Core Viewpoint - The TMT sector showed strong performance in the week of August 11-15, with all major industries except media outperforming the CSI 300 index, which rose by 2.37% [2] Group 1: TMT Sector Performance - The TMT sector's weekly performance was as follows: Communication increased by 7.66%, Electronics by 7.02%, Computers by 5.38%, and Media by 1.00% [2] - The top-performing sub-industries within the TMT sector included Communication Network Equipment and Devices (up 12.40%), Passive Components (up 12.32%), and Digital Chip Design (up 10.18%) [2] - The sub-industries with the largest declines were Film and Animation Production (down 3.08%), Education Publishing (down 0.61%), and General Publishing (down 0.07%) [2] Group 2: Individual Stock Performance - In the Electronics sector, the top three stocks by weekly increase were Shanghai Hejing (up 45.36%), Shengke Communication-U (up 38.94%), and Weirgao (up 34.76%) [2] - In the Computer sector, the top three stocks were *ST Huike (up 53.56%), Huasheng Tiancai (up 45.62%), and Zhongdian Xinlong (up 42.97%) [2] - In the Media sector, the top three stocks were Jishi Media (up 45.19%), Youzu Network (up 19.88%), and Zhejiang Wenlian (up 12.92%) [2] - In the Communication sector, the top three stocks were Hengbao Co. (up 49.23%), Guangku Technology (up 48.90%), and Beiwai Technology (up 41.12%) [2] Group 3: Semiconductor Industry Insights - Domestic wafer foundries, including SMIC and Hua Hong Semiconductor, reported better-than-expected Q2 2025 results, with SMIC achieving revenue of $2.209 billion, a 1.7% decline quarter-over-quarter, exceeding prior guidance [3] - SMIC's Q2 gross margin was 20.4%, also surpassing previous guidance of 18-20%, while Q3 revenue is expected to grow by 5-7% with a gross margin of 18-20% [3] - Hua Hong Semiconductor reported Q2 revenue of $566 million, a 4.6% quarter-over-quarter increase, aligning with its guidance [3] - Hua Hong's Q2 gross margin was 10.9%, exceeding its guidance of 7-9%, with Q3 revenue expected to be between $620-640 million and a gross margin of 10-12% [3] - Both companies are maintaining high utilization rates, indicating a recovery in domestic semiconductor demand, driven by analog chip orders and anticipated growth in power semiconductor demand in Q3 [3] - The overall gross margin is trending upward due to improved utilization rates and product mix optimization, suggesting a potential price increase in the second half of the year [3]