Core Insights - Computing power has emerged as one of the hottest topics in the market this year, with multiple stocks doubling in value. Notably, Shenghong Technology has seen a remarkable increase of 564.6% year-to-date, leading the sector [1] Stock Performance - As of October 22, 2023, 21 stocks have doubled in value this year, with Shenghong Technology, Xinyi Technology, Shijia Photon, Zhongji Xuchuang, and Yuanjie Technology ranking as the top five in cumulative growth [1] - There are 38 stocks predicted by more than five institutions to have a net profit growth rate exceeding 20% in the next two years [1] Upside Potential - Based on the closing prices on October 22 and the target prices predicted by institutions, 14 stocks have an upside potential exceeding 10%. The stock with the highest upside potential is Shenling Environment at 62.16% [1] - Other stocks with significant upside potential include Aofei Data, Taicheng Light, Runze Technology, Wol Nuclear Materials, and Lianhua Holdings [1]

Core Insights - The Chinese micro-nano optical device industry is experiencing rapid growth driven by technological breakthroughs and market demand, with a projected market size of approximately 865 million yuan in 2024, representing a year-on-year increase of 2.13% [1][4][8] - China has achieved global leadership in areas such as 3nm lithography, atomic-level manufacturing (0.3nm precision), and all-solid-state deep ultraviolet lasers, supporting the nano-level processing of micro-nano components like superlenses and diffraction gratings [1][4][8] - High-end applications of micro-nano optical devices, such as quantum information and biosensing, face technical challenges including insufficient nano-imprinting precision and poor stability of phase-change materials, limiting large-scale production [1][4][8] Industry Overview - Micro-nano optical devices operate at sub-wavelength scales (micron to nano level) to emit, guide, modulate, localize, absorb, and detect light, characterized by micro-nano structural designs that precisely control light field properties [4][5] - These devices are compact, highly integrated, and multifunctional, meeting the demands for miniaturization and multifunctionality in modern equipment, with typical applications in AR/VR near-eye displays, biosensing, optical communication, and quantum information processing [4][5] Industry Value Chain - The upstream of the micro-nano optical device industry includes raw materials such as optical glass, optical crystals, optical plastics, coating materials, and nano materials, as well as production equipment like lithography machines and nano-imprinting machines [4][5] - The midstream involves the manufacturing of micro-nano optical devices, while the downstream applications span consumer electronics, optical communication, biomedical imaging, and automotive electronics [4][5] Market Size - The micro-nano optical device industry in China is projected to grow significantly, with a market size of approximately 865 million yuan in 2024, reflecting a year-on-year growth of 2.13% [1][4][8] - The lithography machine market in China is expected to reach 17.875 billion yuan in 2024, with an 11.11% year-on-year increase, driven by the rising demand for chips due to emerging technologies like 5G, AI, and IoT [6][7] Key Companies - Suzhou Su Da Wei Ge Technology Group Co., Ltd. is a leading enterprise in the micro-nano optical industry, developing nano-imprinting and laser direct-write lithography equipment, achieving 12-inch wafer-level imprinting, and supporting high-end products like AR diffraction waveguide lenses [8] - Shenzhen Hui Chuang Da Technology Co., Ltd. is a global leader in laptop light guide structure components, utilizing micro-nano imprinting technology to achieve self-sufficient production of light guide films and backlight modules, entering supply chains of major companies like Lenovo and HP [9] Industry Development Trends 1. Continuous technological innovation will drive improvements in high-precision manufacturing, with advanced lithography technologies like EUV expected to enhance manufacturing precision [10] 2. Significant growth in market demand is anticipated, with micro-nano optical devices expanding from traditional optical instruments to emerging markets such as semiconductor lighting, VR, and AR [10] 3. The industry landscape is optimizing, with Chinese companies expected to enhance their competitiveness in technology innovation and market expansion, potentially becoming the largest production base for ultra-precision micro-nano optical devices globally [11]

Core Viewpoint - The stock of Shenzhen Taicheng Technology Co., Ltd. (太辰光) has seen a 5.16% increase, reaching 102.80 CNY per share, with a trading volume of 998 million CNY and a turnover rate of 5.21%, resulting in a total market capitalization of 23.349 billion CNY [1] Company Overview - Shenzhen Taicheng Technology Co., Ltd. was established on December 12, 2000, and went public on December 6, 2016. The company is located in the Pingshan District of Shenzhen, Guangdong Province [1] - The main business involves the research, development, production, and sales of optical devices, with revenue composition as follows: optical device products 98.02%, other products 1.81%, and optical sensing products 0.17% [1] Fund Holdings - According to data from fund holdings, one fund under Shanzheng Asset Management has a significant position in Taicheng Technology. The Shanzheng Asset Management Innovation Growth Mixed Fund A (018281) held 6,000 shares in the second quarter, accounting for 4.65% of the fund's net value, making it the third-largest holding [2] - The fund was established on August 28, 2023, with a latest scale of 12.356 million CNY. Year-to-date returns are 37.66%, ranking 1606 out of 8162 in its category; the one-year return is 37.57%, ranking 1502 out of 8024; and since inception, the return is 56.93% [2] Fund Manager Profile - The fund manager of the Shanzheng Asset Management Innovation Growth Mixed Fund A is Yang Xu, who has a cumulative tenure of 10 years and 283 days. The total asset size of the fund is 12.4475 million CNY, with the best fund return during his tenure being 54.63% and the worst being -92.46% [3]

Core Viewpoint - The stock of Taicheng Light has shown significant fluctuations in price and trading volume, reflecting investor interest and market dynamics [1][2]. Company Overview - Taicheng Light Communication Co., Ltd. is based in Shenzhen, Guangdong, and specializes in the research, production, and sales of optical devices, with 98.02% of its revenue coming from optical device products [1]. - The company was established on December 12, 2000, and went public on December 6, 2016 [1]. Financial Performance - For the first half of 2025, Taicheng Light reported a revenue of 828 million yuan, representing a year-on-year growth of 62.49%, and a net profit attributable to shareholders of 173 million yuan, up 118.02% year-on-year [2]. - The company has distributed a total of 827 million yuan in dividends since its A-share listing, with 408 million yuan distributed over the past three years [3]. Stock Market Activity - As of October 21, the stock price of Taicheng Light was 99.75 yuan per share, with a market capitalization of 22.656 billion yuan [1]. - The stock has increased by 38.73% year-to-date, with a recent 5-day increase of 3.91%, but a 20-day decline of 13.19% [1]. - The company has appeared on the "Dragon and Tiger List" three times this year, with the most recent instance on September 4, where it recorded a net buy of -44.71 million yuan [1]. Shareholder Structure - As of June 30, 2025, the number of shareholders increased to 50,300, with an average of 3,823 circulating shares per person, a decrease of 9.19% from the previous period [2]. - Notable shareholders include Hong Kong Central Clearing Limited and new entrants such as Caitong Value Momentum Mixed A and Southern CSI 1000 ETF [3].

Core Viewpoint - The company, Taicheng Light (300570), stated that the impact of the China-U.S. trade friction on its operations is minimal, indicating a stable supply-demand relationship with its main customers [1] Group 1 - The company announced on October 20 that it had addressed inquiries from investors regarding the effects of trade tensions [1] - The settlement model with major customers is based on the FOB (Free on Board) method, which helps mitigate risks associated with trade friction [1] - The company emphasizes ongoing communication and collaboration with customers to jointly reduce the risks posed by trade tensions [1]

Core Viewpoint - The company, Taicheng Technology (300570), has established a long-term and trustworthy partnership with overseas major clients, emphasizing the importance of product competitiveness in maintaining stable supply relationships [1] Group 1 - The company announced on October 20 that it has built a deep and mutually trusting cooperation with overseas major clients [1] - The company considers itself a strong partner for these clients, highlighting the depth of their collaboration [1] - The company believes that enhancing its product competitiveness is crucial for sustaining stable supply relationships [1]

Core Viewpoint - The company emphasizes the need for continuous development in breakthrough areas such as flexible optical boards, aligning with market demands and optimizing technology to enhance competitive advantages [1] Group 1 - The company announced on October 20 that it is focused on breakthrough results in flexible optical board fields, which require sustained development efforts [1] - The company is attentive to changes in industry and market demands, indicating a proactive approach to innovation and customer collaboration [1] - The company aims to enhance its technological capabilities and advantages through ongoing design and research and development efforts in partnership with clients [1]

Core Viewpoint - The company, Taicheng Light (300570), announced on October 20 that its factory in Vietnam is currently producing fiber optic connectors, ceramic inserts, and AOC products, with production capacity not yet saturated, indicating potential for future expansion based on business progress and market demand [1] Group 1 - The Vietnam factory primarily manufactures fiber optic connectors, ceramic inserts, and AOC products [1] - The current production capacity utilization rate is not saturated [1] - Future expansion will be aligned with business progress and market demand [1]

Core Viewpoint - The company has significantly expanded its MT chip production capacity since last year, positioning itself as one of the few integrated enterprises capable of producing MT chips and various connectors, thereby enhancing its competitiveness in product quality and supply chain stability [1] Group 1 - The company announced on October 20 that it has greatly increased its MT chip production capacity [1] - The company is recognized as one of the rare market players that can achieve an integrated production process from MT chips to various connectors [1] - The company possesses strong competitiveness in terms of product quality and supply chain stability [1]

Core Viewpoint - The company, Taicheng Light (300570), announced on October 20 that it has obtained a non-exclusive license for MDC connector-related patents, allowing it to manufacture MDC high-density fiber optic connectors and adapters based on USConec's core patents, and sell them globally [1] Group 1 - The company can now produce and sell MDC high-density fiber optic connectors and adapters globally [1] - The support from USConec enables the company to mass-produce and sell MMC fiber optic connectors and related products [1]