Di Yi Cai Jing·2025-11-18 11:08Core Viewpoint - Major investment banks like UBS and Goldman Sachs are optimistic about the performance of the Chinese market in 2026, highlighting opportunities in sectors such as AI and overseas expansion [1][7]. Group 1: Market Performance and Trends - The A-share market has experienced fluctuations, with the Shanghai Composite Index closing at 3939.81 points on November 18, down 0.81% [2]. - Despite market volatility, foreign investment interest remains high, with over 100 A-share companies receiving foreign research attention this month [2][4]. - The overall health of corporate earnings, supported by robust Q3 reports, indicates that recent market fluctuations are more influenced by sentiment rather than fundamental weaknesses [6]. Group 2: Foreign Investment and Research - AI companies are the most favored by foreign investors, with Optoelectronics receiving 92 institutional research visits, over half from foreign entities [2][3]. - Other notable companies attracting foreign research include BeiGene, Luxshare Precision, and Huichuan Technology, all of which are involved in AI or technology sectors [4][5]. - The trend shows that large-cap stocks continue to attract foreign interest, with companies like Wens Foodstuffs, Industrial Fulian, and BYD being included in recent foreign research lists [4]. Group 3: Future Outlook and Investment Themes - UBS forecasts that the Chinese stock market will experience another prosperous year in 2026, driven by innovation, particularly in AI, and supportive policies for private enterprises [7]. - Key investment themes identified by UBS include internet, hardware technology, and brokerage sectors, while high-dividend stocks are being deprioritized [7]. - Goldman Sachs also highlights several investment themes expected to outperform the market, including the return of private enterprises, overseas expansion, and AI-related sectors [7].