Mei Ri Jing Ji Xin Wen·2025-11-06 03:22Core Viewpoint - A-share companies are showing positive signs of profit improvement, with a significant increase in free cash flow in the third quarter [1] Group 1: Company Performance - Overall capital expenditure of listed companies has turned to negative growth, indicating a potential capacity contraction similar to the anti-involution context seen a decade ago [1] - There is a noticeable turning point in the performance of resource sectors, with high free cash flow yield observed [1] Group 2: Investment Opportunities - Traditional industries such as steel and non-ferrous metals have experienced a prolonged decline in capital expenditure, and any improvement in demand could lead to a significant price increase [1] - Investors are encouraged to pay attention to the cash flow ETF (159399), which has outperformed the CSI Dividend Index and the CSI 300 Index for nine consecutive years from 2016 to 2024 [1] - The underlying index of the cash flow ETF focuses on large and mid-cap stocks, with a higher proportion of central state-owned enterprises compared to similar cash flow indices [1] - The cash flow ETF has consistently paid dividends for eight consecutive months since its listing, making it an attractive option for interested investors [1]