Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The report emphasizes optimism regarding the company's growth driven by new game launches, overseas expansion, and AI empowerment [5] - The company achieved revenue of 27.5 billion yuan in Q4 2025, with a year-on-year increase of 3.0% and a quarter-on-quarter decrease of 2.9% [5] - The report highlights a strong growth momentum in contract liabilities, which increased by 5% to 20.5 billion yuan by the end of Q4 [5] - The company is expected to benefit from the long-term operation of classic games and the launch of new titles, with adjusted net profit forecasts for 2026-2028 being 37.2 billion, 41.9 billion, and 45.1 billion yuan respectively [5] Financial Summary and Valuation Metrics - Revenue projections for the company are as follows: 105.3 billion yuan for 2024, 112.6 billion yuan for 2025, 119.6 billion yuan for 2026, 129.9 billion yuan for 2027, and 136.1 billion yuan for 2028, with year-on-year growth rates of 1.8%, 7.0%, 6.2%, 8.7%, and 4.7% respectively [6] - Net profit estimates are 29.7 billion yuan for 2024, 33.8 billion yuan for 2025, 37.2 billion yuan for 2026, 41.9 billion yuan for 2027, and 45.1 billion yuan for 2028, with corresponding year-on-year growth rates of 1.0%, 13.7%, 10.2%, 12.6%, and 7.6% [6] - The projected P/E ratios for 2026, 2027, and 2028 are 14.1, 12.5, and 11.6 respectively [6]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1][5] Core Views - The report emphasizes the company's strong growth potential driven by new game launches, the revitalization of existing games, and the integration of AI technology [5] - The company achieved a revenue of 27.5 billion yuan in Q4 2025, reflecting a year-on-year increase of 3.0% but a quarter-on-quarter decrease of 2.9% [5] - The report highlights the successful performance of the game "Yanyun Sixteen Sounds," which topped the iOS sales chart in mainland China and achieved over 80 million global players [5] - The company is expected to maintain a strong growth trajectory with projected net profits of 37.2 billion yuan in 2026, 41.9 billion yuan in 2027, and 45.1 billion yuan in 2028 [5][6] Financial Summary and Valuation Metrics - Revenue projections for the company are as follows: 105.3 billion yuan in 2024, 112.6 billion yuan in 2025, 119.6 billion yuan in 2026, 129.9 billion yuan in 2027, and 136.1 billion yuan in 2028 [6] - The net profit is projected to grow from 29.7 billion yuan in 2024 to 45.1 billion yuan in 2028, with corresponding year-on-year growth rates of 1.0%, 13.7%, 10.2%, 12.6%, and 7.6% [6] - The report indicates a projected P/E ratio of 14.1 for 2026, 12.5 for 2027, and 11.6 for 2028, suggesting a favorable valuation outlook [5][6]

Investment Rating - The investment rating for Lenovo Group is "Buy" [10] Core Insights - Lenovo's revenue performance exceeded expectations, driven by strong orders for AI servers and robust supply chain resilience, which is expected to stabilize profit margins [6][7] - The company has adjusted its FY2026 earnings forecast upwards due to better-than-expected Q3 performance, maintaining FY2027-2028 earnings projections [6] - Non-GAAP net profit for FY2026 is projected at $1.81 billion, reflecting a year-on-year growth of 25.5% [6] Financial Performance Summary - For FY2026 Q3, Lenovo reported revenue of $22.204 billion, surpassing Bloomberg consensus estimates of $20.76 billion, with a year-on-year growth of 18.1% [7] - Non-GAAP net profit reached $589 million, exceeding expectations of $463 million, with a year-on-year increase of 35.5% [7] - Breakdown of revenue by business segments: - IDG: Revenue of $15.755 billion, up 14.3% year-on-year, with PC shipments growing 14.4% compared to the industry average of 9.6% [7] - ISG: Revenue of $5.176 billion, up 31.4% year-on-year, supported by AI infrastructure orders [7][8] - SSG: Revenue of $2.652 billion, up 17.5% year-on-year, with deferred revenue increasing by 20% [8] Earnings and Valuation Metrics - Projected revenues for FY2026 are $81.289 billion, with a year-on-year growth of 17.7% [9] - Non-GAAP net profit projections for FY2026-2028 are $1.81 billion, $2.07 billion, and $2.36 billion, respectively, with growth rates of 25.5%, 14.5%, and 13.9% [9] - The current P/E ratios are projected at 9.5, 8.3, and 7.3 for FY2026, FY2027, and FY2028, respectively [9]

Group 1 - Investment Rating: The report suggests to pay attention to HIFIMAN due to its technological and brand advantages, indicating a positive outlook for the company [6][5][4] - Core Viewpoint: HIFIMAN is positioned as a high-end audio brand with a focus on delivering high-fidelity sound experiences, and it has established itself as a global player in the high-end audio market [2][14][17] Group 2 - Business Overview: HIFIMAN specializes in the design, research, production, and sales of high-end audio products, including headphones and playback devices, with a strong emphasis on sound fidelity [2][14][18] - Financial Performance: For Q1-Q3 2025, HIFIMAN achieved revenue of 164 million yuan, a year-on-year increase of 13.23%, and a net profit of 50.35 million yuan, up 29.49% [3][55][56] - Market Growth: The headphone market in China has shown steady growth, with the overall industry output value increasing from 49.26 billion yuan in 2013 to 137.42 billion yuan in 2021, reflecting a CAGR of 13.68% [4][6] Group 3 - Industry Trends: The high-end headphone market is expected to grow significantly, with the global high-end headphone market projected to reach 4.158 billion USD by 2028, growing at a CAGR of 6.5% [4][6][5] - Competitive Landscape: HIFIMAN's PE ratio for 2024 is significantly higher than its peers, indicating its unique market position and potential for growth [6][5][4] - Product Innovation: HIFIMAN has developed multiple innovative products and holds numerous patents, enhancing its competitive edge in the high-end audio market [5][6][17]

Investment Rating - The report suggests a focus on HIFIMAN due to its unique position in the high-end audio market and potential for growth [6][4]. Core Insights - HIFIMAN is recognized as a leading high-end audio brand in China, focusing on the design, research, production, and sales of high-fidelity audio products [3][14]. - The company achieved a revenue of 164 million yuan in Q1-Q3 2025, representing a year-on-year growth of 13.23%, with a net profit of 50.35 million yuan, up 29.49% [3][55]. - The global high-end headphone market is projected to grow from 2.85 billion USD in 2022 to 4.16 billion USD by 2028, with a CAGR of 6.5% [4]. Company Overview - HIFIMAN specializes in high-end audio products, including over-ear headphones, true wireless earbuds, wired in-ear headphones, and playback devices [3][14]. - The company has a strong focus on delivering high-fidelity sound experiences and has established itself as a significant player in the global high-end audio market [3][14]. Financial Performance - In Q1-Q3 2025, HIFIMAN reported a gross margin of 66.88% and a net margin of 30.62% [55][61]. - The company has maintained a compound annual growth rate (CAGR) of 21.49% over the past three years [56]. Industry Analysis - The headphone market in China has shown steady growth, with the total output value increasing from 49.26 billion yuan in 2013 to 137.42 billion yuan in 2021, achieving a CAGR of 13.68% [4]. - The wireless headphone segment is the fastest-growing category, with a CAGR of 36.66% from 2013 to 2021 [4]. - HIFIMAN's products are positioned in the high-end segment, with a gross margin higher than the average of comparable companies [6][4]. Product Development - HIFIMAN has developed multiple innovative products, including the SHANGRI-LA electrostatic headphone system, which is recognized as a flagship product in the high-end audio market [26][27]. - The company has a robust pipeline of new products and has received numerous patents, indicating a strong commitment to research and development [5][17]. Market Position - HIFIMAN competes directly with established global brands like Sennheiser and Sony, achieving significant market share in various high-end headphone categories [5][6]. - The company has a diverse product line and continues to innovate, which positions it well for future growth in the high-end audio market [5][17].

Investment Rating - The industry investment rating is "Overweight" (maintained) [1] Core Insights - JX Metal, a global leader in semiconductor target materials, has exceeded market expectations, leading to positive market reactions [3] - JX Metal holds over 50% market share in the semiconductor target material sector as of 2023 [4] - The company reported a revenue of 614.5 billion JPY for the first three quarters of FY2025, reflecting a year-on-year increase of 19% [4] - JX Metal has revised its FY2025 revenue guidance upwards to 820 billion JPY, a 4% increase from previous estimates [4] - The semiconductor materials segment is expected to generate 180 billion JPY, with a 6% upward revision [4] - The company anticipates a 33.3% year-on-year increase in operating profit, reaching 150 billion JPY, with an overall operating profit margin of 18.3% [5] - The global semiconductor sputtering target market is projected to reach 25.1 billion USD by 2027, with a CAGR of approximately 14.4% from 2023 to 2027 [6] - Demand for semiconductor target materials is expected to remain high due to advancements in manufacturing processes and increased usage [6] Summary by Sections Company Performance - JX Metal's revenue from its focus business segment reached 366.4 billion JPY, a 23% increase year-on-year, while the basic business segment generated 257.7 billion JPY, up 16% [4] - The semiconductor materials revenue was 130.2 billion JPY, with a 17% year-on-year increase, and thin film materials accounted for 107 billion JPY, reflecting a 13% increase [4] Market Outlook - The semiconductor target materials market is expected to experience a tight balance in supply and demand by 2025, with significant growth driven by advanced manufacturing processes [6] - The introduction of new technologies and processes is likely to increase the demand for target materials, particularly in DRAM and 3D NAND structures [6] Investment Recommendations - The report suggests focusing on JX Metal and highlights potential beneficiaries such as Jiangfeng Electronics, Youyan New Materials, Ashi Chuang, Olay New Materials, and Longhua Technology [7]

Investment Rating - The investment rating for Lenovo Group is "Buy" and is maintained [10] Core Insights - Lenovo Group's revenue performance exceeded expectations, driven by strong orders for AI servers and robust supply chain resilience, which is expected to stabilize profit margins [6][7] - The company has adjusted its FY2026 earnings forecast upwards due to better-than-expected Q3 performance, while maintaining FY2027-2028 earnings projections [6] - Non-GAAP net profit for FY2026 is projected to be $1.81 billion, reflecting a year-on-year growth of 25.5% [6] Financial Performance Summary - For FY2026 Q3, Lenovo reported revenue of $22.204 billion, surpassing Bloomberg consensus estimates of $20.76 billion, with a year-on-year growth of 18.1% [7] - Non-GAAP net profit for the same period was $589 million, exceeding expectations of $463 million, and showing a year-on-year increase of 35.5% [7] - Breakdown of revenue by business segments: - IDG: Revenue of $15.755 billion, up 14.3% year-on-year, with PC shipments growing 14.4% compared to the industry average of 9.6% [7] - ISG: Revenue of $5.176 billion, up 31.4% year-on-year, supported by AI infrastructure orders [7][8] - SSG: Revenue of $2.652 billion, up 17.5% year-on-year, with deferred revenue increasing by 20% [8] Valuation Metrics - Projected non-GAAP net profits for FY2026-2028 are $1.81 billion, $2.07 billion, and $2.36 billion respectively, with corresponding year-on-year growth rates of 25.5%, 14.5%, and 13.9% [6] - The current price-to-earnings (P/E) ratios are projected at 9.5, 8.3, and 7.3 for FY2026, FY2027, and FY2028 respectively [9]

Investment Rating - The investment rating for the company is "Outperform" (Maintain) [3] Core Insights - The company is expected to achieve a revenue of 437 million yuan in 2025, representing a year-on-year growth of 6.44%, and a net profit attributable to the parent company of 42.9 million yuan, which is a year-on-year increase of 10.86% [5] - The company is in a business expansion phase, with increased orders for rubber materials and products, and the successful delivery and profitability of new high-end products [5][6] - The financial forecasts for net profit from 2025 to 2027 have been adjusted, with expected figures of 0.43 billion yuan (previously 0.42 billion), 0.52 billion (previously 0.57 billion), and 0.69 billion (previously 0.72 billion) respectively [5] Financial Summary - The total market capitalization of the company is 3.872 billion yuan, with a circulating market capitalization of 2.809 billion yuan [3] - The company's earnings per share (EPS) for 2025 is projected to be 0.27 yuan, with subsequent years expected to be 0.33 yuan and 0.44 yuan for 2026 and 2027 respectively [5][11] - The price-to-earnings (P/E) ratio for 2025 is estimated at 90.0 times, decreasing to 74.9 times in 2026 and 56.0 times in 2027 [5][11]

Economic Growth Targets - The weighted average GDP growth target for 31 provinces in 2026 is set at 5.0%, down from 5.3% in 2025[2] - 17 provinces have lowered their targets, while 14 have kept them unchanged; 7 provinces set interval targets, indicating a likelihood of a national target range of 4.5% to 5%[2][13] - Economic powerhouses are expected to bear more responsibility for growth, with half of the top ten provinces maintaining their original targets[2][13] Investment Focus - The average fixed asset investment growth target has decreased from 6.3% to 5.1%, with all provinces either lowering or maintaining their 2025 targets[3][37] - Emphasis is placed on expanding private and livelihood investments, with many provinces encouraging private capital participation in various sectors[3][38] - Specific investment plans include a commitment of 721.46 billion yuan in Guangdong for livelihood projects[38] Consumption Trends - The weighted average target for social retail sales growth is approximately 4.8%, down from 5.4% in 2025[4] - Provinces are focusing on increasing residents' income through measures like raising basic pensions and providing subsidies[4] - New consumption models are being developed, particularly in sectors like health, culture, and entertainment, with a focus on "emotional economy"[4] Technological Development - The "Artificial Intelligence+" initiative is entering a comprehensive application phase, with local governments promoting AI in various sectors[5] - Emerging industries such as integrated circuits, aerospace, and renewable energy are prioritized, aligning with the "14th Five-Year Plan"[5] Real Estate Market - The main strategies for the real estate sector include revitalizing existing stock and improving housing quality[6] - Many provinces are initiating programs to purchase existing homes for affordable housing, marking a shift from previous strategies[6] National Conference Outlook - The national GDP growth target is likely to be set between 4.5% and 5%, with a focus on expanding domestic demand and technological breakthroughs[6] - Investment strategies will continue to support key projects and enhance livelihood investments, while the real estate sector will focus on revitalizing existing stock[6]

- The "Hong Kong CCASS Preferred 20 Portfolio" was constructed using a two-step screening method: "select brokers first, then select stocks"[3][4] - The first step involves selecting top-performing brokers by standardizing and equally weighting their excess Sharpe ratio and monthly win rate, then selecting the top 10 brokers[4][16] - The second step involves equally distributing funds to the 10 selected brokers, aggregating their latest holdings, and retaining the top 20 stocks by weight for equal allocation[5][17] - The portfolio has shown significant outperformance over the Hang Seng Index, with an annualized excess return rate of 19.3% and an excess Sharpe ratio of 2.45 over the period from 2020 to 2025[3][12][15] - The portfolio demonstrated defensive characteristics during market adjustments, achieving a positive return of 2.05% from October 8, 2025, to December 31, 2025, while the Hang Seng Index fell by 4.47% and the Hang Seng Technology Index dropped by 15.32%[3][12] - The latest holdings of the portfolio as of February 2026 include a low valuation and high dividend yield configuration, with the banking and non-bank financial sectors accounting for about 45%, the energy sector about 10%, and the technology and internet sectors about 20%[6][19][22] Portfolio Performance Metrics - Annualized return: 19.3%[15] - Annualized volatility: 7.9%[15] - Sharpe ratio: 2.45[15] - Maximum drawdown: -7.6%[15] - Monthly win rate: 75.3%[15]