Investment Rating - The report assigns a "Buy" rating for the company with a target price of $125.00, indicating a potential upside of 23.44% for the US stock and 21.64% for the HK stock [1]. Core Insights - The company's revenue growth is driven by Blizzard games, with a notable increase in PC game revenue, while mobile game revenue is anticipated to improve with new product launches [2][3]. - The forecasted revenue CAGR for the company from 2025 to 2027 is 11.4%, with Non-GAAP net profit CAGR expected at 10.5% [2]. Financial Performance Summary - Total revenue for the fiscal year ending December 31 is projected to grow from $14,232 million in 2023 to $17,966 million by 2027, reflecting a compound annual growth rate (CAGR) of 6.2% [2]. - Non-GAAP net profit is expected to increase from $4,485 million in 2023 to $5,633 million in 2027, with Non-GAAP earnings per ADS rising from $6.9 to $8.5 over the same period [2]. - The company achieved a GAAP net profit of 87.7 billion RMB in Q4 2024, a year-on-year increase of 33.2%, exceeding Bloomberg consensus estimates [2]. Game Segment Performance - The revenue from games and related value-added services grew by 1.5% year-on-year to 212.4 billion RMB, with PC game revenue increasing by 56.6% to 71.3 billion RMB, driven by titles like "World of Warcraft" and "Hearthstone" [2]. - Mobile game revenue, however, declined by 10.5% to 134 billion RMB due to a lack of new product releases, but upcoming titles are expected to boost this segment [2]. Other Business Segments - Youdao is projected to achieve its first profitable year in 2024, with revenue expected to grow by 4.4% to 56.3 billion RMB, driven by AI subscription services [2]. - Cloud Music's revenue for 2024 is forecasted to reach 79.5 billion RMB, with a year-on-year growth of 1.1%, supported by increased subscription revenue and cost control measures [2].

Investment Rating - The report initiates coverage with a "Buy" rating and sets a target price of HKD 125.6, indicating a potential upside of 17.2% from the current price [2][3]. Core Insights - The report highlights that Pop Mart is a leading player in the Chinese trendy toy market, with a comprehensive business model that spans from IP incubation to brand operation, demonstrating strong growth potential in both domestic and international markets [1][2][19]. - The company achieved a revenue of CNY 6.301 billion in 2023, reflecting a year-on-year growth of 36.5%, with a total registered membership of 34.35 million [1][4]. - The global trendy toy market is projected to grow from USD 19.8 billion in 2019 to USD 41.8 billion by 2024, with a compound annual growth rate (CAGR) of 16.1% [21][22]. Company Overview - Pop Mart was established in 2010 and has evolved into a leading cultural and entertainment company in China, focusing on trendy toys and IP development [6][19]. - The company operates a fully integrated platform covering the entire trendy toy industry chain, connecting niche designers with a broad consumer base [1][31]. Financial Performance - The report forecasts the company's net profit for FY24, FY25, and FY26 to be CNY 2.726 billion, CNY 3.961 billion, and CNY 5.216 billion, respectively, indicating significant growth [2][4]. - The company’s revenue is expected to exceed CNY 10 billion in 2024, showcasing robust growth momentum [6]. Market Dynamics - The Chinese trendy toy market is still in its early stages, with a projected market size of CNY 764 billion by 2024 and CNY 1.101 trillion by 2026, reflecting a CAGR of 20% [20][23]. - Pop Mart holds a market share of 8.5% in the Chinese trendy toy market, positioning it as the largest brand in the sector [24]. IP Strategy - The core of Pop Mart's business model is its IP strategy, which includes self-owned, exclusive, and non-exclusive IPs, with a total of 93 IP images as of mid-2024 [7][33]. - The company has successfully launched several popular IPs, such as MOLLY and SKULLPANDA, which have shown strong sales performance [35][36]. Supply Chain and Innovation - Pop Mart has developed a responsive and innovative supply chain system, reducing inventory turnover days from 133 to 101 days in 2024 [43]. - The company emphasizes material and process innovation, enhancing product quality and design capabilities [44]. Distribution Channels - The company has established a comprehensive online and offline distribution network, with a total of 2,789 stores as of mid-2024 [50]. - Offline channels contribute 52% of revenue, while online channels account for 29%, indicating a balanced sales strategy [50].

Investment Rating - The report assigns a positive investment rating to Amer Sports, indicating strong growth potential in the leisure goods industry [4]. Core Insights - Amer Sports reported a 23% revenue growth in Q4 2024, reaching $1.64 billion, with significant contributions from Technical Apparel, Outdoor Performance, and Ball & Racquet Sports segments [4][5]. - The company experienced a gross margin increase of 3.7 percentage points to 56.1%, driven by optimized business and product mix, as well as lower discount rates [5]. - For the full year 2024, Amer Sports achieved an 18% revenue growth to $5.18 billion, with notable increases in various segments and a significant reduction in leverage ratio from over 5 times to 1 time [5][11]. Revenue Growth by Segment - **Technical Apparel**: Revenue grew 33% to $750 million, primarily driven by the Arc'teryx brand, with DTC expansion increasing by 44% [6]. - **Outdoor Performance**: Revenue increased 13% to $590 million, benefiting from strong growth in Salomon brand products, particularly in the DTC channel [7]. - **Ball & Racquet Sports**: Revenue accelerated to a 22% growth, reaching $290 million, supported by strong performance in Tennis 360 [8]. Financial Overview - The company reported a net profit increase of 135% to $73 million for the full year, with a significant improvement in operating profit margin [5][11]. - For Q1 2025, revenue is expected to grow by 14%-16%, with a gross margin forecasted between 56.5%-57.0% [11]. - For the full year 2025, revenue growth is projected at 13%-15%, with an expected operating profit margin of 11.5%-12.0% [11]. Store Expansion Plans - Amer Sports plans to open 25-30 new Arc'teryx stores and increase Salomon stores in Greater China by 100 [12].

Investment Rating - The report initiates coverage with a "Buy" rating and sets a target price of HKD 125.6, indicating a potential upside of 17.2% from the current price [2][3]. Core Insights - The report highlights that the company, Pop Mart, is a leading player in the Chinese trendy toy market, with a comprehensive operational platform covering the entire industry chain from IP incubation to brand operation [1][6]. - The company has demonstrated strong revenue growth, with a projected net profit of RMB 27.3 billion, RMB 39.6 billion, and RMB 52.2 billion for FY24, FY25, and FY26 respectively [2][4]. - The global trendy toy market is rapidly expanding, with a forecasted growth from USD 198 billion in 2019 to USD 418 billion by 2024, driven by rising disposable incomes and the successful incubation of quality trendy toy IPs [1][22]. Company Overview - Pop Mart was established in 2010 and has evolved into a leading cultural and entertainment company in China, focusing on trendy toys and IP development [6][19]. - The company has achieved significant revenue growth over the past three years, with revenues of RMB 44.9 billion, RMB 46.2 billion, and RMB 63.0 billion from 2021 to 2023 [6][20]. - As of mid-2024, Pop Mart operates 2,789 stores, including 2,563 in mainland China and 226 in Hong Kong, Macau, and overseas [6][50]. Market Dynamics - The Chinese trendy toy market is still in its early stages, with a projected market size of RMB 764 billion by 2024 and RMB 1,101 billion by 2026, reflecting a compound annual growth rate (CAGR) of 20% [20][23]. - The report notes that the market is characterized by a low concentration of players, with Pop Mart holding a market share of 8.5% in 2019, making it the largest brand in the sector [24][30]. - The company is actively expanding its overseas presence, with expectations that international business could account for over 50% of its revenue by 2025, focusing on markets in Europe, the United States, Japan, South Korea, and Southeast Asia [24][29]. IP Strategy - Pop Mart's core business model revolves around an integrated platform that connects artists and consumers, facilitating the commercialization of IP products [31][32]. - The company has successfully incubated multiple popular IPs, including MOLLY, SKULLPANDA, and DIMOO, with a total of 93 IP images as of mid-2024 [7][35]. - The report emphasizes the importance of continuous IP operation and channel development as key competitive advantages for the company [31][33]. Financial Performance - The company's revenue for FY2023 was RMB 63.01 billion, representing a year-on-year growth of 36.5% [1][4]. - The report provides a detailed financial summary, projecting significant growth in operating profit and net profit over the next few years, with FY2024 expected to see a 94.1% increase in revenue [4][6]. - The company has also improved its inventory turnover days, reducing from 133 days at the end of 2023 to 101 days in mid-2024, indicating enhanced operational efficiency [43].

Investment Rating - The report assigns a "Hold" rating for the company with a target price of $65.00, representing a potential upside of 13.4% from the current price of $57.30 [4][5]. Core Insights - The company is expected to achieve significant revenue growth, with projected revenues of RMB 61.1 billion in 2025, reflecting a 14.5% increase from 2024 [3][5]. - Non-GAAP net profit is forecasted to reach RMB 19.0 billion in 2025, showing a modest growth of 5.4% compared to 2024 [3][5]. - The company is experiencing robust domestic travel demand while also seeing a strong recovery in international travel, with outbound travel expected to grow significantly due to increased flight availability and relaxed visa processes [5][6]. - The report highlights the potential for inbound tourism growth, particularly from countries with visa-free access to China, with a projected booking increase of over 100% year-on-year [5][6]. Financial Summary - For the fiscal year ending December 31, 2023, the company reported revenues of RMB 44.5 billion, a 122.2% increase year-on-year, and a non-GAAP net profit of RMB 9.5 billion, up 635.5% [3][6]. - The company’s gross margin is expected to stabilize around 81% in the coming years, with operating profit margins projected to remain around 24% [6][9]. - The balance sheet shows total assets of RMB 219.1 billion in 2023, with total liabilities of RMB 96.1 billion, indicating a healthy equity position [7][10]. Business Segments Performance - The company’s revenue from accommodation bookings, transportation ticketing, and vacation packages is expected to grow by 25.2%, 10.1%, and 38.1% respectively in 2024 [5][6]. - The international business segment, particularly Trip.com, is anticipated to contribute significantly to revenue, with a projected 70% year-on-year growth in Q4 2024 [5][6]. Market Outlook - The report emphasizes the strategic positioning of the company in emerging markets, aiming for market share growth despite potential short-term profit pressures due to international expansion [5][6]. - The company is expected to benefit from macroeconomic factors such as increased consumer spending in the tourism sector, supported by government initiatives like consumption vouchers [5][6].

Investment Rating - The report assigns a "Buy" rating for Alibaba with a target price of $156.00, representing a potential upside of 16% from the current price of $134.01 [3][4]. Core Insights - The report emphasizes that Alibaba's long-term value is driven by its investments in AI and cloud infrastructure, with a planned investment of RMB 380 billion over the next three years [4]. - The restructuring of Alibaba's e-commerce business is expected to enhance operational efficiency and focus on strategic growth in both domestic and international markets [4]. - The report highlights significant growth in revenue and profit, with a projected increase in operating profit and earnings per share over the next few years [3][4]. Financial Summary - For the fiscal year ending March 31, 2023, Alibaba reported total revenue of RMB 868.69 billion, with a year-on-year growth of 2% [3]. - Operating profit for FY2023 was RMB 100.35 billion, with a significant increase of 44.1% year-on-year [11]. - The net profit for FY2023 was RMB 65.57 billion, reflecting a year-on-year growth of 39.3% [11]. - The forecast for FY2025 projects total revenue to reach RMB 1,004.55 billion, with operating profit expected to be RMB 143.68 billion [3][11]. - The report anticipates a substantial increase in earnings per share, projected to be RMB 7.5 in FY2025, up from RMB 3.4 in FY2023 [3][11]. Business Segments Performance - The e-commerce segment, including Taobao and Tmall, is expected to generate significant revenue, with a forecast of RMB 467.89 billion for FY2026 [9]. - Alibaba Cloud is projected to continue its growth trajectory, with revenue expected to reach RMB 134.06 billion by FY2026, benefiting from increasing demand for AI services [9]. - The report notes that the international e-commerce segment has shown a robust growth of 32% year-on-year, although it still faces challenges in profitability [4][9].

Investment Rating - The report does not explicitly state an investment rating for Tencent Holdings [1]. Core Insights - Tencent has launched the "Lightning War" plan in February 2025, integrating the DeepSeek-R1 model into over ten core products, enhancing search, office, and customer service capabilities [3][4]. - The restructuring of Tencent's AI products into the Cloud and Smart Industry Group (CSIG) aims to leverage B-end technology capabilities with C-end product scenarios, enhancing competitive differentiation in the AI market [4]. - Prosus has reduced its stake in Tencent to 23.89% as of February 21, 2025, and plans to continue reducing its holdings, which may impact Tencent's stock performance [5]. - The game "Peacekeeper Elite" has integrated DeepSeek technology, allowing players to interact with a digital spokesperson for real-time tactical guidance, marking a significant application of AI in gaming [6]. Summary by Sections Company Overview - Tencent's current stock price is 497 HKD, with a market capitalization of 4.56 trillion HKD and a total share capital of 9.179 billion [2]. AI Integration - Tencent's AI capabilities are being integrated into various products, including WeChat and QQ Browser, with features like intelligent assistants and enhanced search functionalities [3][4]. Shareholding Changes - Prosus has reduced its holdings in Tencent, which may lead to a decrease in stock price, but Tencent's stock buyback plans and AI business growth could mitigate this impact [5]. Gaming Sector - The integration of DeepSeek technology into "Peacekeeper Elite" represents a significant advancement in AI application within the gaming industry, enhancing user interaction and experience [6].

Investment Rating - The report does not explicitly state an investment rating for Tesla (TSLA) [2]. Core Insights - Tesla is focusing on internal development for its autonomous taxi platform, as indicated by Uber's CEO, who mentioned that Tesla is not interested in utilizing the Uber platform for this purpose [3]. - The Shanghai factory has officially started mass production of the new Model Y, with the first deliveries expected to begin at the end of February, ahead of the previously scheduled March timeline [4]. - Tesla is making progress in entering the Indian market, with plans to start sales in major cities by Q3 2025, following discussions between Elon Musk and Indian Prime Minister Narendra Modi [5]. - WattEV has announced an agreement to purchase 40 Tesla Semi trucks by 2026, highlighting the demand for electric heavy-duty trucks [6]. - The Netherlands is set to build its largest battery storage facility powered by Tesla's Megapack, with a capacity of 1.4 GWh, expected to be operational by 2027 [9]. Summary by Sections Electric Vehicles - Tesla's Shanghai factory has begun production of the new Model Y, with the first deliveries now scheduled for late February [4]. - Tesla is advancing its entry into the Indian market, planning to sell vehicles in major cities by Q3 2025 [5]. - Tesla's domestic insurance data shows approximately 7,450 vehicles insured from February 10 to February 16, 2025, marking a 57% quarter-over-quarter decline but a 187% year-over-year increase [10]. Market Developments - Uber's CEO stated that Tesla prefers to develop its autonomous taxi platform internally rather than collaborating with Uber [3]. - WattEV has committed to purchasing 40 Tesla Semi trucks, with the first two expected to be deployed in 2025 [6]. - The Netherlands is constructing a significant battery storage facility utilizing Tesla's Megapack technology, with a total capacity of 1.4 GWh [9].

Investment Rating - The report does not explicitly state an investment rating for the company [2]. Core Insights - Tesla is focusing on internal development for its autonomous taxi platform, as indicated by Uber's CEO, who noted that Tesla's approach has significant economic implications [3]. - Tesla's Shanghai factory has officially started mass production of the new Model Y, with the first deliveries expected to begin at the end of February 2025, ahead of the original schedule [4]. - Tesla is making progress in entering the Indian market, with plans to start sales in major cities by Q3 2025, following discussions between Elon Musk and Indian Prime Minister Narendra Modi [5]. - WattEV has announced an agreement to purchase 40 Tesla Semi trucks by 2026, highlighting the vehicle's efficiency and suitability for heavy-duty electric freight [6]. - The Netherlands is set to build its largest battery storage facility using Tesla's Megapack technology, with a capacity of 1.4 GWh, expected to be operational by 2027 [9]. - Tesla's domestic insurance registrations for the week of February 10-16, 2025, were approximately 7,450 vehicles, showing a year-over-year increase of about 187% [10]. Summary by Sections Electric Vehicles - Tesla's Shanghai factory has begun production of the new Model Y, with first deliveries now scheduled for late February 2025 [4]. - Tesla is advancing its entry into the Indian market, planning to sell vehicles in major cities by Q3 2025 [5]. - WattEV has committed to purchasing 40 Tesla Semi trucks, emphasizing their market-leading range and efficiency [6]. Battery Storage - The Netherlands will construct its largest battery storage facility using Tesla's Megapack, with a capacity of 1.4 GWh, expected to be operational by 2027 [9]. Delivery Data - Tesla's domestic insurance registrations for the week of February 10-16, 2025, were approximately 7,450 vehicles, reflecting a year-over-year increase of about 187% [10].

Investment Rating - The report assigns a positive outlook on Block, Inc. with expectations of growth acceleration despite existing challenges [2][10]. Core Insights - Block, Inc. reported a total gross profit of $2.31 billion for Q4 2024, reflecting a year-over-year increase of 14%, with adjusted EBITDA rising by 35% to $757 million, driven by cost control and operational leverage [4]. - The company aims for a 15% gross profit growth for the full year, with confidence in new product launches and marketing investments in the second half of 2025 [4]. - Square's gross payment volume (GPV) grew by 10% year-over-year to $59 billion, with international business showing a robust 24% growth [5]. - Cash App's monthly active users (MAU) remained stable at 57 million, with a notable increase in high-value users and a 10% year-over-year rise in average revenue per user (ARPU) to $76 [5]. Summary by Sections Financial Performance - For Q4 2024, Block's total gross profit reached $2.31 billion, up 14% year-over-year, while adjusted EBITDA was $757 million, marking a 35% increase [4]. - The company projects a gross profit growth of 15% for 2025, with management expressing confidence in achieving this target [4]. Business Segments - Square's gross profit increased by 12% to $924 million, while Cash App's gross profit rose by 16% to $1.38 billion [4]. - Square's GPV for Q4 2024 was $59 billion, with international operations growing at 24% [5]. Growth Catalysts - Block has initiated its Bitcoin mining business, with plans for mass production of its mining machines by the end of 2025, targeting a 5% market share in North America [6]. - The company plans to enhance the integration between merchants and Cash App, offering cashback incentives and targeted promotions [7]. - The adjusted operating profit target for 2025 is set at $2.1 billion, reflecting a 31% year-over-year increase, supported by AI-driven risk control systems [8].