Investment Rating - The report maintains a "Buy" rating for China Feihe (6186.HK) with a target price of HKD 6.65, indicating a potential upside of 13.3% from the current price of HKD 5.87 [3][6]. Core Insights - China Feihe's net profit for 2H24 fell short of market expectations due to short-term inventory clearance in functional nutrition products, including adult milk powder, which affected overall gross margin performance. However, the infant formula business showed revenue growth in line with expectations, and profit margins remained robust. Management is confident that revenue growth in 2025 will exceed that of 2024, with a slight increase in gross margin expected year-on-year [1][6]. - The company is positioned as a leader in the infant formula market, driving industry consolidation trends. The report suggests that Feihe will continue to capture market share through increased brand investment and product innovation [1][6]. Financial Performance and Projections - Revenue for 2023 was reported at RMB 19,532 million, with a projected increase to RMB 20,749 million in 2024, reflecting a year-on-year growth of 6.2%. The forecast for 2025 anticipates revenue of RMB 21,817 million, representing a growth of 5.1% [8][11]. - The net profit for 2023 was RMB 3,390 million, with expectations of growth to RMB 3,570 million in 2024 and RMB 3,944 million in 2025, indicating a year-on-year increase of 5.3% and 10.5%, respectively [8][11]. - The gross margin is expected to improve from 64.8% in 2023 to 66.3% in 2024, with further stability projected for 2025 [8][11]. Market Position and Strategy - China Feihe is focusing on high-end product offerings, with ultra-high-end products expected to see a revenue increase of 17% in 2024, contributing to 69% of total revenue. The company plans to launch even higher-end products in 2H25 [6][11]. - The management has announced a RMB 12 billion maternity subsidy plan, which is expected to have a limited negative impact on profit margins, as the actual costs will be lower than the total subsidy amount [6][11]. Dividend Policy - The company has increased its dividend payout, with a projected dividend of HKD 0.3264 per share for 2024, raising the payout ratio to 76.1%. Management aims for a 10% annual increase in absolute dividend amounts over the next two years [6][11].

Investment Rating - The report maintains a "Buy" rating for BYD [6] Core Views - BYD is expected to significantly increase its smart driving penetration rate, driving substantial growth in both sales and profits for new energy vehicles [2][6] - The target price for BYD shares is set at HKD 481.0, representing a potential upside of 18% for the Hong Kong stock and CNY 469.0 for the A-share, with a potential upside of 21% [4][5] Financial Forecasts - Revenue is projected to grow from RMB 602,315 million in 2023 to RMB 966,125 million in 2025, reflecting a compound annual growth rate (CAGR) of 24% [3][9] - Net profit is expected to increase from RMB 30,041 million in 2023 to RMB 50,211 million in 2025, with a net profit growth rate of 25% [3][9] - The gross margin is forecasted to decline slightly from 20.2% in 2023 to 18.7% in 2025 [3][9] Sales and Market Performance - BYD's vehicle sales are anticipated to reach 5.5 million units in 2025, with overseas sales expected to nearly double [6] - The sales of high-end brands such as Tengshi, Fangchengbao, and Yangwang are projected to grow significantly [6] Valuation - The report employs a sum-of-the-parts valuation method, assigning price-to-earnings ratios of 29.0x for new energy vehicles, 21.0x for mobile and electronic businesses, and 10.0x for other businesses, leading to target prices of HKD 481.0 and CNY 469.0 [10]

Investment Rating - The report maintains a "Buy" rating for the company with a target price of 7.5 HKD, indicating that the current market price does not reflect the company's true value [1][4]. Core Insights - The company is expected to steadily reduce losses in 2024, with the neurointervention segment achieving its first annual profit. Revenue for 2024 is projected at 615 million RMB, a 40% year-over-year increase, with a gross margin of 70.5% [2][4]. - The cardiac valve segment is anticipated to generate 260 million RMB in revenue for 2024, also reflecting a 40% year-over-year growth, while the neurointervention segment is expected to reach 356 million RMB, marking a 39% increase [2][3]. - The report highlights that the market is closely monitoring the impact of centralized procurement, particularly in the neurointervention field, where risks are nearing resolution. In the cardiac valve sector, the slowdown in implant volume growth may not necessarily be negative due to potential price adjustments post-procurement [3][4]. Financial Performance Summary - Revenue projections for the company are as follows: 441 million RMB in 2023, 615 million RMB in 2024, 821 million RMB in 2025, 781 million RMB in 2026, and 1,024 million RMB in 2027, with year-over-year growth rates of 75.9%, 39.5%, 33.4%, -4.9%, and 31.2% respectively [5][12]. - The company is expected to narrow its net loss from 393 million RMB in 2023 to 228 million RMB in 2024, with further reductions anticipated in subsequent years [5][12]. - The report provides a detailed breakdown of revenue by segment, with cardiac valves and neurointervention contributing significantly to the overall growth [2][12]. Product Pipeline and Market Strategy - The company has separated three advanced products from its transcatheter valve business to prepare for independent financing and international expansion. These products are aimed at the European and American markets [4][14]. - The DCWire microguidewire is currently undergoing FDA registration and is expected to be the company's first original product to enter the international market [4][14]. - The report outlines the expected approval timelines for various products, including the TaurusNXT and TaurusTrio, which are anticipated to receive approval between late 2025 and mid-2026 [4][14].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 88.9, indicating a potential upside of 18% from the current price of HKD 75.25 [1][3]. Core Insights - The company is expected to see strong growth in its business guidance for 2025, with significant profit increases anticipated. The mobile camera module and lens segments are projected to outperform industry growth rates, contributing to improved profitability [10]. - The automotive segment is also expected to maintain robust growth, with revenue increases providing stable profit growth. The net profit for 2025 is forecasted to grow by 22% year-on-year [10]. - The report highlights an upward revision of profit forecasts for 2025 and 2026 based on the company's performance and outlook [10]. Financial Projections - Revenue is projected to grow from RMB 31,681 million in 2023 to RMB 50,842 million by 2027, with a compound annual growth rate (CAGR) of approximately 10% [2]. - The gross margin is expected to improve from 14.5% in 2023 to 20.2% in 2027, reflecting enhanced profitability [2]. - Net profit is anticipated to rise from RMB 1,099 million in 2023 to RMB 4,610 million in 2027, with a significant increase in growth rates, particularly a 146% increase in 2024 [2]. Segment Performance - The mobile camera module segment is expected to generate revenue of RMB 21,038 million in 2025, with a net profit of RMB 600 million [14]. - The automotive lens segment is projected to achieve a revenue of RMB 4,390 million in 2025, with a net profit of RMB 741 million [14]. - The overall revenue for the company in 2025 is estimated at RMB 41,677 million, with a net profit of RMB 3,306 million [14].

Investment Rating - The report maintains a "Buy" rating for WuXi AppTec (2268.HK) with a target price of HKD 50, indicating a potential upside of 25% from the current price of HKD 40 [1][5][10]. Core Insights - WuXi AppTec's 2024 performance slightly exceeded previous positive earnings forecasts, with revenue reaching RMB 4.052 billion, representing a year-on-year growth of 90.8%, surpassing the earlier guidance of 85% [5][7]. - The adjusted net profit for 2024 was RMB 1.07 billion, reflecting a significant year-on-year increase of 277.2%, also exceeding prior expectations of 170% growth [5][7]. - The company expects to maintain a revenue growth rate of over 35% for 2025, supported by a strong order backlog of USD 990 million, which is up 71.2% year-on-year [5][7]. - North America is identified as a key growth driver, with its revenue contribution increasing to 50% in 2024, up from 40% in 2023 [5][7]. Financial Performance and Forecast - Revenue and profit forecasts for WuXi AppTec are as follows: - 2023: Revenue of RMB 2.124 billion, net profit of RMB 284 million - 2024: Revenue of RMB 4.052 billion, net profit of RMB 1.07 billion - 2025E: Revenue of RMB 5.569 billion, net profit of RMB 1.302 billion - 2026E: Revenue of RMB 7.618 billion, net profit of RMB 1.739 billion - 2027E: Revenue of RMB 9.987 billion, net profit of RMB 2.356 billion [7][8][9]. - The report projects a compound annual growth rate (CAGR) for revenue exceeding 40% over the next three years under optimistic scenarios [19]. Valuation Metrics - The report adjusts the 2025/2026 estimated net profit upwards by 28% and 24% respectively, primarily due to increased revenue forecasts [5][7]. - The target valuation multiple is set at 1.05x PEG, corresponding to a 31x PE for 2026E, leading to the target price of HKD 50 [5][7].

Investment Rating - The report maintains a "Buy" rating for the company, with a target price raised to 700 HKD, indicating a potential upside of 30% from the current price of 540 HKD [4][7]. Core Insights - The company reported a 4Q24 revenue of 172.5 billion RMB, a year-on-year increase of 11%, surpassing market expectations by 2.3%. The gross margin improved to 52.6%, up 3 percentage points year-on-year, with adjusted net profit rising by 30% to 55.3 billion RMB [2][4]. - The domestic gaming segment showed strong performance with a 23% year-on-year revenue growth to 33.2 billion RMB in 4Q24, driven by a low base from the previous year and healthy performance of flagship games [3]. - The company is increasing its investment in AI, with capital expenditures in 4Q24 reaching 39 billion RMB, and plans to continue this trend into 2025, which is expected to account for a low double-digit percentage of revenue [4]. Financial Performance Summary - The company’s revenue is projected to grow from 608.9 billion RMB in FY23 to 724.4 billion RMB in FY25E, reflecting a compound annual growth rate (CAGR) of approximately 9.8% [6]. - Adjusted net profit is expected to increase from 157.6 billion RMB in FY23 to 238.3 billion RMB in FY25E, indicating a strong growth trajectory [6]. - The adjusted net profit margin is forecasted to improve from 25.9% in FY23 to 32.9% in FY26E, showcasing enhanced profitability [6]. Market Expectations - The report highlights that the company’s stock price has a 52-week range of 282.4 to 547 HKD, with a current market capitalization of approximately 4.77 trillion HKD [7]. - The average daily trading volume over the past three months is noted to be 17.32 billion HKD, indicating robust market activity [7].

Investment Rating - The report maintains a "Buy" rating for the company and raises the target price to HKD 75.0, indicating a potential upside of 29% from the current price of HKD 58.20 [1][5][29] Core Insights - The company achieved record high revenues and adjusted net profits in Q4 2024, with revenues reaching RMB 109 billion, adjusted net profits at RMB 8.3 billion, and core business net profits at RMB 9 billion, reflecting strong growth [1][14] - The company's strategic direction and management execution are highlighted as key factors for its robust performance, with significant growth expected in its smartphone, electric vehicle, and IoT segments [1][2] - The report expresses optimism about the company's long-term value growth, supported by its ecosystem strategy and leadership positions in various business segments [1][2] Financial Performance and Forecast - Revenue projections for the company are set to grow from RMB 270.97 billion in 2023 to RMB 705.62 billion by 2027, with a compound annual growth rate (CAGR) of 19% [4][15] - Adjusted net profit is expected to increase from RMB 19.27 billion in 2023 to RMB 59.14 billion in 2027, reflecting a strong growth trajectory [4][15] - The report anticipates a significant improvement in gross margins across various segments, particularly in smartphones and IoT products, driven by cost reductions and strategic initiatives [2][15] Segment Analysis - Smartphone segment: Expected shipment volume to exceed 180 million units in 2025, with improved gross margins due to cost reductions and high-end product strategies [2][15] - IoT segment: Anticipated revenue growth exceeding 20%, driven by large appliance sales and international expansion [2][15] - Internet services: Projected to maintain stable revenue growth and high gross margins due to a growing user base [2][15] - Electric vehicle segment: Targeting sales of 350,000 units, with expectations for steady margin improvements [2][15] Valuation - The report employs a sum-of-the-parts valuation method, assigning target price-to-earnings ratios of 25.0x for smartphones, 30.0x for IoT, and 25.0x for internet services, leading to a target price of HKD 75.0 [2][16] - The current price reflects a price-to-earnings ratio of 42.1x, suggesting room for valuation expansion given the company's growth prospects [1][2]

Investment Rating - The report maintains a "Buy" rating for Anta Sports (2020.HK) and raises the target price to HKD 118.8, indicating a potential upside of 21.3% from the current price of HKD 97.9 [1][2]. Core Views - Despite facing significant pressure on profit margins in the short term, Anta's revenue from its main brand is expected to steadily expand, with other brands maintaining rapid growth. The contribution from Amer Sports is anticipated to significantly increase, supporting a high growth rate in core net profit by 2025. The multi-brand strategy is expected to continue driving overall revenue expansion for the company [1][7]. Financial Projections - Revenue is projected to grow from RMB 62,356 million in 2023 to RMB 78,838 million in 2025, reflecting a compound annual growth rate (CAGR) of 11.3% [9][13]. - The net profit attributable to shareholders is expected to decrease from RMB 15,596 million in 2024 to RMB 13,965 million in 2025, indicating a decline of 10.5% [9][13]. - The gross margin is projected to remain stable around 62.5% in 2025, with operating profit margin slightly declining to 23.2% [11][13]. Brand Performance - The management anticipates that the Anta brand's revenue will grow at a high single-digit percentage in 2025, while Fila is expected to see mid-single-digit growth. Other brands like Descente and Kolon are projected to exceed 30% growth [7][15]. - The online sales channel is expected to continue driving revenue growth for Fila, which is projected to contribute 40% of its revenue in 2024, up from 35% in 2023 [7][11]. Market Strategy - Anta plans to increase market investments in 2025, focusing on expanding the new retail format (Super Anta stores), enhancing overseas market presence, and increasing sponsorship for domestic events [7][11]. - The multi-brand strategy is expected to be a key driver for long-term revenue growth, with Descente and Kolon brands contributing 15% of the group's revenue in 2024 [7][11].

Investment Rating - The report maintains a "Buy" rating for the company and raises the target price to HKD 90 and RMB 93, indicating a potential upside of +38% and +45% respectively [3][5][9]. Core Insights - The acceleration in new order signings, along with an additional special dividend and A-share buyback, are the major positive surprises that have driven the company's stock price up [3][8]. - For 2024, the company achieved a revenue of RMB 39.24 billion, a decrease of 2.7% YoY, but a growth of 5.2% YoY when excluding COVID-19 commercialization projects [8][10]. - The company reported a Non-IFRS adjusted net profit of RMB 10.58 billion for 2024, down 2.5% YoY, with a net profit margin of 27% [8][10]. Revenue and Growth Drivers - The small molecule D&M revenue and TIDES business remain the main drivers of revenue growth, with TIDES revenue growing by 67.9% YoY and small molecule D&M revenue increasing by 16.1% YoY [3][8]. - The company expects TIDES business to maintain over 60% YoY revenue growth in 2025, with total revenue projected to reach RMB 41.5-43 billion, representing a 10%-15% YoY increase [8][9]. Financial Performance - In Q4 2024, the company achieved a revenue of RMB 11.54 billion, a 6.9% increase YoY, and a Non-IFRS adjusted net profit of RMB 3.24 billion, up 20.4% YoY [10][12]. - The company ended 2024 with a backlog of orders amounting to RMB 49.31 billion, a 47% increase YoY, indicating strong execution and international competitiveness [8][10]. Shareholder Returns - The company plans to distribute an additional special dividend of RMB 1 billion and conduct a RMB 1 billion A-share buyback in 2025, which is expected to positively impact stock performance [8][9]. - The management also announced a H-share incentive trust plan for 2025, with an allocation of HKD 1.5-2.5 billion, depending on revenue targets [8][9].

Investment Rating - The report maintains a "Buy" rating for the company and raises the target price to HKD 90 and RMB 93, indicating a potential upside of +38% and +45% respectively [3][5][9]. Core Insights - The acceleration in new order signings, along with an additional special dividend and A-share buyback, are the major positive surprises that have driven the company's stock price up [3][8]. - For 2024, the company achieved a revenue of RMB 39.24 billion, a decrease of 2.7% YoY, but a growth of 5.2% YoY when excluding COVID-19 commercialization projects [8][10]. - The company reported a Non-IFRS adjusted net profit of RMB 10.58 billion for 2024, down 2.5% YoY, with a net profit margin of 27% [8][10]. Revenue and Growth Drivers - The small molecule D&M revenue and TIDES business remain the main drivers of revenue growth, with TIDES revenue growing by 67.9% YoY [3][8]. - The company expects TIDES business to maintain over 60% YoY revenue growth in 2025, while small molecule D&M revenue is also projected to grow significantly [8][9]. Financial Performance - In Q4 2024, the company achieved a revenue of RMB 11.54 billion, representing a 6.9% YoY increase and a 10.3% QoQ increase [10][12]. - The adjusted Non-IFRS net profit for Q4 2024 was RMB 3.24 billion, up 20.4% YoY, with a net profit margin of 28.1% [10][12]. Future Guidance - For 2025, the company expects revenue from continuing operations to reach RMB 41.5-43 billion, representing a 10%-15% YoY growth [8][9]. - The company plans to distribute an additional special dividend of RMB 1 billion and conduct a RMB 1 billion A-share buyback in 2025 [8][9]. Market Position - The company ended 2024 with a backlog of orders amounting to RMB 49.31 billion, a 47% YoY increase, indicating strong execution capabilities and international competitiveness [8][9].