Zhi Tong Cai Jing·2025-09-12 03:54Core Viewpoint - Luoyang Molybdenum (603993)(03993) has seen a stock price increase of over 5%, currently up 5.12% at HKD 13.34, with a trading volume of HKD 405 million. This surge is attributed to a significant $300 billion (approximately RMB 2.14 trillion) computing power procurement contract by Oracle, which has ignited global investor enthusiasm for computing and AI-related sectors [1][1][1]. Group 1: Industry Insights - The computing power industry is experiencing heightened growth certainty and expectations, driven by North American cloud providers achieving positive returns from AI investments and increasing their investments in AI infrastructure [1][1]. - The application of cobalt materials in transistor contact layers has significantly enhanced device performance, particularly in advanced processes like 5nm, where cobalt silicide can greatly reduce contact resistance, thereby improving transistor switching speed and supporting the performance leap of high-end AI chips [1][1][1]. Group 2: Company Developments - Luoyang Molybdenum's copper-cobalt business continues to contribute positively to the company's performance through both volume and price increases. The production in the first half of 2025 has exceeded the planned progress, and future plans include promoting the TFM East District 17K process upgrade project to continue increasing production and reducing costs [1][1]. - The temporary suspension of cobalt exports from the Democratic Republic of Congo for four months, along with declining market inventory levels, is expected to support high cobalt prices, positively impacting the company's revenue [1][1].