Core Viewpoint - Nvidia has updated its Blackwell platform approved supplier list, and Yingwei's CDU, cold plates, and quick-change connectors are included in this list [1]. Group 1 - The inquiry from investors regarding the inclusion of Yingwei's products in Nvidia's supplier list indicates growing interest in the company's potential partnerships [1]. - The company's response highlights that specific customer collaboration information is subject to confidentiality agreements, limiting the disclosure of such details [2]. - Investors are encouraged to verify the supplier list through official channels, suggesting a need for transparency and due diligence in the investment process [2].

Summary of Key Points from the Conference Call Industry Overview - The report focuses on the **AIDC (Artificial Intelligence Data Center)** and **ESS (Energy Storage Systems)** supply chain in China, highlighting the impact of AI server demand and cloud capital expenditure on the industry. Core Insights and Arguments 1. **AI Server Demand Surge**: - Significant increase in global server market driven by AI training and inferencing servers, with shipments projected to rise by **21%** and **39%** for 2025E and 2026E respectively compared to previous estimates [4][4][4] - Envicool's strategic positioning with NVIDIA/Intel for liquid cooling components enhances its market capture potential [4][4][4] 2. **Cloud Capital Expenditure Growth**: - Alibaba plans to invest **Rmb380 billion** over three years, contributing to a robust domestic data center and cloud capex upcycle [4][4][4] - China's data center live capacity expected to reach **30GW** by 2025E, with internet, cloud, and AI accounting for approximately **70%** of demand [4][4][4] 3. **Domestic ESS Demand Recovery**: - Post-May 31, 2025, the domestic ESS demand has improved, with total tendered ESS capacity increasing by **38%** and **86%** year-over-year in August 2025 and the first eight months of 2025 respectively [5][5][5] - Battery exports also showed strong growth, with a **45%** year-over-year increase in August 2025 and **67%** in the first eight months of 2025, primarily driven by Europe and non-US regions [5][5][5] 4. **Target Price Revisions**: - Target prices for four AIDC/ESS supply chain stocks have been revised upward by **12-87%** based on the positive outlook for AI server shipments and cloud capex [6][6][6] 5. **Company-Specific Updates**: - **Kstar**: Revenue forecasts raised by **1% to 27%** for 2025E-30E, driven by cloud capex expansion and AI power demands, with a new target price of **Rmb46.2** [7][7][7] - **Envicool**: Net income forecasts increased by **9%** on average, with a new target price of **Rmb81.0**, reflecting strong demand for liquid cooling solutions [13][13][13] - **Kehua**: Target price raised by **12%** to **Rmb47.5**, reflecting strong domestic data center capacity expansion [17][17][17] - **Sungrow**: Target price set at **Rmb148.9**, with an **8%** upside potential, despite concerns over US market exposure [18][18][18] Additional Important Insights - The report emphasizes the critical need for advanced cooling solutions to manage the thermal loads of high-density AI servers [4][4][4] - The potential risks include uncertainties in ESS demand from the US market beyond 2026E due to regulatory changes [5][5][5] - The overall sentiment is bullish on the AIDC and ESS sectors, with expectations of sustained growth driven by technological advancements and increased capital expenditure in cloud infrastructure [4][4][4][5][5][5]

Market Overview - The Shanghai Composite Index rose by 0.52% on September 30, with 19 out of 28 sectors experiencing gains, led by the non-ferrous metals and defense industries, which increased by 3.22% and 2.59% respectively [1] - Conversely, the communication and non-bank financial sectors saw declines of 1.83% and 1.14% respectively [1] Capital Flow Analysis - The main capital flow showed a net outflow of 32.30 billion yuan across the two markets, with only four sectors experiencing net inflows [1] - The defense industry led the net inflow with 2.07 billion yuan, followed by the non-ferrous metals sector with a net inflow of 1.98 billion yuan [1] Mechanical Equipment Sector Performance - The mechanical equipment sector experienced a slight decline of 0.02%, with a net outflow of 3.43 billion yuan [2] - Out of 531 stocks in this sector, 189 rose while 330 fell, with three stocks hitting the daily limit up and one hitting the limit down [2] - The top three stocks with significant net inflows were Hezhuan Intelligent (4.27 billion yuan), Xinlai Materials (1.50 billion yuan), and Zhongkong Technology (1.30 billion yuan) [2] Mechanical Equipment Sector Outflow - The top stocks with the highest net outflows included Huagong Technology (-1.47 billion yuan), Yingweike (-589.68 million yuan), and Xinqi Microelectronics (-168.35 million yuan) [3] - The sector's overall performance reflected a mixed sentiment among investors, with notable volatility in individual stock movements [3]

Investment Rating - The report maintains a "Recommended" rating for Yingweike and Gaolan Co., and a "Cautious Recommendation" for Kexin New Source [4]. Core Insights - The introduction of the Silent-Aire CDU platform by Johnson Controls marks a significant advancement in liquid cooling technology, addressing the thermal management needs of AI data centers [3]. - The Silent-Aire CDU offers a cooling capacity that can flexibly scale from 500 kW to over 10 MW, with specific configurations achieving up to 1.4 MW cooling capacity when using water as a cooling medium [2]. - The report emphasizes that liquid cooling technology is crucial for resolving the power challenges faced by AI development, positioning it as a key technology route for the industry [3]. Summary by Sections Industry Overview - The report highlights the growing demand for efficient thermal management solutions in data centers, particularly driven by the increasing AI computational requirements [3]. Product Analysis - The Silent-Aire CDU platform is designed for high scalability and flexible deployment, making it suitable for both new AI data centers and retrofitting existing facilities [2]. Company Forecasts and Valuations - Yingweike is projected to have an EPS of 0.61 in 2024, with a PE ratio of 131, while Gaolan Co. is expected to improve from a negative EPS to 0.09 in 2025, with a PE ratio of 342 [4]. - Kexin New Source is forecasted to have an EPS of 0.14 in 2024, with a PE ratio of 316, indicating cautious optimism for its growth [4].

Core Insights - The specialized equipment sector increased by 1.11% on September 29, with Lingge Technology leading the gains [1] - The Shanghai Composite Index closed at 3862.53, up 0.9%, while the Shenzhen Component Index closed at 13479.43, up 2.05% [1] Sector Performance - Lingge Technology (code: 833284) saw a significant rise of 14.39%, closing at 29.25 with a trading volume of 125,900 shares and a transaction value of 357 million yuan [1] - Tai Rui Machinery (code: 603289) increased by 6.23%, closing at 11.08 with a trading volume of 180,400 shares and a transaction value of 198 million yuan [1] - Yuejian Intelligent (code: 603095) rose by 5.65%, closing at 16.07 with a trading volume of 110,100 shares and a transaction value of 175 million yuan [1] - Li Hexing (code: 301013) increased by 5.56%, closing at 30.75 with a trading volume of 635,400 shares and a transaction value of 1.94 billion yuan [1] - Other notable performers include Zhongjian Technology (code: 002779) up 5.36%, Ruankong Co. (code: 002073) up 5.34%, and Yongchuang Intelligent (code: 603901) up 5.19% [1] Fund Flow Analysis - The specialized equipment sector experienced a net outflow of 68.17 million yuan from institutional funds, while retail investors contributed a net inflow of 302 million yuan [2] - The overall trend indicates a divergence in fund flow, with institutional investors withdrawing while retail investors increased their participation [2]

Core Viewpoint - The liquid cooling market is expected to experience rapid growth due to the increasing power of AI chips and the density of single cabinets, with a recommendation to focus on the entire liquid cooling industry chain, particularly highlighting Envicool (002837.SZ) as a key investment opportunity [1][2]. Group 1: Industry Trends - In the AI era, the heat density of data centers is accelerating, making liquid cooling a mainstream cooling technology for intelligent computing centers [2]. - Liquid cooling offers advantages over traditional air cooling, including faster temperature transfer, greater heat removal capacity, lower noise, energy savings, and space efficiency [2]. - The global PUE (Power Usage Effectiveness) assessments are becoming stricter, which is likely to enhance the penetration rate of liquid cooling solutions [2]. Group 2: Market Potential - The global market for liquid cooling in data centers is projected to reach $10 billion by 2026, driven by the adoption of liquid cooling solutions in North America and China [3]. - In North America, the unit value of cold plate liquid cooling is approximately $1,040 per kW, with a potential market size of $3 billion driven by CSP cloud providers adopting liquid cooling for self-developed ASIC chips [3]. - The demand for NVIDIA GPUs remains strong, with optimistic projections suggesting that the liquid cooling market size for NVIDIA could exceed $7 billion by 2026 [3]. - In China, the unit value of cold plate liquid cooling is around 5,000 yuan per kW, with expectations for accelerated penetration rates by 2025 and projected market sizes of 11.3 billion yuan and 23.8 billion yuan for 2026 and 2027, respectively [3]. Group 3: Competitive Landscape - Traditional overseas cooling companies have an early advantage in the liquid cooling market, but domestic manufacturers are expected to benefit from high cost-performance ratios, rapid response times, customized services, and industrial capabilities [3][4]. - The liquid cooling supply chain includes upstream component manufacturers, midstream system solution providers/integrators, and downstream clients such as AIDC service providers, operators, and internet companies [3]. - System integrators require comprehensive capabilities, with high design and stability demands, where established companies like Vertiv and Envicool hold advantages [3].

格隆汇9月29日丨英维克(002837.SZ)在互动平台表示，公司业务暂不涉及手机液冷。 ...

Core Viewpoint - Invech's stock price increased by 5.14% to 83.90 CNY per share, with a trading volume of 3.648 billion CNY and a market capitalization of 81.326 billion CNY as of September 29 [1] Company Overview - Shenzhen Invech Technology Co., Ltd. was established on August 15, 2005, and listed on December 29, 2016. The company is located in Longhua District, Shenzhen, Guangdong Province [1] - The main business activities include the research, production, and sales of precision temperature control energy-saving equipment, as well as air conditioning and maintenance services for rail transit trains and traditional buses [1] - Revenue composition: 52.50% from data center temperature control products, 36.00% from cabinet temperature control products, 9.82% from other sources, 0.93% from rail transit train air conditioning and services, and 0.75% from bus air conditioning [1] Fund Holdings - One fund under Yingda Fund holds a significant position in Invech, specifically Yingda Flexible Allocation A (001270), which held 29,300 shares in the second quarter, accounting for 3.73% of the fund's net value, ranking as the tenth largest holding [2] - The fund has achieved a year-to-date return of 33.54% and a one-year return of 52.6%, with a total return since inception of 96.61% [2] Fund Manager Performance - The fund manager Zhang Dazheng has been in position for 5 years and 269 days, managing assets totaling 22.058 billion CNY, with the best return during his tenure being 84.48% and the worst being 3.82% [3] - Liu Yubin has been managing 76.831 million CNY in assets for 1 year and 158 days, with a best return of 34.41% and a worst return of 25.44% [3] - Huo Da has managed 9.10027 million CNY for 2 years and 235 days, achieving a best return of 39.33% and a worst return of -5.66% [3]

Investment Rating - The report rates the industry as "Outperform" [2] Core Viewpoints - The rise in computing power density necessitates liquid cooling as the primary heat dissipation technology for intelligent computing centers. Liquid cooling offers advantages over air cooling, including faster temperature transfer, higher heat removal capacity, lower noise, energy savings, and space efficiency. The global trend towards stricter PUE assessments is expected to drive the penetration of liquid cooling technology [7][11][26] - The global market for liquid cooling in data centers is projected to exceed $10 billion by 2026, driven by the increasing power of AI chips and the growing density of server cabinets. The North American market alone is expected to reach $10 billion, with significant contributions from companies like NVIDIA [8][93] - Domestic liquid cooling market in China is expected to reach approximately 11.3 billion yuan in 2026, with a further increase to 23.8 billion yuan in 2027, as operators gradually adopt liquid cooling solutions [8][86] Summary by Sections 1. Computing Power Density and Liquid Cooling Technology - The increasing power density of AI chips is pushing the limits of traditional air cooling methods, making liquid cooling essential for managing heat in intelligent computing centers. Liquid cooling systems are categorized into room-side and ICT device-side architectures, with cold plate technology currently being the most widely adopted [7][10][11] 2. Accelerating Liquid Cooling Application and Market Size - The cooling system costs account for over 20% of the total data center infrastructure costs. Liquid cooling is expected to further increase this investment share. The report estimates that by 2026, the liquid cooling market in China will surpass that of air cooling, with a projected market size of 21.8 billion yuan [80][81][86] 3. Liquid Cooling Industry Chain Analysis - The liquid cooling industry chain consists of upstream components (liquid cooling parts), midstream system integrators, and downstream customers (data center service providers, operators, and internet companies). The report emphasizes the importance of system-level understanding for specialized temperature control manufacturers to benefit from industry growth [97][101]

Summary of Key Points from CIIF Trip Takeaway Industry Overview - **Industry**: Chinese Industrial Automation - **Event**: 2025 China International Industry Fair (CIIF) - **Theme**: "New Industrialization & Smart Manufacturing Resilience" - **Exhibitors**: Over 3,000 exhibitors from 28 countries, up from 2,400 in 2024 - **Attendance**: Estimated 200,000 attendees, the highest in three years [2][3] Core Insights - **Positive Growth Outlook**: Leading Chinese industrial players are optimistic about growth by capturing market share and enhancing product lines [1][4] - **AI Integration**: The "AI+" trend is prominent, with AI being integrated into factory automation and robotics to improve efficiency and reduce costs [3][11] - **Demand from Key Sectors**: Strong demand is noted in sectors such as batteries, logistics, electronics, semiconductors, and machine tools [4][10] Company-Specific Highlights - **Inovance**: - Launched humanoid and large PLC products, with expectations for mass production and initial orders in 2026 [22][23] - Targeting a production capacity of 400,000 units by 2028 [22] - **Envicool**: - Positive outlook for server-side cooling demand, with expected revenue recognition from overseas clients starting in 2H26 [24] - **Han's Laser**: - Forecasting RMB 17.6 billion revenue for 2025, with PCB equipment orders expected to reach RMB 6 billion [26][27] - **Estun**: - Anticipates 15%-20% annual revenue growth over the next three years, with a focus on high-payload robots [29][30] - **Wuxi Xinje**: - Expects 20% year-over-year order growth, driven by demand in various sectors [32][33] Market Dynamics - **Competitive Landscape**: - Chinese brands are gaining market share, while international competitors are focusing on "value for money" products [9][10] - **Impact of Tariffs**: - Limited impact from tariffs noted, with some companies reporting improved order profitability [10] - **AI-Driven Capital Goods Demand**: - AI-related demand is emerging as a key driver for capital goods, with expectations for new capex in intelligent robots and related technologies [12][11] Emerging Trends - **Humanoid Robotics**: - Development of humanoid supply chains is accelerating, with various companies launching components for humanoid robots [14][46] - **Precision Manufacturing**: - Companies like Schaeffler are focusing on precision product manufacturing to compete with established global players [13][46] Financial Projections - **Revenue Growth**: - Companies are projecting significant revenue growth, with Han's Laser expecting a 20% increase and Estun aiming for a 15%-20% annual growth rate [26][30] - **Market Share Gains**: - Estun aims to increase its global market share from 5% to 10% by 2030 [30] Conclusion - The CIIF event highlighted a robust outlook for the Chinese industrial automation sector, driven by AI integration and strong demand across various industries. Companies are optimistic about growth, with many launching innovative products and expanding their market presence.