **Factor Construction Idea**: Manually define graphical states and calculate historical similarity to derive future returns[33][35] - **Factor Construction Process**: 1. Define states based on K-line patterns and technical indicators (e.g., MACD, volume)[33] 2. Identify historical periods with similar states and calculate average excess returns over the next 20 days[35] 3. Factor performance metrics: RankIC of 5.10%, RankICIR of 3.09, annualized return of 19.25% for 10 long-short groups[39] 2. Factor Name: Tech_similarity_combined - **Factor Construction Idea**: Combine Tech_K_similarity with a similar factor derived from technical indicators[40] - **Factor Construction Process**: 1. Combine Tech_K_similarity and the technical indicator-based factor equally[40] 2. Factor performance metrics: RankIC of 5.89%, RankICIR of 3.25, annualized return of 25.97% for 10 long-short groups[40][43] --- Factor Backtesting Results 1. Tech_K_similarity - RankIC: 5.10% - RankICIR: 3.09 - Annualized return (10 long-short groups): 19.25%[39] 2. Tech_similarity_combined - RankIC: 5.89% - RankICIR: 3.25 - Annualized return (10 long-short groups): 25.97%[40][43]