Core Viewpoint - Aerospace Electric has experienced a decline in stock price and significant net outflow of funds, indicating potential investor concerns and market volatility [1][2]. Group 1: Stock Performance - As of December 23, Aerospace Electric's stock price decreased by 2.01%, trading at 45.83 yuan per share, with a total market capitalization of 20.872 billion yuan [1]. - Year-to-date, the stock has dropped by 5.17%, with a recent 5-day decline of 3.52% and a 20-day increase of 7.68% [2]. - The company has appeared on the trading leaderboard once this year, with a net buy of -202 million yuan on January 15, where total buying was 46.9285 million yuan (7.71% of total trading) and total selling was 249 million yuan (40.87% of total trading) [2]. Group 2: Financial Performance - For the period ending September 30, Aerospace Electric reported a revenue of 4.349 billion yuan, reflecting a year-on-year growth of 8.87%, while net profit attributable to shareholders decreased by 64.53% to 146 million yuan [3]. - Cumulative cash dividends since the company's A-share listing amount to 1.367 billion yuan, with 446 million yuan distributed over the past three years [4]. Group 3: Shareholder and Institutional Holdings - As of September 30, 2025, the number of shareholders increased to 23,600, with an average of 19,205 circulating shares per person, a decrease of 4.48% [3]. - Among the top ten circulating shareholders, notable increases in holdings were observed for E Fund Defense Industry Mixed A and Huaxia Military Industry Safety Mixed A, indicating institutional interest [4].

Investment Rating - The report maintains a "Positive" outlook for the defense and military industry [4] Core Insights - The U.S. is advancing its lunar return plan, which may lead to increased international competition in space strategy, benefiting China's rocket technology and space operations [8][11] - The proximity of low Earth orbit satellites between China and the U.S. highlights the need for enhanced space traffic management and situational awareness [12][16] - The upcoming "14th Five-Year Plan" is expected to clarify new equipment construction plans, emphasizing the importance of unmanned and anti-unmanned equipment, deep-sea technology, and operational informatization [17] Summary by Sections Investment Recommendations and Targets - The report suggests focusing on commercial aerospace, military trade, and new quality combat capabilities as key investment areas [9][17] - Specific recommended stocks include: - Commercial Aerospace: Aerospace Electronics (600879, Buy), Haige Communication (002465, Buy), and others [17] - Engine & Fuel Chain: West Superconductor (688122, Buy) and others [17] - New Quality Domains: New Light Optoelectronics (688011, Increase) and others [17] - Military Electronics: Aerospace Electric (002025, Buy) and others [17] - Military Trade/Main Equipment: Aerospace Electronics (600879, Buy) and others [17] Industry Performance - The defense and military industry index (Shenwan) rose by 1.53%, outperforming the Shanghai and Shenzhen 300 index [19][21] - The report notes that the defense and military sector ranked 11th out of 31 in terms of weekly performance [22] Key News and Developments - The report highlights significant developments such as the successful first flight of the Rainbow-7 high-altitude stealth drone and the establishment of a permanent lunar outpost by 2030 as part of the U.S. space strategy [26][27] - It also mentions the ongoing military trade dynamics and the implications of recent geopolitical events on the defense sector [28][29]

Core Viewpoint - Aerospace Electric has experienced a decline in stock price and significant net outflow of funds, indicating potential investor concerns about the company's performance and market position [1][2]. Financial Performance - As of September 30, Aerospace Electric reported a revenue of 4.349 billion yuan, representing a year-on-year growth of 8.87%. However, the net profit attributable to shareholders decreased by 64.53% to 146 million yuan [3]. - The company's stock price has dropped by 2.96% year-to-date, with a recent increase of 1.12% over the last five trading days and a 9.66% increase over the last 20 days [2]. Shareholder and Market Activity - The number of shareholders increased by 4.69% to 23,600, while the average circulating shares per person decreased by 4.48% to 19,205 shares [3]. - The company has been active in the market, appearing on the "龙虎榜" once this year, with a net buy of -202 million yuan on January 15, where total buy was 46.93 million yuan (7.71% of total trading volume) and total sell was 249 million yuan (40.87% of total trading volume) [2]. Business Overview - Aerospace Electric, established on December 30, 2001, and listed on July 26, 2004, specializes in high-end relays, connectors, micro motors, optoelectronic devices, and cable assemblies. The revenue composition includes 70.35% from connectors and integrated products, 22.49% from motors and control components, 3.39% from relays, 1.98% from optical communication devices, and 1.79% from other sources [2]. - The company operates within the defense and military electronics sector, with involvement in concepts such as large aircraft, aerospace military, commercial aerospace, satellite navigation, and Beidou navigation [2]. Dividend and Institutional Holdings - Aerospace Electric has distributed a total of 1.367 billion yuan in dividends since its A-share listing, with 446 million yuan distributed over the past three years [4]. - As of September 30, 2025, major institutional shareholders include E Fund Defense Industry Mixed A, holding 17.0872 million shares (an increase of 785,100 shares), and Huaxia Military Security Mixed A, holding 15.0385 million shares (an increase of 439,660 shares) [4].

Core Insights - Since 2020, global rocket launches have reached record highs for three consecutive years, indicating unprecedented activity in the aerospace sector [1] - China's low Earth orbit (LEO) satellite construction is lagging behind high orbit high-throughput satellites, with the Tian Tong-1 satellite being a mature GEO satellite constellation widely used across various industries [1] - The formal networking of two major satellite constellations (GW and G60) in 2024 marks the beginning of a new era of regular satellite deployment, with expectations for a rapid increase in industry scale as domestic satellite internet construction progresses [1] Industry Analysis - **Satellite Manufacturing Sector**: The construction of LEO satellite constellations is entering a high-frequency launch phase, leading to a surge in orders for satellite platforms and payload manufacturers, with urgent capacity expansion needs [2] - **Rocket Launch Sector**: There is a significant increase in demand for commercial space launches, with low-cost and high-frequency launch capabilities becoming core competitive advantages, presenting development opportunities for private rocket companies [2] - **Ground Equipment Sector**: There is a growing demand for satellite terminals, base stations, and chips, with a broad market space for user-side equipment and an accelerated process of domestic substitution [2] - **Operational Services Sector**: Satellite communication operators are expected to obtain licenses and commence commercial services, potentially opening up incremental markets in maritime, aviation, and IoT sectors [2] Listed Companies Overview - **China Satellite (600118)**: A core listed platform under the Aerospace Science and Technology Corporation, with capabilities in the development and mass production of small and micro satellites, deeply involved in national satellite internet projects [3] - **Aerospace Electric (002025)**: A leading manufacturer of high-end electronic components, with products including connectors and relays widely used in satellite and rocket control systems [3] - **Chengchang Technology (001270)**: A core supplier of phased array T/R chips, which are essential components for satellite communication antennas, characterized by high technical barriers [3] - **Huali Chuantong (300045)**: An early player in satellite communication baseband chips and terminal products, successfully developed the "Tian Tong-1" satellite phone, and participated in multiple national projects [3] - **Mengsheng Electronics (688311)**: Focused on satellite navigation and communication terminal equipment, with applications in both defense and civilian sectors, showcasing strong technical capabilities [3] - **Beidou Xingtong (002151)**: Extends from Beidou chips to comprehensive satellite internet services, providing integrated solutions for high-precision positioning and communication [3]

Transaction Overview - Guizhou Aerospace Electric Co., Ltd. (the "Company") approved a proposal to acquire 32% equity of Shenzhen Aerospace Electric Motor System Co., Ltd. through public bidding at a board meeting on November 21, 2025, with a base price of RMB 46.5903 million [2] - The Company will use its own funds for this acquisition and has authorized its chairman to handle the public bidding and sign relevant contracts [2] Progress Update - Following the board's approval, the Company submitted a bid application to the Shenzhen United Property Rights Exchange for the 32% equity stake [3] - A property transaction contract was signed with Shenzhen Aerospace Science and Industry Group Co., Ltd., with the transfer price set at RMB 46.5903 million (excluding transaction service fees) [3] Main Contents of the Property Transaction Contract - The transferor is Shenzhen Aerospace Science and Industry Group Co., Ltd., and the transferee is Guizhou Aerospace Electric Co., Ltd. [4] - The equity transfer will be conducted through public listing on the Shenzhen United Property Rights Exchange, using a negotiated transfer method to determine the transferee and transaction price [4] Transaction Price Details - The transfer price for the equity stake is RMB 46,590,300.00 [5] - The Company will pay the transaction price in two installments, including a deposit of RMB 13,977,090 [5] - The Shenzhen United Property Rights Exchange will transfer the transaction amount to the transferor's account within three working days after issuing the property transaction certificate [5] Business Change and Property Delivery - Both parties will cooperate to complete the property delivery within 30 working days after the issuance of the property transaction certificate [6] - If either party fails to comply with the contract regarding business changes or property delivery, the non-defaulting party has the right to demand a penalty of 0.05% of the transaction price from the defaulting party and may terminate the contract [6] Reference Documents - The Company will keep the signing notice and property transaction contract on file [7][8]

Group 1 - The military electronics sector increased by 1.16% on December 19, with Sichuan Chuang Electronics leading the gains [1] - The Shanghai Composite Index closed at 3890.45, up 0.36%, while the Shenzhen Component Index closed at 13140.22, up 0.66% [1] - Key stocks in the military electronics sector showed significant price increases, with Sichuan Chuang Electronics rising by 10.02% to a closing price of 31.19 [1] Group 2 - The military electronics sector experienced a net inflow of 232 million yuan from institutional investors, while retail investors contributed a net inflow of 307 million yuan [2] - Major stocks like Aerospace Development saw a net inflow of 286.6 million yuan from institutional investors, indicating strong interest [3] - Retail investors showed a mixed response, with significant outflows from stocks like Sichuan Chuang Electronics, which had a net outflow of 86.5 million yuan from retail investors [3]

证券日报网讯 12月18日，航天电器在互动平台回答投资者提问时表示，公司自设立以来，长期保持航 天及防务领域的产品配套，对产品技术要求、应用场景等积累了丰富的经验，公司产品获得行业客户认 可；公司将一如既往地加大产品开发力度和对客户的产品交付和技术保障，努力保持并增加市场份额。 （文章来源：证券日报） ...

Core Viewpoint - As of December 18, a total of 87 stocks in the Shanghai and Shenzhen markets have experienced net financing inflows for five consecutive days or more, indicating strong investor interest in these stocks [1] Group 1: Stocks with Longest Net Inflows - The stocks with the longest consecutive net inflows are AVIC Jonhon Optronic Technology and Liyuan Heng, both achieving net inflows for 11 consecutive trading days [1] - Other notable stocks with significant net inflows include China Ping An, Shengmei Shanghai, Chuangzhong Technology, Changchun High-tech, Trina Solar, Aerospace Electric, Nocera Health, and China Shipbuilding Special Gas [1]

Core Viewpoint - The commercial aerospace sector is experiencing a resurgence, with the satellite ETF (159206) seeing significant gains, driven by key stocks in the industry [1][4]. Group 1: Market Performance - On December 19, the satellite ETF (159206) rose nearly 3% during trading, closing up 1.14% at 10:26 AM, with leading stocks including Xinke Mobile (688387), Aerospace Zhizhuang (300455), China Satellite (600118), and Longsheng Technology (300680) [1]. - The latest scale of the satellite ETF reached 3.186 billion yuan, marking a new high since its inception [3]. - The satellite ETF's share count reached 2.274 billion shares, also a record high since its establishment [4]. Group 2: Fund Inflows - Over the past 10 days, the satellite ETF has attracted over 1 billion yuan in net inflows [4]. Group 3: Industry Trends - The rapid development of the artificial intelligence industry is leading major U.S. tech companies to consider relocating data centers to space, as traditional data centers consume approximately 4.4% of U.S. electricity, projected to rise to 12% by 2028 [6]. - Companies like Starcloud, supported by Nvidia, have successfully trained AI models in orbit, while Blue Origin, founded by Jeff Bezos, is secretly developing orbital data centers, validating the feasibility of "space AI" [7]. - The low Earth orbit satellite constellation has become a new battleground for major powers, with the satellite industry market space targeting trillions, and the entire satellite industry chain is expected to transition from the "investment incubation period" to the "profit realization period" [7]. - The satellite ETF (159206) focuses on commercial aerospace and satellite communications, poised for significant growth under the "aerospace power" backdrop, being the first satellite ETF in the market [7].

证券日报网讯12月18日，航天电器（002025）在互动平台回答投资者提问时表示，公司产品广泛参与国 家重点工程、重点项目研制配套。 ...