Investment Rating - The investment rating for the company is "Accumulate" (maintained) [5] Core Views - The company is focusing on expanding its customer base in the field of air suspension and enhancing its precision stamping technology to promote the localization of reducer flexible wheels [5] - In Q1 2025, the company achieved revenue of 80 million yuan and a net profit attributable to shareholders of 15.04 million yuan [6] - The company has established itself as a supplier for well-known automotive parts manufacturers, including Tyco Electronics and Bosch [6] - The company signed a strategic cooperation agreement with Konghui Technology to broaden its product line and is expected to achieve mass production of the third-generation welding ring line in 2025 [6][9] - The company plans to acquire 51% of Tongyihe Precision Technology to enhance its development and manufacturing capabilities in precision stamping [6][9] - The establishment of a joint venture in Slovenia aims to enhance overseas layout and local supply capabilities [6][9] Financial Summary - The company forecasts revenue growth from 276 million yuan in 2023 to 609 million yuan in 2027, with a compound annual growth rate (CAGR) of approximately 22.91% [8] - The net profit attributable to shareholders is projected to increase from 52 million yuan in 2023 to 100 million yuan in 2027, reflecting a CAGR of 25.37% [8] - The earnings per share (EPS) is expected to rise from 0.44 yuan in 2023 to 0.86 yuan in 2027 [8] - The company maintains a healthy return on equity (ROE), projected to reach 23.54% by 2027 [8]

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The report highlights the acquisition of 95.09% of Shanghai Lixin Pharmaceutical for approximately $500 million, accelerating the company's globalization efforts [5][7] - The innovative pipeline of Lixin, including dual antibodies and ADCs, is expected to significantly enhance the company's core competitiveness in the oncology field [7] - The financial forecasts indicate a strong growth trajectory for revenue and net profit, with expected net profits of RMB 4.639 billion, RMB 5.003 billion, and RMB 5.405 billion for 2025, 2026, and 2027 respectively, reflecting year-on-year growth rates of 32.56%, 7.84%, and 8.05% [6][8] Financial Summary - Revenue projections for the company are as follows: RMB 26,199 million in 2023, RMB 28,866 million in 2024, RMB 32,562 million in 2025, RMB 36,315 million in 2026, and RMB 40,723 million in 2027, with corresponding growth rates of -8.97%, 10.18%, 12.80%, 11.53%, and 12.14% [6][8] - The projected earnings per share (EPS) are RMB 0.13 for 2023, RMB 0.19 for 2024, RMB 0.25 for 2025, RMB 0.27 for 2026, and RMB 0.29 for 2027 [6][8] - The company’s return on equity (ROE) is expected to be 7.7% in 2023, increasing to 12.7% in 2025, and then slightly decreasing to 11.5% by 2027 [6][8]

Investment Rating - The investment rating for the company is "Buy" (maintained) [6] Core Views - The acquisition of assets has a clear price, and the three-year performance commitment ensures future profitability [6] - The acquisition is expected to enhance earnings per share by 17.65%, with a projected net profit increase for 2024 [8] - The company has a strong coal-electricity integration, which establishes a stable profit margin and supports dividend commitments [8] Financial Summary - The company's market capitalization is approximately 27,869.81 million RMB, with a closing price of 4.27 RMB per share [4] - The projected revenue for 2023 is 22,525 million RMB, with a slight decline expected in subsequent years [7] - The net profit for 2024 is estimated at 2,325 million RMB, reflecting a year-on-year growth of 15.98% [7] - The company plans to distribute at least 70% of its distributable profits as dividends from 2025 to 2027, with a projected dividend per share of no less than 0.1 RMB [8] - The projected price-to-earnings ratio (P/E) for 2025 is 11.99, indicating a favorable valuation [7]

Group 1: Fixed Income Market Insights - The domestic economic recovery shows continued differentiation, with resilient consumer market recovery and ongoing growth in logistics volume [2][7] - As of July 11, the average duration of long-term government bonds has risen to approximately 5.4 years, while the average duration of credit bonds remains stable at about 2.2 years [8][9] - The report suggests a narrow fluctuation in interest rate bonds for Q3 2025, with a bullish outlook on long-term municipal and capital bonds [9][14] Group 2: Financial Data Overview - In June 2025, new loans amounted to 2.24 trillion yuan, and social financing reached 4.2 trillion yuan, with M2 growing by 8.3% year-on-year [11][13] - The report indicates a significant increase in social financing growth, with a year-on-year increase of 8.9% [12][13] - The report anticipates a slight increase in new loans for 2025, driven by government bond financing and credit [11][13] Group 3: Company-Specific Insights - China Shengmu (01432.HK) - China Shengmu is the first organic raw milk brand to obtain dual certification from China and the EU, and it is the largest organic raw milk producer in China [22][23] - The company is expected to benefit from the expansion of the high-end organic milk market as consumer demand for healthy food increases [23][24] - The report forecasts a significant recovery in profits due to the anticipated stabilization of milk and beef prices, which have previously negatively impacted the company's financial performance [23][24] Group 4: Company-Specific Insights - Crystal Technology (603005.SH) - Crystal Technology is a leading supplier of WLCSP advanced packaging, focusing on CMOS image sensor chips and expanding into new fields such as optical devices and GaN devices [25][26] - The company is expected to see revenue growth driven by the increasing demand for automotive CIS, with a projected revenue of 1.13 billion yuan in 2024, representing a year-on-year growth of 23.72% [25][26] - The report highlights the company's strong competitive advantage with a gross margin of 43.28%, which is significantly higher than its peers [26][28]

Investment Rating - The investment rating for the company is "Buy" (maintained) [3][8] Core Views - The upward trend in the AI industry is driving significant revenue growth for the company, with a projected revenue of approximately 2.633 billion yuan for the first half of 2025, representing a year-on-year increase of about 58.17% [4] - The company expects to achieve a net profit attributable to shareholders of 1.1 to 1.2 billion yuan, a year-on-year increase of 85.5% to 102.36%, with a median estimate of 1.15 billion yuan, reflecting a growth of 93.9% [4] - The company's performance is bolstered by increased demand for its DDR5 memory interface and supporting chips, as well as a rise in sales of high-performance chips [5] Summary by Sections Market Performance - Closing price: 82.71 yuan - Total market capitalization: 94,685.52 million yuan - Total shares outstanding: 1,144.79 million shares - Debt-to-asset ratio: 5.72% [1] Financial Forecasts - Projected revenue for 2025: 5,867 million yuan, with a year-on-year growth rate of 61.24% [7] - Projected net profit for 2025: 2,414 million yuan, with a year-on-year growth rate of 71% [7] - Projected earnings per share for 2025: 2.11 yuan [7] Performance Drivers - The company anticipates continued high growth in Q2 2025, with expected revenue of 1.411 billion yuan, a year-on-year increase of approximately 52.12% [5] - The sales revenue from interconnect chips is projected to reach 1.321 billion yuan in Q2 2025, reflecting a year-on-year increase of about 58.56% [5] - The global AI server market is expected to grow from 125.1 billion USD in 2024 to 158.7 billion USD in 2025, further driving demand for the company's products [5]

Investment Rating - The report gives an "Accumulate" rating for the company, marking its first coverage [5][7]. Core Views - The company is positioned as a "small giant" in precision nickel-based conductor materials, benefiting from the development of the new energy vehicle market and innovations in solid-state battery technology [5]. - The company’s products are crucial for battery connections and are widely used in consumer electronics, new energy vehicles, and energy storage applications, aligning well with the growing demand in these sectors [9]. Summary by Sections 1. Changes in the Solid-State Battery Industry - The company focuses on the production of nickel strips and foils in the upstream nickel-based materials industry and the manufacturing of precision structural components in the midstream [14]. - The solid-state battery technology is expected to enter the commercialization phase by 2030, with solid-state batteries likely becoming the upgrade direction for lithium batteries [25][29]. 2. Company Business Focus and Financial Performance - The company’s main products include nickel strips, foils, and precision structural components, with applications in various fields such as consumer electronics and new energy vehicles [14]. - In 2024, the company expects revenues of 8.52 billion yuan, with a net profit of 67.44 million yuan, reflecting a year-on-year growth of 113.37% [6][33]. 3. Company Characteristics and Competitive Advantages - The company holds 89 patents and has maintained a market share of over 50% in nickel strip products from 2019 to 2021 [6][34]. - The company’s planned projects, including a 2,500-ton precision nickel strip material project expected to be operational by the end of 2026, are anticipated to support future growth [6][39]. 4. Profit Forecast and Valuation - The forecasted net profits for the company from 2025 to 2027 are 820 million yuan, 1 billion yuan, and 1.25 billion yuan, corresponding to P/E ratios of 36.8, 30.0, and 24.0 respectively [7][8].

Investment Rating - The investment rating for the agriculture, forestry, animal husbandry, and fishery industry is "Positive" (maintained) [1] Core Views - The report emphasizes the need to shift from a cyclical perspective to focusing on financial performance, highlighting that the difficulty in predicting pig prices is increasing while operational efficiency differences among companies remain significant [19] - The report suggests that the current valuation of the pig farming sector is relatively low, with cost-leading companies expected to have strong profit certainty in 2025 [19] - The report recommends focusing on high-quality companies such as Decon Agriculture and Livestock, Muyuan Foods, and Wens Foodstuffs [19] Summary by Sections 1.1. Swine - The latest pig price is 14.69 CNY/kg, with an average slaughter weight slightly increasing to 129.03 kg, and 15 kg piglets priced around 541 CNY/head [6][18] - The number of breeding sows in May was 40.42 million, a year-on-year increase of 1.15% [7][18] - The report indicates that the government is committed to stabilizing pig prices and may continue to strengthen production capacity regulation [7][18] 1.2. Poultry - The price of chicken seedlings in Yantai is 1.5 CNY/bird, up 50% month-on-month but down 39% year-on-year; the price of broilers is 3.2 CNY/kg, up 7.8% month-on-month [20] - The report notes a persistent contradiction of "high capacity, weak consumption" in the white feather chicken industry, with losses forcing breeding farms to reduce capacity [20] - Key investment focuses include high-quality imported breeding stock leaders and fully integrated industry leaders [20] 1.3. Feed - The report recommends Haida Group due to the recovery of the industry and improved management effectiveness, with rising capacity utilization and expected growth [21] - Recent price performance of various aquatic products shows significant year-on-year increases [21] 1.4. Pets - The pet industry saw a slight slowdown in sales growth in June, attributed to the early start of the 618 shopping festival [23] - The report highlights the limited impact of tariff uncertainties on the pet sector in the long term, with companies having strong overseas operations [23] 1.5. Agricultural Products - The USDA's report indicates a slight downward adjustment in planting area, which is seen as bullish, while the overall report is viewed as neutral [25] - The report notes that natural rubber is entering a production peak season, with supply pressures continuing [25] 2. Market and Price Situation - The Shanghai and Shenzhen 300 Index closed at 4015, up 0.82% from the previous week, while the agriculture, forestry, animal husbandry, and fishery index rose 1.09% [26] - The breeding sector showed the best performance with a 2.60% increase [26]

Investment Rating - The investment rating for the computer industry is "Positive" (maintained) [4] Core Viewpoints - The continuous iteration of model capabilities is driving the improvement of domestic computing power [3] - The demand side sees increased capital expenditure from internet companies due to ongoing model performance upgrades by firms like OpenAI, Anthropic, and Kimi [5] - On the supply side, the domestic AI chip supply is diverse, with ongoing advancements in chip production and applications [5] - Government policies are encouraging the construction of intelligent computing centers, further driving the development of domestic computing power [5] - The sustained iteration of large models and increased capital expenditure from internet firms are expected to boost AI computing demand, benefiting related sectors such as AI chips, servers, and data centers [5] Summary by Sections Demand Side - Continuous model performance upgrades are leading to increased capital expenditures from internet companies [5] - Domestic capital expenditure is expected to reach 150 billion yuan from ByteDance and 380 billion yuan from Alibaba over the next three years for cloud and AI hardware infrastructure [5] Supply Side - Domestic AI chip supply is becoming more diverse, with significant advancements in production [5] - Notable developments include the mass production of Huawei's Ascend 910C and the procurement of 4,500 servers for a smart computing center project [5] Policy Side - The government is promoting the "Artificial Intelligence +" strategy and supporting the development of diverse computing resources [5] - Local policies in regions like Shanghai and Guangdong are actively encouraging the growth of intelligent computing centers [5] Investment Analysis - The report suggests focusing on companies in AI chips, server assembly, components, computing leasing, and data centers as they are expected to benefit from the growing demand for AI computing [5]

Investment Rating - The investment rating for the company is "Buy" (首次) [3] Core Views - The company is a leading organic raw milk producer in China, with a fundamental reversal expected [3] - The company has obtained dual certification for organic standards from China and the EU, making it a prominent player in the organic milk market [6] - The company operates across the entire dairy value chain, from pasture planting to raw milk production and high-end liquid milk processing [6] - The high-end organic milk market is anticipated to continue expanding due to rising consumer demand for healthy food options [6] - The company benefits from a unique geographical advantage in Inner Mongolia, recognized as a prime milk source region [6] - A rebound in milk and beef prices is expected to enhance the company's fundamental performance [6] Financial Forecasts and Valuation - Revenue projections for the company are as follows: - 2023: 3,383.63 million RMB - 2024: 3,126.18 million RMB - 2025E: 2,989.43 million RMB - 2026E: 3,207.90 million RMB - 2027E: 3,447.21 million RMB - The expected growth rates show a decline in 2024 and 2025, followed by a recovery in 2026 and 2027 [4] - The projected net profit for 2025 is -47.31 million RMB, with a significant recovery expected in 2026 and 2027 [4] - The company’s price-to-earnings ratio (P/E) for 2026 is estimated at 5.51, significantly lower than the average P/E of comparable companies at 9.6 [6]

Report Industry Investment Rating No specific industry investment rating is provided in the report. Core Viewpoints of the Report The current economic operation is in a neutral range, and the negative economic cycle of "sharp decline in housing prices and stock prices - wealth shrinkage - consumption downgrade" in the past two years may have come to an end. The marginal change in the economy compared to 2024 may lie in consumption. The report expects interest rate bonds to fluctuate narrowly in Q3 2025, and is bullish on long - duration urban investment bonds and capital bonds. It also anticipates a significant interest rate cut by the Federal Reserve in 2026, highlighting opportunities in short - to medium - term US bonds [2]. Summary According to the Table of Contents 1. Macro - level News - In June, the year - on - year CPI was +0.1%, and the month - on - month was - 0.1%. The year - on - year food price was - 0.3%, and the month - on - month was - 0.4%; the year - on - year non - food price was +0.1%, and the month - on - month was flat. The转正 of CPI in June and the rebound of core CPI may indicate the initial effectiveness of policies to expand domestic demand, but the recovery foundation is not yet stable [2][12]. - The General Office of the State Council issued a notice to further strengthen policy support for stable employment, including seven aspects such as supporting enterprises to stabilize jobs and promoting employment through skills training [2][13]. - Trump announced that starting from August 1, a 50% tariff will be imposed on all copper imported into the United States, and different tariff conditions (20% - 50%) will be imposed on 24 countries and 27 EU member states [2][13]. 2. Medium - level High - frequency Data 2.1 Consumption - As of July 6, the daily average retail volume of passenger car manufacturers increased by 1.2% year - on - year, and the daily average wholesale volume increased by 39.0% year - on - year. As of June 27, the total retail volume of three major household appliances increased by 16.4% year - on - year, and the total retail sales increased by 1.6% year - on - year. However, the total box office revenue in the past 7 days as of July 11 decreased by 26.5% year - on - year [14][19][23]. 2.2 Transportation - As of July 6, the container throughput of ports increased by 5.6% year - on - year, railway freight volume increased by 3.7% year - on - year, and highway truck traffic increased by 1.7% year - on - year. But the CCFI composite index as of July 11 decreased by 37.0% year - on - year, and the average Baltic Dry Freight Index as of July 11 decreased by 16.7% year - on - year [14][24][31]. 2.3 Capacity Utilization - As of July 9, the blast furnace capacity utilization rate of major steel enterprises increased by 2.4 pct year - on - year. As of July 10, the average asphalt capacity utilization rate increased by 4.0 pct year - on - year, but the soda ash capacity utilization rate decreased by 6.3 pct year - on - year, and the PVC capacity utilization rate decreased by 1.8 pct year - on - year [15][45][47]. 2.4 Real Estate - As of July 11, the total commercial housing transaction area of 30 large and medium - sized cities in the past 7 days decreased by 11.0% year - on - year, while the total number of transactions increased by 17.1% year - on - year. The second - hand housing market also showed a downward trend, with the transaction area of 9 sample cities decreasing by 7.4% year - on - year as of July 4, and the listing price index of second - hand housing in national cities decreasing by 7.0% year - on - year as of July 6 [15][54][58]. 2.5 Prices - As of July 11, most commodity prices declined. The average wholesale price of pork decreased by 16.1% year - on - year, the average wholesale price of vegetables decreased by 7.4% year - on - year, the average price of thermal coal at northern ports decreased by 27.6% year - on - year, and the average spot price of WTI crude oil decreased by 17.8% year - on - year [15][68][73]. 3. Bond Market and Foreign Exchange Market - On July 11, overnight Shibor, R001, R007, DR001, DR007, IBO001, and IBO007 all increased slightly compared to July 7. The yields of 1 - year, 5 - year, 10 - year, and 30 - year treasury bonds on July 11 increased by 3.4BP, 3.6BP, 2.2BP, and 2.4BP respectively compared to July 4. The exchange rate of the US dollar against the RMB on July 11 was 7.17, up 58 pips compared to July 4 [79][80][86]. 4. Institutional Behavior - As of July 13, the net - breaking rate of public wealth management products of wealth management companies was about 0.57%, down 1.40 pct from the beginning of the year, and the current percentile of the net - breaking rate within the year was below 5%. As of July 11, the duration of bond funds continued to rise. The median and average duration of medium - and long - term pure bond funds for interest rate bonds reached 5.3 years and 5.4 years respectively, up 0.18 years from the previous week; the median and average duration of medium - and long - term pure bond funds for credit bonds were 2.2 years, down 0.01 years from the previous week [89][91][92]. 5. Investment Suggestions - Interest rate bonds are expected to fluctuate narrowly in Q3 2025. The report is bullish on long - duration urban investment bonds and capital bonds, including urban investment dim - sum bonds and US dollar bonds. It strongly recommends perpetual bonds of Minsheng Bank, Bohai Bank, and Hengfeng Bank, and suggests paying attention to opportunities in insurance sub - debt. It is expected that the Federal Reserve will significantly cut interest rates in 2026, presenting opportunities in short - to medium - term US bonds [2][97].