Core Viewpoint - The report from CMB International maintains a target price of HKD 46 for New Oriental-S (09901) and a "Buy" rating, despite a downward adjustment in revenue and operating profit forecasts for the fiscal years 2026 and 2027 [1] Revenue and Profit Forecasts - The company has lowered its revenue forecast by approximately 3% for the fiscal years 2026 and 2027, expecting revenue growth rates of 10% and 14% respectively [1] - Operating profit is expected to decrease by about 17%, with operating profit margins projected at 10.2% and 10.5%, showing a slight increase compared to the fiscal year 2025 [1] Business Segment Performance - CMB International remains optimistic about the demand and growth prospects for K12 education and training-related businesses [1] - The first quarter guidance was below expectations mainly due to seasonal factors, but growth rates are expected to recover in the second to fourth quarters [1] Valuation Methodology - The valuation method has been adjusted to SOTP (Sum of the Parts), assigning a price-to-earnings ratio of 15 times for K12 business and 8 times for study abroad business for the fiscal year 2026, corresponding to profit growth rates of +22% and -10% respectively [1] Quarterly Performance - In the fourth quarter of fiscal year 2025, revenue increased by 9.4% year-on-year, surpassing the expectations of CMB International and other institutions, which were 2% and 5% respectively [1] - Excluding Dongfang Zhenxuan (01797), education and cultural tourism revenue grew by 19% year-on-year, with an education operating profit margin of 6.5%, an increase of 410 basis points compared to the same period last year, attributed to effective cost reduction and efficiency improvement measures [1] Management Guidance - The management has indicated that the group’s revenue is expected to increase by 5-10% for the fiscal year 2026, compared to the market expectation of 12% [1] - The main adjustment is a downward revision of the growth forecast for overseas-related business to a decline of 5%, while the growth rate for K12-related business remains in line with market expectations at 19% [1] - The company is accelerating cost optimization efforts, aiming to achieve stable or slightly increased operating profit margins for the year [1]

Core Viewpoint - The report from CMB International maintains a target price of HKD 46 for New Oriental-S (09901) and a "Buy" rating, while adjusting revenue and operating profit forecasts for the fiscal years 2026 and 2027 downward by approximately 3% and 17% respectively [1] Group 1: Financial Projections - Revenue growth is expected at 10% and 14% for fiscal years 2026 and 2027 respectively, with an operating profit margin projected at 10.2% and 10.5%, showing a slight increase compared to fiscal year 2025 [1] - The fourth quarter of fiscal year 2025 saw a revenue increase of 9.4% year-on-year, surpassing the expectations of CMB International and other institutions, which were 2% and 5% respectively [1] - Excluding Dongfang Zhenxuan (01797), education and cultural tourism revenue increased by 19% year-on-year, with an education operating profit margin of 6.5%, up 410 basis points from the same period last year due to effective cost reduction and efficiency improvement measures [1] Group 2: Business Segments and Market Outlook - The guidance for the first quarter was below expectations primarily due to seasonal factors, but growth is expected to recover in the second to fourth quarters [1] - The management's guidance for fiscal year 2026 indicates a group revenue increase of 5-10%, compared to the market expectation of 12%, with the main adjustment being a downward revision of the growth forecast for overseas-related business to a decline of 5% [1] - The growth rate for K12-related business is maintained at the market expectation of 19% [1] Group 3: Valuation Methodology - CMB International has adjusted its valuation method to SOTP, assigning a price-to-earnings ratio of 15 times for K12 business and 8 times for study abroad business for fiscal year 2026, corresponding to profit growth rates of +22% and -10% respectively [1] - The company is accelerating cost optimization efforts, aiming to achieve stable or slightly increased operating profit margins for the entire year [1]

Core Viewpoint - The stock of China International Capital Corporation (CICC) has shown significant growth, with a cumulative increase of 110.71% over the past month and 87.3% year-to-date, outperforming the Hang Seng Index by 25.27% [2] Group 1: Financial Performance - As of December 31, 2024, CICC reported total operating revenue of 359 million yuan, a year-on-year decrease of 36.8% [2] - The company recorded a net loss attributable to shareholders of 1.14 billion yuan, an increase of 16.21% year-on-year [2] - The asset-liability ratio stands at 93.92% [2] Group 2: Market Position and Valuation - Currently, there are no institutional investment ratings for CICC [3] - The average price-to-earnings (P/E) ratio for the financial industry (TTM) is 16.25 times, with CICC's P/E ratio at -1.31 times, ranking 153rd in the industry [3] - Other financial companies have P/E ratios ranging from 2.63 times to 4.8 times [3] Group 3: Company Overview - CICC, established in 1998, is one of the earliest licensed securities firms in Hong Kong with a Chinese background [4] - The company has evolved into a large securities firm specializing in brokerage, margin financing, corporate financing, underwriting, investment, loans, asset management, and advisory services [4][5] - CICC aims to leverage cross-border business opportunities and provide comprehensive financial services to create greater value for clients and shareholders [4]

Group 1 - The Hang Seng Index closed down by 0.08% while the Hang Seng Tech Index increased by 0.56% [1] - The Hong Kong Tech ETF (159751) rose by 1.22%, whereas the Hang Seng Hong Kong Stock Connect ETF (159318) fell by 0.30% [1] - Pop Mart experienced a decline of 0.87% after a recovery attempt [1] Group 2 - China International Capital Corporation (CICC) saw a significant drop of over 11% [1]

Group 1 - The core viewpoint of the report is that the target price for Kangfang Biotech (09926) has been raised by 21.7%, from HKD 115 to HKD 140, while maintaining a "Buy" rating [1] - Key short-term catalysts include: 1) Overseas application and complete data publication of the HARMONi study; 2) Publication of the AK112-306 study at ESMO 2025; 3) Results of multiple product/indication health insurance negotiations in Q4 2025; 4) Progress of more early-stage projects like ADC [1] - The company is optimistic about the overseas approval prospects of Ivosidenib, with a clearer path for it to become a new generation I/O cornerstone drug, replacing PD-(L)1 single-target therapies [1] Group 2 - Cardunili's overseas development has initiated liver cancer research, with the recent approval of its third indication for first-line cervical cancer in the general population, and potential participation in health insurance negotiations later this year [2] - The company is starting a Phase II study of Cardunili in combination with Lenvatinib overseas, with expectations of seeing more assets registered and listed in the next 2-3 years [2] - The differentiated ADC development strategy is progressing well, with the first ADC (HER3) entering clinical trials and the first bispecific ADC AK146D1 completing its first patient enrollment [2]

Group 1 - The core viewpoint of the article is that CMB International has given NIO Inc. a "Buy" rating due to the competitive pricing of its new model L90, which is set at 190,900 CNY, exceeding expectations [1] - The launch of the L90 model indicates that future market focus may shift towards marginal improvements, particularly the sustainability of sales recovery [1] - Currently, NIO's price-to-sales ratio for 2025 is approximately 0.6 times, suggesting limited downside potential and an opportunity for a short-term rebound in stock price [1]

Summary of Key Points Core Viewpoint - As of July 11, a total of 167 stocks reached their 52-week highs, indicating a strong market performance with notable leaders in the stock price increases [1]. Group 1: Top Performing Stocks - The top three stocks with the highest increase rates are: - Mistrategy Equity (02902) with a high rate of 67.86% and a closing price of 1.600 [1] - Kexuan Power Holdings (00476) with a high rate of 58.73% and a closing price of 1.000 [1] - Xingzheng International (06058) with a high rate of 36.00% and a closing price of 0.590 [1] Group 2: Notable Stock Performance - Other notable stocks include: - China National Cultural Industry (00745) with a high rate of 34.62% [1] - Aluminum Corporation of China International (02068) with a high rate of 28.21% [1] - Shandong Xinhua Pharmaceutical (00719) with a high rate of 13.20% [1] Group 3: Additional Stocks with Significant Increases - Additional stocks with significant increases include: - Yuyuan Agriculture (09858) with a high rate of 12.62% [1] - WuXi AppTec (02359) with a high rate of 11.70% [1] - Kailai Ying (06821) with a high rate of 10.90% [1] Group 4: 52-Week Low Rankings - The 52-week low rankings show: - XI II Nan CO (07311) with a low rate of -12.60% [5] - XI II Nan Strategy (07399) with a low rate of -11.18% [5] - Ying Tai Medical (01501) with a low rate of -10.67% [5]

Group 1 - Hong Kong financial stocks continue to strengthen, with China Merchants Bank International rising over 30% [1] - Yao Cai Securities Financial increased by over 20% [1] - Guotai Junan International saw an increase of over 10% [1] - China Securities and China Merchants Securities also experienced upward movement [1] Group 2 - Investors can buy Hong Kong stocks using A-share accounts without the need for Hong Kong Stock Connect, allowing for T+0 trading [1]

Company Overview - China International Capital Corporation (CICC) is a state-owned commercial bank and one of the earliest licensed securities firms in Hong Kong with a Chinese background, established in 1998 [4] - The company has grown into a large securities firm specializing in securities brokerage, margin financing, corporate financing, underwriting, investment, loans, asset management, and advisory services [4][5] - CICC aims to leverage cross-border business opportunities and provide comprehensive financial services to global clients, with a long-term strategic goal of becoming a globally influential and regionally competitive financial services institution [4] Financial Performance - As of December 31, 2024, CICC reported total operating revenue of 359 million yuan, a year-on-year decrease of 36.8% [2] - The company recorded a net loss attributable to shareholders of 1.14 billion yuan, an increase of 16.21% year-on-year [2] - The asset-liability ratio stands at 93.92% [2] Market Position and Valuation - CICC's cumulative increase over the past month is 32.08%, while the year-to-date increase is 11.11%, underperforming the Hang Seng Index by 19.08% [2] - Currently, there are no institutional investment rating recommendations for CICC [3] - The company's price-to-earnings (P/E) ratio is -0.78 times, ranking 156th in the industry, compared to the average P/E ratio of 6.49 times for other financial sectors [3]

Core Viewpoint - The report from CMB International highlights that Meituan-W (03690.HK) experienced a peak daily transaction volume exceeding 120 million in July due to an industry subsidy war, with an expected average daily transaction volume of approximately 75 million in Q3, reflecting a year-on-year growth rate of 11-12% [1] Group 1: Financial Performance - The subsidy war is anticipated to lead to a 9% decline in CLC (Core Local Commerce) profits for Q3 [1] - Despite the short-term impact of the subsidy war, Meituan is expected to maintain a significant market share and has a strong likelihood of achieving stable operating profits [1] Group 2: Investment Outlook - The company maintains a "Buy" rating for Meituan, with a target price set at 165 HKD [1]