Nvidia(US:NVDA) Century Securities·2025-07-21 01:19Investment Rating - The report upgrades the semiconductor industry rating from "in line with the market" to "attractive," citing strong AI demand as a key driver [24]. Core Insights - H20 chip supply is expected to recover, with domestic CSP capital expenditures likely to restart an upward trend. The approval of H20 chip sales to China by the U.S. is anticipated to alleviate the current GPU supply shortage, enabling Chinese cloud vendors to resume capital expenditures [3][24]. - The overseas computing power chain is experiencing an upturn, with leading companies in optical modules and PCBs reporting positive earnings forecasts for the first half of 2025. Meta's plans to build multiple GW-level laboratories further validate this trend [3][24]. - The report suggests focusing on sectors significantly impacted by the H20 chip ban, including servers, liquid cooling, power supplies, computing power leasing, and cloud service providers [3][24]. Market Weekly Review - The TMT sector's performance from July 14 to July 18 shows the following weekly changes: - Communication: +7.56% - Electronics: +2.15% - Computers: +2.12% - Media: -2.24% - Notable sub-sectors include: - Communication network equipment and devices: +15.82% - Printed circuit boards: +11.05% - Horizontal general software: +5.24% - Top-performing stocks in the electronics sector include Dongtian Micro (+30.19%), *ST Hengjiu (+27.67%), and Zhongdian Port (+25.65%) [3][12][24]. Industry News and Key Company Announcements - Significant events include the 12th Trusted Cloud Conference on July 22 and the 2025 World Artificial Intelligence Conference on July 26 [14][16]. - Nvidia announced the launch of the entry-level Blackwell graphics card RTX5050, set to be released in late July [14]. - The report highlights various AI-related developments, including OpenAI's new AI agent and advancements in AI applications for malaria diagnosis [17][18][21].