Investment Rating - The report maintains a "Buy" rating for both A and H shares of the company, with a target price of RMB 7.98 and HKD 6.26 respectively [6]. Core Insights - The proposed restructuring between Sinopec Group and China Aviation Oil is expected to enhance the competitiveness of China's aviation fuel industry by integrating aviation fuel production and sales, optimizing the retail system, and facilitating overseas trade [2][3]. - The demand for aviation fuel is anticipated to grow steadily due to the recovery in air travel and fleet expansion, which will support moderate growth in aviation fuel demand [3]. - The company is expected to benefit from the integration advantages post-restructuring, although it may face increased related-party transactions [3][4]. Summary by Sections Company Overview - Sinopec Group is the world's largest refining company and China's largest aviation fuel producer, with crude processing and aviation fuel production volumes of 186.4 million tons and 25.7 million tons respectively in the first three quarters of 2025, showing a year-on-year change of -2.2% and +6.5% [2]. Financial Forecasts - The net profit forecast for 2025 has been adjusted down to RMB 35.9 billion, a decrease of 2.3%. The net profit forecasts for 2026 and 2027 are maintained at RMB 46.3 billion and RMB 54.6 billion respectively, with corresponding EPS of RMB 0.30, 0.38, and 0.45 [4][10]. - The revenue for 2025 is projected to be RMB 297.3 billion, reflecting a year-on-year decline of 3.3% [10]. Valuation - The report assigns a price-to-earnings (P/E) ratio of 21.0x for A shares and 15.0x for H shares for 2026, based on the company's integrated advantages and transformation into new materials and non-oil businesses [4][11].

Investment Rating - The industry investment rating is "Overweight" [6] Core Views - The report highlights that the demand for mining machinery is expected to remain strong due to high global copper prices, which have risen over 30% since the beginning of the year, reaching nearly $12,000 per ton [2][5] - The export of excavators is becoming a key growth driver, with December export growth accelerating by 8 percentage points month-on-month, particularly in large excavators, which saw a year-on-year growth of over 60% [2][4] - The domestic market for excavators is anticipated to gradually recover, supported by major infrastructure projects and a potential revival in the real estate sector [4][5] Summary by Sections Excavator Sales and Exports - In December 2025, excavator sales reached 23,000 units, with domestic sales of 10,000 units (up 11% year-on-year) and exports of 13,000 units (up 27% year-on-year) [1] - The export of second-hand machinery has also seen significant growth, with year-on-year increases of 69% and 80% in October and November, respectively, indicating effective clearance of existing equipment [3] Domestic Market Recovery - The report notes that the domestic sales of small and medium excavators improved in December, while large excavators continued to show resilience despite a slowdown in growth [4] - Key infrastructure projects, such as those along the Yarlung Tsangpo River, are expected to support the recovery of domestic demand for construction machinery [4][5] Recommendations for Key Companies - The report recommends several companies for investment, including SANY Heavy Industry, XCMG, Liugong, and Hengli Hydraulic, all of which are expected to benefit from the ongoing demand in both domestic and international markets [8][17]

Group 1: Macro Trends and Strategy - The report indicates that the overall industry prosperity index has shown signs of a turning point, with PMI exceeding expectations, particularly in upstream resources, public industries, TMT, and essential consumer goods [2] - Key drivers for the recent improvements include price increases in metals, coal, certain chemicals, and paper products, as well as advancements in AI applications, particularly in gaming and software [2] - The report suggests a balanced investment strategy focusing on both growth and cyclical sectors, recommending attention to industries such as non-ferrous metals, chemicals, military industry, storage, gaming, and new energy [2] Group 2: Fixed Income Insights - The report discusses the emergence of "negative duration" strategies in the bond market, which have gained attention due to certain products appreciating despite overall market adjustments [3] - It highlights that the negative duration strategy involves using derivatives and short selling to create a portfolio with a negative duration, which is a more extreme form of hedging [3] - The report notes that while the strategy is gaining traction, it faces challenges such as performance benchmarks and regulatory attitudes in the domestic market [3] Group 3: Real Estate Sector Analysis - The report states that the sales advantages of leading real estate companies continue to consolidate, with the top 100 firms experiencing a narrowing decline in sales compared to the overall market [4] - It emphasizes that the concentration of resources among top firms has increased, with state-owned enterprises outperforming for six consecutive years [4] - The report anticipates that policies aimed at stabilizing the real estate market will benefit leading firms with strong resource acquisition capabilities [4] Group 4: Aerospace and Defense Industry Outlook - The report highlights a significant increase in global defense spending, with the U.S. proposing to raise military expenditure from $1 trillion to $1.5 trillion by FY2027, reflecting heightened international security concerns [5] - It notes that China's military trade market share remains low at 5.87% compared to the U.S. at 42.64%, indicating potential for growth in China's military exports [5] - The report suggests that the internationalization of Chinese military enterprises will be a key focus in the upcoming five-year plan, potentially leading to rapid development in military trade [5] Group 5: Key Company Insights - The report initiates coverage on WeRide (WRD US/800 HK) with a "buy" rating, projecting a target price of HKD 52 and USD 20, citing its dual focus on domestic and international markets [6] - It mentions that WeRide has established a significant Robotaxi fleet in the Middle East and is expanding its product offerings, which may not yet be fully reflected in its valuation [6] - The report also discusses Alibaba's expected revenue growth of 3.7% year-on-year for Q3 FY26, driven by AI cloud demand, although it anticipates challenges in e-commerce profitability due to weak GMV performance [7]

Group 1: Technology Sector Insights - At CES 2026, AMD and Intel presented their AI strategies, with AMD's stock dropping approximately 3% and Intel's rising about 2% due to differing product announcements [2] - Nvidia's CEO highlighted the Rubin platform, which includes six core chips, and emphasized the transition from Physical AI to Agentic AI, with expected shipments in the second half of 2026 [3] - The focus for AI investments in 2026 is shifting towards real-time response capabilities and the penetration of AI in various verticals such as industrial and medical applications [2][3] Group 2: Pharmaceutical Sector Insights - The Hong Kong innovative drug sector is expected to recover due to improved liquidity and multiple catalysts, with a focus on the upcoming JPM conference and data disclosure peaks [5] - The decline in innovative drug valuations in late 2025 was primarily due to liquidity issues, which are anticipated to improve in early 2026 [5] Group 3: Consumer Electronics Insights - The CES 2026 showcased a rapid shift of AI and robotics technologies towards consumer hardware, indicating significant product launches in smart home applications [6] - The event is viewed as a critical observation point for AI applications in consumer markets, suggesting investment opportunities in tech consumer companies [6] Group 4: Industrial Equipment Insights - The valve industry is experiencing growth driven by demand from high-growth sectors like energy and new energy, with a notable shift towards domestic production capabilities [8] - The combination of demand growth, technological upgrades, and accelerated localization is reshaping the competitive landscape of the valve industry [8] Group 5: Chemical Sector Insights - Xinhengcheng is recognized as a leading player in the global nutrition and flavor industry, with a focus on emerging demands and a strong technological foundation [10] - The company is expected to enter a new growth cycle, driven by increased market share in methionine and flavor products, alongside advancements in biomanufacturing [10] Group 6: Circular Economy Insights - Wanwu Xinxing is positioned as a leader in the second-hand circular economy, integrating the entire 3C recycling industry chain to enhance efficiency and cost barriers [11] - The company aims to evolve from a service provider to a brand, leveraging retail and compliance refurbishment to increase profit margins [11] Group 7: Financial Sector Insights - GF Securities plans to raise over HKD 6 billion through H-share placement and zero-interest convertible bonds to strengthen its capital base for international expansion [12][13] - Successful fundraising is expected to enhance the company's operational performance and industry ranking [13] Group 8: Electric Vehicle Insights - Yadea Holdings anticipates a significant profit increase for 2025, driven by rising sales of electric two-wheelers and product optimization [14] - The company is expected to maintain its leadership position in the two-wheeler market while expanding into mid-to-high-end and overseas markets [14] Group 9: Semiconductor Sector Insights - Huahong Semiconductor is set to acquire a majority stake in Huali Micro, which is expected to significantly enhance its earnings and liquidity [15] - The acquisition is projected to increase the company's net profit from CNY 380 million to CNY 960 million, marking a 151% growth [15]

证券研究报告 科技 英伟达 2026 CES：重申 Rubin 平台，以 Physical AI 为基，迈向 Agentic AI 时代 华泰研究 2026 年 1 月 07 日│美国 动态点评 科技 增持 (维持) | 美西时间 CEO 黄仁勋在 2026 CES 举行演讲。继去年 | 1 月 | 5 日，英伟达 | | | 何翩翩 | 研究员 | | --- | --- | --- | --- | --- | --- | --- | | GTC 发布 CES 披露更多细节。该平台将涵盖六款核 | Rubin 平台以来，本次 | | | | SAC No. S0570523020002 | purdyho@htsc.com | | SFC No. ASI353 | | | | | | +(852) 3658 6000 | | 心芯片：Vera CPU、Rubin GPU、NVLink 6 Switch、ConnectX-9 SuperNIC、 | | | | | | | | Spectrum-6 以太网交换芯片。鉴于英伟达通常于 | BlueField-4 DPU 与 | | | 3 月 | 黄乐平，PhD ...

Investment Rating - The report maintains a "Buy" rating for both Intel (INTC US) with a target price of 50.00 and AMD (AMD US) with a target price of 280.00 [7][25]. Core Insights - The focus of AI investment in 2026 is shifting from physical AI to Agentic AI, emphasizing the need for computational power in real-time responses and inference [1]. - AMD has launched the complete MI400 series, with the MI500 expected to be released in 2027, showcasing advancements in AI infrastructure [1]. - Intel has officially entered mass production of its 18A process technology, which integrates RibbonFET and PowerVia technologies, enhancing performance and power efficiency [4]. Summary by Sections AMD Developments - AMD introduced the MI400 series, including the Helios platform designed for Yotta-FLOPS level AI infrastructure, featuring 72 MI455X GPUs and a memory bandwidth of 1.4PB/s [1]. - The Ryzen AI 400 series, based on Zen 5 architecture, is set to launch in Q1 2026, aiming to facilitate local AI deployment [2]. - AMD's new developer platform, Ryzen AI Halo, will support local execution of models with up to 200 billion parameters, lowering barriers for AI development [2]. Intel Developments - Intel's Core Ultra Series 3, based on the 18A process, features 16 CPU cores and 12 Xe cores, targeting over 200 OEM PCs [3]. - The integrated Arc B390 graphics card, with 96 XMX AI accelerators, achieves approximately 120 TOPS of AI performance, comparable to NVIDIA's RTX 4050 [3]. - Intel emphasizes the transition of AI workloads to edge and industrial applications, highlighting the importance of hybrid AI solutions [3]. Market Trends - The report indicates a structural shift in AI demand, focusing on edge computing and vertical applications in industries such as healthcare and manufacturing [1][3]. - The integration of advanced process technologies is seen as a strategic move for both AMD and Intel to enhance their competitive positions in the semiconductor market [4].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 18.63 [1][10]. Core Views - The company has issued a positive profit forecast, expecting a net profit of at least RMB 2.9 billion for 2025, representing a year-on-year growth of over 128%. This growth is primarily driven by increased sales of electric two-wheelers and product structure optimization [6][10]. - The company is positioned as a leader in the two-wheeler industry, leveraging its systematic advantages in product strength and distribution channels to consolidate its market position. It aims to expand into the mid-to-high-end market and overseas markets to unlock long-term growth potential [6][10]. - The company anticipates achieving high-quality growth in its two-wheeler business in 2025, with expected sales exceeding 16.2 million units, including over 7.4 million units in the second half of 2025, reflecting a year-on-year growth of over 11% [7]. - The company is focusing on the mid-to-high-end market with brands like "Crown" and "Modern," building differentiated competitive barriers. It is also increasing its self-supply ratio in battery production, which will enhance profitability [8]. - The company is benefiting from policy-driven replacement demand in Southeast Asian markets, with local production and policy alignment expected to boost its market share as electric motorcycles replace fuel-powered ones [9]. Financial Projections - The company’s revenue is projected to reach RMB 37.19 billion in 2025, with a year-on-year growth of 31.71%. The net profit attributable to the parent company is expected to be RMB 2.94 billion, reflecting a year-on-year increase of 131.26% [5][10]. - The report forecasts an EPS of RMB 0.99 for 2025, with a projected PE ratio of 10.35 times [5][10]. - The company’s return on equity (ROE) is expected to be 34.77% in 2025, increasing to 39.36% in 2026 [5][10].

Investment Rating - The report maintains a "Buy" rating for several companies, including Stone Technology, Eufy, Anker Innovation, Ecovacs, Ugreen Technology, and XGIMI, with target prices set for each [9][13]. Core Insights - The report highlights the rapid advancement of AI and robotics technologies in consumer electronics, particularly in smart home devices, cleaning appliances, and wearable technology, indicating a significant investment opportunity in the tech consumer sector for 2026 [1][6]. - The CES 2026 event is identified as a crucial observation point for AI applications in consumer products, with expectations for innovative product launches across various categories [1][6]. Summary by Sections Smart Cleaning Appliances - The robotic vacuum cleaner industry is transitioning into a phase of micro-innovation, with notable product launches such as the G-Rover by Stone Technology, which features dual mechanical legs for enhanced cleaning capabilities [2]. - Other companies like Ecovacs and Chase are also introducing advanced models with improved obstacle avoidance technology and multifunctional capabilities [2]. Garden Robots - The CES showcased numerous new products aimed at garden maintenance, including robotic lawn mowers and pool cleaning robots, with companies like Ninebot and MOVA presenting models that cover various residential and commercial applications [3]. Smart Hardware - The traditional 3C accessories market is experiencing competition, but companies like Ugreen and Anker are carving out niches by innovating and enhancing product offerings, such as the new AI NAS products and security devices [4]. AI Glasses - AI glasses are emerging as a significant wearable technology, with Chinese manufacturers leading the lightweight trend. Notable products include Alibaba's Quark AI Glasses S1 and Rokid's offerings, which feature functionalities like translation and scene guidance [5]. Investment Opportunities - The report emphasizes that AI-driven product innovation will be a key growth driver for tech consumer companies in 2026, with recommendations for investment in companies that are well-positioned to capitalize on these trends [6].

Group 1: Macroeconomic Overview - The report anticipates a slight decline in actual GDP growth to approximately 4.5% year-on-year in Q4, with an annual growth rate of around 5% for the year [2] - Domestic demand is expected to remain weak, while export resilience is projected to continue, supported by reduced tariff disruptions and global cyclical improvements [2] - The report highlights the importance of monitoring fiscal expansion in Q1 of the current year to support the "15th Five-Year Plan" [2] Group 2: Fixed Income and Consumption Trends - High travel activity during the New Year period indicates strong consumer sentiment, with a notable recovery in inbound tourism and a narrowing decline in automotive consumption [3] - The real estate sector shows slight recovery in transaction heat, although year-on-year figures remain weaker than in the first three quarters of 2025 [3] - Industrial production indicators show a widening decline in freight volume, with most production rates remaining weak, particularly in the steel and chemical sectors [3] Group 3: Real Estate and REITs Development - The introduction of 30 REITs-related policies marks the official entry of C-REITs into a comprehensive development era for "infrastructure + commercial real estate" [4] - Commercial real estate REITs are expected to significantly enhance asset liquidity and facilitate value reassessment for related enterprises [4] - Companies deeply involved in commercial real estate and management services are likely to benefit from these developments [4] Group 4: ETF Market Trends - By the end of 2025, China's ETF market surpassed 6 trillion yuan, with stock ETFs dominating the market, reaching a total scale of 4.24 trillion yuan, a 42% increase [5] - There is a notable divergence in the performance of broad-based ETFs and thematic industry ETFs, with the latter experiencing continuous inflows [5] Group 5: Aerospace and Aviation Manufacturing - The report emphasizes that civil aviation will become a significant growth area for China's aerospace manufacturing, driven by the scaling up of C919 aircraft deliveries [6] - The development of domestic aviation materials is expected to lower procurement costs and enhance supply chain capabilities for airlines [6] Group 6: Investment Opportunities in Specific Companies - The report initiates coverage on Jizhi Technology (极智嘉-W) with a "Buy" rating and a target price of 36.39 HKD, highlighting its strong growth potential in the flexible warehousing sector [7] - Wanwu Xinxing (万物新生) is also rated "Buy" with a target price of 7.64 USD, recognized for its comprehensive integration in the second-hand recycling industry [10] - Huaming Equipment (华明装备) receives a "Buy" rating with a target price of 29.50 CNY, benefiting from global power grid investments and expected rapid growth in overseas markets [10]

Investment Rating - The report maintains a "Buy" rating for the company with a target price of 120 HKD [5] Core Views - The semiconductor industry is experiencing significant asset operations and expansion, with a focus on long-term capacity expansion and supply chain localization. The acquisition of 97.4988% of Huali Micro by the company is expected to enhance its performance and liquidity [1][2] - The integration of Huali Micro is projected to increase the company's net profit by 151%, raising the earnings per share (EPS) by 127% [3] - The company is well-positioned to benefit from the dual drivers of "specialized processes + logic processes," alongside the expansion of 12-inch capacity and technological synergies [1][4] Financial Impact on Balance Sheet - Without considering the financing, the total assets are expected to increase by 7.6% to 933.6 billion RMB, and the net assets will rise by 4.2% to 462.8 billion RMB [2][10] - If the financing is successful, total assets and net assets could increase by 16% and 21%, respectively, potentially pushing total assets beyond 1 trillion RMB [2][10] Financial Impact on Profit and Loss Statement - The acquisition is expected to contribute an additional 5.7 billion RMB to net profit, resulting in a total net profit of 9.6 billion RMB, a 151% increase compared to pre-acquisition figures [3][11] - The EPS is projected to rise from 0.22 RMB to 0.50 RMB, reflecting a significant enhancement in shareholder returns [3][11] Earnings Forecast and Valuation - Revenue forecasts for 2025, 2026, and 2027 are projected to grow by 20.9%, 28.8%, and 17.6%, reaching 24.2 billion, 31.2 billion, and 36.7 billion USD, respectively [4][20] - The company is valued at a price-to-book (PB) ratio of 4.2 times for 2026, reflecting its leading position in specialized processes within the semiconductor industry [4][12]