Investment Rating - The report maintains a "Buy" rating for the company, with a target price raised to HKD 790, indicating a potential upside of 26.7% from the last closing price [4][55]. Core Insights - The company's Q3 2025 performance showed robust growth driven by AI efficiency and ecosystem expansion, with revenue reaching RMB 193 billion, a year-on-year increase of 15% and a quarter-on-quarter increase of 5% [1][6]. - Non-IFRS net profit for Q3 2025 was RMB 70.6 billion, reflecting an 18% year-on-year growth and a 12% quarter-on-quarter growth, indicating improved operational efficiency and profit quality [1][6]. - The gaming segment showed strong performance, with domestic game revenue of RMB 42.8 billion, up 15% year-on-year, and international game revenue of RMB 20.8 billion, up 43% year-on-year [2][8]. Summary by Sections Financial Performance - Q3 2025 revenue was RMB 193 billion, with a gross profit of RMB 108.8 billion, resulting in a gross margin of 56%, up from the previous year [1][6][10]. - The increase in gross profit was attributed to high-quality advertising inventory and improved content structure in gaming [10]. Gaming Business - The value-added services revenue reached RMB 95.9 billion, a 16% year-on-year increase, with strong contributions from social networking and gaming [2][8]. - Key titles like "Delta Force" and "Honor of Kings" maintained strong daily active users (DAU), with "Honor of Kings" achieving a historic high of 139 million DAU [2][8]. Marketing Services - Marketing services revenue grew by 21% year-on-year to RMB 35.8 billion, driven by the expansion of core ecosystem scenarios like video accounts and mini-programs [3][9]. - AI-driven improvements in eCPM and automated ad placement through AIM+ contributed significantly to revenue growth [27][29]. Financial Technology and Enterprise Services - Financial technology and enterprise services revenue reached RMB 58.2 billion, a 10% year-on-year increase, supported by strong online and offline payment activities [3][44]. - The company maintained a low bad debt ratio in its consumer credit business, reflecting its strong risk management capabilities [44][46]. Future Outlook - The report anticipates continued high-quality growth in advertising and gaming, driven by the recovery of advertising budgets and the ongoing expansion of the ecosystem [40][55]. - The integration of AI in advertising is expected to enhance efficiency and contribute to a new phase of sustainable growth [40][55].

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company's Q3 performance met expectations, with total revenue reaching 20.38 billion yuan, a year-on-year increase of 101.8% and a quarter-on-quarter increase of 11.5% [8] - The automotive sales revenue was 18.05 billion yuan, up 105.3% year-on-year and 6.9% quarter-on-quarter, driven by the growth in new model deliveries [8] - The net loss for Q3 narrowed to 380 million yuan from 480 million yuan in Q2, with a non-GAAP net loss of 150 million yuan [8] - The overall gross margin improved to 20.1%, an increase of 4.9 percentage points year-on-year and 2.8 percentage points quarter-on-quarter [8] - The company is advancing its AI business across four dimensions, including smart driving, Robotaxi, robotics, and flying cars, with clear implementation timelines [8] Financial Projections - Revenue projections for 2025-2027 have been adjusted to 78.5 billion, 140.2 billion, and 201.0 billion yuan, reflecting year-on-year growth rates of 92%, 79%, and 43% respectively [8] - The net profit forecast for 2025-2027 has been revised to -1.4 billion, 5.4 billion, and 9.5 billion yuan [8] - The EPS for 2025, 2026, and 2027 is projected to be -0.71, 2.81, and 4.99 yuan, with corresponding P/E ratios of 26 and 15 times for 2026 and 2027 respectively [8]

Investment Rating - The report assigns a "Buy" rating to the company with a target price of HKD 90.00, representing a potential upside of 21.63% from the current stock price of HKD 74.00 [3][6]. Core Insights - The semiconductor industry is experiencing strong domestic substitution demand, and the consumer electronics market is showing signs of recovery. The company is expected to benefit from these trends, with projected revenue growth driven by increased capacity utilization and demand from domestic clients [6][7]. - The company’s revenue for the fiscal year ending December 31, 2023, is reported at USD 6.32 billion, with a year-on-year decline of 13.09%. However, a significant recovery is anticipated in the following years, with a projected revenue CAGR of 38.6% over the next three years [5][6]. - The company’s net profit for 2023 is reported at USD 492.75 million, a decrease of 50.35% from the previous year, but is expected to rebound significantly in subsequent years, with a CAGR of 90.6% [5][6]. Financial Summary - For the fiscal year 2023, the company reported total revenue of USD 6.32 billion, with a projected increase to USD 8.03 billion in 2024 and further growth to USD 9.40 billion in 2025 [5][6]. - The gross profit margin for 2023 is reported at 18.0%, with expectations of improvement to 21.0% in 2024 and 24.5% in 2025 [7]. - The company’s capital expenditure for Q3 2025 increased by 27.0% to USD 2.39 billion, driven by the recovery of equipment shipments previously affected by geopolitical issues [6][7]. - The company’s cash flow from operations is projected to improve significantly, with operating cash flow expected to reach USD 4.71 billion by 2025 [8].

Investment Rating - The report assigns a "Buy" rating to BYD Electronics with a target price of HKD 50.1, indicating a potential upside of 51.2% from the current price of HKD 33.12 [4][5]. Core Insights - BYD Electronics has shown stable performance in its annual results, with a revenue of RMB 123.3 billion for the first nine months of the year, reflecting a year-on-year increase of 0.95%. Net profit reached RMB 3.14 billion, up 2.4% year-on-year. The company anticipates that its full-year profit for 2025 will remain flat compared to the previous year [3][4]. - The automotive electronics segment is expected to be a major growth driver, with projected revenue of RMB 25 billion in 2025, representing a growth rate of approximately 25%, albeit lower than initial expectations. The company is focusing on enhancing the value per vehicle through advanced driving and suspension systems [3][4]. - New business ventures in AI data centers and robotics are progressing well, with the company preparing for orders in liquid cooling and power management solutions starting in Q1 of the following year. The robotics division is developing various components, including controllers and visual systems, with the first humanoid robot prototype already launched [4]. Summary by Sections Financial Performance - For the fiscal year ending December 31, 2023, BYD Electronics reported actual revenue of RMB 129.96 billion, with a projected revenue of RMB 185.19 billion for 2025, reflecting a growth of 4.4%. Net profit for 2023 was RMB 4.04 billion, with a forecast of RMB 4.27 billion for 2025, indicating a minimal growth of 0.1% [6][8]. - The company’s earnings per share (EPS) is projected to be RMB 1.90 in 2025, with a growth forecast of 0.1% [6][8]. Market Position - BYD Electronics is positioned in the TMT (Technology, Media, and Telecommunications) sector, with a current market capitalization of HKD 746.26 billion and a shareholding structure where BYD Company Limited holds 65.76% [5][6]. Future Projections - Revenue projections for 2025-2027 are RMB 185.2 billion, RMB 197.4 billion, and RMB 208.7 billion, respectively, with growth rates of 4.4%, 6.6%, and 5.8%. Net profit is expected to grow to RMB 42.7 billion, RMB 51.3 billion, and RMB 61.3 billion over the same period [4][6].

Investment Rating - The report maintains a "Buy" rating for the company [7][9]. Core Insights - The company is expected to benefit from a strong product cycle, overseas expansion, advancements in autonomous driving, and emerging business opportunities in robotics and Robotaxi [7]. - The company delivered 116,007 vehicles in Q3, a year-on-year increase of 149%, leading to a revenue growth of 102% to 20.38 billion yuan [1]. - The gross margin for Q3 was 20.1%, with a notable improvement in profitability as the net loss narrowed significantly [1][2]. Financial Performance - For Q3, the company achieved a revenue of 20.38 billion yuan, with automotive sales revenue of 18.1 billion yuan and service revenue of 2.3 billion yuan, reflecting year-on-year growth of 105% and 78% respectively [1]. - The company’s Q3 net loss was 380 million yuan, a significant reduction compared to previous periods, with a Non-GAAP net loss of 150 million yuan, narrowing by 90% year-on-year [1]. - The projected total revenue for Q4 is expected to be between 21.5 billion and 23 billion yuan, representing a year-on-year increase of 33.5% to 42.8% [2]. Product and Market Outlook - The company plans to launch the X9 super range extender model on November 20, with additional models set to be released in early 2026 [3]. - The overseas market is showing strong growth, with Q1-Q3 overseas deliveries reaching 29,706 units, a 79% increase year-on-year [4]. - The company is enhancing its autonomous driving capabilities with the introduction of the VLA 2.0 model, which significantly improves performance in complex driving scenarios [5]. Future Projections - The company forecasts total vehicle sales of approximately 440,000, 700,000, and 910,000 units for the years 2025, 2026, and 2027 respectively, with total revenues projected to reach 773 billion yuan by 2025 [7][8]. - The gross margin is expected to remain around 20% for Q4, with a long-term target of achieving a Non-GAAP net profit margin of 5.1% by 2027 [2][8].

Investment Rating - The report maintains a "Buy" rating for Ctrip Group-S (09961.HK) with a target price of 648.83 HKD, based on expected strong performance in the upcoming months [5]. Core Insights - Ctrip Group's Q3 2025 performance shows robust growth driven by strong travel demand, with total revenue reaching 18.3 billion RMB, a year-on-year increase of 16%. The net profit attributable to shareholders was 19.9 billion RMB, and adjusted EBITDA was 6.3 billion RMB [1][2]. Revenue Breakdown - Accommodation booking revenue was 8 billion RMB, up 18% year-on-year, supported by strong outbound travel and international hotel bookings. Transportation ticketing revenue reached 6.3 billion RMB, a 12% increase, driven by robust international flight bookings. Vacation revenue was 1.6 billion RMB, growing 3%, primarily due to the expansion of international product lines. Business travel management revenue was 756 million RMB, up 15% as more companies adopted these services [2]. International Business Performance - Ctrip's international OTA platform saw total bookings increase by approximately 60% year-on-year, with the Asia-Pacific region being the largest contributor. All regions experienced growth exceeding 50%, with mobile bookings accounting for over 70% of total bookings. Inbound travel bookings more than doubled, with significant growth from the Asia-Pacific, Europe, and the US. Outbound hotel and flight bookings increased nearly 20%, reaching 140% of the levels seen in the same period of 2019 [2]. Demographic Trends - There is a strong demand from both senior and young travelers, indicating a trend of intergenerational diversity. The number of users in Ctrip's "Old Friends Club" grew over 70%, with affluent senior travelers focusing on quality travel experiences. Ctrip is customizing more products and services for this demographic. Young travelers are increasingly drawn to experience-driven travel, with revenues from this segment seeing triple-digit growth [2]. Profit Forecast and Investment Suggestion - The report anticipates continued enthusiasm for leisure travel, projecting revenues of 61.56 billion RMB, 70.78 billion RMB, and 80.36 billion RMB for 2025, 2026, and 2027, respectively, with year-on-year growth rates of 15.5%, 15.0%, and 13.5%. Net profits are expected to be 31.92 billion RMB, 20.58 billion RMB, and 23.86 billion RMB, with growth rates of 87.0%, -35.5%, and 15.9% respectively. The report highlights Ctrip's significant domestic business advantages and the potential for international business to contribute additional growth [2][4].

Investment Rating - The investment rating for the company is "Buy" with a target price of HKD 27.07 [7][5]. Core Insights - The company reported a revenue of RMB 89.2 billion for Q3 2025, representing a quarter-on-quarter increase of 27% and a year-on-year increase of 15%. The net profit attributable to shareholders was RMB 3.8 billion, up 59% quarter-on-quarter and 6% year-on-year [1]. - The company achieved a record high of 760,000 new car sales in Q3 2025, with a gross margin of 17%, reflecting a positive trend in vehicle pricing and cost management [2]. - The sales of new energy vehicles reached 440,000 units in Q3 2025, accounting for 58% of total sales, indicating a strong focus on the transition to new energy [3]. - The successful launch of high-end models such as Zeekr 9X and Galaxy M9 is expected to enhance profitability and market positioning [4]. - Profit forecasts for 2025-2027 have been adjusted upwards, with net profits projected at RMB 17.8 billion, RMB 19.2 billion, and RMB 24 billion respectively, reflecting strong growth potential [5]. Summary by Sections Q3 Performance - Revenue for Q3 2025 was RMB 89.2 billion, with a net profit of RMB 3.8 billion, aligning with expectations [1]. - The company sold 760,000 vehicles in Q3 2025, achieving a gross margin of 17% [2]. New Energy Transition - New energy vehicle sales reached 440,000 units, representing 58% of total sales, with significant growth in the Galaxy brand [3]. - The company plans to expand its overseas market presence in 2026, including acquisitions and new manufacturing facilities [3]. Product Launches - The Zeekr 9X and Galaxy M9 have seen strong initial sales, contributing to the company's high-margin product offerings [4]. Profitability and Valuation - The net profit forecasts for 2025-2027 have been increased, with a target price set at HKD 27.07 based on a 13x PE ratio for 2026 [5].

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 235.40 for the Hong Kong stock and USD 243.20 for the US stock [7]. Core Insights - The company reported a total revenue of RMB 31.2 billion for Q3 2025, a year-on-year decline of 7.1%, which was better than the expected decline of 8.6%. The strong performance was attributed to the continued robust growth of AI cloud revenue and a less severe decline in core advertising revenue [1]. - The company has disclosed three major AI business lines, collectively generating approximately RMB 10 billion in revenue, accounting for about 40% of the core total revenue, with a year-on-year growth exceeding 50% [1]. - The management expects improvements in core revenue and non-GAAP operating profit in Q4 2025, driven by the ongoing transformation of the advertising system and a lower year-on-year comparison base [1]. Summary by Sections AI Business Growth - The AI cloud revenue grew by 21% year-on-year to RMB 6.2 billion, with subscription revenue from AI high-performance infrastructure increasing by 128% [2]. - The three newly disclosed AI business lines include: 1. Smart Cloud Infrastructure: Revenue of RMB 4.2 billion, up 33% year-on-year. 2. AI Applications: Revenue of RMB 2.6 billion, up 6% year-on-year. 3. AI Native Marketing Services: Revenue of RMB 2.8 billion, up 262% year-on-year [3]. Autonomous Driving - The company's autonomous driving service, "萝卜快跑," has achieved 100% unmanned operation in domestic cities, with a total order volume of 3.1 million in Q3 2025, representing a year-on-year increase of 212% [4]. Profit Forecast and Valuation - The company adjusted its non-GAAP net profit forecasts for 2025, 2026, and 2027 to RMB 19.4 billion, RMB 21.5 billion, and RMB 24.1 billion, respectively, reflecting a 19.7% increase for 2025 due to better-than-expected Q3 performance [5]. - The valuation window has been shifted to 2026, with a target price of USD 243.20 and HKD 235.40 based on a sum-of-the-parts (SOTP) valuation [28].

Investment Rating - The report assigns a "BUY" rating for the company, with a target price of HKD 39.5, indicating a potential upside from the current price of HKD 34.10 [1][7]. Core Insights - The company reported a revenue of RMB 6.96 billion for Q3 2025, representing an 8% year-on-year increase, and a net profit of RMB 1.47 billion, up 15.4% year-on-year. Adjusted EBITDA reached RMB 2.5 billion, reflecting a 19% increase [8]. - The company has shown a consistent improvement in its business operations, with a significant increase in the number of hotels and a stable RevPAR performance [12]. - The report anticipates continued growth in net profit for 2025-2027, with projections of RMB 4.31 billion, RMB 4.79 billion, and RMB 5.50 billion respectively, reflecting year-on-year growth rates of 41%, 11%, and 15% [12]. Company Overview - The company operates in the tourism and leisure industry, with a market capitalization of RMB 77.71 billion and a total share count of approximately 3,069.39 million [2]. - The company has a diversified revenue model, with 50.1% from leasing and owned properties, and 47.5% from management franchises and licensing [4]. Financial Performance - The company achieved a gross margin of 41.65% and an operating margin of 29.4% in Q3 2025, indicating improved profitability [12]. - The report highlights a decrease in the expense ratio by 2.48 percentage points year-on-year, attributed to cost control measures and operational efficiency [12]. Future Outlook - The company is expected to benefit from marginal improvements in hotel supply and continued penetration into lower-tier cities, alongside product upgrades and cost management strategies [12]. - The report suggests that RevPAR may see growth in Q4 2025, supported by the company's strategic initiatives [12].

Investment Rating - The report maintains a "Buy" rating for Xiaomi Group with a target price of HKD 53.8, down from HKD 65.4 [5][13]. Core Insights - Xiaomi's Q3 2025 performance showed a total revenue increase of 22% year-on-year to RMB 113.1 billion, aligning with expectations, while adjusted net profit surged by 80.9% to RMB 11.31 billion, exceeding Bloomberg consensus by 12.6% [1][5]. - The report highlights that the storage super cycle is a significant variable affecting Xiaomi's stock price and performance in 2026. Compared to other smartphone manufacturers, Xiaomi has advantages in smartphone shipment volume (third globally), high-end smartphone ratio, and a robust non-mobile business that is less impacted by storage costs [1][2]. - The report anticipates that storage price increases will affect Xiaomi's smartphone shipment volume, product pricing, and gross margins, leading to a downward revision of the 2026 smartphone shipment forecast to 165 million units from 182 million units, and gross margin to 10.7% from 12% [2][3]. Summary by Sections Smartphone/IoT/Internet Business - In Q3, Xiaomi's smartphone shipments reached 43.3 million units (+0.5% YoY), maintaining a global market share of 13.6%. Gross margin decreased by 0.6 percentage points to 11.1% amid rising storage costs [2]. - IoT business revenue grew by 5.6% YoY to RMB 27.6 billion, with gross margin improving by 1.4 percentage points to 23.9% [2]. - Internet business revenue increased by 10.8% YoY to RMB 9.4 billion, maintaining a high gross margin of 76.9% [2]. Automotive Business - The automotive segment began to turn profitable in Q3 2025, with deliveries reaching a record high of 109,000 units. Revenue increased by 37% quarter-on-quarter to RMB 25.9 billion, with a gross margin of 25.5%, up 8.4 percentage points YoY [2]. - The report maintains a 2026 automotive shipment forecast of 700,000 units, with expectations for continued profitability and growth driven by the company's high-end strategy and capacity ramp-up [2][3]. Profit Forecast and Valuation - The report revises revenue forecasts for 2025-2027 down by 0.3%/2.3%/1.9% and non-GAAP net profit forecasts down by 1.6%/7.6%/4.3% to RMB 43.4 billion, RMB 48.2 billion, and RMB 62.4 billion respectively [3][9]. - Using a sum-of-the-parts (SOTP) valuation method, the target price is set at HKD 53.8, corresponding to a 27x PE for 2026 [3][13].