Investment Rating - The investment rating for the company is "Accumulate-A" [2] Core Views - The semiconductor display industry is experiencing an upturn, leading to a significant increase in the company's net profit for the first half of 2024, with an expected year-on-year growth of 185% to 213% [1][4] - The company is focusing on high-end mid-size products by investing in the 8.6 generation AMOLED production line, which is expected to start mass production by the end of 2026 [2][4] - The company is also entering the flexible dimming new sector with the establishment of Ruisi Technology, which will produce flexible dimming films and electronic devices [2][4] Summary by Relevant Sections Financial Performance - The company anticipates a net profit of 1.116 billion to 1.316 billion yuan for Q2 2024, representing a year-on-year increase of 128.50% to 169.44% and a quarter-on-quarter increase of 13.46% to 33.78% [1] - For the first half of 2024, the expected net profit is between 2 billion to 2.3 billion yuan, indicating a year-on-year growth of 185% to 213% [1] Market Trends - The demand for large-size LCD panels is expected to increase due to major sporting events and e-commerce promotions, with a notable price increase in TV products observed in March and April 2024 [1] - The penetration rate of AMOLED products is on the rise, with the company maintaining growth in flexible AMOLED shipments [2] Investment Projects - The company announced the investment in the 8.6 generation AMOLED production line to cater to high-end mid-size product demands, particularly in the IT and automotive sectors [2][4] - The flexible dimming technology developed by Ruisi Technology aims to address challenges in automotive applications, enhancing the company's competitive edge in the flexible product market [2][4] Revenue and Profit Forecast - Revenue projections for 2024 to 2026 have been adjusted to 203.378 billion, 227.336 billion, and 247.410 billion yuan, with growth rates of 16.5%, 11.8%, and 8.8% respectively [4] - The net profit forecast for the same period has been revised to 51.31 billion, 90.86 billion, and 110.97 billion yuan, with growth rates of 101.4%, 77.1%, and 22.1% respectively [4]

Summary of Conference Call Industry Overview - The conference call focused on the telecommunications industry, featuring insights from the chief analyst Zhang Wencheng from the research institute [1]. Core Insights and Arguments - The strategy team presented their viewpoints on the telecommunications sector, indicating a comprehensive analysis of current trends and challenges within the industry [1]. Additional Important Content - The call emphasized the importance of understanding the evolving landscape of telecommunications, including technological advancements and regulatory impacts that could influence market dynamics [1].

Investment Rating - The report maintains an investment rating of "Leading the Market" for the industry, indicating an expected investment return exceeding 10% over the next six months compared to the CSI 300 Index [1]. Core Insights - The report highlights the competitive landscape of the summer gaming market in China, with major platforms like Douyin and Kuaishou launching promotional activities to boost game conversion and user engagement [1]. - IAA mini-games are identified as a new growth hotspot in the industry, with Douyin's mini-game user base growing over 150% in 2023, and IAA mini-games accounting for 80% of the mini-game market [1]. - The overall market size for mini-games is projected to reach between 600-650 billion yuan, with significant growth in user engagement metrics such as monthly active users and advertising revenue [1]. Summary by Sections Industry Performance - The report notes that the summer gaming market is highly competitive, with several major titles launching, including domestic AAA console games and new mobile games [1]. - IAA mini-games differ from IAP model games by primarily generating revenue through advertising, reflecting a shift in monetization strategies within the industry [1]. User Growth and Engagement - Douyin's mini-games are expected to drive user growth, with projections indicating that the overall commercial volume of IAA mini-games will exceed 10 billion yuan in 2024 [1]. - The user demographics for mini-games show a balanced gender ratio among young users, with male users having a wider variety of game choices compared to female users [1]. Investment Recommendations - The report suggests that increased gaming-related activities across platforms are likely to enhance the development of a diverse gaming ecosystem, recommending attention to companies such as NetEase, Tencent, and Kuaishou [1].

7 月版号发放,ChinaJoy 点燃暑期游戏浪潮 投资要点 事件:7 月 22 日,2024 年第 7 批国产游戏版号正式发放,本次共有 105 款国 产游戏获得版号,其中腾讯、米哈游、三七、雷霆、神州泰岳、金山、恺英网络、 益世界等厂商均有新品过审。据网易官方,《永劫无间》手游将于 7 月 25 日正 式上线。7 月 26 日至 7 月 29 日,第二十一届中国国际数码互动娱乐展览会 (ChinaJoy)将在上海浦东新国际博览中心举办。版号稳定发放,彰显政策端 积极态势;重磅产业盛会即将召开,优质佳作连发,暑期游戏市场热度有望持续 升温。 7 月版号稳定发放,政策端彰显积极态势。7 月共有 105 款国产游戏获得版号, 其中包括腾讯新游《暗区突围:无限》;金山新游《暗之回响》、《封神再临》; 吉比特旗下新游《杖剑传说》、《鬼谷八荒》、《地下城堡 4:骑士与破碎编年 史》、《动物大师:冒险之旅》;三七互娱旗下新游《飞天梦想起航》、《无限 梦境》、《小小斗罗》、《骑士堂吉诃德历险记》;恺英网络《原始魔兽》;米 哈游新游《星布谷地》;中青宝《欢乐搭方块》、《猎宝战机》、《一跳到底》、 《万灵幻想》;神州泰岳《荒 ...

Investment Rating - The report maintains a "Buy-B" rating for the company [2] Core Views - The company is expected to achieve a net profit attributable to shareholders of 1.47-1.62 billion yuan in H1 2024, representing a year-on-year growth of 45%-60% [12] - The company anticipates a stable performance in the domestic market, with overseas contributions expected to drive growth [12] - The company is focusing on expanding its overseas business while solidifying its domestic base, leveraging its production facilities in Germany and Best Formulations [12] Financial Data and Valuation - The company forecasts a net profit of 0.84-0.99 billion yuan for Q2 2024, a year-on-year increase of 16.6%-37.7% [12] - Revenue projections for 2024-2026 have been slightly adjusted, with expected revenues of 43.42 billion yuan, 50.50 billion yuan, and 57.17 billion yuan, reflecting year-on-year growth rates of 21.2%, 16.3%, and 13.2% respectively [12][15] - The net profit forecast for the same period is adjusted to 3.98 billion yuan, 4.99 billion yuan, and 5.95 billion yuan, with year-on-year growth rates of 41.5%, 25.4%, and 19.2% respectively [12][15] Revenue Analysis - The company expects steady growth in the Chinese market driven by major clients and retail business, while the Americas region is anticipated to see an end to inventory destocking [12] - The company is optimistic about revenue growth due to continuous positive orders and the release of new production capacity from the BF factory [12] Profit Analysis - The company’s internal net profit margin may slightly decline due to a high base, but improvements are expected in the BF segment [12] - The company aims to maintain its internal net profit margin through ongoing supply chain management optimization [12] Long-term Outlook - The company is positioned to benefit from downstream scale growth, increased outsourcing ratios, and rising concentration among leading players in the industry [12] - The company has a strong product pipeline and sufficient regulatory approvals, with robust R&D capabilities and customer loyalty expected to enhance its market influence [12]

网安催化自主可控,国产应用进程提速 投资要点 事件:北京时间 2024 年 7 月 19 日(周五)下午,全球大量 Windows 用户出现 电脑崩溃、蓝屏死机、无法重启等情况,外媒称之为"史上最大规模 IT 故障"; 7 月 21 日凌晨,CrowdStrike 就全球 IT 故障发布最新声明。目前已知,本次安 全事故对我国影响不大。同日,《中共中央关于进一步全面深化改革、推进中国 式现代化的决定》全文发布。全球危机突发,对少数科技公司的过度依赖引发社 会思考,网安重要性凸显;重要政策发布,强调发展科技安全和 AI 安全监管重 要性,或催化国产应用和本地化提速发展。 头部软件生态问题频出,网安和维护渐受关注。受此"史上最大规模 IT 故障" 影响,全球多国交通、医疗、金融、媒体等行业无法正常运转;目前修复工作仍 在持续。而微软生态出现大规模故障并非首次。系统方面,微软曾发生过几次较 为重大的蓝屏事件。1998 年发布 Windows 98 测试版时发生过蓝屏事件,随着 XP 系统的发布,蓝屏问题变得更为频繁。2005 年、2008 年和 2015 年,分别 在发布 XP Service Pack 2、XP ...

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Investment Rating - The report maintains a "Market Perform" rating for the food and beverage industry [1] Core Views - The food and beverage sector has seen a significant reduction in fund holdings, returning to levels close to Q2 2017. The market value of food and beverage stocks held by funds decreased to 10.86% of total fund investments, down 3.13 percentage points from Q1 2024, reflecting a 22% quarter-on-quarter decline and a 14% year-on-year decline [1][6][7] - The report highlights that the white liquor sector is undergoing a deep adjustment and slow recovery, influenced by weak consumer demand and cyclical factors. The overall fundamentals of listed companies in the food and beverage sector are weak, leading to reduced holdings [1][6][10] - The report suggests that the valuation of the food and beverage sector is at a historically low level, with the sector's PE ratio at 19.81x, indicating potential investment value [2][6] Summary by Sections Fund Holdings Analysis - The food and beverage industry has experienced a significant reduction in fund holdings, with the current level being the lowest since Q2 2017. The fund's heavy holdings in food and beverage stocks have decreased to 10.86%, down 3.13 percentage points from Q1 2024 [6][10] - The white liquor sector saw a substantial reduction in holdings, with a current fund holding ratio of 9.9%, down 2.63 percentage points from the previous quarter [10][22] - Non-white liquor holdings have also reached a historical low, with a fund holding ratio of 0.96%, reflecting a 0.50 percentage point decrease [11][22] Individual Stock Allocation Analysis - The top ten holdings in the food and beverage sector remain stable, with companies like Guizhou Moutai, Wuliangye, and Luzhou Laojiao consistently featured. The report notes that the positions of these companies have not changed significantly [19][20] - There are few instances of increased allocations, with only a couple of stocks in the white liquor sector seeing slight increases, while most others have decreased [22][25] Hong Kong Stock Connect Allocation Analysis - The report indicates that foreign investment remains optimistic about the food sector, with the top ten holdings in the Hong Kong Stock Connect including companies like Yili and ChaCha Food [28][29] - The report notes a trend of increasing holdings in certain stocks like Three Squirrels and Xianle Health, while reducing positions in others like Dongpeng Beverage [28][29]

Group 1 - The report highlights the recent monetary policy adjustments by the People's Bank of China (PBOC), including a 10 basis points (BP) reduction in the 7-day reverse repo rate to 1.7%, and corresponding reductions in the 1-year and 5-year Loan Prime Rates (LPR) to 3.35% and 3.85% respectively, marking a significant shift in policy approach [1][1][1] - The adjustments aim to optimize the open market operation mechanism and enhance the transmission of monetary policy, reflecting the directives from the recent Third Plenary Session of the 20th Central Committee [1][1][1] - The report indicates that the PBOC is moving towards a more neutral counter-cyclical transmission mechanism, with a focus on steepening the yield curve while addressing the declining credit demand [1][1][1] Group 2 - The report notes that the PBOC's decision to maintain the Medium-term Lending Facility (MLF) rate unchanged while lowering the reverse repo and LPR rates is intended to strengthen the policy rate's attributes and reduce market expectations for unilateral long-term rate cuts [1][1][1] - The introduction of a framework allowing MLF participants to apply for a reduction in collateral requirements aims to increase the supply of long-term government bonds, which is expected to support the steepening of the yield curve [1][1][1] - The report suggests that the current monetary easing measures are more of a passive response to the slowing growth in Q2 rather than a proactive stimulus for high investment growth, indicating a shift in the PBOC's strategy [1][1][1]

风险提示：数据统计口径有所误差，历史经验未来不一定适用，政策超预期变化 3 / 11 图 4: 2024Q2 主板超配比有所下降 主板 -- 创业板 -- 科创板 -- 北交所 30% 20% 10% 0% -10% -20% -30% 旗 下 网 企 医药、电新仓位均有所下降。(1)仓位角度,医药行业和电新行业均处于持仓高位。具体来 看： 首先，医药和电力设备行业均为公募基金持仓商位行业，持仓排名分别位于全行业第２高、 第 3 高。其次，医药行业 2024Q2 仓位为 11.2%，持仓水平处于历史中性位置；电力设备行业仓 位为 10.1%,持仓水平处历史高位。(2)持仓变化趋势角度,医药行业仓位继续回落,电新行业 也继续回落。具体来看:医药行业在 4个季度维持加仓趋势后至 2024Q1 触底大幅回落,仓位下 降 3.4pcts，减仓幅度行业 TOP4; 电力设备行业反弹回落, 当前下降了 0.8pcts。(3)超配比变 化角度,医药和电新行业处于行业超配高位。医药行业当前超配比为 4.62%，为全行业第 3 高, 电力设备行业当前超配比为 4.63%,为全行业第 2 高;趋势上,医药行业超配比下降幅度 0. ...