Group 1 - A total of 37 Hong Kong stocks conducted share buybacks on October 15, with 2 stocks exceeding HKD 10 million in buyback amounts [1] - The largest buyback amounts were recorded by Xiaomi Group-W (HKD 98.96 million), Sihuan Pharmaceutical (HKD 15.19 million), and Yun Gong Chang (HKD 8.01 million) [1] - Year-to-date, 240 Hong Kong stocks have conducted buybacks, with 53 stocks having cumulative buyback amounts exceeding HKD 100 million [1] Group 2 - The companies with the largest cumulative buyback amounts this year include Tencent Holdings (HKD 60.97 billion), HSBC Holdings (HKD 29.41 billion), and AIA Group (HKD 17.69 billion) [1]

Short Selling Ratios - The top three stocks with the highest short selling ratios are China Resources Beer (100.00%), Anta Sports (100.00%), and Great Wall Motors (100.00%) [1] - The short selling amounts for Alibaba, SMIC, and Tencent are 2.856 billion, 1.634 billion, and 1.593 billion respectively [1][2] Short Selling Amounts - The top three stocks by short selling amount are Alibaba (2.856 billion), SMIC (1.634 billion), and Tencent (1.593 billion) [2] - Other notable short selling amounts include Xiaomi (1.198 billion), Pop Mart (1.005 billion), and Meituan (985 million) [2] Deviation Values - The stocks with the highest deviation values are Tencent (44.24%), Xingda International (42.83%), and Weibo (40.65%) [1][2] - The deviation values indicate the difference between the current short selling ratio and the average short selling ratio over the past 30 days [2]

Core Insights - The top three companies by Hong Kong Stock Connect holding ratios are China Telecom (70.20%), Gree Power (69.89%), and COSCO Shipping Energy (69.67%) [1] - The largest increases in holding amounts over the last five trading days were seen in the Tracker Fund of Hong Kong (+54.33 billion), Pop Mart (+20.85 billion), and Xiaomi Group-W (+19.90 billion) [1] - The largest decreases in holding amounts were recorded for SMIC (-52.72 billion), Alibaba-W (-41.72 billion), and Tencent Holdings (-37.58 billion) [2] Group 1: Hong Kong Stock Connect Holding Ratios - China Telecom (00728) has a holding ratio of 70.20% with 9.742 billion shares [1] - Gree Power (01330) has a holding ratio of 69.89% with 283 million shares [1] - COSCO Shipping Energy (01138) has a holding ratio of 69.67% with 903 million shares [1] - Other notable companies include Kaisa New Energy (67.66%), China Shenhua (67.54%), and China Southern Power Grid (67.49%) [1] Group 2: Recent Increases in Holdings - Tracker Fund of Hong Kong (02800) saw an increase of +54.33 billion with a change of +20.456 million shares [1] - Pop Mart (09992) experienced an increase of +20.85 billion with a change of +7.6387 million shares [1] - Xiaomi Group-W (01810) had an increase of +19.90 billion with a change of +4.02238 million shares [1] - Other companies with significant increases include China Mobile (+16.37 billion) and Meituan-W (+13.69 billion) [1] Group 3: Recent Decreases in Holdings - SMIC (00981) had a decrease of -52.72 billion with a change of -6.9346 million shares [2] - Alibaba-W (09988) saw a decrease of -41.72 billion with a change of -2.58192 million shares [2] - Tencent Holdings (00700) experienced a decrease of -37.58 billion with a change of -599.36 thousand shares [2] - Other companies with notable decreases include Huahong Semiconductor (-10.00 billion) and WuXi Biologics (-9.54 billion) [2]

Core Insights - The article highlights the net inflow and outflow of funds in the Hong Kong stock market, with specific focus on the top gainers and losers in terms of capital movement [1][2][3] Net Inflow Summary - The top three stocks with the highest net inflow are: - Yingfu Fund (02800) with a net inflow of 5.873 billion, representing a 16.92% increase in capital [2] - Hang Seng China Enterprises (02828) with a net inflow of 1.738 billion, showing an 8.61% increase [2] - Huahong Semiconductor (01347) with a net inflow of 1.340 billion, reflecting a 13.36% increase [2] Net Outflow Summary - The top three stocks with the highest net outflow are: - Tencent Holdings (00700) with a net outflow of -2.444 billion, indicating a -10.13% decrease [2] - Alibaba-W (09988) with a net outflow of -1.680 billion, showing a -3.71% decrease [2] - Innovent Biologics (01801) with a net outflow of -734 million, reflecting a -30.27% decrease [2] Net Inflow Ratio Summary - The stocks with the highest net inflow ratio are: - Wisdom Hong Kong 100 (02825) with a net inflow ratio of 100.00% [3] - GX Hang Seng Technology (02837) with a net inflow ratio of 89.15% [3] - Xinhua Wencuan (00811) with a net inflow ratio of 59.93% [3] Net Outflow Ratio Summary - The stocks with the highest net outflow ratio are: - Midea Real Estate (03990) with a net outflow ratio of -51.51% [3] - Kangji Medical (09997) with a net outflow ratio of -49.51% [3] - Baifu Global (00327) with a net outflow ratio of -47.37% [3]

Core Insights - The Hong Kong stock market experienced significant net selling from northbound capital, totaling HKD 54.43 billion, with the Shanghai-Hong Kong Stock Connect seeing a net sell of HKD 63.1 billion and the Shenzhen-Hong Kong Stock Connect a net buy of HKD 8.66 billion [2] Group 1: Stock Performance - Alibaba-W (09988) was the most actively bought stock, with a net inflow of HKD 38.09 billion, while it had a total buy amount of HKD 71.32 billion and sell amount of HKD 33.23 billion [3] - Semiconductor stocks showed divergence, with Hua Hong Semiconductor (01347) receiving a net buy of HKD 4.45 billion, while SMIC (00981) faced a net sell of HKD 6.42 billion [6] - Xiaomi Group-W (01810) saw a net buy of HKD 2.96 billion, supported by promotional activities and new product launches [7] Group 2: Company Announcements - Shandong Gold (01787) announced an expected net profit for the first three quarters between HKD 3.8 billion and HKD 4.1 billion, representing a year-on-year increase of 83.9% to 98.5% [8] - Tencent (00700) is expected to report stable performance in its upcoming Q3 earnings, with total revenue and profit anticipated to meet or exceed expectations [7] - The semiconductor sector is expected to benefit from increased domestic production capabilities and rising prices in memory chips, creating investment opportunities [6]

Group 1: Market Overview - On October 14, the Hong Kong stock market saw a net inflow of 8.603 billion HKD from northbound trading, with 4.973 billion HKD from Shanghai and 3.631 billion HKD from Shenzhen [2] - The most bought stocks included Southern Hang Seng Technology (03033), Xiaomi Group-W (01810), and Tencent (00700), while the most sold stocks were SMIC (00981), Alibaba-W (09988), and Innovent Biologics (01347) [2] Group 2: Stock Performance - Alibaba-W had a net outflow of 7.36 billion HKD, while SMIC experienced a net outflow of 3.241 billion HKD [3] - Tencent saw a net inflow of 1.611 billion HKD, with total buy and sell amounts of 22.51 billion HKD and 20.89 billion HKD respectively [3] - Xiaomi Group-W continued to decline, with a net inflow of 9.23 billion HKD despite safety concerns regarding its electric vehicle [6] Group 3: Sector Analysis - Semiconductor stocks faced significant selling pressure, with Huahong Semiconductor (01347) and SMIC (00981) experiencing net outflows of 1.1 billion HKD and 9.57 billion HKD respectively [8] - The semiconductor industry is under scrutiny due to recent developments affecting control over companies, highlighting the urgency for self-sufficiency in the supply chain [8] - The AI and pharmaceutical sectors are gaining attention, with companies like Crystal Tech Holdings (02228) being recognized for their innovative approaches in robotics and AI in drug development [7]

Core Insights - Xsolla, a prominent player in the global video game commerce sector, is collaborating with Tencent and Wilson Sonsini to support the 1AM Gaming Summit [1] - The summit, part of LA Tech Week 2025, aims to enhance connections and collaboration among gaming founders, investors, and publishers [1] - The event is organized by 1AM Gaming and will be held at Survios Headquarters in Marina del Rey, featuring key figures from the gaming industry [1]

Core Points - The discussion about whether WeChat Moments will disappear after a user's death has gained significant attention recently [1] - WeChat's public relations director stated that the product team has conducted extensive research on deceased accounts and has stopped reclaiming inactive accounts since September this year [1] - The director also clarified that WeChat Moments will not have a visitor feature to avoid increasing social pressure on users, aiming for a more comfortable and boundary-defined experience [1] - Additionally, the possibility of a secondary editing feature for Moments is unlikely, as it is intended to serve as a historical record of a person's life [1] - A recent incident highlighted the emotional impact of account reclamation, where a user expressed distress over losing the only connection to their deceased father through WeChat [1] Summary by Categories Product Features - WeChat has ceased the reclamation of inactive accounts since September 2023, allowing users to retain their accounts posthumously [1] - The absence of a visitor feature in WeChat Moments is intentional to reduce social pressure and maintain user comfort [1] - The likelihood of introducing a secondary editing feature for Moments is low, as it is designed to reflect an individual's life history [1] User Experience - A user's emotional distress was highlighted when they could not access their deceased father's WeChat account, emphasizing the importance of account retention for maintaining connections [1]

Summary of the Advertising Industry Conference Call Industry Overview - The conference call focused on the advertising industry, specifically Tencent's advertising business performance in September 2025 and the application of AI technology in advertising [2][3][4]. Key Points and Arguments Advertising Revenue Performance - In September 2025, Tencent's overall advertising revenue reached 12.4 billion yuan, marking a 26% year-over-year increase, attributed to lower base figures from the previous year and increased demand related to the Golden Week holiday [3][4]. - Specific advertising revenue breakdown for September includes: - Moments Ads: 3.31 billion yuan, up 14% YoY - Video Number Ads: 4.21 billion yuan, up 75% YoY - QQ Ads: 330 million yuan, down 11% YoY - Sogou Ads: 190 million yuan, down 17% YoY [2][4]. User Engagement Metrics - Video Number had 600 million daily active users (DAU) in September, with an average usage time of 68 minutes and daily playback volume of 71 billion times [2][7]. Industry Trends - The share of advertising spend by industry showed notable changes: - E-commerce platforms and direct e-commerce increased by 0.6 and 2.5 percentage points, respectively - Education sector increased by 2 percentage points - Gaming, internet services, self-media, digital electronics, and automotive sectors saw declines [2][6]. AI Technology Integration - Tencent's advertising business extensively utilizes AI technology, including: - E-commerce product self-investment systems - Local life store promotion solutions - AI customer service robots - Personalized video material generation supported by a mixed model [2][8][9]. Future Projections - Due to extended promotional activities in the e-commerce peak season, Tencent lowered its fourth-quarter advertising revenue growth forecast to below 20%, estimating a total of 40 billion yuan, down from an initial target of 45 billion yuan [4][12]. ECPM Data - ECPM (Effective Cost Per Mille) for various segments in September: - Search: 64 yuan - QQ Ads: 24 yuan - Tencent Video: 15 yuan - Tencent News: 16 yuan - Youlianghui: 12.5 yuan [13]. Competitive Landscape - Tencent's advertising performance is positioned in the middle to upper tier of the industry, with competitors like Douyin and Xiaohongshu performing better, while Weibo, Baidu, and Kuaishou are experiencing declining growth rates [10][11]. AI Search and Monetization - AI search is expected to enhance click-through rates significantly when integrated with product links, although the specific commercialization timeline remains uncertain [17][18]. Additional Important Insights - The advertising industry is not yet in a stable state, with varying progress among companies [10]. - Tencent's advertising strategy focuses on optimizing video number and ad effectiveness to attract more advertisers and improve return on investment (ROI) [11]. This summary encapsulates the key insights from the conference call, highlighting Tencent's advertising performance, industry trends, and the integration of AI technology in its operations.

Summary of Tencent Holdings (0700.HK) 3Q25E Preview Company Overview - **Company**: Tencent Holdings (0700.HK) - **Reporting Date**: 3Q25 results to be reported on November 13, 2025 Key Industry Insights - **Gaming Sector**: - Anticipated strong performance driven by titles such as Delta Force and Peacekeeper Elite - Delta Force's daily active users (DAU) surpassed 30 million in September 2025, supported by promotional activities [3][12] - Tencent maintained a dominant position in mobile gaming, capturing 8 out of the top 10 grossing mobile games in China by the end of September 2025 [3][11] - **Advertising Sector**: - Marketing services revenue expected to sustain growth at approximately 20% year-over-year, aided by AI-powered ad technology and the growth of video accounts and mini shops [1][2] Financial Projections - **3Q25 Revenue Forecast**: - Total revenues projected to increase by 13.5% year-over-year to RMB 189.7 billion, with non-GAAP net profit expected to rise by 11% year-over-year to RMB 66.4 billion [2][10] - Online gaming revenues anticipated to grow by 17% year-over-year to RMB 60.6 billion, with domestic and international games expected to grow by 15% and 22% respectively [2][55] - **4Q25 Outlook**: - Potential offset of soft gaming seasonality by deferred revenues from previous quarters and marketing services revenue benefiting from e-commerce festivals [1][2] Core Financial Metrics - **Earnings Summary**: - 2025E Net Profit: RMB 255.3 billion, with a diluted EPS of RMB 27.596 [5][10] - Projected growth rates for sales revenue and core NPAT are 13.0% and 14.6% respectively for 2025 [10][55] Notable Game Titles and Performance - **Top Mobile Games**: - Honour of Kings (HoK) remains the top-grossing mobile game, followed by Delta Force, which has recently surpassed Peacekeeper Elite in grossing [12][17] - Delta Force's MAU reached 49.4 million in August 2025, indicating strong user engagement [20][21] - **New Game Releases**: - Tencent released four new titles in 3Q25, including Valorant Mobile, which performed well in downloads and grossing [48][51] - A solid pipeline of 96 mobile games is expected to support future revenue growth [52][55] AI and Technology Developments - **AI Integration**: - Tencent's Hunyuan 3D model has improved modeling accuracy by three times, with over 40% of new code generated by AI [4][1] - Continued growth in Tencent Cloud's international business, maintaining high double-digit growth over the past three years [4] Investment Recommendation - **Rating**: Maintain Buy - **Target Price**: HK$735, representing a potential upside of 12.8% from the current price of HK$651.50 [6][10] Conclusion - Tencent is positioned for a solid performance in 3Q25, driven by strong gaming revenues and advertising growth, with a robust pipeline of new games and advancements in AI technology. The company is expected to continue its leadership in the gaming sector while capitalizing on advertising opportunities.