Core Viewpoint - The outlook for the Hong Kong stock market in 2026 is optimistic, with 2025 being characterized as a bull market driven by various factors including industry trends, fundamental improvements, and liquidity narratives [1] Group 1: Market Trends - The Chinese market in 2025 is expected to exceed expectations, driven by real industry trends such as AI and improvements in fundamentals due to fiscal stimulus and private credit recovery [1] - The Hang Seng Tech Index has seen a 30% increase, primarily attributed to risk premium contributions [1] - Notable market phenomena include simultaneous rises in assets with differing underlying logic, such as gold, dividends, and growth stocks [1] Group 2: Stock Performance - A small number of stocks (15) contributed to 70% of the index's gains, indicating a highly concentrated market performance [1] - There is a significant rotation in stock performance across sectors, with internet stocks performing well in Q1, new consumption in Q2, innovative pharmaceuticals in Q3, and a return to internet stocks in Q4 [1] Group 3: Future Considerations - The key factors driving the market's upward movement include liquidity narratives, fundamental improvements, and technology trends, with the sustainability of these factors being crucial for assessing the next steps in the bull market [1]

Group 1 - The Hong Kong stock market opened positively on November 10, with the Hang Seng Index rising by 0.36%, driven by gains in major tech stocks like Tencent, Alibaba, and Kuaishou [1] - The Hong Kong Internet ETF (513770) saw a price increase of 1.58%, indicating strong buying interest, with a real-time premium rate of 0.5% [1][4] - Upcoming earnings reports from major internet companies such as Tencent, Meituan, and Bilibili are anticipated, with Tencent expected to achieve a year-on-year revenue growth of approximately 14% in Q3, driven by gaming and advertising [3] Group 2 - The Hong Kong Internet ETF (513770) has attracted significant capital inflow, totaling 440 million yuan over five consecutive days and 865 million yuan over the past ten days [4] - The ETF tracks the CSI Hong Kong Internet Index, which heavily weights leading internet companies, with Alibaba, Tencent, and Xiaomi being the top three holdings, accounting for over 73% of the top ten holdings [5] - The latest scale of the Hong Kong Internet ETF exceeds 11.5 billion yuan, with an average daily trading volume of over 600 million yuan, indicating good liquidity [7]

Group 1 - Southbound funds net bought Hong Kong stocks worth 75.23 billion HKD on November 7, with notable net purchases in Xiaomi Group-W (9.66 billion HKD), CNOOC (7.63 billion HKD), and Hua Hong Semiconductor (6.05 billion HKD) [1] - Xiaomi has seen continuous net buying for 8 days, totaling 51.9497 billion HKD [1] - Tencent Holdings and Alibaba-W experienced significant net selling, with amounts of 4.72 billion HKD and 3.61 billion HKD respectively [1] Group 2 - Xiaomi Group's president, Lu Weibing, recently tested the Xiaomi SU7 in Germany, covering nearly 800 kilometers and reaching a top speed of 260 km/h [3] - The company expects to achieve profitability in the second half of 2026 and plans to officially enter the European electric vehicle market in 2027 [4] - Hua Hong Semiconductor's third-quarter gross margin and fourth-quarter guidance exceeded expectations, benefiting from demand recovery and product mix upgrades [4] - Hua Hong Semiconductor's capacity growth and acquisition of Fab5 are progressing as planned, leading to an upward revision of profit forecasts for 2025 [4] - XPeng Motors launched its new generation range-extending technology, Kunpeng Super Range, and announced the pre-sale of the XPeng X9 Super Range model, with prices set at 350,000 and 370,000 CNY [4]

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 | | | 致：香港交易及結算所有限公司 公司名稱: 騰訊控股有限公司 呈交日期: 2025年11月6日 I. 法定/註冊股本變動 FF301 II. 已發行股份及/或庫存股份變動 | 1. 股份分類 | 普通股 | | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 00700 | | 說明 | | | | | | | 多櫃檯證券代號 | 80700 | RMB 說明 | | | | | | | | | | 已發行股份（不包括庫存股份）數目 | | | 庫存股份數目 | | 已發行股份總數 | | | 上月底結存 | | | 9,153,003,220 | | | 0 | | 9,153,003,220 | | 增加 / 減少 (-) | | | | -8,233,179 | | 0 | | | | 本月底結存 | | | 9,144,770,041 | | | ...

Core Viewpoint - The report from Credit Lyonnais anticipates a robust performance for Tencent Holdings (00700) in Q3, with total revenue and adjusted EBIT expected to grow by 14% and 21% year-on-year, reaching RMB 190 billion and RMB 74.1 billion respectively [1] Group 1: Financial Performance - Total revenue is projected to increase by 14% year-on-year, reaching RMB 190 billion [1] - Adjusted EBIT is expected to grow by 21% year-on-year, amounting to RMB 74.1 billion [1] - Online gaming business is anticipated to grow by 18% year-on-year, with strong performances from titles like "Honor of Kings," "PUBG Mobile," "Delta Force," and "Clash Royale" potentially exceeding expectations [1] Group 2: Future Projections - The growth rate for high-margin advertising revenue has been revised upward to approximately 20% for 2025, leading to a 0.8% increase in adjusted net profit forecasts for Tencent for the fiscal years 2025 and 2026 [1] - Online advertising revenue is expected to benefit from upgrades in advertising technology and business transformation, with a year-on-year growth forecast of 20% [1] - The enterprise services sector is also projected to maintain over 20% year-on-year growth [1] Group 3: Business Resilience - The strong momentum in online gaming, advertising, and cloud services is expected to continue into Q4 2025, indicating resilience in these growth areas [1] - Tencent is identified as the largest beneficiary of AI applications, highlighting its strategic positioning in the market [1]

Core Viewpoint - The report from Credit Lyonnais anticipates Tencent Holdings (00700) to show robust performance in Q3, with total revenue and adjusted EBIT expected to grow by 14% and 21% year-on-year, reaching RMB 190 billion and RMB 74.1 billion respectively [1] Group 1: Financial Performance - Total revenue is projected to increase by 14% year-on-year, reaching RMB 190 billion [1] - Adjusted EBIT is expected to grow by 21% year-on-year, amounting to RMB 74.1 billion [1] - Online gaming business is anticipated to grow by 18% year-on-year, with strong performances from titles like "Honor of Kings," "Peacekeeper Elite," "Delta Force," and "Clash Royale" potentially exceeding expectations [1] Group 2: Future Projections - The growth rate for high-margin advertising revenue has been revised upward to approximately 20% for 2025, leading to a 0.8% increase in adjusted net profit forecasts for Tencent for the fiscal years 2025 and 2026 [1] - Online advertising revenue is expected to benefit from upgrades in advertising technology and business transformation, with a year-on-year growth forecast of 20% [1] - The enterprise services sector is also projected to maintain over 20% year-on-year growth [1] Group 3: Business Resilience - The strong momentum in online gaming, advertising, and cloud services is expected to continue through Q4 2025, indicating resilience in these growth areas [1] - Tencent is identified as the largest beneficiary of AI applications, highlighting its strategic positioning in the market [1]

Core Insights - China has increased subsidies for major data centers, reducing energy costs by up to 50% to support domestic chipmakers and enhance global competitiveness [1][3] - Local governments in provinces with a high concentration of data centers, such as Gansu, Guizhou, and Inner Mongolia, have implemented these incentives [2] - Major tech companies like ByteDance, Alibaba, and Tencent are facing high electricity costs due to restrictions on purchasing AI chips from Nvidia [3] Industry Developments - The subsidies were introduced following concerns from tech firms about the higher costs associated with using less efficient domestic chips from Huawei and Cambricon [3] - China's centralized power grid offers cheaper and cleaner electricity compared to the U.S., with energy-abundant provinces becoming key hubs for data centers [4] - The initiative aligns with China's long-term strategy to reduce reliance on foreign chipmakers and focus on developing domestic chips for AI [4] Market Dynamics - A recent report indicated that China managed to bypass U.S. export controls, acquiring approximately $38 billion worth of advanced chipmaking equipment from the U.S. and its allies [5] - Alibaba has launched a new computing pooling system, Aegaeon, which significantly reduces reliance on Nvidia GPUs by 82% for AI models [5] - Despite U.S. restrictions, Nvidia's CEO acknowledged China's strong semiconductor ecosystem and the mutual benefits of collaboration [6]

Core Insights - The Hong Kong stock market saw a net inflow of 87.19 billion HKD from northbound trading on October 31, with 57.72 billion HKD from the Shanghai Stock Connect and 29.47 billion HKD from the Shenzhen Stock Connect [1] Group 1: Net Inflows and Outflows - The most bought stocks included Xiaomi Group-W (01810), Meituan-W (03690), and Sanofi Pharmaceutical (01530) [1] - The most sold stocks included Tencent (00700), SMIC (00981), and Hua Hong Semiconductor (01347) [1] Group 2: Stock Performance Details - Xiaomi Group-W (01810) had a net inflow of 6.46 billion HKD, supported by optimistic forecasts for its smartphone and electric vehicle businesses [5] - Meituan-W (03690) received a net inflow of 4.64 billion HKD, with news of its international food delivery brand Keeta launching operations in Brazil [5] - Sanofi Pharmaceutical (01530) saw a net inflow of 754.6 million HKD, following the registration of a new cancer treatment in clinical trials [5] Group 3: Notable Sell-offs - Tencent (00700) experienced a net outflow of 12.19 billion HKD, amid increased short-selling activities in the market [7] - SMIC (00981) faced a net outflow of 7.11 billion HKD, as the semiconductor sector reacted to potential changes in AI chip export policies [8] - Hua Hong Semiconductor (01347) had a net outflow of 4.73 billion HKD, reflecting broader trends in the chip industry [8]

Core Insights - Tencent has announced the top 50 finalists for its CarbonX Program 2.0, aimed at accelerating climate technologies for a net-zero world by 2050 [1][10] - The program received over 660 applications from 54 countries, with a total funding pool of RMB200 million (approximately US$28 million) for the selected innovators [2][10] - The initiative addresses the "Valley of Death" in climate innovation, which is the gap between early-stage innovation and large-scale deployment [3][4] Funding and Support - Winners of the CarbonX Program will receive not only funding but also technical resources, expert mentorship, and opportunities to pilot their solutions in climate-vulnerable regions such as Kenya, the Maldives, and Serbia [2][6] - The program aims to create a global ecosystem involving scientists, engineers, entrepreneurs, investors, and industry leaders to support the scaling of climate solutions [4][5] Focus Areas of Innovation - The finalists are working on four key areas: 1. Carbon Dioxide Removal (CDR) with pilots in Kenya to develop cost-effective solutions for removing CO2 [8] 2. Industrial Decarbonization (CCUS for Steel) focusing on reducing lifecycle emissions in steel production with pilots in Serbia [8] 3. Carbon Capture and Utilization (CarbonXmade) transforming captured carbon into consumer products [8] 4. Long-Duration Energy Storage (LDES) validating emerging technologies in the Maldives to support renewable energy expansion [8] Event and Collaboration - The announcement was made at the CarbonX Summit 2025 in Shenzhen, which gathered leaders from business, academia, and policy to discuss how innovation ecosystems can accelerate climate action [7] - The summit emphasized the importance of catalytic finance, inclusive deployment, and multilateral collaboration in achieving the Paris Agreement targets [7]

Group 1: Netflix (NFLX) - Investment Rating: Buy with a target price of 1,319.00 USD, representing a 20.5% upside from the current price of 1,094.69 USD [3][13] - Core Viewpoint: Short-term tax issues and industry consolidation do not alter the long-term growth logic of Netflix, as global users continue to shift towards streaming, with cable TV market share declining [8][9] - 2025 Q3 Performance Summary: Revenue grew 17% year-on-year to 11.51 billion USD, with a diluted EPS increase of 9% to 5.87 USD. Free cash flow rose 21% to 2.66 billion USD [11][12] Group 2: 伟仕佳杰 (856) - Investment Rating: Buy with a target price of 14.8 HKD, indicating a 47.6% upside from the current price of 10.03 HKD [4][18] - Core Viewpoint: The company is deeply engaged in the Asian ICT distribution market, with rapid growth in cloud and AI businesses, projecting a 28% increase in cloud revenue for 2024 [17][18] - Financial Performance: The company has maintained a consistent revenue growth rate of 24% since its listing, with a return on equity (ROE) above 10% for 23 consecutive years [20][22] Group 3: Uranium Industry - Core Viewpoint: The uranium sector is entering a new development cycle driven by increased demand, midstream capacity constraints, and a decrease in secondary supply [34][35] - Investment Opportunities: Companies like Cameco (CCJ) are well-positioned to benefit from the supply-demand imbalance, with a target price of 101 USD and a buy rating [37] - Market Dynamics: The nuclear energy sector contributes significantly to global electricity generation, with uranium demand expected to rise due to geopolitical factors and energy transition policies [35][36]