Investment Rating - The report maintains an "Increase" rating for the semiconductor industry, indicating a positive outlook for the next six months [3]. Core Insights - TSMC reported strong Q3 results with revenue of $23.5 billion, a 36% year-on-year increase, driven by robust demand in smartphones and AI applications [2][19]. - The semiconductor industry is experiencing a divergence in capital expenditures, with advanced processes benefiting from AI demand, while other sectors are recovering more slowly [3][20]. - The report emphasizes the importance of domestic equipment and material substitution in the semiconductor supply chain [2][3]. Market Review - The Shenwan Electronics Industry Index rose by 9.65% from October 14 to October 18, outperforming the CSI 300 Index by 8.67% [11]. - Among the sub-industries, optical components, digital chip design, and discrete devices showed strong performance, with respective outperformance of 15.23%, 10.86%, and 10.67% against the CSI 300 Index [14][11]. Company Performance - TSMC's advanced process revenue accounted for 69% of total sales, with 3nm and 5nm processes contributing 20% and 32% respectively [2][19]. - ASML's Q3 revenue was €7.5 billion, with a gross margin of 50.8%, and the company expects Q4 revenue between €8.8 billion and €9.2 billion [3][20]. - North Huachuang expects Q3 revenue between 7.42 billion and 8.54 billion yuan, reflecting a year-on-year growth of 20.42% to 38.60% [23]. Industry Dynamics - HBM prices are expected to rise by 18% next year, with revenue projected to reach $46.7 billion, a 156% increase [25]. - AI servers accounted for nearly one-third of the global server market in Q2 2024, with significant growth driven by demand for advanced computing capabilities [25]. - The Shanghai Semiconductor Equipment and Materials Fund has successfully raised over 2.1 billion yuan, focusing on investments in semiconductor manufacturing and related technologies [25].

Group 1: Market Overview - Major indices showed positive performance last week, with the CSI 300 increasing by 0.98%, the Shanghai Composite by 1.36%, the Shenzhen Component by 2.95%, the ChiNext by 4.49%, and the CSI 500 by 3.09% [2][7][8]. - Among the 31 primary industry indices tracked, 26 experienced gains while 5 saw declines, with the top five performing sectors being Computer, Electronics, Defense & Military, Media, and Communication [2][9][10]. Group 2: Trading Data - Total trading volume reached 6,992.33 billion shares, with a transaction value of 83,399.50 billion yuan, resulting in 4,237 stocks rising and 1,028 falling [12][13]. - As of October 18, 46 stocks reached historical highs, while 3 hit historical lows, with 224, 221, and 215 stocks achieving new highs over the past 30, 60, and 120 days respectively [13][14]. Group 3: Margin Data - Margin trading data indicated an increase in weekly financing balance by approximately 30.04 billion yuan and a rise in margin short selling balance by about 0.88 billion yuan [12][14]. Group 4: Investment Strategy - The market is currently in a phase of high-level fluctuations and differentiation, with strong support for rapid declines, suggesting a potential for continued trading opportunities within a range-bound market [3][17].

Investment Rating - The industry investment rating is "Overweight" [6] Core Insights - The average price of piglets has increased by 10.61% week-on-week, while the average price of market pigs has decreased by 3.05% week-on-week, indicating a mixed market trend [3][4] - The price difference between fat pigs and standard pigs has widened, which is favorable for farmers to hold back pigs and for secondary fattening [4][18] - The report suggests focusing on leading companies with scale and cost advantages in pig farming, such as Muyuan Foods, Wens Foodstuff Group, and others [5][20] Summary by Sections Piglet and Market Pig Prices - The average price of market pigs has decreased to 17.51 CNY/kg, down 3.05% week-on-week, due to slow entry of secondary fattening and weak price expectations from farmers [3][13] - The average price of 7kg piglets is 312.86 CNY/head, reflecting a week-on-week increase of 10.61% [3][13] - The average price of culling sows has decreased by 0.46% to 12.88 CNY/kg [3][13] Weight and Price Differences - The average weight of market pigs has increased to 123.83 kg, up 0.04% week-on-week, while the average post-slaughter weight is 92.17 kg, up 0.57% week-on-week [4][15] - The price difference for fat pigs is -0.66 CNY/kg, which has widened week-on-week, indicating a favorable market for fat pigs [4][15] Profitability and Market Outlook - The average profit for self-bred pigs is 346.01 CNY/head, while for purchased piglets it is 27.79 CNY/head, showing a week-on-week increase for self-bred pigs and a decrease for purchased ones [18][19] - The report anticipates that the demand for pork will increase as the autumn and winter seasons approach, which may support prices and limit declines [18][19]

Investment Rating - The report maintains an "Overweight" rating for the securities industry [4][23]. Core Insights - The securities industry index outperformed the CSI 300 index, primarily driven by significant gains in merger concept stocks such as Haitong Securities and Guotai Junan, indicating strong market interest in broker restructuring [3][13]. - The introduction of the swap convenience mechanism by the People's Bank of China and the China Securities Regulatory Commission is expected to stabilize the capital market, boost investor confidence, and enhance market liquidity [6][7]. Market Review - For the week of October 14-18, the CSI 300 index rose by 0.98%, while the securities industry index increased by 3.58%. Within the sector, 34 stocks rose, 1 remained flat, and 15 declined [2][8]. - The top five performing stocks were Haitong Securities, Guotai Junan, Tianfeng Securities, Dongfang Caifu, and Huaxi Securities, while the bottom five were Zhongjin Company, Hongta Securities, China Galaxy, CITIC Securities, and Jinlong Co [8][9]. Investment Strategy - The report suggests that investors should be cautious of short-term volatility risks, despite the recent strong performance of the securities industry index [3][13]. - The swap convenience initiative is seen as a significant measure to enhance market trading and liquidity, which could positively impact investor sentiment in the short to medium term [7][8]. Important News - The China Securities Regulatory Commission reported on the internal control and integrity of investment banking operations among securities firms, indicating a focus on enhancing regulatory oversight [14][15]. - Fitch Ratings anticipates continued pressure on the profitability of Chinese securities firms due to economic slowdown and tightening regulations, although long-term financial reforms may benefit the industry [17][18].

Group 1: Industry Overview - The textile industry showed a stable recovery with a total profit increase of 14.4% year-on-year from January to August, reaching 100.62 billion yuan [1][5] - The industrial added value of large-scale textile enterprises grew by 4.5% year-on-year, with total operating revenue of 3,128.46 billion yuan, also reflecting a 4.5% increase [1][5] - The production of yarn decreased by 1.4% year-on-year, while the production of fabric, clothing, and chemical fibers increased by 3.0%, 5.7%, and 10.6% respectively [1][5] Group 2: Consumer Market Performance - The retail sales of consumer goods in China from January to August reached 12,030.4 billion yuan, marking a year-on-year growth of 2.3% [1][5] - Retail sales of clothing, shoes, hats, and textile products increased by 0.3% year-on-year, while online retail sales of physical goods in the clothing category grew by 5.0% [1][5] Group 3: Export Trends - Cumulative textile and apparel exports from January to August amounted to 197.77 billion USD, reflecting a year-on-year increase of 1.1% [1][5] - In August alone, textile and apparel exports reached 27.95 billion USD, showing a year-on-year growth of 1.0% [1][5] Group 4: Market Review - The textile and apparel sector index fell by 6.44% in the week from October 8 to October 11, underperforming the broader market, which saw the CSI 300 index decline by 3.25% [6][9] - The beauty and personal care sector index dropped by 8.00% during the same period, also underperforming the CSI 300 index [6][9] Group 5: Key Companies and Recommendations - The report suggests continued attention to leading companies in the beauty sector such as Proya, Juzhibio, and Shangmei [1]

Investment Rating - The report maintains an "Overweight" rating for the light industry sector [3][22]. Core Insights - Recent real estate policy adjustments in major cities like Beijing, Shanghai, Guangzhou, and Shenzhen are expected to positively impact the home furnishing sector, which is currently at a valuation bottom and should be monitored for recovery [2][7]. - The light industry manufacturing index has decreased by 7.01% in the recent week, underperforming the broader market, with the year-to-date decline at 14.94% compared to a 13.29% increase in the CSI 300 index [10][12]. Summary by Sections Real Estate Policy Changes - Multiple cities have introduced measures to optimize real estate policies, including adjustments to down payment ratios for first and second homes, which could stimulate demand in the home furnishing sector [2][7][8]. - Specific changes include: - Beijing: First home down payment minimum of 15%, second home 20% [2]. - Shanghai: First home down payment minimum of 15%, second home 25% [2]. - Guangzhou: No restrictions on home purchases for local and non-local residents [2]. - Shenzhen: First home down payment minimum of 15%, second home 20% [2]. Market Review - The light industry manufacturing sector index fell by 7.01% in the week from October 8 to October 11, ranking 25th among 31 sectors [10]. - Year-to-date performance shows a 14.94% decline in the light industry manufacturing index, while the CSI 300 index has risen by 13.29% [10][12]. - Among sub-sectors, the paper-making sector performed relatively better with a decline of 5.59%, while the home furnishing sector saw a larger drop of 8.10% [10]. Investment Strategy - The report suggests focusing on leading companies in the home furnishing sector, such as Gujia Home, Oppein Home, Sophia, and ZB Home, as they are positioned to benefit from the recovery in the post-real estate cycle [2][10].

Investment Rating - The report maintains an "Overweight" rating for the automotive industry [2][3]. Core Insights - In September 2024, the automotive market showed positive performance driven by national consumption promotion policies and promotional discounts from car manufacturers, leading to a sustained release of car purchase demand and new model launches. The overall automotive sales are expected to reach a historical high for the year [2][9]. - Total automotive sales in September were 2.809 million units, a year-on-year decrease of 1.7%. Cumulatively, from January to September, total sales reached 21.571 million units, reflecting a year-on-year growth of 2.4% [2][9]. - In the new energy vehicle (NEV) sector, September sales reached 1.287 million units, marking a year-on-year increase of 42.4%, with a penetration rate of 45.8%. For the first nine months of 2024, NEV sales totaled 8.32 million units, up 32.5% year-on-year, with a penetration rate of 38.6% [2][9]. Summary by Sections 1. Monthly Performance - The automotive market's performance in September was buoyed by government policies and promotional activities, with NEV sales maintaining high growth rates [2][9]. - The inventory situation for automotive dealers showed a comprehensive inventory coefficient of 1.3 in September, a year-on-year decrease of 14.6% [2][9]. 2. Investment Strategy and Key Focus - The report suggests focusing on undervalued leading companies in the automotive sector, particularly those with improved performance, and key players in the NEV and intelligent vehicle sectors [3][23]. - Recommended companies include BYD, Changan Automobile, Geely, and Li Auto, with a focus on stable, undervalued parts suppliers like Huayu Automotive and Fuyao Glass [3][23][24]. 3. Market Review - The automotive sector experienced a weekly decline of 4.57%, ranking 11th among 31 sectors in the market. The sector underperformed compared to the CSI 300 index [3][25]. - The top five gaining stocks in the automotive sector for the week included Jingu Co., Xingmin Zhito, and Jianghuai Automobile, while the top five losing stocks included Huayang Racing and Tongxin Transmission [3][25][29].

Investment Rating - The report maintains an "Overweight" rating for the electric power equipment industry [4]. Core Insights - The sales of new energy vehicles (NEVs) in China showed a stable growth, with September 2024 sales reaching 1.287 million units, a year-on-year increase of 42.36%, resulting in a penetration rate of 45.8% [2][8]. - The total installed capacity of power batteries in September 2024 was 54.5 GWh, reflecting a year-on-year growth of 50%, with a cumulative total of 347 GWh for the first nine months of 2024, up 36% year-on-year [2][10]. - Lithium iron phosphate (LFP) battery installations saw significant growth, with September 2024 installations at 41.3 GWh, accounting for 76% of total installations, and a year-on-year increase of 71% [2][14]. - Leading companies like CATL and BYD showed notable growth in battery installations, with CATL's September installations at 24 GWh (44% of total) and BYD's at 13.2 GWh (24% of total) [20]. Summary by Sections 1. New Energy Vehicle Sales - NEV sales in September 2024 reached 1.287 million units, a 42.36% increase year-on-year, with a penetration rate of 45.8% [2][8]. 2. Power Battery Installation Overview - The total power battery installation in September 2024 was 54.5 GWh, a 50% year-on-year increase, with a cumulative total of 347 GWh for the first nine months, up 36% year-on-year [10][2]. 3. Different Types of Power Battery Installations - LFP battery installations in September 2024 were 41.3 GWh, a 71% year-on-year increase, while ternary battery installations were 13.1 GWh, up 7.4% year-on-year [14][2]. 4. Leading Companies' Battery Installations - CATL's battery installations in September 2024 were 24 GWh, a 67% year-on-year increase, while BYD's installations were 13.2 GWh, a 34% increase [20][2]. 5. Market Performance Review - The electric power equipment industry experienced a weekly decline of 5.44%, ranking 16th among 31 primary industries, underperforming compared to the CSI 300 index [3][26]. 6. Price Changes of Key Materials - The report includes insights on the price changes of lithium carbonate and battery materials, indicating fluctuations in the market [32][33].

策 略 研 究 震荡有利于长远发展 ——申港证券策略周报 投资摘要： 上周各主要指数表现分别为：沪深 300 涨跌幅为-3.25%，上证指数涨跌幅 为-3.56%，深证成指涨跌幅为-4.45%，创业板涨跌幅为-3.41%，中证 500 涨跌幅为-4.74%。 上周申万 31 个一级行业中，31 个一级行业指数下跌。涨跌幅排名前五的行 业分别是电子、非银金融、银行、计算机、通信。涨跌幅排名后五的行业分 别是社会服务、传媒、房地产、美容护理、农林牧渔。 上周成交数量为 8401.91 亿股，成交金额为 101978.09 亿元。上涨家数 583， 下跌家数 4749。 截止到 10 月 11 日，创出历史新高的股票家数为 1 家，创出历史新低的股 票家数为 0，创 30 日新高、60 日新高、120 日新高的股票家数分别是 63、 60、57 家；创 30 日新低、60 日新低、120 日新低的股票家数分别是 18、 7、1 家。 两融数据显示，周度融资余额增加约 1409.49 亿元，周度融券余额减少约 10.11 亿元。 投资策略： 上周跟踪的市场五大指数全面下跌，申万 31 个一级行业指数全部下跌，市场 在 ...

Investment Rating - The report maintains an "Overweight" rating for the food and beverage industry [5]. Core Insights - The food and beverage index fell by 7.47% from October 7 to October 11, underperforming the CSI 300 index by 4.21% [2][14]. - Moutai's wholesale prices have decreased post the National Day holiday, indicating ongoing price volatility and inventory pressure in the market [3][19]. - The restaurant supply chain is expected to benefit from the recovery in dining and service consumption, with significant room for low-level recovery [4][23]. Summary by Sections Market Review - The food and beverage index's performance ranked 26th among 31 industries, with soft drinks showing better performance, outperforming the CSI 300 index by 3.42% [2][12][14]. - The overall market sentiment is affected by the slow-moving sales during the holiday season, with a focus on family gatherings and limited incremental consumption [3][17]. Investment Strategy - Suggested investment targets include high-end liquor brands like Moutai and Wuliangye, as well as promising beer companies like Yanjing Beer [5][24]. - The report highlights the potential for recovery in the seasoning and frozen food sectors, with companies like Haitian Flavoring and Angel Yeast showing resilience [5][24]. Industry Dynamics - The report notes a 5.9% year-on-year increase in domestic travel during the National Day holiday, with total spending reaching 700.82 billion yuan, indicating a positive trend for the restaurant supply chain [4][23]. - The white liquor price index showed a slight increase in September, suggesting a potential stabilization in pricing trends [25].