3 6 Ke·2025-06-23 00:13Group 1 - Goldman Sachs has introduced a new slogan comparing China's "Ten Private Giants" to the "Magnificent Seven" of the US stock market, suggesting that the investment value of Chinese private enterprises is significantly increasing, particularly for the "Ten Private Giants" [1][3] - The "Ten Private Giants" in China include Tencent, Alibaba, Xiaomi, BYD, Meituan, NetEase, Midea, Hansoh Pharmaceutical, Ctrip, and Anta, while the "Magnificent Seven" consists of Apple, Google, Amazon, Microsoft, Meta, Tesla, and Nvidia [1][3] - The total market capitalization of China's "Ten Private Giants" is approximately $1.6 trillion, while the "Magnificent Seven" exceeds $15 trillion, with Nvidia alone valued at $3.53 trillion, more than double the total of the "Ten Private Giants" [3][4] Group 2 - Despite the lower market capitalization, the "Ten Private Giants" can still be compared to the "Magnificent Seven" from an economic development perspective, as the US economy is not performing well overall, with a projected GDP growth of only 2.8% for 2024 [6] - The "Magnificent Seven" have shown remarkable performance, with Nvidia expected to generate $130.5 billion in revenue for 2024, a 114% year-on-year increase, and a net profit of $72.8 billion, up 145% [6] - In China, major companies like Tencent and Alibaba are still performing well, with Tencent reporting Q1 revenue of 180.02 billion RMB, a 13% year-on-year increase, and Alibaba reporting revenue of 236.45 billion RMB, a 7% increase [7][8] Group 3 - The success of these giants is attributed to their alignment with favorable trends, suggesting that they were chosen by the market rather than the other way around [9] - Other companies like Huawei and ByteDance are also experiencing growth but are not included in Goldman Sachs' list due to their non-public status [10] - The market concentration in China is low, with the top ten companies accounting for only 17% of the total market capitalization, compared to 33% in the US, indicating potential for the "Ten Private Giants" to enhance market concentration and change investor perceptions of Chinese assets [11] Group 4 - Goldman Sachs analysts predict a compound annual growth rate of 13% for the "Ten Private Giants" over the next two years, with a median estimate of 12%, which could significantly boost China's economic recovery if exceeded [13] - The potential for the "Ten Private Giants" to achieve significant growth hinges on favorable policy developments, as the current environment is characterized by uncertainty regarding such policies [13][14] - The article emphasizes the importance of not solely focusing on the giants, as the disparity in performance between large corporations and smaller businesses raises questions about the underlying factors affecting the latter's success [14]