Core Viewpoint - Hengkun New Materials (688727) has become a star in the A-share market after its listing on November 18, with a closing price of 61.55 yuan per share, representing a significant increase from its issuance price of 14.99 yuan per share, resulting in a market capitalization of 27.656 billion yuan [2]. Group 1: Company Overview - The company specializes in photoresists, which are crucial materials in the chip manufacturing process, and currently has a low domestic market penetration compared to other semiconductor materials [3]. - Despite competition from other companies in the photoresist sector, Hengkun New Materials achieved a threefold increase in its stock price post-listing [5]. Group 2: Shareholder Structure - Hengkun New Materials is recognized as the largest supplier of high-end photoresists for 12-inch wafer manufacturing in China and is referred to as the "first stock of photoresist materials on the Sci-Tech Innovation Board" [8]. - A notable shareholder is Zibo Jin控, a local state-owned asset management company, which acquired shares through a judicial transfer related to a former shareholder, Lü Junqin, who was convicted of illegal activities [10][18]. Group 3: Judicial Transfer Details - The shares acquired by Zibo Jin控 were part of a judicial execution process, indicating that no actual capital was transferred for these shares [15][28]. - The judicial transfer was executed to manage and recover assets linked to Lü Junqin, whose criminal activities raised concerns about the source of funds used for his investment in Hengkun [22][25]. Group 4: Zibo's Market Activities - Zibo has been active in the secondary market, holding shares in several listed companies, including Jianghua Microelectronics and Dongjie Intelligent, with a total market value exceeding 3 billion yuan [33][36]. - The strategic acquisition of Hengkun's shares by Zibo Jin控 is seen as a move to stabilize the company's operations and prevent market volatility from affecting its asset value [26][30].

Core Insights - Xiamen Hengkang New Materials Technology Co., Ltd. successfully listed on the Shanghai Stock Exchange's Sci-Tech Innovation Board, raising 1.01 billion yuan [1][3] - The company specializes in the research, production, and sales of key materials for integrated circuits, particularly in photolithography materials and precursors, and is one of the few domestic firms capable of developing and mass-producing 12-inch integrated circuit wafer manufacturing materials [3] - The IPO project was completed in less than 11 months, showcasing the efficiency of the underwriting process led by Zhongtai Securities [3][4] Company Overview - Hengkang New Materials is recognized for its innovative capabilities in the advanced process materials sector, establishing a strong technological "moat" [3] - The company has contributed significantly to the domestic integrated circuit industry by addressing critical material challenges through participation in national science and technology projects [3] Underwriting and Market Position - Zhongtai Securities played a crucial role in the IPO process, emphasizing its commitment to client-centered service and its core values [3][4] - Since 2025, Zhongtai Securities has completed two IPO projects on the Sci-Tech Innovation Board, with a total underwriting scale of 1.151 billion yuan, ranking third in the industry for both the number and scale of IPOs [4] - The firm aims to enhance its investment banking capabilities and provide comprehensive financial services to support the high-quality development of the real economy [4]

Core Insights - C Hengkun (688727) experienced a significant increase of 310.61% on its first trading day, with a turnover rate of 81.36% and a transaction volume of 2.27 billion yuan [2] - The stock attracted a net inflow of 899 million yuan from major funds on its debut, with large orders contributing 645 million yuan and big orders adding 255 million yuan [3] Company Overview - The company specializes in the research, production, and sales of photolithography materials and precursor materials [3] Financing and Trading Details - On its first trading day, the stock had a financing purchase amount of 157 million yuan, accounting for 6.93% of the total trading volume, with a latest financing balance of 139 million yuan, representing 4.50% of the circulating market value [2][3] - The stock's first-day financing balance was 139.14 million yuan, with no short selling balance recorded [3]

Core Viewpoint - Hengkun New Materials has successfully listed on the Shanghai Stock Exchange's Sci-Tech Innovation Board, with a significant increase in stock price, reflecting strong market interest in its semiconductor materials business [2][3]. Company Overview - Hengkun New Materials, established in December 2004, focuses on the research, production, and sales of key materials for integrated circuits, including photolithography and precursor materials [4][5]. - The company has achieved a cumulative sales volume of over 55,000 gallons of self-produced photolithography materials [20][25]. Financial Performance - The company reported revenues of approximately 300 million yuan in the first half of 2025, with self-produced products accounting for over 86% of total revenue [8][16]. - Revenue from self-produced products has shown a consistent upward trend, with sales figures of 1.24 billion yuan, 1.91 billion yuan, 3.44 billion yuan, and 2.50 billion yuan over the past three years [16][18]. Market Position - In the 12-inch integrated circuit sector, Hengkun New Materials ranks among the top domestic manufacturers for self-produced photolithography materials, with its SOC and BARC sales leading the domestic market in 2023 [7][13]. - The company has established a strong customer base, including several leading domestic 12-inch integrated circuit wafer manufacturers, effectively replacing foreign products [7][31]. Product Development - Hengkun New Materials has developed a range of photolithography materials, including SOC, BARC, KrF, and i-Line photolithography resins, which have all achieved mass production [5][20]. - The company is also expanding its production capacity for KrF/ArF photolithography materials and TEOS precursor materials, with planned investments of approximately 100 million yuan [8][25]. Customer Base - The top five customers account for over 95% of Hengkun New Materials' sales, with significant contributions from major domestic wafer manufacturers [31][32]. - The company has maintained a strong relationship with its primary customer, with sales to this client growing rapidly, offsetting any impacts from competitors [31][32]. R&D and Innovation - Hengkun New Materials has invested significantly in R&D, with a focus on developing advanced materials for the semiconductor industry, resulting in over 100 patented technologies [18][28]. - The company has successfully transitioned from importing materials to producing its own, achieving comparable quality to international standards [42].

Market Overview - The main funds in the Shanghai and Shenzhen markets experienced a net outflow of 88.764 billion yuan, with the Sci-Tech Innovation Board seeing a net outflow of 2.921 billion yuan [1] - A total of 224 stocks saw net inflows, while 369 stocks experienced net outflows [1] Sci-Tech Innovation Board Performance - On the Sci-Tech Innovation Board, 218 stocks rose, with two stocks, Longxun Co. and Guangyun Technology, hitting the daily limit [1] - The newly listed stock C Hengkong closed with a remarkable increase of 310.61% [1] Fund Flow Analysis - Among the 224 stocks with net inflows, 13 stocks had inflows exceeding 100 million yuan, with C Hengkong leading at 899.819 million yuan [2] - Other notable inflows included Dongxin Co. and Kingsoft Office, with net inflows of 411.638 million yuan and 293.334 million yuan, respectively [2] Continuous Fund Flow - There are 48 stocks that have seen continuous net inflows for more than three trading days, with Weigao Orthopedics leading at nine consecutive days of inflow [2] - Conversely, 171 stocks have experienced continuous outflows, with Zhixiang Jintai leading at 16 consecutive days of outflow [2] Top Fund Inflows - The top stocks by net inflow include: - C Hengkong: 899.819 million yuan, 39.62% inflow rate, 310.61% increase, 81.36% turnover rate [2] - Dongxin Co.: 411.638 million yuan, 7.98% inflow rate, 12.75% increase, 10.91% turnover rate [2] - Kingsoft Office: 293.334 million yuan, 10.75% inflow rate, 1.68% increase, 1.84% turnover rate [2] Notable Outflows - The stocks with the highest net outflows include: - Aters: 623 million yuan, 7.91% decrease [1] - Baiwei Storage: 508 million yuan [1] - Rongbai Technology: 397 million yuan [1]

Core Viewpoint - Xiamen Hengkang New Materials Technology Co., Ltd. has officially listed on the Shanghai Stock Exchange's Sci-Tech Innovation Board, establishing itself as a leader in the domestic semiconductor key materials sector, particularly in the production of SOC and BARC lithography materials, which are essential for chip manufacturing [1][18]. Company Overview - Hengkang New Materials is recognized as a national-level "specialized and innovative" small giant enterprise, with its subsidiary, Fujian Hongguang, designated as a key materials engineering research center for integrated circuit lithography in Fujian Province [2]. Industry Context - The domestic semiconductor key materials market has historically been dominated by foreign companies from Europe, the United States, Japan, and South Korea, with local production rates for critical lithography products being extremely low, often around 1% [3][15]. R&D and Innovation - The company has engaged in a long-term R&D process, which is characterized by high costs and lengthy validation periods of 3 to 5 years for new products [4][6]. - R&D expenditures have shown a consistent increase, reaching approximately 53.66 million yuan in 2023, which is 14.59% of revenue, and projected to rise to 88.61 million yuan in 2024, accounting for 16.17% of revenue [6][7]. - As of June 2025, the company holds 101 patents, including 43 invention patents, reflecting significant technological accumulation [8]. Market Performance - The sales revenue from self-produced products has grown significantly, with figures of 124 million yuan in 2022, 190 million yuan in 2023, and 344 million yuan in 2024, resulting in a compound annual growth rate of 66.89% [9]. - The company has supplied over 55,000 gallons of lithography materials and has developed over 100 product variations [9]. Strategic Importance - Hengkang New Materials has become a key player in national strategic tasks, successfully completing several major projects and providing critical lithography material solutions for advanced chip technologies [10][12]. - The shift towards "domestic substitution" in the semiconductor industry has created significant opportunities for the company, as clients are now actively seeking collaboration on product development [13][14]. Competitive Position - The company has achieved the status of the leading domestic manufacturer for its SOC and BARC products, effectively replacing foreign competitors such as DuPont and Shin-Etsu [18]. - Hengkang New Materials has received recognition from major industry clients, including awards for value creation and R&D collaboration, indicating strong customer acceptance of its products [19]. Financial Support and Future Plans - The company has invested over 1 billion yuan in equipment procurement, capacity building, and technology R&D, with ongoing support from local investment funds [20][21]. - The recent fundraising of 1.01 billion yuan from its IPO will be allocated to key projects aimed at advancing the development and industrialization of critical materials, enhancing the domestic supply chain for high-end integrated circuit materials [21][22].

Core Points - The Sci-Tech Innovation Board (STAR Market) index rose by 0.29% to close at 1357.93 points, with a total trading volume of 4.06 billion shares and a turnover of 186.88 billion yuan, resulting in an average turnover rate of 2.12% [1] - Among the tradable stocks on the STAR Market, 219 stocks closed higher, with 5 stocks rising over 10%, including Longxun Co. and Guangyun Technology, which hit the daily limit [1] - The highest turnover rate was recorded by C Hengkong, a newly listed stock, which surged by 310.61% with a turnover rate of 81.36% and a trading volume of 2.27 billion yuan, attracting a net inflow of 899 million yuan [1][2] Trading Performance - In the high turnover stocks, C Hengkong, which was newly listed, saw a significant increase of 310.61%, while other notable gainers included Longxun Co. and Guangyun Technology, which rose by 20.00% and 19.99% respectively [2] - The sectors with the most high turnover stocks included electronics with 22 stocks, followed by power equipment and computers with 15 and 11 stocks respectively [2] - Among high turnover stocks, 31 experienced net inflows from main funds, with C Hengkong, Dongxin Co., and Jingchen Co. leading with net inflows of 899 million yuan, 411 million yuan, and 255 million yuan respectively [2] Leverage Fund Movements - A total of 38 stocks in the high turnover category received net purchases from leveraged funds, with notable increases in financing balances for Bawei Storage, Huasheng Lithium, and Wukuang New Energy, which saw increases of 264 million yuan, 246 million yuan, and 184 million yuan respectively [3] - Conversely, stocks like Huahong Company, Tengjing Technology, and Jingzhida experienced significant reductions in financing balances, decreasing by 305 million yuan, 172 million yuan, and 107 million yuan respectively [3]

Core Viewpoint - The successful IPO of Hengkun New Materials, founded by Yi Rongkun, marks a significant milestone in the development of the integrated circuit industry in Xiamen and China, showcasing a remarkable transformation from OEM to a key player in semiconductor materials [2][3]. Group 1: Company Background and Development - Yi Rongkun, a 54-year-old entrepreneur from Fujian, founded Hengkun in 1996, initially focusing on OEM production for companies like Panasonic and Sharp [3]. - In 2004, the company shifted its focus to the research and manufacturing of optoelectronic films and window lens products, eventually rebranding as Hengkun New Materials [3][5]. - The pivotal moment came in 2017 when Hengkun secured an order from Intel's Dalian factory, allowing it to enter the integrated circuit wafer manufacturing supply chain [5]. Group 2: Business Focus and Product Development - Hengkun New Materials specializes in key materials for integrated circuits, including photolithography materials and precursors, which have been historically dominated by foreign companies [5][8]. - The company has successfully developed and mass-produced various photolithography materials, including SOC, BARC, KrF, and i-Line photoresists, with advanced ArF immersion photoresists entering small-scale sales [9]. - The revenue from self-produced products has significantly increased, rising from 38.94% in 2022 to 86.68% in the first half of 2025, indicating a strong improvement in business structure and product competitiveness [10]. Group 3: Financial Performance - The company's revenue grew from 322 million yuan in 2022 to an expected 548 million yuan in 2024, with net profits consistently around 100 million yuan [10][12]. - As of June 30, 2025, total assets reached approximately 293.75 million yuan, with a debt-to-asset ratio of 47.18% [11]. Group 4: Industry Context and Capital Support - Hengkun's growth is supported by local capital, with multiple rounds of financing from Xiamen-based investment institutions, reflecting strong market confidence in the company [15][18]. - The integrated circuit industry in Xiamen has evolved from a 50 billion yuan output in 2014 to an expected 400 billion yuan by 2024, establishing a complete supply chain encompassing design, manufacturing, packaging, testing, and materials [18][20]. - The local government has implemented innovative funding models to attract investment, further enhancing the development of the semiconductor industry in Xiamen [20].

Investment Rating - The report does not provide a specific investment rating for the industry or companies mentioned [1]. Core Insights - The report highlights several new stock listings and trading activities scheduled for November 18, 2025, including companies such as Jingchuang Electric (12.10), Beikang Testing (6.70), and Nanguang Digital (5.69) [1]. - It also mentions various corporate actions such as tender offers, cash options, and acquisition requests, indicating active market movements [1]. Summary by Relevant Sections - **New Stock Listings**: Companies like Jingchuang Electric, Beikang Testing, and Nanguang Digital are set to debut on the market with respective prices of 12.10, 6.70, and 5.69 [1]. - **Corporate Actions**: The report details several corporate actions including a tender offer for Tianpu Co. (605255) from November 20 to December 19, 2025, and cash options for Hangqi Wheel B (200771) from November 19 to November 25, 2025 [1]. - **Market Alerts**: It lists companies experiencing significant fluctuations, such as Moen Electric (002451) and Huasheng Lithium Battery (688353), indicating potential investment risks and opportunities [1].

Core Insights - The semiconductor sector experienced a rise of 0.86% on November 18, with N Hengkun leading the gains, while the Shanghai Composite Index fell by 0.81% and the Shenzhen Component Index decreased by 0.92% [1] Group 1: Stock Performance - N Hengkun (688727) saw a significant increase of 310.61%, closing at 61.55, with a trading volume of 408,800 shares and a transaction value of 2.27 billion [1] - Longxun Co. (688486) increased by 20.00%, closing at 79.86, with a trading volume of 146,800 shares and a transaction value of 1.14 billion [1] - Dongxin Co. (688110) rose by 12.75%, closing at 108.77, with a trading volume of 482,500 shares and a transaction value of 5.15 billion [1] - Other notable performers include Jingchen Co. (6608889) up 11.90%, Dawi Co. (002213) up 9.99%, and Mingwei Electronics (6888889) up 9.63% [1] Group 2: Capital Flow - The semiconductor sector saw a net outflow of 839 million from institutional investors, while retail investors contributed a net inflow of 692 million [2] - N Hengkun (688727) had a net inflow of 920 million from institutional investors, representing 40.50% of its total trading volume [3] - Dawi Co. (002213) experienced a net inflow of 523 million from institutional investors, accounting for 40.79% of its trading volume [3]