Valuation Summary - The overall valuation of the A-share market shows that the CSI All Share Index (excluding ST stocks) has a PE of 21.0x and a PB of 1.8x, positioned at the 77th and 38th historical percentiles respectively [2] - The Shanghai 50 Index has a PE of 11.8x and a PB of 1.3x, at the 63rd and 42nd percentiles [2] - The ChiNext Index has a PE of 39.2x and a PB of 5.1x, at the 30th and 56th percentiles [2] - The STAR 50 Index has a PE of 149.7x and a PB of 5.9x, at the 95th and 62nd percentiles [2] Industry Valuation Comparison - Industries with PE valuations above the 85th percentile include Real Estate, Retail, Chemical Pharmaceuticals, and IT Services [2] - Industries with PB valuations above the 85th percentile include Electronics (Semiconductors) and Communications [2] - The Medical Services industry has both PE and PB valuations below the 15th percentile [2] Industry Midstream Sentiment Tracking New Energy - In the photovoltaic sector, upstream polysilicon futures prices increased by 7.0%, while the average price of silicon wafers fell by 3.1% [2] - Battery materials saw cobalt prices rise by 1.1% and nickel by 2.4%, with lithium hexafluorophosphate prices increasing by 6.7% [2] - Wind and solar power installations from January to October 2025 increased by 52.9% and 39.5% year-on-year, respectively [2] Financial Sector - Insurance premiums from January to October 2025 grew by 8.0% year-on-year, with a slight deceleration compared to the previous nine months [2] Real Estate Chain - The price of rebar increased by 0.9%, while the price index for cement fell by 0.7% [2] - Glass prices rose by 1.5% for spot prices and 5.7% for futures [2] Consumer Sector - The average price of live pigs decreased by 3.9%, while the wholesale price of pork fell by 0.4% [2] - The price index for liquor saw a slight increase of 0.04% [2] Midstream Manufacturing - The value of overseas contracted engineering projects increased by 7.9% year-on-year from January to October 2025 [2] Cyclical Industries - The price of Brent crude oil futures rose by 1.1% to $63.19 per barrel [2] - The Baltic Dry Index (BDI) increased by 12.5% [2]

Investment Rating - The industry investment rating is positive, with core targets in the self-consumption sector (including gaming companies like Giant Network, Huatuo, and Kaiying, as well as Pop Mart, Cloud Music, and Damai) currently trading at a PE ratio of less than 20x for 2026, indicating a high safety margin [4][3]. Core Insights - The report emphasizes the structural consumption dividend from young domestic users willing to pay for enjoyment, driven by globalization leading to a second growth curve. It suggests focusing on current layout opportunities [4][3]. - In the gaming sector, the report highlights the underestimation of the potential in the female-oriented market and the overseas expansion opportunities, with a significant portion of Gen Z users (65%) [5][3]. - For Pop Mart, the market's overly pessimistic expectations regarding single IPs are noted, with expansion in IP and regions (especially in Europe and North America) being crucial for mid-term growth [6][3]. Gaming Sector Summary - The gaming sector is characterized by a youthful demographic, with a significant opportunity in female-oriented games. The report suggests that the market underestimates the long-term operational capabilities of leading companies [5][3]. - Key companies highlighted include Giant Network, Tencent, Century Huatong, and Bilibili, with specific mentions of their upcoming products and growth strategies [5][3]. Toy Industry Summary - Pop Mart's global expansion is noted, with 171 overseas stores as of October 30, including 62 in North America and 28 in Europe. The report anticipates significant sales growth during the holiday season [6][3]. - The report also discusses the importance of extending the lifecycle of IPs and the successful innovation and iteration of products to maintain fan engagement [6][3]. Music Industry Summary - The valuation of Tencent's music companies is highlighted, with an average PE of 17x for 2026. The report indicates that the market is underestimating the potential for subscription-based revenue from young users [7][3]. - It contrasts Tencent's focus on premium content and community engagement with the low-cost model of competitors, suggesting a stable demand for music consumption [7][3]. Other Notable Companies - The report mentions other entertainment companies like Red Star and the potential for growth in the Hong Kong internet sector, particularly with Alibaba Cloud's AI narrative and the expected benefits from AI applications [8][3]. - The report also notes the ongoing developments in AI technology and its implications for various sectors, including advertising and video content [9][3].

Investment Rating - The report maintains a positive outlook on the metals and new materials industry, indicating a high level of industry prosperity [1]. Core Views - The anticipated interest rate cuts are expected to drive metal prices upward, with a sustained high prosperity trend in the sector [1]. - The report highlights significant price increases in various metals, with precious metals showing a notable rise due to changing monetary policies and increased demand [2][9]. - The report suggests that the valuation of precious metals is at the lower end of historical averages, indicating potential for recovery [2]. Weekly Market Review - The Shanghai Composite Index rose by 1.40%, while the Shenzhen Component Index increased by 3.56%, and the non-ferrous metals index outperformed the CSI 300 by 1.73 percentage points [3]. - Precious metals saw a weekly increase of 4.86%, with aluminum up by 2.46%, and energy metals rising by 0.91% [9]. Price Changes - Industrial metals and precious metals experienced price fluctuations, with LME copper prices increasing by 3.82% and COMEX gold prices rising by 4.77% [2][14]. - Lithium prices also saw an increase, with battery-grade lithium carbonate up by 0.54% [2][18]. Supply and Demand Analysis - For copper, the report notes a decrease in domestic social inventory by 2.1 million tons, indicating a tightening supply [2][32]. - The aluminum sector is experiencing increased demand, with downstream processing enterprises' operating rates rising to 62.30% [2][52]. Key Company Valuations - The report provides valuations for key companies in the industry, with Zijin Mining at 28.58 CNY per share and a PE ratio of 36 [19]. - Other notable companies include Shandong Gold at 36.46 CNY per share with a PE of 72, and Huayou Cobalt at 61.83 CNY per share with a PE of 35 [19].

Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance in the near term [6]. Core Insights - The company has demonstrated consistent profit growth exceeding revenue growth for eight consecutive years, showcasing its operational excellence and resilience [6]. - For the first half of FY2025/26, the company reported a revenue increase of 1.4% to 8.93 billion RMB and a net profit increase of 5.3% to 1.19 billion RMB, aligning with expectations [6][10]. - The company continues to focus on its core business of down jackets, with the main brand experiencing an 8.3% revenue growth, contributing significantly to total revenue [6]. - The company is actively expanding its retail network, with a net increase of 88 stores, bringing the total to 3,558 [6]. Financial Data and Profit Forecast - Revenue projections for FY2024 to FY2028 are as follows: - FY2024: 23.214 billion RMB - FY2025: 25.902 billion RMB - FY2026E: 28.465 billion RMB - FY2027E: 31.272 billion RMB - FY2028E: 34.210 billion RMB - The expected net profit for the same period is: - FY2024: 3.074 billion RMB - FY2025: 3.514 billion RMB - FY2026E: 3.899 billion RMB - FY2027E: 4.340 billion RMB - FY2028E: 4.754 billion RMB - The company’s gross margin is projected to remain stable, with slight fluctuations, and the net profit margin is expected to improve gradually [5][15].

Investment Rating - The report rates the automotive industry as "high" for investment potential [1]. Core Insights - The report suggests that the robotics industry chain companies have seen a price adjustment, leading to lower expectations, while industry advancements continue. Notable developments include Tesla's approval for a significant compensation plan and the upcoming mass production of humanoid robots in 2026. Domestic companies like Yushu are also expected to catalyze growth in the robotics supply chain [4]. - The report recommends focusing on technology-leading companies such as Tesla and Xiaopeng, along with related robotics industry chain companies like Hengbo, Shuanghuan, Longsheng, Fuda, and Yinlun. Companies with strong performance support and relatively low valuations, such as Kebo Da, Xingyu, Jifeng, and Songyuan, are also highlighted for potential growth [4]. - The report notes that the automotive industry index rose by 3.24% this week, outperforming the Shanghai and Shenzhen 300 index, which increased by 1.64%. The automotive sector's performance ranked 11th among primary industries, improving by five positions from the previous week [9][10]. Industry Updates - According to the China Passenger Car Association, the average daily retail sales of passenger cars in the third week of November were 71,000 units, a 7% decrease year-on-year but a 7% increase compared to the previous month [4]. - The report indicates that traditional and new energy raw material price indices have risen recently, with traditional vehicle raw material prices increasing by 0.9% week-on-week and 0.2% month-on-month, while new energy vehicle raw material prices rose by 1.6% week-on-week and 1.4% month-on-month [4]. - The report highlights significant events, including the launch of the Leap Lafa5, a new electric sedan positioned for the global market, with a price range of 92,800 to 116,800 yuan and a focus on appealing to younger consumers [5][27]. Market Performance - The automotive industry recorded a total transaction value of 402.936 billion yuan this week, with a week-on-week decrease of 4.29%. The automotive industry index closed at 7545.76 points, reflecting a weekly increase of 3.24% [4][9]. - A total of 252 automotive stocks rose this week, while 16 fell. The largest gainers included Tianpu Co., Chaojie Co., and Fusa Technology, with increases of 35.3%, 28.4%, and 27.3%, respectively [13]. - The report notes that the automotive industry's price-to-earnings ratio stands at 28.06, ranking 18th among primary industries, indicating a moderate valuation compared to the Shanghai and Shenzhen 300 index [10]. Key Events - The report mentions several strategic partnerships and product launches, including BYD's collaboration with Midea to create a smart living paradigm and Changan Automobile's plans to release its first vehicle-mounted robot in the first quarter of next year [20][21]. - The report also highlights the construction of a joint battery factory by Stellantis and CATL in Spain, with an investment of 4.1 billion euros, indicating a growing reliance on Chinese battery technology in Europe [30].

Group 1: A-Share Valuation Overview - The overall valuation of the A-share market as of November 28, 2025, shows the CSI All Share Index (excluding ST stocks) with a PE of 21.0x and a PB of 1.8x, positioned at the historical 77% and 38% percentiles respectively [2] - The Shanghai 50 Index has a PE of 11.8x and a PB of 1.3x, at the historical 63% and 42% percentiles [2] - The ChiNext Index has a PE of 39.2x and a PB of 5.1x, at the historical 30% and 56% percentiles [2] Group 2: Industry Valuation Comparison - Industries with PE valuations above the historical 85th percentile include Real Estate, Retail, Chemical Pharmaceuticals, and IT Services [2] - Industries with PB valuations above the historical 85th percentile include Electronics (Semiconductors) and Communications [2] - The Medical Services industry has both PE and PB valuations below the historical 15th percentile [2] Group 3: Industry Midstream Economic Tracking - In the New Energy sector, the photovoltaic industry chain is experiencing downward pressure on spot prices, while futures market sentiment remains high [3] - The battery materials sector shows a significant increase in the price of lithium hexafluorophosphate by 6.7%, with a near 200% increase over the past quarter [3] - The financial sector reports an 8.0% year-on-year growth in insurance premium income for the first ten months of 2025, although the growth rate has slowed compared to previous months [3] Group 4: Real Estate Chain Insights - The steel market shows a 0.9% increase in spot prices for rebar, while the cement price index has decreased by 0.7% [3] - The glass market has seen a 1.5% increase in spot prices, indicating a recovery in demand due to expectations of new real estate policies [3] Group 5: Consumer Sector Trends - The average price of live pigs has decreased by 3.9%, while the wholesale price of pork has dropped by 0.4% [3] - The white liquor market shows a slight recovery in wholesale price index, with a 5.1% decrease in the price of Feitian Moutai [3] Group 6: Midstream Manufacturing and Engineering - The foreign contracting engineering business has seen a 7.9% year-on-year growth in completed amounts for the first ten months of 2025, with a robust backlog of orders [3] - The macroeconomic environment has led to a general increase in metal prices, with COMEX gold prices rising by 4.8% [3]

Group 1 - The North Exchange 50 Index increased by 0.75%, while trading volume decreased by 25.68% compared to the previous week [7][18][19] - The technology sector showed signs of recovery, particularly in AI, satellite, robotics, and solid-state industries, although overall market trading volume shrank [7][10] - The North Exchange 50 Index will undergo adjustments on December 15, with three companies, including Development Technology, Gobi Jia, and Wantong Hydraulic, being added [7][10] Group 2 - This week, one new stock, Nant Technology, was listed with a first-day price increase of 183.03%, bringing the total number of listed companies on the North Exchange to 285 [33][34] - The North Exchange's individual stock performance showed 137 stocks rising and 144 falling, resulting in a rise-to-fall ratio of 0.95 [39][40] - The top gainers included Tianrun Technology and Iron Tuo Machinery, while the top losers were Dapeng Industrial and *ST Yunchuang [39][40] Group 3 - The North Exchange's trading volume was 30.36 billion shares, a decrease of 26.14% week-on-week, with a total trading value of 665.70 billion yuan [26][30] - The margin financing balance on the North Exchange was 7.472 billion yuan, down by 289 million yuan from the previous week [30] - The new third board saw eight new listings and 71 delistings, with planned financing of 70 million yuan and completed financing of 45 million yuan [52][54]

Investment Rating - The industry investment rating is "Overweight," indicating a positive outlook for the sector compared to the overall market performance [5][22]. Core Insights - The report highlights that core consumer brands in the gaming and entertainment sectors, such as Giant Network, Huatuo, and Bubble Mart, have reached a price-to-earnings (PE) ratio of less than 20x for 2026, providing a significant safety margin. The structural consumption dividend from young domestic users willing to pay for enjoyment remains intact, suggesting a favorable investment opportunity at this time [5][6]. Summary by Relevant Sections Gaming Sector - The gaming industry is experiencing a demographic shift with Generation Z users accounting for 65% of the market. The potential of female-oriented gaming segments is still underestimated. The overseas market expansion is expected to unlock further growth potential. The report emphasizes the resilience of leading companies in managing product cycles and suggests focusing on Giant Network, which has a strong daily active user (DAU) base and potential for IP development [6][7]. Trendy Toys - Bubble Mart is viewed as having overly pessimistic expectations regarding single IPs. The expansion of IPs and geographical reach (especially in Europe and North America) is seen as a cornerstone for mid-term growth. The company has 171 overseas stores, with significant room for growth in North America and Europe. The report anticipates that the upcoming holiday season will boost sales and social engagement for new IPs [7][8]. Music Sector - The valuation of Tencent's music companies is projected to average a PE of 17x for 2026. The demand for subscription-based music services among young users is stable, and the report suggests that the market is currently undervaluing this segment. It notes a clear segmentation in music consumption, with Tencent focusing on premium content and community engagement, while competitors like Soda Music target the low-cost segment [8][9]. Other Entertainment Companies - The report mentions that companies like Red Child City are expected to show high growth with low PE ratios. The Hong Kong internet sector is also highlighted, with Alibaba Cloud validating AI narratives and anticipating growth from AI applications and chip production [9][10]. AI and Technology Integration - The report discusses the integration of AI in various applications, including advertising and video content. Companies like Tencent and Alibaba are working on enhancing their chatbot capabilities to create a more integrated ecosystem for advertising, e-commerce, and lifestyle services. The potential for AI applications in gaming and robotics is also noted for the years 2026-2027 [10][11].

Investment Rating - The report maintains a "Buy" rating for the company [2] Core Insights - The company reported a 1.4% year-on-year increase in revenue to 8.93 billion RMB for the first half of FY2025/26, with a net profit growth of 5.3% to 1.19 billion RMB, indicating a consistent high-quality growth trend [7] - The company has achieved eight consecutive years of profit growth outpacing revenue growth since its strategic transformation in 2018, showcasing strong operational quality and resilience [7] - The main business segment, down jackets, showed robust growth with an 8.3% increase in revenue to 6.57 billion RMB, accounting for 73.6% of total revenue [7] - The company has a strong retail network expansion, with self-operated and franchise revenues growing by 6.6% and 7.9% respectively [7] Financial Data and Profit Forecast - Revenue projections for FY2024 to FY2028 are as follows: 23.21 billion RMB, 25.90 billion RMB, 28.47 billion RMB, 31.27 billion RMB, and 34.21 billion RMB, with corresponding growth rates of 38%, 12%, 10%, 10%, and 9% [6] - Net profit forecasts for the same period are: 3.07 billion RMB, 3.51 billion RMB, 3.90 billion RMB, 4.34 billion RMB, and 4.75 billion RMB, with growth rates of 44%, 14%, 11%, 11%, and 10% [6] - The company’s gross margin is projected to be around 57.5% to 59.6% over the forecast period [6] Operational Efficiency - The company has significantly improved its operational efficiency, with inventory turnover days reduced by 11 days to 178 days compared to the previous year [7] - Cash and cash equivalents reached approximately 3 billion RMB, with net cash increasing by 38.8% year-on-year to about 10.3 billion RMB [7]

Group 1 - The North Exchange 50 index increased by 0.75%, while trading volume decreased by 25.68% compared to the previous week [6][22][30] - The adjustment plan for the North Exchange 50 and the specialized index will take effect on December 15, with three companies entering the North Exchange 50 index: Kai Fa Technology, Ge Bi Jia, and Wan Tong Hydraulic [11][22] - The market sentiment for the North Exchange has significantly weakened, reflected in the declining trading share and reduced correlation with the Shanghai and Shenzhen indices [11][14][15] Group 2 - This week, one new stock, Nan Te Technology, was listed with a first-day price increase of 183.03%, bringing the total number of listed companies on the North Exchange to 285 [37][38] - The North Exchange's PE (TTM) average is 82.18 times, with a median of 40.60 times, indicating a valuation adjustment in the market [28][29] - The North Exchange's trading volume was 30.36 billion shares, a decrease of 26.14% from the previous week, with a total trading value of 665.70 billion yuan [30][34] Group 3 - In the North Exchange, 137 stocks rose while 144 fell, resulting in a decline ratio of 0.95, with Tianrun Technology and Tietuo Machinery leading the gains [43][45] - The top five stocks by weekly turnover included Dapeng Industrial and Tietuo Machinery, with significant fluctuations in their trading performance [50][51] - The new third board saw eight new listings and 71 delistings this week, with a total of 5,995 companies currently listed [56][58]