CHINA MOBILE(SH:600941) Dongguan Securities·2025-12-05 08:37Investment Rating - The report indicates a positive investment outlook for the communication industry, suggesting an "overweight" rating, expecting the industry index to outperform the market index by more than 10% in the next six months [42]. Core Insights - The communication industry has shown stable performance in the first ten months of the year, with telecom business volume and revenue continuing to grow. New infrastructure construction is progressing steadily, and user scales for 5G, gigabit, and IoT are expanding. The report anticipates that the industry will experience a period of technological iteration and policy dividends, with new growth drivers emerging from AI, quantum communication, and low-altitude economy [3][37]. - The report highlights the significant increase in mobile internet access traffic and the recovery of cellular IoT module inventories, suggesting ongoing demand for communication facilities such as base stations, optical cables, and data centers [3][37]. Summary by Sections 1. Communication Industry Market Review - The communication sector has seen a cumulative increase of 6.31% over the past two weeks, outperforming the CSI 300 index by 6.72 percentage points, ranking first among 31 primary industries. Year-to-date, the sector has risen by 68.87%, surpassing the CSI 300 index by 53.32 percentage points [10][12]. 2. Industry News - TikTok plans to invest $38 billion in building a data center in Brazil, marking its first project in Latin America [16]. - In the first ten months, China's telecom business revenue reached 1.467 trillion yuan, a year-on-year increase of 0.9% [17][18]. - The global shipment of foldable smartphones reached a record high, with a 14% year-on-year increase in Q3 2025 [19]. 3. Company Announcements - China Mobile announced the approval of a state-owned share transfer, involving the transfer of 41.98 million A-shares to China National Petroleum Corporation [23]. - Meixin Technology reported the redemption of idle raised funds, yielding an investment return of 180,830 yuan [22]. 4. Industry Data Updates - As of October 2025, the number of mobile phone users in China reached approximately 1.83 billion, a year-on-year increase of 2.47% [25]. - The total number of 5G base stations reached 4.758 million, with a net increase of 507,000 from the previous year [34]. 5. Weekly Perspective on the Communication Sector - The report suggests focusing on companies that align with the themes of "technology commercialization, policy catalysis, and performance certainty," recommending stocks such as China Mobile, China Telecom, and FiberHome [37][39].