Core Viewpoint - The A-share market is experiencing a positive trend, particularly in the solid-state battery sector, driven by recent advancements and policy support in the lithium battery industry [1][2][3]. Group 1: Market Performance - On September 5, A-share indices showed collective gains, with sectors like batteries, energy metals, and photovoltaic equipment leading the rise [1]. - The solid-state battery sector saw significant stock price increases, with companies like Patil reaching a daily limit up, and others like Jin Yinhe and Yuchen Smart also hitting their limits [1]. Group 2: Industry Developments - Several solid-state battery companies have recently reported progress, including Xian Dao Intelligent, which has achieved full production capabilities in solid-state batteries [2]. - EVE Energy's solid-state battery "Longquan No. 2" has been successfully launched, boasting an energy density of 300Wh/kg [2]. - According to Minsheng Securities, solid-state batteries are becoming a focal point for next-generation battery technology due to their potential to exceed 500Wh/kg energy density and other safety advantages [2]. Group 3: Policy and Market Trends - The Ministry of Industry and Information Technology has released a plan aiming for a 7% average growth in the electronic manufacturing sector from 2025 to 2026, with the lithium battery and photovoltaic sectors contributing to a projected annual revenue growth of over 5% [3]. - The lithium battery industry is expected to recover in the first half of 2025, driven by increasing demand from electric vehicles and energy storage [3]. - In the first half of 2025, China's new energy vehicle sales are projected to reach 6.937 million units, a 40.3% year-on-year increase, which will positively impact the power battery market [3]. Group 4: Storage Market Insights - The storage battery market is experiencing a surge, with sales growth exceeding that of power batteries, driven by domestic market reforms and global policy uncertainties [4]. - In the first half of 2025, China's storage battery shipments are expected to reach 265GWh, marking a 128% year-on-year increase [4]. - The negative electrode material sector is also showing positive trends, with a 37% year-on-year increase in shipments, driven by the demand from both power and storage battery industries [4]. Group 5: Future Outlook - Wanlian Securities forecasts that in 2025, driven by consumer incentive policies, the production and sales of new energy vehicles in China will grow rapidly, enhancing the demand for the lithium battery supply chain and improving profitability for leading companies [5]. - The overall trend for the lithium battery industry is expected to be positive, entering a phase of cyclical recovery [5].

Company Overview - Jiangsu Boqian New Materials Co., Ltd. is located in Suqian City, Jiangsu Province, and was established on November 5, 2010. The company went public on December 8, 2020. Its main business involves the research, production, and sales of high-end metal powder materials for electronics [1]. - The revenue composition of the company includes nickel-based products at 76.28%, copper-based products at 10.27%, other supplementary products at 6.34%, silver powder at 4.95%, and alloys at 2.16% [1]. Stock Performance - On September 4, Boqian New Materials' stock fell by 5.06%, closing at 43.95 yuan per share, with a trading volume of 250 million yuan and a turnover rate of 2.09%. The total market capitalization is 11.497 billion yuan [1]. Fund Holdings - Longsheng Fund has a significant holding in Boqian New Materials, with its Longsheng Transformation Upgrade Mixed Fund (001197) holding 156,800 shares, unchanged from the previous period. This represents 3.14% of the fund's net value, making it the second-largest holding [2]. - The Longsheng Transformation Upgrade Mixed Fund was established on April 21, 2015, with a current size of 192 million yuan. Year-to-date, it has returned 23.5%, ranking 3094 out of 8180 in its category. Over the past year, it has returned 30.56%, ranking 4447 out of 7978. Since inception, it has incurred a loss of 15.4% [2]. Fund Manager Information - The fund manager of Longsheng Transformation Upgrade Mixed Fund is Wang Bingfang, who has been in the position for 3 years and 46 days. The total asset size of the fund is 370 million yuan. During his tenure, the best fund return was -6.88%, while the worst was -47.99% [3].

Core Viewpoint - The energy metals sector experienced a decline of 2.21% on September 2, with significant losses in individual stocks, particularly Boqian New Materials [1] Market Performance - The Shanghai Composite Index closed at 3858.13, down 0.45% - The Shenzhen Component Index closed at 12553.84, down 2.14% [1] Individual Stock Performance - Cangge Mining (000408) closed at 55.44, up 1.19% with a trading volume of 140,500 shares and a transaction value of 780 million yuan - Sairui Aluminum (300618) closed at 45.90, up 0.35% with a trading volume of 463,300 shares and a transaction value of 2.148 billion yuan - Yongxing Materials (002756) closed at 34.47, down 1.74% with a trading volume of 77,800 shares and a transaction value of 270 million yuan - Shengdian Mining (600711) closed at 9.02, down 1.85% with a trading volume of 2,130,800 shares and a transaction value of 1.925 billion yuan - Ganfeng Lithium (002460) closed at 39.90, down 1.89% with a trading volume of 516,700 shares and a transaction value of 2.079 billion yuan - Rongjie Co., Ltd. (002192) closed at 34.82, down 1.94% with a trading volume of 71,200 shares and a transaction value of 251 million yuan - Yongshan Lithium (603399) closed at 9.95, down 1.97% with a trading volume of 155,500 shares and a transaction value of 156 million yuan - Tibet Mining (000762) closed at 21.73, down 2.07% with a trading volume of 125,800 shares and a transaction value of 275 million yuan - Tianqi Lithium (002466) closed at 42.58, down 2.92% with a trading volume of 586,800 shares and a transaction value of 2.553 billion yuan - Tengyuan Diamond (301219) closed at 70.79, down 3.00% with a trading volume of 121,800 shares and a transaction value of 868 million yuan [1] Capital Flow - The energy metals sector saw a net outflow of 1.469 billion yuan from major funds, while retail funds experienced a net inflow of 790 million yuan and speculative funds saw a net inflow of 679 million yuan [1]

Core Viewpoint - The stock of Boqian New Materials has shown a notable increase, with significant trading activity and a recent rise in price, indicating potential investor interest and market movement [1][2]. Trading Activity - On September 1, Boqian New Materials closed at 50.68 CNY, up by 3.05%, with a total of 4 block trades amounting to 425,000 shares and a total transaction value of 19.23 million CNY [1]. - The first three block trades were executed at a price of 45.25 CNY per share, each with a transaction volume of 150,000 shares and a transaction value of 6.79 million CNY, reflecting a premium rate of -10.71% [1]. - The fourth block trade involved 80,000 shares at the same price of 45.25 CNY, with a transaction value of 3.62 million CNY, also showing a premium rate of -10.71% [1]. Recent Performance - Over the past three months, Boqian New Materials has recorded a total of 33 block trades, with a cumulative transaction value of 164 million CNY [2]. - In the last five trading days, the stock has increased by 1.99%, with a net inflow of 29.78 million CNY from major funds [2].

Core Insights - On September 1, 2025, Boqian New Materials executed a block trade of 425,000 shares, amounting to 19.23 million yuan, which represented 3.61% of the total trading volume for that day [1] - The transaction price was 45.25 yuan, reflecting a discount of 10.71% compared to the market closing price of 50.68 yuan [1] Trading Details - The block trade involved multiple brokerage firms, including Guohai Securities and Haitong Securities, indicating institutional interest [2] - The transaction volume was segmented, with different amounts executed by various brokers, showcasing a diverse participation in the trade [2]

Core Insights - On August 28, 2025, Boqian New Materials executed a block trade of 722,400 shares, amounting to 31.78 million yuan, which represented 4.95% of the total trading volume for the day. The transaction price was 43.99 yuan, reflecting a discount of 10.48% compared to the market closing price of 49.14 yuan [1]. Trading Details - The block trade involved multiple transactions with various brokerage firms, including UBS Securities and CITIC Securities, with the transaction price consistently at 43.99 yuan [2][3]. - The total transaction amount for the block trade was broken down into several trades, with the largest being 659.85 thousand yuan executed by UBS Securities [2]. - Other notable trades included amounts of 571.87 thousand yuan and 505.89 thousand yuan, indicating significant institutional interest in the stock at the discounted price [2].

Market Overview - On August 28, the energy metals sector rose by 0.91% compared to the previous trading day, with Boqian New Materials leading the gains [1] - The Shanghai Composite Index closed at 3843.6, up 1.14%, while the Shenzhen Component Index closed at 12571.37, up 2.25% [1] Stock Performance - Boqian New Materials (605376) closed at 49.14, up 5.00%, with a trading volume of 125,600 shares and a transaction value of 610 million yuan [1] - Other notable performers included: - Cangge Mining (000408) at 50.69, up 2.14% [1] - Huayou Cobalt (603799) at 46.57, up 1.55% [1] - Tengyuan Mining (301219) at 65.20, up 1.09% [1] - Sai Rui Aluminum (300618) at 40.45, up 0.92% [1] Capital Flow - The energy metals sector experienced a net outflow of 1.101 billion yuan from institutional investors, while retail investors saw a net inflow of 916 million yuan [2] - The overall capital flow indicates a mixed sentiment, with institutional investors withdrawing funds while retail investors increased their positions [2] Individual Stock Capital Flow - Boqian New Materials saw a net inflow of 37.51 million yuan from institutional investors, but a net outflow of 73.68 million yuan from retail investors [3] - Other stocks with significant capital movements included: - Huayou Cobalt with a net inflow of 1.10 million yuan from institutional investors and a net inflow of 1.16 million yuan from retail investors [3] - Cangge Mining with a net outflow of 25.63 million yuan from institutional investors but a net inflow of 26.29 million yuan from retail investors [3]

Summary of Boqian New Materials Conference Call Company Overview - **Company**: Boqian New Materials (605376.SS) - **Market Cap**: Rmb12.2 billion / $1.7 billion - **Target Price**: Rmb47.00, current price Rmb46.80, indicating an upside of 0.4% [1][4][63] Key Industry Insights MLCC Electrode Materials - **Recovery and Growth**: The MLCC electrode material business is experiencing a faster-than-expected recovery, with a year-on-year net profit increase of 48% [1][58]. - **Capacity Expansion**: Boqian announced a 60% capacity expansion, the first since 2022, which aligns with its enhanced role in SEMCO's supply chain, particularly for AI-server and auto-grade MLCCs [2][17][19]. - **Product Mix Upgrade**: The upgrade in product mix, particularly the use of 80nm nickel powder, has led to improved pricing and margins, with expectations of a sustainable recovery trajectory for ASPs and GPMs [2][35][41][46]. - **Volume Growth**: The company is on track to renew peak shipment volumes, expecting a 27% CAGR in volume from 2025 to 2027 [19][24]. Solar Conductive Materials - **Reviving Opportunities**: There are early signs of recovery in the solar conductive materials segment, particularly for copper-based powder products, which are expected to benefit from the adoption of Topcon and XBC technologies [16][52]. - **Market Potential**: The segment could see its gross profit contribution double from 12% to 22% by 2027, driven by the increasing penetration of new solar cell technologies [53][54]. Financial Performance - **Earnings Estimates**: EPS estimates have been raised by 38-47% for 2025 and 2026, with a new 2027 EPS estimate of Rmb2.00/share, reflecting a 43% year-on-year increase [1][58][59]. - **Revenue Projections**: Revenue forecasts for 2025, 2026, and 2027 are Rmb1,156.5 million, Rmb1,606.7 million, and Rmb2,157.8 million respectively [4][60]. - **Valuation Metrics**: The company is currently rated Neutral, with a P/E ratio projected to decrease from 70.3 in 2024 to 23.4 by 2027 [10][63]. Risks and Considerations - **Market Risks**: Potential risks include slower-than-expected penetration into SEMCO's supply chain, mass production challenges for copper-based products, and uncertainties surrounding new product developments [64]. - **Management Risks**: Concerns regarding leadership succession and the ability to maintain R&D talent could impact future growth [64]. Conclusion Boqian New Materials is positioned for significant growth in both its MLCC electrode materials and solar conductive materials segments, supported by capacity expansions and product mix upgrades. The company’s financial outlook has improved, leading to substantial revisions in earnings estimates and target prices. However, investors should remain cautious of market and management risks that could affect performance.

Group 1: AI Industry Insights - The report highlights the release of the "Artificial Intelligence+" action plan by the State Council, which aims to strengthen foundational support capabilities in AI, including innovation in AI chips and software ecosystem development [3] - The action plan is expected to provide long-term institutional guarantees for the development of the AI industry, addressing current bottlenecks such as insufficient computing power and low-quality data supply [3] - Companies to watch include those involved in AI technology and applications, such as Kingdee International, Meituan, and various players in AI education and healthcare [3] Group 2: Economic and Market Outlook - The "14th Five-Year Plan" emphasizes the need for a unified market to break local protectionism and promote efficient resource allocation [4] - The plan also aims to support consumer spending and upgrade consumption structures, indicating a shift in fiscal spending towards improving livelihoods [4] - The capital market reform during this period is expected to transition from policy-driven to institution-driven, promoting high-quality development of the capital market [4] Group 3: Aerospace Industry Developments - China's commercial aircraft market share exceeds 20%, with the C919 aircraft production capacity expanding, potentially breaking the Airbus and Boeing duopoly [4] - The demand for commercial engines in China is projected to exceed $600 billion over the next 20 years, with an average annual demand of over 200 billion RMB [4] - The report indicates that the domestic aerospace industry is likely to experience significant growth due to the focus on local market development and self-sufficiency [4] Group 4: Semiconductor Sector Performance - Changdian Technology reported a revenue of 18.605 billion RMB for the first half of 2025, reflecting a year-on-year growth of 20.14%, driven by increased domestic orders and market demand recovery [8][34] - The company's net profit decreased by 23.98% due to ongoing construction of new factories and rising financial costs, but gross margin improved from 12.6% to 14.3% [34][38] - The semiconductor industry is experiencing a recovery, with global sales expected to continue growing, providing opportunities for companies in this sector [36] Group 5: Consumer Electronics and Home Appliances - Wanhe Electric reported a revenue of 4.08 billion RMB in the first half of 2025, with overseas revenue growing by 26.5% while domestic revenue declined by 4.4% [16] - The company is focusing on digital transformation and cost optimization to enhance its competitiveness in both domestic and international markets [16] - The report anticipates steady growth in the home appliance sector, driven by innovations and expansion into overseas markets [16] Group 6: Automotive and New Energy Sectors - Tuhu-W reported a revenue of 7.877 billion RMB in the first half of 2025, with a year-on-year growth of 10.54%, driven by expansion into lower-tier cities [17] - The company is enhancing its supply chain and logistics efficiency, which has positively impacted its operational performance [17] - The new energy vehicle segment is emerging as a significant growth driver, with a notable increase in transaction users on the platform [17]

Group 1 - Tianfeng Securities issued a report on August 27, giving a "buy" rating to Boqian New Materials (605376.SH) based on several factors [1] - The company's profitability has significantly improved due to product structure optimization and reduced raw material costs [1] - Rapid growth in AI server demand is driving the need for high-end MLCCs, becoming a major growth driver for the company [1] - A new round of capital expenditure confirms the high demand for nickel powder, indicating a positive outlook for the industry [1] Group 2 - The pet industry is experiencing a significant boom, with a market size of 300 billion yuan, leading to rising stock prices for related companies [1]