Group 1 - The core point of the news is the performance and financial details of Dongfang Cable, which saw a stock price increase of 5.06% to 65.24 CNY per share, with a trading volume of 632 million CNY and a market capitalization of 44.867 billion CNY [1] - Dongfang Cable, established on October 22, 1998, and listed on October 15, 2014, specializes in the research, production, and sales of various wires and cables [1] - The company's main business revenue composition includes: 49.56% from power engineering and equipment cables, 44.14% from submarine cables and high-voltage cables, 6.22% from marine equipment and engineering operations, and 0.09% from other sources [1] Group 2 - From the perspective of fund holdings, the Nongyin Huili Fund has a significant position in Dongfang Cable, with its fund "Nongyin Green Energy Mixed" (015696) holding 75,600 shares, accounting for 2.85% of the fund's net value [2] - The fund has reduced its holdings by 7,200 shares in the third quarter, and the estimated floating profit from this investment is approximately 237,400 CNY [2] - The Nongyin Green Energy Mixed fund was established on August 2, 2022, with a current scale of 187 million CNY and has achieved a year-to-date return of 40.52% [2]

Core Viewpoint - Dongfang Cable's stock price has experienced fluctuations, with a year-to-date increase of 19.17% but a recent decline in the last 20 days of 14.35% [1] Financial Performance - For the period of January to September 2025, Dongfang Cable achieved a revenue of 7.498 billion yuan, representing a year-on-year growth of 11.93%. However, the net profit attributable to shareholders decreased by 1.95% to 914 million yuan [2] - Cumulative cash dividends since the A-share listing amount to 1.377 billion yuan, with 790 million yuan distributed over the past three years [3] Shareholder Information - As of September 30, 2025, the number of shareholders for Dongfang Cable is 28,800, a decrease of 20.22% from the previous period. The average circulating shares per person increased by 25.34% to 23,884 shares [2] - The top ten circulating shareholders include Hong Kong Central Clearing Limited, which holds 22.4202 million shares, a decrease of 19.4687 million shares from the previous period [3] Market Activity - On November 6, Dongfang Cable's stock fell by 2.00%, trading at 62.09 yuan per share with a total market capitalization of 42.7 billion yuan. The net outflow of main funds was 3.0187 million yuan [1] - The stock has seen a trading volume of 88.13 million yuan with a turnover rate of 0.20% [1] Business Overview - Dongfang Cable, established on October 22, 1998, and listed on October 15, 2014, specializes in the research, production, sales, and services of various types of wires and cables. The main business revenue composition includes 49.56% from power engineering and equipment cables, 44.14% from submarine and high-voltage cables, and 6.22% from marine equipment and engineering operations [1] - The company is categorized under the power equipment industry, specifically in cable components and other related sectors [1]

Investment Rating - The report maintains a positive outlook on the wind power industry, highlighting continued revenue and profit growth in Q3 2025, with a recommendation to focus on companies with higher profit elasticity [3][25][28]. Core Insights - The wind power sector achieved revenues of 662 billion yuan in Q3 2025, a year-on-year increase of 27.2%, and a net profit of 14.4 billion yuan, up 4.6% year-on-year, indicating a sustained upward trend in profitability [2][25][28]. - The industry is expected to maintain high demand and pricing levels, supported by a robust order backlog of approximately 300 GW, which is projected to ensure continued growth through 2027 [2][3][13]. - The report identifies four key segments with varying performance: 1. The turbine segment shows profit differentiation, with companies like Goldwind and Yunda benefiting from fewer low-price orders [2][3]. 2. The operator segment has seen significant cash flow improvements due to accelerated national subsidies [2][3]. 3. The offshore wind and cable segments are experiencing high demand and increased capital expenditures [2][3]. 4. The components segment is benefiting from reduced raw material costs and high capacity utilization [2][3]. Summary by Sections Revenue and Profit Growth - The wind power sector's revenue for the first three quarters reached 1.71 trillion yuan, a 37.9% increase year-on-year, with a net profit of 56.7 billion yuan, up 12.5% year-on-year [18][21]. - Q3 2025 saw a sales gross margin of 13.5% and a net margin of 3.6%, reflecting a slight decline due to the increased share of lower-margin manufacturing business [18][21]. Demand and Pricing Trends - The average bidding price for onshore wind turbines increased by 12% year-on-year to 1593 yuan/kW, indicating a positive pricing trend [16][28]. - The report anticipates that the demand for wind installations will continue to accelerate, with an expected total of 118 GW of new installations for the year [8][13]. Segment Performance - The turbine segment's profitability is expected to improve due to a higher proportion of high-price orders in future deliveries [2][3]. - The offshore wind segment is experiencing robust growth, with significant capital investments and project deliveries [2][3]. - The components segment is seeing improved profitability driven by lower raw material costs and increased production efficiency [2][3]. Investment Recommendations - The report recommends focusing on companies with strong profit elasticity in the turbine segment, such as Goldwind, Yunda, and Mingyang Smart Energy, as well as those in the cable and component segments like Daikin Heavy Industries and Dongfang Cable [3][3].

Investment Rating - The report maintains a "Recommended" rating for the company [2] Core Insights - The company is expected to benefit from the increasing demand for submarine cables, particularly in the offshore wind sector, with significant revenue growth projected in the coming years [5][6] - The company has a robust order backlog of approximately 19.55 billion yuan, with high-margin submarine cable projects making up about 75% of this backlog [5][6] - The report forecasts substantial revenue and profit growth, with expected revenues of 12.11 billion yuan and 14.40 billion yuan for 2025 and 2026, respectively, alongside net profits of 1.58 billion yuan and 2.01 billion yuan [5][6] Financial Projections - Revenue (in million yuan) is projected as follows: - 2024: 9,093 - 2025: 12,105 - 2026: 14,396 - 2027: 16,427 - Net profit (in million yuan) is projected as follows: - 2024: 1,008 - 2025: 1,584 - 2026: 2,008 - 2027: 2,411 - The expected growth rates for revenue and net profit are 24.38% and 0.81% for 2024, 33.13% and 57.11% for 2025, 18.92% and 26.80% for 2026, and 14.11% and 20.03% for 2027, respectively [5][7] Key Financial Ratios - The projected gross margin is expected to improve from 18.83% in 2024 to 25.29% in 2027, indicating enhanced profitability [5][7] - The price-to-earnings (P/E) ratio is forecasted to decrease from 43.41 in 2024 to 18.15 in 2027, suggesting a more attractive valuation over time [5][7]

Core Viewpoint - Dongfang Cable's stock price has shown a significant increase of 22.78% year-to-date, despite a recent decline in the last five and twenty trading days [1][2]. Group 1: Stock Performance - As of November 3, Dongfang Cable's stock price rose by 2.01% to 63.97 CNY per share, with a trading volume of 2.42 billion CNY and a turnover rate of 0.56%, resulting in a total market capitalization of 439.93 billion CNY [1]. - The stock has experienced a decline of 3.35% over the last five trading days and 3.11% over the last twenty trading days, while it has increased by 32.91% over the last sixty days [1]. Group 2: Financial Performance - For the period from January to September 2025, Dongfang Cable reported a revenue of 7.498 billion CNY, reflecting a year-on-year growth of 11.93%, while the net profit attributable to shareholders decreased by 1.95% to 914 million CNY [2]. - Since its A-share listing, the company has distributed a total of 1.377 billion CNY in dividends, with 790 million CNY distributed over the past three years [3]. Group 3: Shareholder Information - As of September 30, 2025, the number of shareholders for Dongfang Cable was 28,800, a decrease of 20.22% from the previous period, while the average circulating shares per person increased by 25.34% to 23,884 shares [2]. - The top ten circulating shareholders include Hong Kong Central Clearing Limited, which holds 22.4202 million shares, a decrease of 19.4687 million shares from the previous period [3].

Investment Rating - The report maintains an "Overweight" rating for the power equipment and new energy industry [2]. Core Insights - The "14th Five-Year Plan" emphasizes strong support for the development of the new energy industry, aiming to eliminate barriers to a unified national market and enhance the supply of renewable energy [2][36]. - The power equipment sector has shown strong performance, with a year-to-date increase of 46.13%, outperforming the CSI 300 index by 26.43 percentage points [11][12]. - The report highlights the importance of developing new energy systems, improving energy efficiency, and promoting the integration of various energy sources [36][41]. Market Review - As of October 30, 2025, the power equipment industry rose by 4.66% over the past two weeks, ranking third among 31 industries [11]. - The wind power equipment sector decreased by 0.30%, while the photovoltaic equipment sector increased by 5.86% [16][19]. - The top-performing stocks in the power equipment sector included Fangyuan Co., Tongguan Copper Foil, and Penghui Energy, with increases of 46.23%, 36.88%, and 35.39% respectively [20]. Valuation and Industry Data - As of October 30, 2025, the price-to-earnings (P/E) ratio for the power equipment sector was 34.61, with sub-sectors like motors and batteries showing higher valuations [24]. - The report provides detailed valuation metrics for various sub-sectors, indicating significant growth potential in the photovoltaic and battery segments [24]. Industry News - The report discusses the release of the "14th Five-Year Plan" which aims to accelerate the construction of a new energy system and enhance the resilience of the power system [36]. - It also notes the increase in electricity market transactions, with a 9.8% year-on-year growth in traded electricity volume [36]. Company Announcements - The report includes financial performance updates from several companies, such as Guodian Nari achieving a net profit of 4.855 billion yuan, a year-on-year increase of 8.43% [39]. - It highlights the challenges faced by companies like Longi Green Energy, which reported a net loss of 3.403 billion yuan [39]. Investment Recommendations - The report suggests focusing on leading companies benefiting from the growth of new energy storage technologies and smart grid developments [41][42].

Core Viewpoint - Dongfang Cable is a leading domestic company in the submarine cable industry, focusing on the research, production, and sales of various cables, with a comprehensive advantage in the entire industry chain [1] Group 1: Business Performance - In Q3 2025, Dongfang Cable achieved a revenue of 7.498 billion yuan, ranking 10th in the industry, while the net profit was 914 million yuan, ranking 1st [2] - The main business composition includes power engineering and equipment cables at 2.196 billion yuan (49.56%), submarine and high-voltage cables at 1.957 billion yuan (44.14%), and marine equipment and engineering operation at 275 million yuan (6.22%) [2] Group 2: Financial Ratios - As of Q3 2025, the company's debt-to-asset ratio was 45.13%, lower than the industry average of 54.36% [3] - The gross profit margin for Q3 2025 was 20.03%, higher than the industry average of 13.49% [3] Group 3: Management and Shareholder Information - The chairman, Xia Chongyao, has a rich background and numerous honors, while the president, Xia Feng, has a master's degree and holds several patents [4] - As of September 30, 2025, the number of A-share shareholders decreased by 20.22% to 28,800, while the average number of circulating A-shares held per shareholder increased by 25.34% [5] Group 4: Market Outlook and Projections - The company is expected to see significant growth in the coming years, with projected net profits of 1.56 billion yuan, 2.02 billion yuan, and 2.37 billion yuan for 2025, 2026, and 2027, respectively, reflecting growth rates of 55%, 29%, and 17% [5] - As of October 23, 2025, the company had an order backlog of approximately 19.551 billion yuan, indicating a solid foundation for future performance [6]

Summary of Ningbo Orient Wires & Cables (NBO) Conference Call Company Overview - **Company**: Ningbo Orient Wires & Cables (603606.SS) - **Industry**: Offshore Wind Power and Cable Manufacturing Key Financial Highlights - **3Q25 Net Profit**: Rmb441 million, representing a **53.1% year-over-year (yoy)** increase and a **129.6% quarter-over-quarter (qoq)** increase [1][2][13] - **Revenue**: Rmb3,066 million in 3Q25, up **16.5% yoy** and **34.2% qoq** [2][12] - **Gross Profit Margin**: Increased to **22.3%**, up **1.3 percentage points (ppts) yoy** and **6.6 ppts qoq** [2][13] - **Backlog**: Rmb19.5 billion as of October 18, 2025, with Rmb11.7 billion from submarine and high-voltage land cable orders [3][14] Market Dynamics - **Offshore Wind Demand**: China aims to add at least **15GW of offshore wind capacity annually from 2026 to 2030**, nearly double the average of **8GW per year from 2021 to 2025** [1][4] - **Installed Capacity Targets**: The goal is to reach **1,300GW by 2030**, **2,000GW by 2035**, and **5,000GW by 2060**, significantly higher than previous targets [4] Order and Delivery Insights - **Strong Order Flow**: NBO's backlog increased by **1.1 times yoy** with a significant portion from high-margin products [3][14] - **Delivery Expectations**: Anticipated increased deliveries in **4Q25 and 2026**, including exports for the Inch Cape Offshore wind project in the UK [3][18] Earnings Forecast - **Earnings Revision**: 2025-2027 earnings estimates raised by **4-8%** due to higher submarine cable sales [1] - **Target Price**: Increased to **Rmb81.00/share**, representing a **37% upside** from the current price of **Rmb66.20** [6][9] Additional Insights - **Cost Reduction**: The unit capital expenditure (capex) for offshore wind projects decreased to **Rmb9,000-12,500/kW** in 2024, down from **Rmb9,500-14,000/kW** in 2023 [29] - **Competitive Pricing**: The average levelized cost of electricity (LCOE) for new offshore wind power has reduced to **Rmb0.3/kWh**, making it competitive with market tariffs [29] Conclusion - NBO is positioned to benefit from the accelerating demand for offshore wind power in China, supported by a robust order backlog and favorable market conditions. The company's financial performance in 3Q25 reflects strong growth, and future earnings are expected to improve further due to increased submarine cable sales and project deliveries.

Core Points - The Shanghai Composite Index is at 4009.81 points with a decline of 0.16% and total A-share trading volume of 203.47 billion yuan [1] - A total of 141 A-shares have seen their 5-day moving average cross below the 10-day moving average, indicating potential bearish trends [1] Group 1: A-Shares with Significant Moving Average Cross - Qiming Information (002232) has a 5-day moving average of 20.42 yuan, down 1.40% from the 10-day moving average of 20.71 yuan, with a current price of 19.70 yuan, which is 4.88% below the 10-day average [1] - Deep Sea (000058) shows a 5-day moving average of 10.11 yuan, down 1.38% from the 10-day average of 10.26 yuan, with a current price of 9.86 yuan, 3.86% below the 10-day average [1] - Dayilong (002209) has a 5-day moving average of 14.42 yuan, down 1.16% from the 10-day average of 14.59 yuan, with a current price of 13.57 yuan, 6.96% below the 10-day average [1] Group 2: Additional A-Shares with Moving Average Cross - Kailong Co. (002783) has a 5-day moving average of 9.91 yuan, down 1.15% from the 10-day average of 10.03 yuan, with a current price of 9.67 yuan, 3.54% below the 10-day average [1] - Blue Communication (688332) shows a 5-day moving average of 144.42 yuan, down 1.11% from the 10-day average of 146.03 yuan, with a current price of 138.03 yuan, 5.48% below the 10-day average [1] - Ocean King (002724) has a 5-day moving average of 7.53 yuan, down 1.10% from the 10-day average of 7.62 yuan, with a current price of 7.11 yuan, 6.67% below the 10-day average [1]

Macro and Strategy - The macroeconomic analysis indicates a significant deviation between traditional GDP calculations and official figures, suggesting a structural transformation in the economy, moving away from traditional infrastructure and real estate investments [9][10] - The focus of future policies is expected to shift from "investment in objects" to "investment in people," emphasizing urban renewal and service industry development [10] Industry and Company Analysis - New Hope Liuhe (002001.SZ) reported a resilient performance with a 5.45% year-on-year increase in revenue to 16.642 billion yuan and a 33.37% increase in net profit to 5.321 billion yuan for the first three quarters of 2025 [20] - Cloud Map Holdings (002539.SZ) experienced a slight revenue decline of 4.73% in Q3, but the core business remains stable with a net profit of 1.64 billion yuan [23] - Kingfa Sci. & Tech. (600143.SH) achieved a 22.62% increase in revenue to 49.616 billion yuan and a 55.86% increase in net profit to 10.65 billion yuan for the first three quarters of 2025, driven by product structure optimization [26] - Aiwai Electronics (688798.SH) reported a 55% increase in net profit for the first three quarters, with a revenue of 2.176 billion yuan, reflecting strong performance in the consumer electronics sector [30] - The overall performance of the food industry, including companies like Sanquan Foods (002216.SZ) and Haitian Flavoring (603288.SH), shows a trend of revenue stabilization and cost control despite market challenges [8][30] Fixed Income Strategy - The convertible bond market is experiencing a significant increase in public fund holdings, with a total of 316.6 billion yuan, despite a decrease in overall market size [12][13] - The strategy suggests a focus on sectors like lithium batteries, semiconductors, and pharmaceuticals for potential high returns, while advising caution in financial and consumer sectors [11][12] Commodity Market Insights - The gold market is witnessing a pivotal moment as prices approach 4400 USD/oz, indicating a challenge to the dollar's dominance and a potential shift in global reserve currency dynamics [18][19] - The fertilizer market, particularly for compound fertilizers, remains stable, although sales have been impacted by extreme weather conditions [24][25]