Test Structure and Changes - The enhanced ACT test will be introduced in April 2025, with a full rollout expected by spring 2026[1] - Key changes include a reduction in total test length and time, with the science section becoming optional and the composite score now based on English, Math, and Reading only[1][9] - The number of items in the English, Math, Reading, and Science sections has decreased by 35 (47%), 19 (32%), 13 (33%), and 6 (15%) respectively, resulting in a total of 108 items for the composite score[11][14] Study Design and Findings - A linking study conducted in June 2024 involved 6,882 students, comparing two enhanced forms and one traditional form[2][22] - Confirmatory factor analysis showed that the fit indices and factor loadings for the enhanced forms were similar to the traditional form, indicating structural equivalence[3][25] - Reliability for the EMRS composite score was 0.96 and for the EMR composite score was 0.94, slightly lower than the traditional form due to reduced test length[5][37] Performance Impact - Evidence suggests minor positive impacts on completion rates and students' perceptions of having enough time to complete the test[2][6] - The completion rate for the enhanced forms showed slight increases in some sections, with a 1-3% increase in completion rates for Reading and Science, while English and Math saw slight decreases[78][82] - The omission rates for the enhanced forms were lower in Science and Reading compared to the traditional form, indicating better engagement[88][94] Measurement Consistency - The enhanced ACT maintains the same scoring scale of 1-36 as the traditional ACT, ensuring score interchangeability[6][9] - The standard error of measurement (SEM) for the enhanced forms is similar to the traditional forms, with SEMs around 1 for composite scores and around 2 for section scores[5][37] - Classification consistency for college readiness benchmarks was estimated between 0.83 and 0.89 for enhanced forms, slightly lower than the traditional forms which ranged from 0.87 to 0.92[48][51]

Investment Rating - The report does not provide a specific investment rating for the industry Core Insights - The study indicates that ACT composite scores (ACTC) are often better predictors of first-year college GPA (FYGPA) and degree completion for students who received accommodations during the ACT exam compared to high school GPA (HSGPA) [1][4] - The correlation between ACTC and FYGPA is higher for students with accommodations, while the opposite is true for those without accommodations [1][4] - The findings challenge existing literature that typically suggests HSGPA has a slightly higher correlation with FYGPA than standardized test scores [1][4] Summary by Sections Correlation Analysis - The report presents a correlation analysis showing that for the overall group of 143,768 students, the correlation coefficients are as follows: ACTC to HSGPA at 0.54, ACTC to FYGPA at 0.43, and HSGPA to FYGPA at 0.48 [2] - For students with accommodations, the correlation between ACTC and FYGPA is 0.32, while for those without accommodations, it is 0.55 [2] Importance of Findings - The significance of ACT scores and HSGPA lies in their use as benchmarks for academic achievement, influencing decisions made by students, parents, educators, and policymakers regarding college readiness [4] - The report emphasizes the need to understand the differences in predictive validity between HSGPA and ACT scores, especially for students receiving accommodations [4] Further Analysis - The report includes a graphical representation of average HSGPA scores against ACT composite scores for students in both four-year and two-year institutions, highlighting that students with accommodations show a flatter slope, indicating less differentiation in HSGPA across ACT scores [5][9] - The analysis reveals that the gap in HSGPA between students with different ACT scores is smaller for those receiving accommodations compared to those without [9]

Group 1: PreACT Testing Impact - Over 374,000 students took the PreACT 8/9 test before the 2024 ACT exam, with 27,789 students participating in both PreACT 8/9 and PreACT tests[1] - Students who took the PreACT scored an average of 20.94 on the ACT, compared to 19.94 for those who did not take the PreACT, indicating a significant score difference of 1.00[5] - The average score difference across subjects varied, with the highest difference in English at 1.28 and the lowest in Mathematics at 0.83[8] Group 2: College Readiness and Enrollment - Students who participated in the PreACT were more likely to meet ACT college readiness benchmarks, with differences ranging from 2.9% in STEM courses to 8.6% in English writing courses[15] - The college enrollment rate for students who took the PreACT was higher across the 2021, 2022, and 2023 graduating classes, indicating a consistent trend[18] - After statistical adjustments, the differences in college enrollment rates between PreACT and non-PreACT students were significantly reduced[22] Group 3: Score Improvement and Demographics - The average score increase from PreACT to ACT was 1.81, with the lowest increase in Reading at 0.25 and the highest in English at 3.70[29] - Score improvements varied by racial/ethnic groups, with the lowest increase of 1.11 for Native Hawaiian/Other Pacific Islander students and the highest of 2.61 for Asian students[38] - Higher family income levels correlated with greater average score increases, but most of this increase was explained by academic performance and course difficulty[47]

Core Findings - The study indicates that ACT composite scores may better predict first-year GPA (FYGPA) and college degree completion than high school GPA (HSGPA) for all students [2][3] - Students with accommodations (i.e., those with disabilities) show a different relationship between ACT scores and college outcomes compared to those without accommodations, suggesting that both ACT scores and HSGPA reflect different factors [2][3] - The combination of ACT scores and HSGPA provides a more accurate prediction of college success than using either measure alone [2][3] Summary by Sections Introduction - Students with disabilities (SWD) face barriers in education, impacting their college readiness and opportunities [11][12] - SWD typically have lower HSGPA and ACT scores, and their college graduation rates are lower than their peers [12] Methodology - The study examines the predictive value of ACT composite scores and HSGPA for students with accommodations in their first-year college performance and degree completion [9][19] - A sample of 143,768 students who took the ACT and enrolled in public two-year or four-year institutions was analyzed [26] Results - Descriptive analysis shows that students with accommodations tend to have lower HSGPA, ACT scores, and college completion rates compared to their peers without accommodations [9][12] - Regression analysis indicates that models including both ACT scores and HSGPA improve predictive accuracy for college outcomes [9][49] Conclusion - The findings emphasize the importance of using multiple measures to assess college readiness and support needs for all students, particularly those with disabilities [5][3] - Future research is needed to explore the impact of different types of disabilities and accommodations on college outcomes [2][3]

Investment Rating - Alphabet Inc. (Google) has a Neutral rating with a stock price of US$192.80 as of February 4, 2025 [24] - Advanced Micro Devices Inc. (AMD) has a Buy rating with a stock price of US$119.50 as of February 4, 2025 [24] Core Insights - Google's Q424 revenue grew 12% YoY to US$96.5 billion, slightly below the expected US$96.7 billion, with Google Cloud revenue growth decelerating from +35% YoY to +30% YoY due to supply constraints [3][4] - Google's capital expenditures (capex) for Q424 were US$14.3 billion, a 30% YoY increase, and the full-year 2024 capex is projected at US$52.5 billion, up 63% YoY [3][4] - AMD's Q424 revenue increased 12% QoQ and 24% YoY to US$7.7 billion, driven by strong performance in server and PC CPUs, while guidance for Q125 sales is US$7.1 billion, reflecting a 30% YoY increase [6][7] Summary by Sections Google - Q424 results were impacted by cloud constraints, with Google Cloud revenue at US$12.0 billion, 2 points below expectations [3] - AI initiatives include significant increases in compute capacity and strong uptake of TPU v6 on 5nm technology [3] - Capex guidance for Q125 is set between US$16-18 billion, with a full-year 2025 capex expected to exceed US$75 billion, a 43% YoY increase [3][4] AMD - Q424 performance was led by server and PC segments, with data center revenue at US$3.9 billion, a 69% YoY increase [6][7] - Guidance for Q125 indicates a seasonal decline but still shows a healthy YoY growth outlook [6][7] - AMD's inventory increased by 7% QoQ to US$5.7 billion, with a reduction in inventory days from 155 to 149 [7] Hardware Supply Chain - Google's capex outlook supports strong AI server growth for hardware suppliers in Taiwan, with significant contributions from companies like Celestica and Quanta [4] - AMD's reliance on TSMC for its manufacturing needs remains strong, with expectations for continued growth in its GPU product lines [7]

Summary of AAC Technologies Holdings (2018.HK) Conference Call Company Overview - **Company**: AAC Technologies Holdings (2018.HK) - **Industry**: Technology and Telecom Key Points from the Conference Call 2024 Revenue Growth - **Revenue Growth Target**: 30% YoY growth expected for 2024, including PSS consolidation [2] - **Operational Efficiency**: Operating expenses (Opex) growth is lower than revenue growth [2] - **Business Performance**: Several business segments performed better than expected [2] 2025 Revenue Outlook - **Revenue Growth Projection**: Expected to grow by 10-15% YoY with a gross margin (GM) target of 22-25% [3] - **Smartphone Market Growth**: Anticipated mid to low single-digit percentage growth in the smartphone market, with segments priced at US$300 and US$600+ expected to grow above market average [3] Product Upgrades and Innovations - **Key Upgrade Trends**: Focus on heatsink, microphone, and thin/light design in acoustic/haptic technologies, as well as high-end optical solutions like 7P and WLG hybrid lenses [1][3] - **AI Smart Glass**: Collaboration with AI smart glass customers on microphone technology, with potential for speaker integration in the future [4] Manufacturing and Capacity - **Manufacturing Footprint**: Long-term plan to allocate manufacturing capacity 50% in China and 50% outside China over the next 5-10 years [5][8] - **Vietnam Facilities**: Manufacturing facilities in Vietnam account for 10-20% of total capacity, primarily serving Korean customers [5] Financial Metrics - **Current Share Price**: HK$35.85 as of January 10, 2025 [6] - **Target Price**: HK$41.00, indicating an expected share price return of 14.4% and a total return of 14.8% [6][12] - **Market Capitalization**: Approximately HK$42,830 million (US$5,500 million) [6] Risks and Challenges - **Downside Risks**: Potential risks include worse-than-expected demand, slower product ramp-up, and staggered margin improvement [13] Share Buyback Program - **Share Buyback Announcement**: A US$100 million share buyback program was announced, which may be used for employee options rather than cancellation [9] Currency Impact - **RMB Depreciation**: The company believes the impact of RMB depreciation is limited due to a natural hedge between overseas business contributions and USD debts [10] Additional Insights - **Optics Business Growth**: The optics business is expected to achieve 30% YoY growth, with 5P+ lenses accounting for 70% of plastic lens shipments [2] - **Heatsink Supply**: AAC is a major heatsink supplier for domestic flagship smartphones, holding over 50% market share [2] This summary encapsulates the key insights and projections from the conference call, highlighting AAC Technologies Holdings' growth strategies, market outlook, and operational efficiencies.

Industry Investment Rating - The report maintains a positive outlook on the APAC tech sector, particularly for AI-related plays, with a focus on semiconductors and memory [8][13] Core Views - AI-related investments are expected to continue performing well in 2025, driven by new AI accelerators and Gen AI applications [8] - Smartphone demand may see a resurgence as edge AI becomes more relevant, with a forecast of 2% YoY growth in 2025 [8] - Memory sector recovery is anticipated, with DRAM expected to rebound starting in 4Q25 due to capacity allocation to HBM [8] - CoWoS capacity is projected to grow significantly, from 35-40k wpm at the end of 2024 to 120-130k wpm by the end of 2026 [8] Market and Sector Preferences - Overweight on Korea and Taiwan, particularly in semiconductors, memory, and leading-edge foundries [13] - Neutral on PC OEMs/ODMs and smartphones, while underweight on China semis and displays [13] - Most preferred stocks include ASE, Hon Hai Precision, MediaTek, Quanta, and TSMC, with significant upside potential [11] Key Stock Coverage - Samsung Electronics and SK Hynix are rated as Buy, with price targets indicating 17.6% and 19.5% upside, respectively [9] - TSMC is also rated as Buy, with an 18.2% upside potential [9] - LG Display is rated as Sell, with limited upside potential [9] Semiconductor Cycle Indicators - Semiconductor revenue growth is expected to peak in 1Q25, with memory operating profits peaking in 3Q26 [34] - Foundry capacity utilization rates are projected to recover, reaching a peak in 4Q25 [34] Tech End-Market Sensitivity to GDP - Mobile phone unit growth shows a 48% correlation with global GDP growth, while PC and server unit growth show weaker correlations [68] - Upside scenarios for non-AI end-markets include stronger global GDP growth and AI-driven replacement cycles for PCs and smartphones [76] PC Demand Recovery - PC demand is expected to recover with the introduction of Edge AI and Windows 12, with total PC units forecasted to grow by 5.7% YoY in 2025 [78] - Notebook units are projected to grow by 6.1% YoY, while desktop units are expected to grow by 4.7% YoY [78]

Industry Overview - The report focuses on the APAC Technology sector, with key events such as CES 2025 and updates on AI, PC gaming, and semiconductor developments [4] - CES 2025 is expected to feature over 4,000 exhibitors and 138k+ attendees, with keynotes from NVIDIA, Intel, Samsung, and AMD [4] - The report highlights Microsoft's planned $80 billion investment in data centers for AI and cloud-based applications in FY2025, with over half of the investment in the US [4][16] PC and Gaming Sector - NVIDIA is expected to launch RTX 50 gaming GPUs during CES 2025, focusing on PC gaming and AI advancements [4] - Intel, AMD, and Qualcomm are also expected to launch AI PC platforms, targeting both high-end and mainstream markets [4] - The PC market is projected to grow by 6% YoY in 2025, recovering from a flat to -1% YoY performance in 2024 [4] - Top picks in the PC space include Asustek, ASMedia, and Gigabyte [4] Semiconductor and Hardware - TSMC's 2nm process is on track, with wafer production starting in Q425 and output expected in H126 [15] - TSMC is expected to maintain a high market share in 2nm technology, serving major clients like Apple, Mediatek, Qualcomm, NVIDIA, and AMD [15] - NVIDIA's GB200 racks are expected to ramp up at ODMs in Q125, with GB300 ramps launching in June 2025 [4] China Smartphone Market - China may extend consumer subsidies to smartphones, tablets, and smartwatches, potentially boosting sales [5] - Smartphone sales in China declined by 9% YoY in November 2024, lagging behind the global growth estimate of 4% YoY [6] - The subsidy program could offer 15-20% of the retail price, up to 2,000 RMB per purchase, benefiting companies like Mediatek, Semco, ASE, and TSMC [6] Key Companies and Updates - Apple is offering discounts of up to 500 yuan on its latest iPhone models in China to compete with domestic rivals like Huawei [5] - Mediatek's next flagship Dimensity 9500 processor, launching in H225, may use TSMC's N3P process instead of N2 [7] - NVIDIA and Qualcomm are considering switching to Samsung's 2nm process for cutting-edge chips due to high costs and limited production capacity at TSMC [7]

Overview of the Mosaic™ by ACT Social Emotional Learning Screener - The Mosaic™ by ACT Social Emotional Learning Screener assesses social emotional skills in elementary, middle, and high school students, focusing on skills such as perseverance, interpersonal skills, and emotional regulation[9][10]. - The elementary screener includes 23 items, while the middle and high school versions each contain 30 items, all completed online in approximately 5-7 minutes[11]. Assessment and Reporting - Students receive scores ranging from 1 (Developing) to 4 (Mastery) in each social emotional skill area, with reports identifying students scoring 1, indicating a need for further support[11][28]. - The screener demonstrates reliability and validity across all samples, with evidence of convergent, discriminant, and criterion-related validity[12]. Demographics and Sample Size - The first sample for reliability and validity analysis included 1,206 elementary students, while a second sample comprised 6,522 students from 2020 to 2022[35][40]. - The demographic breakdown of the first sample shows 51.1% female and 45.3% male students, with a diverse racial composition[36]. Skill Definitions and Framework - Social emotional skills are defined as critical interpersonal, self-regulation, and task-related behaviors essential for success in educational and workplace environments[16]. - The framework aligns with the "Big Five" personality traits, providing a structured approach to understanding social emotional skills[17]. School Climate Measurement - The assessment also evaluates two dimensions of school climate: relationships with school personnel and school safety, both of which are linked to student motivation and academic performance[21][22]. - Positive perceptions of school climate correlate with higher levels of social emotional skills, indicating a bidirectional relationship[22]. Performance Indicators - In the first sample, 34% of students were classified as "Developing" in social emotional skills, while 22% were classified as "Developing" in school climate perception[50]. - Students identified as "Developing" in social emotional skills exhibited significantly lower academic performance ratings compared to their peers[51]. Subgroup Differences - Analysis revealed significant differences in scores based on grade level, gender, and race/ethnicity, with third graders generally scoring higher than fifth graders across all measures[53]. - Female students scored higher than male students in perseverance and interpersonal skills, while no significant differences were found in emotional regulation[57]. Conclusion - The Mosaic™ by ACT Screener provides a comprehensive assessment of social emotional skills and school climate perceptions, with implications for identifying students in need of additional support and resources[8][9].

Academic Preparation - 70% of students entering two-year institutions and 40% entering four-year institutions require remedial courses[2] - Over 40% of 2023 high school graduates did not meet ACT college readiness benchmarks in English, math, reading, and science[2] - Students emphasize readiness for college-level courses (465 responses), mastery of foundational knowledge (344 responses), and strong study habits (295 responses) as key aspects of academic preparation[6] Self-Assessment vs. ACT Benchmarks - 82% of students self-assessed as prepared in English, but only 61% met ACT benchmarks[25] - 15% of students overestimated their readiness in English, while 32% overestimated in science[25] - Students who accurately assessed their readiness were more likely to use multiple academic indicators (e.g., standardized test scores, course rigor)[34] Factors Influencing College Readiness - Students who took more college credit courses (average of 5) were 1.3 times more likely to meet ACT benchmarks[47] - Self-reported learning skills (e.g., time management, note-taking) were significant predictors of meeting benchmarks in English (1.52x), math (1.30x), and science (1.28x)[56] - Availability of academic resources (e.g., tutoring, test prep) increased the likelihood of meeting benchmarks in math (1.15x) and science (1.12x)[62] Student Perspectives on Support - Advanced/rigorous courses (558 responses) and learning skills (258 responses) were cited as most helpful for college preparation[64] - Students highlighted the importance of professional support from knowledgeable adults (195 responses) and access to academic resources (136 responses)[65][70]