Zheng Quan Shi Bao·2025-08-21 06:23Group 1 - ZTE Corporation's A-shares surged to a limit up and H-shares rose over 14% due to a recent research report from Zheshang Securities highlighting the undervaluation of its AI computing and network business [1] - The report indicates that ZTE's progress in super nodes is exceeding expectations, positioning the company strategically in the super node complete machine, Switch Tray, and internal interconnection chips [1] - ZTE won significant contracts in a recent procurement project by China Mobile for AI general computing devices, securing over 70% of the largest package, amounting to approximately 8.85 billion RMB [1] Group 2 - In its quarterly report, ZTE capitalized on the increasing investment in computing power by major domestic internet companies and operators, leading to rapid growth in server and storage revenue [2] - The company reported that over 60% of its intelligent computing server orders are driven by the DeepSeek demand, with applications across various industries [2] - BlackRock has increased its stake in ZTE, indicating strong investment confidence, with holdings rising from 5.81% to 6.32% and then from 6.98% to 7.43% in August [2] Group 3 - Goldman Sachs predicts a 12% quarter-on-quarter increase in ZTE's net profit for the second quarter, estimating it to reach 2.7 billion RMB, driven by AI innovation [3] - The expected revenue for ZTE in the second quarter is projected to grow by 12% year-on-year to 35.6 billion RMB, supported by rising demand for AI infrastructure and devices [3] - The gross margin for the second quarter is anticipated to improve to 37.8%, up from 34.3% in the first quarter [3]