Nvidia(US:NVDA) Shanghai Securities·2025-04-18 11:12Investment Rating - The industry investment rating is "Overweight (Maintain)" [2] Core Views - The report highlights that the U.S. government has imposed restrictions on Nvidia's sales of H20 chips to China, with tariffs rising to a maximum of 245%. This is expected to drive Chinese companies to increasingly adopt domestic AI chips from Huawei, Baidu, and others [6][8] - The semiconductor industry is experiencing a recovery, with companies like SMIC and Huahong reporting significant revenue growth. The overall semiconductor market is stabilizing, driven by demand from smartphones, personal computers, and emerging markets [9][10] - The report suggests that the technology sector remains optimistic for the year, with a focus on sectors such as PCB, ODM, AIOT, and AIDC for potential investment opportunities [8] Market Review - The Shanghai Composite Index closed at 3238.23 points, with a weekly decline of 3.11%. The Shenzhen Component Index and the ChiNext Index also saw declines of 5.13% and 6.73%, respectively. The CSI Artificial Intelligence Index fell by 6.08%, indicating a consistent downward trend across the sector [4] Industry Insights - Nvidia's H20 chip is currently in high demand in the Chinese market, with prices reaching a yearly high. The report notes that a deployment of eight H20 DeepSeek units can cost between 1 million to 1.1 million yuan, with supply delays exceeding four weeks [6] - Companies like Huakong Technology have reported no immediate changes in customer orders despite the uncertainty surrounding the H20 chip, indicating that the industry has prepared for such trade restrictions [6] - The report emphasizes the importance of key minerals for U.S. national security and economic recovery, highlighting the ongoing trade tensions and the impact on supply chains [7] Company Performance - SMIC reported a revenue of 57.8 billion yuan for 2024, a year-on-year increase of 28%, while its net profit decreased by 23% to 3.7 billion yuan. The growth is attributed to the overall recovery in the semiconductor market [9] - Key companies in the CPU/GPU segment, such as Cambricon and Haiguang Information, reported revenue growth rates of 66% and 52.4%, respectively, driven by market expansion and increased demand for AI applications [9][10] - The report also highlights the performance of companies in the PCB sector, suggesting that there are opportunities for investment following recent market corrections [8][10]