Investment Rating - The report suggests a positive outlook for companies benefiting from the transition to 800V HVDC systems in AI data centers, recommending a focus on leading companies such as GE Vernova, Siemens Energy, and Hitachi [4][10]. Core Insights - The existing power distribution systems are inadequate for the energy efficiency demands of AI data centers, necessitating a shift to higher voltage architectures [6][9]. - Major technology firms are proposing new power distribution architectures, with NVIDIA planning to transition to 800V HVDC by 2027 to support data center racks exceeding 1MW [4][6]. - High-voltage architectures reduce the number of power conversion devices, improving efficiency and reliability while minimizing operational risks [2][7]. Summary by Sections Current Power Distribution Challenges - Current 54V distribution systems are reaching their limits due to increased power demands, leading to proposals for new architectures from major tech companies [6][9]. - Google's Rack 4 and Meta's High Power Rack are examples of innovative solutions aimed at enhancing power distribution efficiency [6]. Advantages of High-Voltage Architecture - High-voltage systems allow for fewer power racks, optimizing space within data centers and improving overall efficiency [2][7]. - The reduction in power conversion steps enhances reliability and decreases maintenance risks, leading to lower operational costs [2][7]. Technical Challenges - Transitioning to 800V HVDC requires overcoming significant technical hurdles, including safety, new standards, and training for personnel [3][8]. - The lack of established industry standards for high-voltage systems poses challenges for implementation and requires collaboration among stakeholders [3][8]. Future Demand and Investment Opportunities - The shift to 800V HVDC will necessitate substantial investments in electrical products and infrastructure, particularly in the aging U.S. power grid [4][9]. - Companies involved in power generation and transmission are expected to benefit from increased demand driven by the needs of AI data centers [4][10].

Investment Rating - The report provides an "Outperform" rating for several companies in the consumer staples sector, including Moutai, Wuliangye, and Yili, while some companies like Gujing Gongjiu are rated as "Neutral" [1]. Core Insights - The report indicates that among the eight key industries tracked in May 2025, six maintained positive growth, while two experienced negative growth. The industries with single-digit growth include catering, beer, soft drinks, condiments, frozen foods, and dairy products. The declining industries are mass and below-grade white spirits, as well as secondary premium and above-grade white spirits. Compared to the previous month, five industries saw improved growth rates, while three experienced deterioration. Overall consumption remained stable, with soft drinks and beer benefiting from higher national temperatures. The improvement in catering consumption positively impacted upstream condiments and frozen foods, while white spirits weakened due to new official alcohol restriction orders [2][28]. Summary by Category White Spirits - The revenue of China's secondary premium and above-grade white spirits industry in May was 27.5 billion yuan, a year-on-year decline of 2.5%. Cumulative revenue from January to May was 194.5 billion yuan, a decline of 0.1%. Price trends showed more declines than increases, particularly in ultra-premium categories [10][29]. - The mass and below-grade white spirits industry reported revenue of 16.7 billion yuan in May, down 13.0% year-on-year, with cumulative revenue from January to May at 91.9 billion yuan, down 13.7% [12][30]. Beer - The beer industry generated revenue of 15.5 billion yuan in May, reflecting a year-on-year increase of 3.3%. Cumulative revenue from January to May was 76.1 billion yuan, up 0.5%. The industry entered its peak consumption season, with expected gradual recovery in sales growth [14][31]. Condiments - The condiments industry reported revenue of 35.0 billion yuan in May, with a year-on-year growth of 2.8%. Cumulative revenue from January to May was 190.4 billion yuan, growing by 1.6%. Despite short-term growth due to holiday demand, long-term demand remains weak [16]. Dairy Products - The dairy industry achieved revenue of 35.8 billion yuan in May, a year-on-year increase of 1.7%. Cumulative revenue from January to May was 191.8 billion yuan, down 0.2%. The industry is recovering from a low base but has not yet returned to previous levels [18]. Frozen Foods - The frozen food industry reported revenue of 6.1 billion yuan in May, with a year-on-year increase of 1.8%. Cumulative revenue from January to May was 49.2 billion yuan, up 1.4%. Demand is expected to remain low as the industry enters its traditional off-season [20]. Soft Drinks - The soft drink industry generated revenue of 56.0 billion yuan in May, reflecting a year-on-year increase of 3.1%. Cumulative revenue from January to May was 291.6 billion yuan, up 2.4%. The industry is benefiting from seasonal demand, although price competition remains intense [22]. Catering - The catering industry reported total revenue of 14.0 billion yuan in May, a year-on-year increase of 3.7%. Cumulative revenue from January to May was 71.1 billion yuan, up 2.8%. The industry saw a recovery in demand driven by holiday periods, although overall performance remains low [24].

Investment Rating - The report maintains an "Outperform" rating for the company [2][15]. Core Insights - The company's revenue in Q1 2025 was Rmb328 million, reflecting a year-over-year decline of 9.2% and a quarter-over-quarter decline of 36.2%. However, gross profit improved to Rmb77 million, with a gross profit margin of 23.5%, which is an increase of 11.17 percentage points year-over-year [3][13]. - The decline in revenue was primarily due to a drop in shipments of automotive ADAS LiDAR caused by a customer solution switch, while the overall margin improvement was driven by the high-margin Robotics segment [3][14]. - The company expects the EM series to reverse the growth slowdown in the automotive ADAS LiDAR segment, with new product launches anticipated to drive growth [4][14]. - The Robotics segment showed significant growth, with revenue increasing by 87.0% year-over-year in Q1 2025, indicating strong demand and potential for further expansion [5][14]. - The company forecasts revenues of Rmb2.366 billion, Rmb3.118 billion, and Rmb5.195 billion for 2025, 2026, and 2027, respectively, with an expected EPS of -0.42, 0.18, and 1.36 for the same years [6][15]. Summary by Sections Financial Performance - Q1 2025 revenue was Rmb328 million, down 9.2% YoY and 36.2% QoQ, with a gross profit of Rmb77 million and a gross margin of 23.5% [3][13]. - The net loss for the quarter was Rmb99 million, a decrease of 25.0% YoY and 24.3% QoQ, with a net margin of -30.1% [3][13]. Business Segments - The automotive ADAS LiDAR segment faced challenges with a revenue drop of 25.2% YoY, while the Robotics segment saw a revenue increase of 87.0% YoY [4][5]. - The company launched new products aimed at the Robotics market, which are expected to contribute significantly to revenue growth [5][14]. Future Outlook - The company anticipates a ramp-up in production for the EM series in Q4 2025, which is expected to help recover growth in the ADAS segment [4][14]. - The overall revenue growth is projected to accelerate, particularly in the Robotics segment, which is expected to see multiple-fold growth in 2025 [5][6].

Investment Rating - The report rates the industry as "Overweight" [1][4] Core Insights - Northern thermal power shows resilience with significant profit growth, while hydropower maintains stable performance. Green energy faces pressure on earnings due to dual impacts of wind conditions and electricity prices, while nuclear power's profitability is affected by electricity pricing [1][2][4] Summary by Sections Northern Thermal Power - The report highlights that the profitability of northern thermal power plants is growing faster than that of southern plants, with a median net profit growth rate of 8% for national thermal power companies in Q1 2025. The median PE ratios for thermal power companies have decreased from 15.7 in Q1 2023 to 10.4 in Q1 2025, indicating a declining market focus on this sector [8][10][9] - The report anticipates a recovery in thermal power performance in Q2 2025 following a significant drop in electricity generation in Q1 2025 due to a warm winter [10][14] Hydropower - Hydropower companies have shown strong earnings growth, with a median net profit growth rate of 26% in Q1 2025, driven by optimized water storage and scheduling. The median PE ratios for hydropower companies have fluctuated, reaching 18.8 in Q1 2024 before slightly declining to 18.1 in Q1 2025 [19][20][22] - The report notes that the El Niño phenomenon is expected to positively influence water inflow during the main flood season in 2024, while the situation for 2025 remains uncertain as the climate shifts to a La Niña phase [19][20] Green Energy - Green energy companies are experiencing a decline in net profit growth, with median growth rates of -12% in 2024 and -4% in Q1 2025. The sector is facing challenges from falling electricity prices and poor wind conditions, leading to a situation where revenue is increasing but profits are not [2][4] - The report predicts a recovery in green energy performance in 2025, with an expected median net profit growth rate of around 12% as wind utilization hours improve [2][4] Nuclear Power - The nuclear power sector is experiencing mixed performance, with major companies like China Nuclear Power and China General Nuclear Power facing different challenges. The report indicates that profitability for China Nuclear Power is expected to decline significantly in 2024 due to accounting policy changes and tax implications, while China General Nuclear Power's profits are only slightly increasing despite new capacity coming online [2][4][5]

Investment Rating - The report assigns an "Overweight" rating to the pharmaceutical industry, specifically for pharmaceutical manufacturing and pharmaceutical services [1][2]. Core Insights - Continuous attention is recommended for innovative drugs with rising prosperity, as evidenced by the record number of 73 oral reports on Chinese innovative drug assets at the 2025 ASCO annual meeting [2][36]. - The Chinese innovative drug sector is experiencing a significant demand from multinational corporations (MNCs), which is reflected in the increasing number of overseas business development (BD) transactions [36]. - The pharmaceutical sector outperformed the market in May 2025, with the SW Pharmaceutical and Biological sector rising by 6.4%, ranking first among Shenwan's primary industries [15][37]. Summary by Sections Investment Highlights - The report highlights a portfolio of A-Shares including Jiangsu Heng Rui Medicine, Huadong Medicine, Sichuan Kelun Pharmaceutical, and others, indicating a focus on companies with strong growth potential [2][5]. - The report notes that the pharmaceutical sector's premium level relative to all A-Shares is currently at a normal level, with a relative premium rate of 87.88% as of the end of May 2025 [28][37]. Performance Analysis - In May 2025, the pharmaceutical sector's performance was ranked first, with individual stock gains led by Staidson Beijing BioPharmaceuticals (+145.4%) and Sunshine Guojian Pharmaceutical (+99.4%) [15][37]. - The report also details the performance of the Hong Kong and U.S. pharmaceutical sectors, noting that the Hong Kong stock pharmaceutical sector outperformed the market while the U.S. sector underperformed [38]. Market Trends - The report emphasizes the upward trend in the innovative drug market, with traditional pharmaceutical companies emerging from centralized procurement challenges and entering a phase of profitability [36]. - The report indicates that the biopharmaceutical sector's sub-sectors, such as chemical raw materials and biological products, have shown strong performance, with increases of 10.5% and 7.3% respectively [20][37].

宏观研究 /[Table_Date] 2025.06.02 日本超长债：为何利率明显上行 [Table_Authors] 王宇晴(分析师) 海外经济政策跟踪 本报告导读： 近期日本超长债利率明显上升，或主要受日本财政宽松倾向加剧市场对长债供给冲 击和财政可持续性担忧、日本国内机构超长债配置需求偏弱、以及 20 年期国债拍卖 遇冷影响。不过当前日元套息交易规模或相对较小，对全球流动性带来的外溢冲击 或相对可控。 投资要点： 登记编号 S0880525040119 宏 观 研 究 证 券 研 究 报 告 请务必阅读正文之后的免责条款部分 宏 观 周 报 021-38676666 梁中华(分析师) 021-38676666 登记编号 S0880525040019 [Table_Summary] 2025-06-02 日本超长债：为何利率明显上行？近期日本超长债利率明显上升， 收益率曲线也明显变陡。背后或主要存在以下几方面的原因：首先， 在关税影响下日本财政扩张倾向增加了市场对债券供给冲击的担 忧。其次，2025 年以来日本国内机构对超长债需求较为疲弱。此外， 日本国债拍卖遇冷或也催化了市场对超长债供需失衡的悲观情绪 ...

——2025 年下半年港股策略展望 本报告导读： ①历史上每轮行情都有主导产业，如 05-07 地产、12-15 科创、19-21 新能源，当前 新旧动能转换中，AI 产业周期或引领港股向上。②基本面：资本开支高增、汇聚稀 缺资产的港股科技更受益于 AI 产业叙事，业绩有望加速释放。③资金面：南下大幅 流入背景下定价权强化，未来仍有增量空间，低位配置中国资产的外资逐渐改善中。 ④未来贸易环境虽对港股仍有扰动，不过政策发力驱动基本面修复，下半年继续看 好港股，结构上恒生科技更优。 投资要点： 恒生科技牛 [Table_Authors] 吴信坤(分析师) 登记编号 S0880525040061 策 略 研 究 证 券 研 究 报 告 策略研究 /[Table_Date] 2025.06.02 2025-06-02 请务必阅读正文之后的免责条款部分 海 外 策 略 研 究 021-38676666 杨锦(分析师) 021-38676666 登记编号 S0880525040083 余培仪(分析师) 021-38676666 登记编号 S0880525040084 [Table_Summary] 历史上每一轮行情都有主 ...

Investment Rating - The report assigns an "Outperform" rating to Huali Industrial Group, indicating an expected total return over the next 12-18 months that exceeds the relevant market benchmark by more than 10% [19]. Core Insights - Huali Industrial Group is expanding its global production capacity, focusing on major clients such as NIKE, VANS, and Deckers Group, with significant growth in new client orders, particularly after entering the ADIDAS supply chain [2][7]. - The company plans to increase its factory count from 16 in 2023 to 20 in 2024, with a total workforce of 170,000 and an expected annual shipment volume of 223 million pairs of shoes, reflecting a year-on-year increase of over 17% [6][11]. - Huali's production capacity is primarily located in Vietnam, leveraging low-cost labor and tax incentives, with plans for new factories in Indonesia and China to enhance production resilience and meet diverse customer needs [8][10]. Summary by Sections Production Capacity and Client Focus - The production capacity structure is configured around major clients, with NIKE as the top client, followed by VANS and Deckers Group. The company is in a rapid growth phase after entering the ADIDAS supply chain, indicating broad future potential [2][7]. - Huali has established a significant production base in Vietnam, with an annual capacity exceeding 200 million pairs of shoes, and is expanding into Indonesia and China to diversify regional risks [8][10]. Supply Chain Management - Huali maintains a rigorous supply chain management system, with raw material procurement costs accounting for over half of total operating costs. The company emphasizes timely delivery and standardized procurement processes to ensure production stability [9][10]. - The management is actively optimizing the customer structure by accepting orders from emerging brands, which helps reduce customer concentration and enhance overall order quality and pricing power [10]. Financial Outlook - The gross margin may face pressure in the short term due to the ramp-up period associated with new factory openings, but it is expected to rebound to high levels in the medium to long term as worker efficiency and production capacity utilization improve [11].

Investment Rating - The report assigns an "Outperform" rating to multiple companies in the discretionary consumption sector, including Nike, Midea Group, and Anta Sports, among others [1]. Core Insights - The gold and jewelry sector continues to show strong performance, while cosmetics and snacks are experiencing adjustments [1][4]. - Most sectors within discretionary consumption are currently valued below their historical five-year averages, indicating potential investment opportunities [6][11]. Sector Performance Review - Weekly performance rankings: Luxury Goods > Gambling > Credit Card > U.S. Hotel > Sportswear > Pet > Cosmetics > Snacks, with only cosmetics and snacks underperforming compared to the MSCI China index [4][14]. - Monthly performance rankings: Luxury Goods > Gambling > U.S. Hotel > Sportswear > Pet > Credit Card > Cosmetics > Snacks, with luxury goods and gambling outperforming the MSCI China index [15]. - Year-to-date performance rankings: Luxury Goods > Pet > Cosmetics > Snacks > Credit Card > U.S. Hotel > Sportswear > Gambling, with luxury goods and pets outperforming the MSCI China index [16]. Sector Valuation Analysis - As of May 30, 2025 expected P/E ratios for various sectors are as follows: Sportswear at 15.4 (76% of five-year average), Luxury Goods at 21.7 (61%), Gambling at 14.8 (24%), Cosmetics at 35.6 (88%), Pet at 48.4 (49%), Snacks at 24.3 (37%), U.S. Hotel at 28.7 (18%), and Credit Card at 32.0 (61%) [6][11][18]. - The only sector with a 2025 EV/EBITDA higher than its historical five-year average is cosmetics [11][18].

Investment Ratings - The report assigns an "Outperform" rating to multiple companies including Pop Mart, Anta Sports, Haidilao, and Midea Group, while Budweiser Asia is rated "Neutral" [1]. Core Insights - The report highlights significant growth in the F&B sector, with Chagee reporting a total net income of 3.39 billion RMB for Q1 2025, a year-on-year increase of 35.4% [5]. - Pop Mart has suspended sales of its Labubu products in the UK due to safety concerns following incidents of violence [5]. - Miniso has launched its original IP "Gift Family," aiming to engage urban youth through immersive experiences [5]. - Cotti Coffee has commenced operations at its Phase II roasting project, which is the largest single roasting facility in Asia with an annual capacity of 75,000 tons [5]. - The home appliance industry has seen a trade-in initiative that generated sales of 174.5 billion RMB from January to April 2025 [5]. Weekly Performance Summary - In the F&B sector, Nayuki's Tea saw a weekly increase of 9.7%, while Chagee and Tongqinglou both decreased by 5.4% [6]. - In the designer toys sector, Pop Mart had a slight increase of 0.3%, while Miniso experienced a decline of 6.9% [6]. - The home appliance sector showed JS Global Life and Vatti with increases of 1.0% and 0.5% respectively, while Ecovacs and Roborock both decreased by 6.4% [6].