Investment Rating - The report assigns a "Buy" rating for the company, Ctrip Group (9961 HK), with a target price of HKD 605.00, indicating a potential upside of 31.0% from the current price of HKD 462.00 [1][4][17]. Core Insights - The report highlights that increased overseas investments may disrupt short-term profit margins, but there remains room for revenue growth. The company is expected to see significant revenue increases driven by domestic hotel bookings and outbound travel demand [2][7][8]. - The financial outlook for Ctrip Group shows a strong revenue growth trajectory, with projected revenues increasing from RMB 44.56 billion in 2023 to RMB 80.58 billion by 2027, reflecting a compound annual growth rate (CAGR) of approximately 18.5% [3][19]. - Adjusted net profit is forecasted to grow from RMB 13.07 billion in 2023 to RMB 24.61 billion in 2027, with a notable increase in earnings per share (EPS) from RMB 19.48 to RMB 35.72 over the same period [3][19]. Financial Overview - Revenue projections for Ctrip Group are as follows: - 2023: RMB 44,562 million - 2024: RMB 53,377 million - 2025E: RMB 62,291 million - 2026E: RMB 71,022 million - 2027E: RMB 80,583 million - The company is expected to maintain a strong gross profit margin, with projections around 80.9% to 81.2% over the forecast period [3][19][20]. - The report anticipates a decline in net profit margin due to increased marketing expenses related to overseas brand promotion, with net profit margins expected to be around 25.9% in 2025 [7][19]. Market Performance - Ctrip Group's stock has shown a year-to-date decline of 14.44%, with a 52-week high of HKD 586.00 and a low of HKD 310.20 [6][8]. - The company has a market capitalization of approximately HKD 297.57 billion, with an average daily trading volume of 9.92 million shares [6][8]. Future Outlook - The report projects that Ctrip Group will continue to benefit from the recovery in travel demand, particularly in outbound travel, which is expected to exceed pre-pandemic levels [7][8]. - The company is also expected to leverage operational efficiencies and advancements in AI to mitigate short-term profit margin pressures [7][8].

Investment Rating - The report does not explicitly state an investment rating for the energy storage industry Core Insights - The energy storage industry is experiencing strong demand driven by the increasing share of renewable energy, which has inherent randomness, intermittency, and volatility, leading to low utilization rates. Energy storage is seen as a crucial solution to this issue [4][6][8] - The report forecasts that by 2025-2030, approximately 190GW of new energy storage capacity will be added in mainland China, which is 2.4 times the current installed capacity. By 2030, the share of storage capacity exceeding 4 hours is expected to reach 50% [2][7][31] - The report highlights that lithium-ion batteries remain the mainstream technology for energy storage due to their cost and technical advantages, but they are limited in safety and duration for long-term storage. Other technologies such as compressed air storage and flow batteries are expected to accelerate commercialization [4][14][26] Summary by Sections Energy Storage Demand and Technology Development - The increasing share of renewable energy, which exceeded 30% in 2024, necessitates the development of new energy storage technologies to address the limitations of traditional pumped storage [4][6][8] - By 2025, the combined generation capacity of wind and solar energy is projected to reach 23% and 35% by 2030, with energy storage capacity expected to rise to 188GW and 366GW respectively, with new energy storage accounting for approximately 65% and 73% [6][7][8] Long-Duration Energy Storage - Long-duration energy storage is becoming a critical need, with expectations that by 2025, the share of storage exceeding 4 hours will increase to 21% and 50% by 2030. The report anticipates over 100GW of new installations in this category over the next five years [26][31] - The report identifies compressed air storage, flow batteries, and molten salt storage as key players in long-duration energy storage, with lithium-ion batteries expected to remain dominant in the short term [26][39][46] Technology Performance and Classification - The report categorizes energy storage technologies into three tiers based on performance metrics such as capacity, safety, and cost. The leading tier includes compressed air storage, flow batteries, molten salt storage, and lithium batteries, while the potential tier includes superconducting storage and hydrogen storage [23][25][39] - Flow batteries are highlighted for their safety, long cycle life, and flexibility, with significant growth expected in their commercial deployment [4][14][39] Policy and Market Dynamics - The report notes that recent policy changes, such as the removal of mandatory energy storage requirements for new renewable projects, may temporarily impact installation demand. However, the long-term need for energy storage remains unchanged due to ongoing issues with curtailment of wind and solar energy [37][39]

Investment Rating - The report maintains a "Buy" rating for 康方生物 (9926 HK) with a target price of 87 HKD, indicating a potential upside of 26.7% from the current price of 68.65 HKD [4][5]. Core Insights - 康方生物 has entered a clinical trial collaboration with Pfizer to explore the potential of combining its PD-1/VEGF dual antibody, 依沃西, with multiple vedotin ADCs from Pfizer for treating various solid tumors. The clinical trials are expected to start in mid-2025, primarily focusing on Phase Ib/II studies [1][3]. - The collaboration is significant as Pfizer has a robust pipeline of vedotin ADCs, which have shown promising preliminary clinical results when combined with PD-1 targeted therapies, suggesting a synergistic anti-tumor effect [2][3]. - 康方生物 is also advancing its clinical trials in multiple indications, including biliary cancer, head and neck squamous cell carcinoma, pancreatic cancer, and triple-negative breast cancer, with several key catalysts expected in 2025 [3]. Summary by Sections - **Clinical Collaboration**: 康方生物's partnership with Pfizer aims to leverage the strengths of both companies in developing innovative cancer therapies, with a focus on the efficacy of 依沃西 in combination with vedotin ADCs [1][3]. - **Pipeline and Milestones**: Key milestones for 康方生物 in 2025 include the readout of the HARMONi trial for EGFR TKI-treated NSCLC, the initiation of the ADC combination trials, and ongoing patient enrollment in important Phase III studies [3]. - **Market Position**: 康方生物 is positioned as a key player in the oncology sector, with a strong emphasis on expanding its clinical development efforts and maintaining a competitive edge in the market [3].

Investment Rating - The report assigns a "Buy" rating for the company, indicating an expectation of total returns exceeding the relevant industry over the next 12 months [6][13]. Core Insights - The company's main business performance remains robust, with a significant profit expectation increase in the second half of the year after excluding impairment losses [2][7]. - The report highlights that despite a decline in total revenue year-on-year due to market pressures, the company benefits from a decrease in raw milk prices, leading to improved gross and operating profit margins [7]. - The company anticipates a profit of RMB 0.5-2.5 billion for 2024, primarily due to impairment provisions related to brand acquisitions, with specific expected impairments of RMB 3.8-4 billion for Bellamy and RMB 0.79-0.9 billion affecting the profit statement [7]. - The company assures that dividend declarations will not be impacted by one-time factors, maintaining a commitment to increase the payout ratio to 50% over the next two years [7]. Financial Overview - Revenue projections for the company are as follows: RMB 92,593 million in 2022, RMB 98,624 million in 2023, with an expected decline to RMB 87,504 million in 2024, followed by a recovery to RMB 91,904 million in 2025 and RMB 96,934 million in 2026 [10]. - Net profit is projected to drop significantly to RMB 244 million in 2024, recovering to RMB 5,078 million in 2025 and RMB 5,853 million in 2026 [10]. - The earnings per share (EPS) is expected to be RMB 1.34 in 2022, declining to RMB 1.22 in 2023, and then dropping to RMB 0.06 in 2024, before rebounding to RMB 1.29 in 2025 and RMB 1.48 in 2026 [10]. - The report indicates a target price adjustment to HKD 20.94, up from HKD 16.04, based on a 15x price-to-earnings ratio for 2025 [7][8].

Investment Rating - The report assigns a "Buy" rating for Baidu (BIDU US) with a target price of $111.00, indicating a potential upside of 23.1% from the current price of $90.16 [4][15]. Core Insights - The report highlights that Baidu's AI cloud services have significantly exceeded expectations, revealing the value of its second growth curve. The company is expected to see gradual improvement in its core advertising business revenue starting in 2025, driven by the results of AI search transformations and accelerated commercialization [2][7][8]. Financial Overview - Revenue (in million RMB) is projected to be 134,598 in 2023, slightly decreasing to 133,125 in 2024, and then increasing to 137,420 in 2025, with a growth rate of 3.2% [3][17]. - Net profit is expected to decline from 28,747 million RMB in 2023 to 27,002 million RMB in 2024, before recovering to 24,828 million RMB in 2025 [3][17]. - The report anticipates a recovery in advertising revenue in the second half of 2025, with a projected annual revenue growth of 20% for that year [7][8]. Business Segment Performance - Baidu's core business revenue is expected to reach 1,092 million RMB in 2025, with advertising revenue remaining flat compared to 2024 [8][9]. - The intelligent cloud segment is projected to grow by 26% year-on-year, driven by strong demand for generative AI and large models [7][8]. - The report notes that Baidu's autonomous driving service, "萝卜快跑," has completed over 1.1 million orders, marking a 36% year-on-year increase [7][8]. Valuation and Market Position - The report maintains a valuation of 2x sales for Baidu Cloud in 2025, up from 1x, and a 10x price-to-earnings ratio for its search business, leading to an upward adjustment of the target price to $111 [7][8]. - The report emphasizes the significance of AI cloud as a second growth curve and autonomous driving as a third growth curve for Baidu [7][8].

Investment Rating - The report maintains a "Buy" rating for the company, iQIYI (IQ US), with a target price adjusted to $2.70, indicating a potential upside of 17.1% from the current price of $2.31 [1][2][26]. Core Insights - The report highlights improvements in the supply of long-form content and the stability of membership, which may lead to a recovery in subscriber numbers. The investment in micro-dramas is expected to enhance advertising revenue, contributing to marginal financial improvements. The adjusted net profit forecast for 2025 remains unchanged, with a slight adjustment in the target price [2][4][18]. Financial Performance - For the fourth quarter of 2024, iQIYI's total revenue and adjusted operating profit are projected to be 6.613 billion and 406 million RMB, respectively, reflecting a year-on-year decline. However, advertising revenue is expected to increase by 7% quarter-on-quarter, driven by brand advertising growth from major dramas and the e-commerce peak season [6][18]. - The company anticipates a 9% quarter-on-quarter increase in membership revenue for the first quarter of 2025, while advertising revenue is expected to decline by 5% due to overlapping marketing budgets from the Spring Festival [6][20]. Revenue and Profit Forecasts - The revenue forecast for 2025 is set at 29,001 million RMB, with adjusted net profit expected to be 1,841 million RMB. The projections for 2026 and 2027 are 30,753 million RMB and 32,265 million RMB in revenue, and 2,552 million RMB and 3,154 million RMB in adjusted net profit, respectively [5][28][30]. - The report also provides a detailed breakdown of revenue sources, with paid memberships, online advertising, and content distribution being key components [10][20]. Market Position and Trends - iQIYI maintains the largest share of long-form content viewership and is focusing on increasing the supply of top-tier dramas to enhance content stability. The rapid rollout of micro-dramas is expected to improve user acquisition and retention [6][18][20]. - The report notes that the company has a market capitalization of approximately 1.21 billion USD and has seen a year-to-date stock price increase of 14.68% [4][26].

Investment Rating - The report maintains a "Buy" rating for King’s Ray Bio (1548 HK) with a target price of HKD 28.75, indicating a potential upside of 140% from the current price of HKD 11.98 [2][3]. Core Insights - King’s Ray Bio is expected to achieve a significant increase in net profit in 2024, primarily driven by a one-time unrealized gain of approximately USD 3.2 billion from the sale of Legend Biotech, which exceeds previous estimates of USD 2-3 billion [1]. - The company is projected to fully enter the profit zone starting in 2024, with a recovery in the GCT (Gene Cell Therapy) business expected to continue through 2025-2026, leading to a revenue growth rate of around 20% for non-cellular business [1]. - The improvement in the company's fundamentals, coupled with a recovery in investor sentiment, is anticipated to drive valuation recovery, as geopolitical factors and favorable policies for innovative drug payments are expected to enhance investment sentiment in the CXO sector [1]. Summary by Sections Financial Performance - The report highlights that the adjusted net profit for non-cellular business in 2024 will remain stable compared to 2023, with no significant changes expected [1]. - The tax losses from Legend Biotech prior to its merger will be accounted for in non-continuing operations, while post-merger, it will be accounted for using the equity method [1]. Market Outlook - The report notes a strong recovery trend in new orders for protein/antibody drugs and GCT, with first-half 2024 new orders recovering to 13 and 24 respectively, compared to 10 and 21 in the first half of 2023 [1]. - The sentiment in the market is improving, with King’s Ray's stock price rising 34% from its year-to-date low, significantly outperforming the Hang Seng Medical Index and the Hang Seng Index, both of which increased by 19% [1].

Investment Rating - The report maintains a "Buy" rating for the company, with an increased target price of HKD 32.00, indicating a potential upside of 24.8% from the current price of HKD 25.65 [4][27]. Core Insights - The company's performance met expectations, with Q4 2024 revenue of USD 539 million, slightly above market expectations, although the gross margin of 11.4% was below expectations due to cost pressures during the ramp-up of the second production line in Wuxi [2][7]. - The new management, led by Dr. Bai Peng, aims to drive product and technology innovation, focusing on supply chain localization and market-oriented product development [7][21]. - The management is cautiously optimistic about demand in 2025, particularly in the automotive sector, and plans to leverage partnerships with overseas manufacturers to enhance competitiveness [7][21]. Financial Overview - Revenue projections for 2025 have been adjusted to USD 2.347 billion, down from a previous estimate of USD 2.504 billion, reflecting a 6% decrease [22]. - Net profit for 2025 is forecasted at USD 110 million, a significant drop from the previous estimate of USD 199 million, indicating a 45% reduction [22]. - The company expects to achieve a production capacity of 40,000 wafers per month by mid-2025, with a long-term goal of 83,000 wafers per month by 2026 [7][21]. Financial Data Summary - For the fiscal year ending December 31, 2023, the company reported revenues of USD 2.286 billion, with a projected decline to USD 2.004 billion in 2024 before rebounding to USD 2.347 billion in 2025 [29]. - The net profit is expected to decrease from USD 280 million in 2023 to USD 58 million in 2024, before recovering to USD 110 million in 2025 [29]. - The earnings per share (EPS) is projected to be USD 0.06 in 2025, down from a previous estimate of USD 0.12, reflecting a 45% adjustment [22].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of $4.60, indicating a potential upside of 73.6% from the current price of $2.65 [1][2][13]. Core Insights - The company is expected to exceed expectations in Q4 2024, with projected collections of RMB 2.15 billion, a year-on-year increase of 68%, driven by better-than-expected renewal rates and ROI from new customer acquisition [6]. - Revenue for Q4 2024 is anticipated to reach RMB 1.36 billion, reflecting a 78% year-on-year growth, with the K12 segment expected to maintain over 100% growth [6]. - The adjusted operating loss for Q4 2024 is forecasted to be RMB 150 million, an improvement from previous expectations of RMB 280 million, due to effective channel operation strategies and cost efficiency [6]. Financial Forecast Changes - Revenue projections for 2024 have been updated to RMB 4,520 million, a 1.2% increase from previous estimates, with a growth rate of 52.7% [5]. - The forecast for collections in 2024 has been raised to RMB 5,602 million, reflecting a 3.9% increase, with a growth rate of 67.8% [5]. - Adjusted operating loss for 2024 is now estimated at RMB 1,144 million, a reduction of 9.6% from prior forecasts [5]. Performance Metrics - The company is expected to achieve a gross profit of RMB 3,077 million in 2024, with a gross margin of 68.1% [5]. - The adjusted net loss for 2024 is projected to be RMB 1,012 million, with an adjusted net margin of -22.4% [5]. - The company’s cash and cash equivalents are expected to be RMB 963 million by the end of 2025, indicating a stable liquidity position [14].

Investment Rating - The report downgrades the investment rating for the company to Neutral from Buy, indicating that the stock price may have fully reflected the potential upside [6][7][19]. Core Views - The report highlights that while the company's performance may continue to improve, the stock price has already anticipated these changes. The long-term outlook remains positive due to the trend of domestic substitution in the wafer foundry industry and the company's leading position in the market [6][7][19]. - The report emphasizes the high capital expenditure and its potential impact on profit margins, as well as uncertainties in downstream demand and increased competition in mature processes affecting product pricing [6][7][19]. Financial Overview - Revenue projections for the company are as follows: - 2023: $6,322 million - 2024: $8,030 million - 2025E: $9,414 million - 2026E: $10,291 million - 2027E: $11,238 million - Year-on-year growth rates are projected at -13.1% for 2023 to 2024, 27.0% for 2024 to 2025, and 17.2% for 2025 to 2026 [5][39]. - Net profit estimates are: - 2023: $903 million - 2024: $493 million - 2025E: $1,055 million - 2026E: $1,348 million - 2027E: $1,778 million - The report notes a significant drop in earnings per share (EPS) for 2024, with a recovery expected in subsequent years [5][39]. Market Performance - The company's stock price has increased approximately 200% since the second half of 2024, driven by improved fundamentals and increased market liquidity [6][7][19]. - The target price for the company's stock is raised to HKD 48, reflecting a price-to-book (P/B) ratio of 2.25 times for 2025, which is considered high compared to historical averages [6][7][19]. Capital Expenditure - The company has guided for capital expenditures of $7.33 billion for 2024, with expectations for 2025 to remain at similar levels, which is higher than previous market expectations [6][7][19]. - The report indicates that the company plans to expand its 12-inch wafer capacity by 50,000 pieces annually, despite the high capital expenditure [6][7][19]. Valuation Comparison - The report compares the company's valuation metrics with peers, noting that the company's P/B ratio is above the industry average, indicating a premium valuation despite lower return on equity (ROE) compared to competitors [6][7][19]. - The report also highlights that the premium of the company's A-shares over H-shares is currently at 142%, which is at the historical lower end of the range [6][7][19].