Investment Rating - The report maintains a positive outlook on the electric heavy truck industry, indicating significant growth potential driven by policy support and economic advantages [2][4]. Core Insights - The domestic electric heavy truck market is experiencing rapid growth, with sales reaching 79,200 units in the first half of 2025, representing a penetration rate of 22% [3][15]. - The report highlights the increasing penetration of electric heavy trucks in both domestic and European markets, with projections indicating that by 2028, China's electric heavy truck sales could reach 500,000 units, driving a demand for 250 GWh of batteries [3][4]. - The electric heavy truck industry chain is becoming more integrated, with a concentrated market structure that enhances profit elasticity across various segments [5][8]. Summary by Sections Domestic Electric Heavy Truck Market - The penetration rate of electric heavy trucks has rapidly increased due to government policies and economic advantages, with significant sales growth observed in recent years [14][15]. - The report notes that the electric heavy truck market is primarily focused on regional logistics applications, with specific use cases in construction, mining, and municipal services [18][20]. European Electric Heavy Truck Market - The European market for electric light and medium trucks is advancing quickly, with electric heavy trucks identified as a blue ocean opportunity [3][4]. - By 2026, European electric heavy truck sales are expected to reach 17,000 units, with a penetration rate projected to rise to 5% [3][4]. Industry Chain and Profitability - The electric heavy truck industry chain is increasingly collaborative, with a focus on specialized products across various segments, including vehicle, battery, and motor development [5][8]. - The report emphasizes the importance of focusing on key segments within the electric heavy truck industry chain, including manufacturers, battery suppliers, and component producers [4][5]. Investment Recommendations - The report suggests monitoring key players in the electric heavy truck sector, including Foton Motor, China National Heavy Duty Truck Group, and FAW Jiefang for vehicle production [4][5]. - Battery manufacturers such as CATL and Guoxuan High-Tech are highlighted as potential investment opportunities due to the expected surge in demand for electric heavy truck batteries [4][5].

Group 1 - The core viewpoint of the report is that Yinlun Co., Ltd. (002126.SZ) is rated as a "buy" due to its potential for growth in multiple sectors [2] - The first growth curve is driven by data center liquid cooling and energy storage ultra-fast charging liquid cooling, which is expected to create a third growth curve [2] - The second growth curve is led by the humanoid robot business, which is anticipated to break through and establish a fourth growth curve [2] - The company is expanding globally with local production strategies [2]

Group 1 - The Shanghai Municipal Economic and Information Commission, along with two other departments, released an implementation plan to accelerate the development of "AI + manufacturing," which includes the establishment of "AI + manufacturing" factories and the practical deployment of various types of embodied intelligence, such as humanoid robots, in typical scenarios [1] - The automotive parts ETF closely tracks the CSI Automotive Parts Theme Index, which includes many companies involved in the robotics industry chain, indicating potential benefits from accelerated industry development. The automotive parts ETF saw an increase in early trading [1] - The CSI Automotive Parts Theme Index selects 100 listed companies from the Shanghai and Shenzhen markets that are involved in automotive system components, interior and exterior parts, automotive electronics, tires, etc., reflecting the overall performance of listed companies in the automotive parts theme [1] Group 2 - As of July 31, 2025, the top ten weighted stocks in the CSI Automotive Parts Theme Index (931230) include Huichuan Technology (300124), Fuyao Glass (600660), Sanhua Intelligent Control (002050), Top Group (601689), Sailun Tire (601058), Desay SV (002920), Huayu Automotive (600741), Wanfeng Aowei (002085), Yinlun Co. (002126), and Shuanghuan Transmission (002472), with the top ten stocks accounting for a total of 40.36% of the index [1]

Company Overview - Silver Wheel Co., Ltd. closed at 38.20 yuan on August 19, 2025, with a daily increase of 1.79% [1] - The stock experienced significant volatility, reaching a high of 41.20 yuan and a low of 35.88 yuan, resulting in a fluctuation of 14.18% [1] - The trading volume for the day was 886,600 hands, with a total transaction value of 3.326 billion yuan [1] Business Operations - The main business of Silver Wheel Co., Ltd. includes the research, development, production, and sales of automotive thermal management systems and components [1] - The company's products are widely used in passenger vehicles, commercial vehicles, and engineering machinery [1] - Silver Wheel operates within the automotive parts sector and is also involved in the Zhejiang region and venture capital concepts [1] Capital Flow - On August 19, the net outflow of main funds was 246 million yuan, accounting for 0.82% of the circulating market value [1] - Over the past five trading days, the cumulative net inflow of main funds was 56.9412 million yuan, representing 0.19% of the circulating market value [1]

Core Viewpoint - The liquid cooling concept in the A-share market has seen a significant rise, driven by the increasing demand for cooling solutions in data centers and computing equipment due to the growing computational density [1][3]. Market Performance - On August 18, related stocks surged, with notable increases such as Shuguang Shuchuang (30% limit up), Fangsheng Co. (up 22.07%), and several others achieving 20% limit up [1]. - The liquid cooling technology is gaining traction as a core solution for addressing high-density heat dissipation issues, leading to explosive market demand [1]. Industry Growth - The liquid cooling server market in China is projected to reach $2.37 billion in 2024, representing a 67% year-on-year growth, with a compound annual growth rate (CAGR) of 46.8% expected from 2024 to 2029, potentially exceeding $16.2 billion by 2029 [3]. - The penetration rate of liquid cooling data centers among the three major operators is expected to rise from 14% in 2025 to 26%, with order schedules extending to 2026 [3]. Applications - Liquid cooling technology is increasingly essential in the AI sector, significantly reducing energy consumption and improving power usage effectiveness (PUE) to levels between 1.1 and 1.2, compared to over 1.5 for air cooling [3]. - The market for thermal management in new energy vehicles is projected to reach 77.1 billion yuan in 2024, with the value of liquid cooling systems per vehicle being three times that of traditional fuel vehicles [3]. Competitive Advantage - Chinese liquid cooling companies have established a global competitive edge, achieving breakthroughs in key areas such as immersion cooling and cold plate cooling, with top-tier technology indicators [5][6]. - Chinese firms hold 35% of the top 20 global liquid cooling patents, with a 55% share in the immersion cooling sector [6]. - The use of nylon to replace metals in liquid cooling components has reduced costs by 30% to 50% and decreased leakage risks by 90% [6]. Industry Chain - The Chinese liquid cooling industry encompasses a complete supply chain, from coolant production to core components and system integration [6]. - Major companies involved include Juhua Co. for coolant, Feilong Co. for electronic pumps, and Industrial Fulian for system integration [6]. Company Highlights - The A-share liquid cooling sector comprises 120 constituent stocks with a total market capitalization of 3.66 trillion yuan [7]. - Companies like Invec provide precision temperature control solutions across various sectors, while Shuguang Shuchuang focuses on data center liquid cooling solutions, particularly in immersion phase change cooling technology [7][8]. - Silver Wheel Co. is advancing its liquid cooling business as a third growth curve, with proprietary technologies enhancing cooling efficiency [7]. - Highlan Co. specializes in liquid cooling solutions for new energy and data center applications, collaborating with major battery manufacturers [8].

Company Performance - Yinlun Co., Ltd. achieved a historical high stock price of 37.48 yuan, with an increase of 9.85% as of 9:35 AM, and a trading volume of 21.41 million shares, amounting to 799 million yuan in transaction value [2] - The latest total market capitalization of Yinlun Co., Ltd. reached 31.288 billion yuan, with a circulating market value of 29.392 billion yuan [2] - The company's Q1 report indicated a total revenue of 3.416 billion yuan, representing a year-on-year growth of 15.05%, and a net profit of 212 million yuan, with a year-on-year increase of 10.89% [2] Industry Overview - The automotive industry, to which Yinlun Co., Ltd. belongs, experienced an overall increase of 0.55%, with 190 stocks rising and 3 stocks hitting the daily limit [2] - Among the stocks that declined, Chaojie Co., Ltd., Huami New Materials, and Zhongma Transmission saw declines of 3.86%, 3.43%, and 3.37% respectively [2] Financing Data - As of August 15, the latest margin trading balance for Yinlun Co., Ltd. was 745 million yuan, with a financing balance of 738 million yuan, reflecting an increase of 50.769 million yuan over the past 10 days, which is a 7.38% increase [2]

Group 1 - The liquid cooling server concept continues its strong performance from the previous week, with companies such as Runhe Materials, Qiangrui Technology, and Gaolan Co., Ltd. seeing stock increases of over 10% [1] - Prior to this, Chuanrun Co., Ltd. experienced two consecutive trading limit increases, indicating strong market interest [1] - Other companies in the sector, including Yinlun Co., Ltd., Feilong Co., Ltd., Chuanhuan Technology, Yingweideng, and Keda, also saw stock price increases, reflecting a broader trend in the liquid cooling server market [1]

Group 1 - The company has developed its own electronic water pumps, which are applied in various fields including new energy vehicles, energy storage, and data centers [2] - The company responded to an investor inquiry regarding the presence of a water pump business and its potential applications in data centers or liquid-cooled servers [2] - The company is actively exploring opportunities in the data center sector with its water pump technology [2]

Group 1 - The core viewpoint of the news is that Yinlun Co., Ltd. has received environmental approval for its intelligent manufacturing project related to automotive engine heat exchangers and other components, with a total investment of 50 million yuan [1] - The "A-share Green Report" project aims to enhance transparency in environmental information of listed companies, utilizing authoritative environmental regulatory data from 31 provinces and 337 cities [1] - The latest A-share Green Weekly Report indicated that 10 listed companies recently exposed environmental risks [1] Group 2 - Yinlun Co., Ltd.'s main business segments include passenger vehicles (55.82% of revenue), commercial vehicles (32.88%), non-road applications (8.08%), and digital and energy thermal management (3.22%) according to the 2024 annual report [2] - The company's market capitalization is approximately 26.64 billion yuan, with projected revenues of 11.02 billion yuan for 2023, 12.70 billion yuan for 2024, and 3.42 billion yuan for Q1 2025 [3] - The net profit attributable to shareholders is expected to be 612 million yuan in 2023, increasing to 784 million yuan in 2024, with 212 million yuan projected for Q1 2025 [3]

Investment Rating - The industry investment rating is Neutral [8] Core Insights - AI liquid cooling is transitioning from an optional to a necessary solution, with demand expected to drive rapid growth in market space and penetration rates [8] - The acceleration of ASIC layouts and the increase in domestic computing cluster scale will open new growth opportunities for the liquid cooling market [8] - The overseas supply gap in liquid cooling will provide opportunities for domestic suppliers to expand internationally, with expectations of moving from component supply to modular and integrated solutions [8] - The AI liquid cooling sector has high barriers to entry and significant value, suggesting a favorable competitive landscape and profitability in the medium to long term [8] Summary by Sections Liquid Cooling Market Dynamics - The demand for AI computing centers is driving the need for high-density GPU clusters, leading to a shift towards liquid cooling solutions [8] - Major cloud service providers are accelerating the development of customized ASICs and integrating liquid cooling solutions [8] Investment Recommendations - Suggested companies to watch include: - Yinvik (002837, Not Rated) - Yinlun (002126, Buy) - Feilong (002536, Not Rated) - Chuanhuan Technology (300547, Not Rated) - Xiangxin Technology (002965, Not Rated) - Sulian Technology (301397, Not Rated) - Zhongding (000887, Not Rated) [3]