Core Viewpoint - The Hong Kong stock market continues to experience volatility amid macroeconomic uncertainties, but a significant trend of share buybacks led by technology giants is emerging, providing a stabilizing force for core assets in the market [1] Group 1: Data Insights on Buyback Trends - From 2025 to early 2026, the Hong Kong stock market has seen a concentrated wave of buybacks, primarily driven by technology giants. In 2025, Tencent Holdings topped the buyback list with a total of HKD 800.36 billion, conducting 130 buybacks throughout the year [2] - As of February 21, 2026, the total buyback amount in the Hong Kong market exceeded HKD 254 billion, with Tencent leading at HKD 63.58 billion, followed by ZTO Express and Xiaomi with HKD 41.03 billion and HKD 35.32 billion respectively [2] Group 2: Analysis of Buyback Logic - Buybacks serve as a multi-faceted support for stock prices in a volatile market. They act as a "signal tower" for valuation repair, indicating management's confidence when stock prices misalign with intrinsic value [3] - Compared to dividends, buybacks can enhance shareholder returns by reducing the number of shares outstanding, thus increasing earnings per share and return on equity. The Hong Kong Stock Exchange's reforms have increased the flexibility of buyback operations [3] - Leading companies often utilize idle cash for buybacks, providing a source of incremental funds that supports stock prices, especially during periods of tight external liquidity [3] Group 3: Focus on ETF 025167 - The 汇添富恒生港股通中国科技ETF联接C (025167) is well-positioned to capture the buyback trend, as it tracks the Hang Seng Hong Kong Stock Connect China Technology Index, which includes major players like Tencent and Xiaomi [4] - This ETF's high-weight coverage enhances its appeal by providing natural support during market downturns and accelerating valuation recovery when market sentiment improves [4][5]

Group 1 - Tencent has reduced its stake in CICC by selling 650,000 H-shares at an average price of 21.4688 HKD, cashing out approximately 13.95 million HKD [1] - Since July 2025, Tencent has conducted seven rounds of share reductions, totaling 24.84 million shares sold and generating 529 million HKD in cash [2] - After the latest reduction, Tencent holds 95.16 million H-shares, representing 4.99% of CICC's H-shares, thus no longer required to disclose further changes in shareholding [2] Group 2 - Alibaba is also gradually exiting its position as a major shareholder in CICC, having reduced its stake from 6.85% to 3.83% after selling 57.5 million H-shares in May 2025 [3] - Despite the exit of major internet companies, foreign institutions are increasing their interest in CICC, with the Brunei Investment Agency becoming the 9th largest shareholder with a 0.21% stake [3] - CICC is expected to achieve a net profit of 8.542 billion to 10.535 billion RMB for the fiscal year 2025, reflecting a year-on-year increase of 50% to 85% [3]

Market Overview - The Hang Seng Index opened up by 0.95%, reaching 27,019.74, with an increase of 254.02 points [2] - The Hang Seng Technology Index rose by 0.46%, closing at 5,284.51 [2] Sector Performance - The technology sector saw a general increase, with notable gains from JD Health, which rose over 2%, and other major companies like Tencent, SMIC, Alibaba Health, Kuaishou, and Baidu also experiencing collective gains [2] - The semiconductor sector strengthened, with companies like Zhaoyi Innovation increasing by over 3%, alongside other firms such as Lattice Semiconductor and Tianxu Zhixin also showing positive performance [3][4] Individual Stock Highlights - JD Health: Current price at 58.30, up by 2.82% [3] - Tencent Holdings: Current price at 529.00, up by 1.24% [3] - Zhaoyi Innovation: Current price at 425.00, up by 3.01% [4] - MINIMAX-WP: Current price at 779.00, up by 3.38% [5] Emerging Trends - The large model concept stocks collectively rose, with companies like Zhiyu and MINIMAX-WP both increasing by over 3% [5]

Group 1 - AIA Group Limited (友邦保险-R) and Li Ning Company Limited (李宁-R) have the highest short-selling ratios at 100.00%, followed by JD.com (京东集团-SWR) at 95.15% [1][2] - The top three companies by short-selling amount are HSBC Holdings (汇丰控股) at 1.676 billion, Tencent Holdings (腾讯控股) at 944 million, and Ping An Insurance (中国平安) at 872 million [1][2] - Li Ning Company Limited has the highest deviation value at 39.85%, followed by Standard Chartered (渣打集团) at 34.61% and AIA Group Limited at 33.51% [1][2] Group 2 - The top short-selling amounts are led by HSBC Holdings at 1.676 billion, followed by Tencent Holdings at 944 million and Ping An Insurance at 872 million [2] - The short-selling ratio for HSBC Holdings is 27.07%, while Tencent Holdings has a ratio of 7.88% and Ping An Insurance has 38.42% [2] - The highest short-selling deviation values are observed in Li Ning Company Limited at 39.85%, Standard Chartered at 34.61%, and AIA Group Limited at 33.51% [2]

Core Insights - The entertainment industry is experiencing a shift, with cinema box office revenues dropping significantly during the Spring Festival, indicating a change in consumer spending habits towards better content [1] - The gaming industry, in contrast, showed resilience, with iOS revenue during the Spring Festival remaining relatively stable compared to the previous year [1] Group 1: Cinema Performance - The Spring Festival box office revenue this year was 5.752 billion yuan, with 120 million attendees, a decline of nearly 50% compared to 11.634 billion yuan and 240 million attendees in 2025 [1] - Consumers are becoming more selective, preferring to spend on quality content rather than simply attending movies [1] Group 2: Gaming Industry Performance - iOS revenue for games during the Spring Festival was approximately 440 million USD, showing a minimal decline of 0.03% compared to last year [1] - The top 30 games during the Spring Festival included 4 new titles, with 12 games experiencing revenue growth compared to the previous year [1] Group 3: Top Games and Their Performance - Tencent's games dominated the revenue rankings, with "Honor of Kings" and "Peacekeeper Elite" maintaining the top two positions, while "Delta Action" saw a remarkable revenue increase of 433.4% [3][4] - "Delta Action" has consistently remained in the top 10 of the iOS revenue charts since its launch in September 2024, indicating strong ongoing performance [7] - "Dark Zone Breakout" reported a 63% increase in revenue compared to last year's Spring Festival, highlighting its long-term operational success [9] Group 4: New Game Releases and Trends - New games like "Endless Winter" and "My Garden World" performed well during the Spring Festival, with "My Garden World" benefiting from a partnership with a celebrity [16] - The mini-game "Heroic Showdown" launched just before the Spring Festival and quickly entered the iOS top 200, showcasing the potential for new titles to gain traction during peak periods [14] - "Goose Duck" saw significant growth in downloads and revenue during the Spring Festival, aided by a popular streamer collaboration [20] Group 5: Market Dynamics and Competition - The Spring Festival period is characterized by intense competition, with many new games avoiding launches during this time to focus on long-term growth [24] - Despite the challenges, smaller developers are finding opportunities in the party game segment, as evidenced by the success of "Goose Duck" and "Egg Party" [24][22]

Group 1 - The top three stocks with net inflows of southbound funds are Yingfu Fund (02800) with 3.7 billion, Tencent Holdings (00700) with 2.238 billion, and Alibaba-W (09988) with 2.205 billion [1][2] - The top three stocks with net outflows of southbound funds are China Pacific Insurance (02601) with -265 million, Yangtze Optical Fibre and Cable (06869) with -168 million, and China Gold International (02099) with -156 million [1][2] - In terms of net inflow ratios, Southern East-West Select (03441), Southern Hong Kong-US Technology (03442), and Tianjin Chuangye Environmental Protection (01065) lead the market with 319.77%, 266.07%, and 204.31% respectively [1][2] Group 2 - The top ten stocks with the highest net inflows include Yingfu Fund (02800) at 3.7 billion, Tencent Holdings (00700) at 2.238 billion, and Alibaba-W (09988) at 2.205 billion, with respective closing prices of 26.980 (+0.67%), 522.500 (+0.48%), and 148.300 (+0.20%) [2] - The top ten stocks with the highest net outflows include China Pacific Insurance (02601) at -265 million, Yangtze Optical Fibre and Cable (06869) at -168 million, and China Gold International (02099) at -156 million, with respective closing prices of 36.780 (+0.38%), 131.300 (+1.63%), and 208.800 (+4.45%) [2] - The stocks with the largest net outflow ratios include Aidi Kang Holdings (09860) at -194.90%, Boleton (01333) at -122.21%, and Bosideng (03998) at -76.98% [3]

Group 1 - The U.S. stock market saw all three major indices rise, with the Nasdaq up 1.26%, S&P 500 up 0.81%, and Dow Jones up 0.63%, driven by gains in large tech stocks like Netflix, Microsoft, and Meta [4] - International oil prices experienced slight fluctuations, with WTI crude oil down 0.29% at $65.44 per barrel, while Brent crude oil rose 0.27% to $70.77 per barrel [5] - International gold prices increased, with spot gold up 0.73% at $5,170.21 per ounce, and COMEX gold futures up 0.02% at $5,177.30 per ounce [5] Group 2 - Huawei is set to hold an innovative product launch event in Madrid, Spain, on February 26, themed "Now is Your Run" [3] - The Chinese government is pushing for a more efficient use of water resources, aiming for advanced levels of water resource conservation and utilization by 2035 [7] - The Shanghai government announced a reduction in housing purchase restrictions to better meet residents' housing needs and promote a stable real estate market [8] Group 3 - Meizu's mobile phone business has effectively ceased operations and is set to officially delist in March 2026, while its FlymeAuto business will operate independently [13] - Hong Kong Stock Exchange is considering expanding the scope of IPO confidentiality applications to enhance market competitiveness [14] - JD.com's founder Liu Qiangdong is entering the yacht industry, having received orders for five large catamarans, each priced at an average of €60 million [15] Group 4 - Nvidia reported fourth-quarter revenue of $68.1 billion, a 73% year-over-year increase, exceeding market expectations [23] - Huace Film and Television denied rumors of dissolving its film department, stating that operations are normal despite previous losses [24]

除夕当晚，市民王女士收到一条微信语音，是65岁的母亲发来的："那个豆包怎么下载？听说能抽红 包。"王女士觉得有些新鲜，这是老太太头一回主动问起AI应用。 这个春节，AI应用成了红包大战的真正主角。字节豆包推出"豆包过年"活动，用户生成拜年祝福可抽奖 提现；阿里千问上线红包雨，邀请新用户可得"超级请客卡"；腾讯元宝上线"拜年朋友圈"，点赞变成金 元宝，并随机掉落红包；蚂蚁阿福深度植入春晚小品，并在App内派发可到店支付的健康红包。 假期结束，各大厂商纷纷晒出战报：豆包春晚期间AI互动总数达19亿次，生成新春头像5000万张；千 问"一句话下单"近2亿次，日活冲上7352万，近一半订单来自县城；腾讯元宝主会场累计抽奖超36亿 次，活跃用户中49%来自三四线及以下城市；蚂蚁集团支付宝"AI付"用户数突破1亿，阿福总用户数也 突破1亿大关。 热闹背后，是AI行业竞争逻辑的悄然生变。"以前大家闷头拼参数，算法再牛，用户也感知不到。"一位 AI应用开发者对记者表示，今年春节，"拉新"和"心智占领"成了项目组头等大事。可玩性、可传播性取 代参数，成为竞赛新维度。 "大厂借春节流量高峰推广AI功能，本质是争夺用户注意力和数据 ...

Core Insights - WeChat has recently updated its feature for "face-to-face photo and file sharing," allowing users to receive original photos, videos, and files without needing data or adding friends, simply by keeping devices close [1] Group 1 - The new feature can be accessed through the "Scan" section under "My QR Code" [1] - Tencent's public relations director, Zhang Jun, has encouraged users to try out this new functionality [1]

Group 1 - The core view of the report indicates that the equity market is experiencing a rebound, with the Wind All A index rising by 1.05% and a trading volume of 2.48 trillion yuan, which is an increase of 262.7 billion yuan compared to the previous day [1] - The index is testing previous highs, with significant trading volumes on January 14 and January 26, suggesting that many investors entered the market during this period [1] - If the index breaks through previous highs, it will confirm a rebound trend; otherwise, a market pullback may occur, indicating potential short-term volatility [1] Group 2 - Resource products, particularly industrial metals, continue to benefit from price increases, with the Wind rare earth and copper industry indices rising by 8.45% and 3.67%, respectively [2] - The PCB sector also shows positive momentum, with the Wind circuit board index increasing by 3.63%, indicating ongoing investor interest despite index fluctuations [2] - The commercial aerospace and semiconductor equipment sectors are experiencing notable increases, with the Wind commercial aerospace index up by 3.02% and semiconductor equipment index rising by 3.86% [3] Group 3 - In the Hong Kong market, the Wind Hong Kong China Dividend Index rose by 0.89%, while the Hang Seng Innovation and Internet Technology indices fell by 0.27% and 0.30%, respectively [4] - The dividend index remains in an upward trend since the beginning of 2026, while the innovation and internet sectors are experiencing volatility [4] - The performance of dividend index constituent stocks is primarily linked to resource products, indicating that the current dividend market is not driven by dividend logic but rather by resource product trends [4] Group 4 - The liquidity in the market is showing signs of stabilization, with a net injection of 159.5 billion yuan from the central bank through MLF and reverse repos [5] - The 7-day funding rate has decreased, indicating a shift from a tight liquidity environment to a more balanced one [5] - The upcoming days will see a gradual reduction in reverse repo maturity pressure, which may help maintain liquidity stability [5] Group 5 - The bond market is experiencing adjustments due to new real estate policies, with long-term interest rates rising and the 10-year government bond yield reaching 1.80% [6] - The market sentiment in the bond sector is stabilizing after initial volatility, with increased trading volumes observed in key bond products [6] - The adjustments in the bond market are influenced by the real estate sector's new regulations, which have heightened bearish sentiment [6] Group 6 - The commodity market shows a mixed performance, with industrial metals remaining strong while energy and chemical sectors are experiencing slight declines [7] - Precious metals are also showing divergent trends, with gold slightly down by 0.04% and silver up by 4.57% [7] - The black metal sector is rebounding, driven by new real estate policies, with coking coal and rebar prices increasing by 2.3% and 1.7%, respectively [7] Group 7 - A significant outflow of nearly 93.2 billion yuan from commodity indices was noted, particularly affecting precious metals and industrial metals [8] - This outflow is attributed to the restoration of margin requirements to pre-holiday levels, leading to passive exits from the market [8] - Tensions in the geopolitical landscape, particularly regarding U.S.-Iran negotiations, are contributing to market volatility, impacting gold and silver prices [8] Group 8 - Supply-side disruptions in the non-ferrous sector are leading to strong market performance, particularly in tin and lithium [9] - The Indonesian government has adjusted its tin export regulations, causing a temporary slowdown in exports, while Zimbabwe has announced a ban on lithium exports, exacerbating supply concerns [9] - The black metal sector is also reacting positively to new real estate policies, although the long-term impact on actual demand remains to be seen [9]