Investment Rating - The report assigns a "Buy" rating for the company, with a target price of HKD 48-54 per share based on a projected PE ratio of 40-45X for 2025 [6]. Core Insights - The company is a leading resin lens manufacturer in China, ranking first in production volume and ninth in revenue globally, with products sold in over 80 countries [1][13]. - The company has shown robust revenue and profit growth, with a projected net profit increase of over 30% in 2024, reaching over HKD 430 million [2][25]. - The lens industry in China is expected to grow at a CAGR of 9.1% from 2023 to 2027, driven by increasing demand for corrective lenses and the expansion of the domestic market [3][43]. Summary by Sections Company Overview - The company is recognized as a global leader in the resin lens market, with a strong focus on customized services and a diverse product range [1][4]. - The company has established a solid customer base and long-term partnerships across various countries, enhancing its market presence [4][36]. Financial Performance - From 2018 to 2023, the company's revenue grew from HKD 850 million to HKD 1.76 billion, with a CAGR of 16%, while net profit increased from HKD 80 million to HKD 330 million, achieving a CAGR of 33% [2][25]. - The company anticipates a net profit of over HKD 430 million in 2024, primarily due to effective market expansion and a higher proportion of high-value products [2][25]. Industry Analysis - The Chinese lens market is projected to grow steadily, with a retail market size of approximately HKD 378 billion in 2023, reflecting a year-on-year growth of 11.2% [43]. - The demand for lenses is expected to rise due to an increasing population with vision impairments and the growing popularity of specialized lenses such as progressive and sports eyewear [55][60]. Product and Production Capabilities - The company has a comprehensive product system with a focus on high-refractive and customized lenses, being one of the few manufacturers capable of producing 1.74 refractive index lenses [4][31]. - The company operates automated production facilities with a daily capacity of 20,000 pieces, ensuring efficient and precise delivery of customized lenses [4][39]. Strategic Initiatives - The company is entering the XR (Extended Reality) market, collaborating with leading consumer electronics firms to develop smart glasses, which are expected to drive significant growth [5][20]. - The partnership with GoerTek enhances the company's position in the XR industry, leveraging synergies for product development [5][20].

Investment Rating - The investment rating for Hong Kong Exchanges and Clearing Limited (00388.HK) is "Buy" (maintained) [1]. Core Views - The report highlights the optimization of the stock market settlement fee structure, which will not change the fee rate but will lower transaction costs for small trades, thereby promoting retail trading activity. The average fee rate is expected to remain unchanged, benefiting market liquidity [4][5]. - The report anticipates a recovery in trading sentiment for Hong Kong stocks, projecting an increase in average daily trading (ADT) volumes from 1,320 billion HKD in 2024 to 2,000 billion HKD in 2025, followed by a slight decline to 1,800 billion HKD in 2026. This is expected to lead to an increase in net profit forecasts for 2024-2026 [4][6]. - The report suggests that the active performance of technology stocks and a revival in Hong Kong IPOs will likely result in improved performance and valuation for the exchange, leading to a "Davis Double" effect [4][6]. Summary by Sections Financial Performance - The report provides financial projections indicating that revenue is expected to grow from 20,516 million HKD in 2023 to 28,040 million HKD in 2025, with a year-on-year growth of 24.1% in 2025 [7]. - Net profit is projected to increase from 12,986 million HKD in 2024 to 16,484 million HKD in 2025, reflecting a year-on-year growth of 26.9% [7]. - The report also includes estimates for earnings per share (EPS), which are expected to rise from 10.2 HKD in 2024 to 13.0 HKD in 2025 [7]. Market Activity - The report notes that the average daily trading volume (ADT) for Hong Kong stocks is expected to increase significantly, with projections of 1,320 billion HKD in 2024 and 2,000 billion HKD in 2025, indicating a strong recovery in market activity [4][6]. - The report highlights that the trading sentiment has improved, with recent data showing a substantial increase in ADT to 3,358 billion HKD, a year-on-year increase of 232% [5]. Valuation Metrics - The report provides valuation metrics, indicating that the price-to-earnings (P/E) ratio is expected to decrease from 34.2 in 2024 to 27.0 in 2025, suggesting potential for valuation improvement [7]. - The report also mentions that the current P/E ratio (TTM) stands at 37.5, which is within the 48th percentile of the past five years, indicating room for further valuation expansion [6].

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Insights - The company achieved total revenue of 7.95 billion yuan in 2024, a year-on-year increase of 1.1%, and a net profit of 1.565 billion yuan, representing a year-on-year growth of 113.2% [5] - The gross margin for 2024 reached 33.7%, an increase of 7 percentage points year-on-year, primarily due to cost optimization measures and a one-time adjustment in content licensing fees [5] - The company is expected to continue its profit growth trajectory, with projected net profits for 2025, 2026, and 2027 at 1.812 billion, 2.012 billion, and 2.220 billion yuan respectively [5] - The company is expanding its music library and community ecosystem, with over 770,000 independent musicians and approximately 4.4 million uploaded tracks by June 2024 [6] - The average listening time for long audio content per user increased by 35.8% year-on-year in 2024, indicating a growing user engagement with diverse audio content [6] - Membership subscription revenue reached 4.459 billion yuan in 2024, a year-on-year increase of 22%, driven by enhanced product offerings and user experience [7] Financial Summary and Valuation Metrics - Revenue projections for 2025, 2026, and 2027 are 8.843 billion, 9.735 billion, and 10.609 billion yuan respectively, with year-on-year growth rates of 11.2%, 10.1%, and 9.0% [5] - The projected EPS for 2025, 2026, and 2027 are 8.4, 9.3, and 10.2 yuan, with corresponding P/E ratios of 16.1, 14.5, and 13.2 times [5] - The gross margin is expected to improve to 36.3% in 2025 and further to 38.0% in 2026 [5]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - The company achieved total revenue of 7.95 billion yuan in 2024, a year-on-year increase of 1.1%, and a net profit of 1.565 billion yuan, representing a year-on-year growth of 113.2% [5] - The gross margin for 2024 reached 33.7%, an increase of 7 percentage points year-on-year, primarily due to cost optimization measures and a one-time adjustment in content licensing fees [5] - The company is expected to continue its profit growth trajectory, with projected net profits for 2025, 2026, and 2027 at 1.812 billion, 2.012 billion, and 2.220 billion yuan respectively [5] Financial Summary and Valuation Metrics - Revenue (million yuan): 2023A: 7,867, 2024A: 7,950, 2025E: 8,843, 2026E: 9,735, 2027E: 10,609 [7] - Net Profit (million yuan): 2023A: 734, 2024A: 1,562, 2025E: 1,812, 2026E: 2,012, 2027E: 2,220 [7] - Gross Margin (%): 2023A: 26.7, 2024A: 33.7, 2025E: 36.3, 2026E: 38.0, 2027E: 38.6 [7] - EPS (diluted, yuan): 2023A: 3.4, 2024A: 7.2, 2025E: 8.4, 2026E: 9.3, 2027E: 10.2 [7] - P/E (times): 2023A: 39.8, 2024A: 18.7, 2025E: 16.1, 2026E: 14.5, 2027E: 13.2 [7] Growth Drivers - The company is expanding its music library and community ecosystem, with over 770,000 independent musicians registered and approximately 4.4 million tracks uploaded by June 2024 [6] - The average listening time for long audio content per user increased by 35.8% year-on-year in 2024, indicating a growing user engagement with diverse audio content [6] - Membership subscription revenue reached 4.459 billion yuan in 2024, a year-on-year increase of 22%, driven by enhanced product offerings and user experience [7]

Investment Rating - The investment rating for Lenovo Group (00992.HK) is "Buy" (maintained) [1] Core Views - Lenovo is expected to benefit from an upgrade in the AI PC business model and the upward cycle of CSP capital expenditures, leading to improved profitability in both AI PC and AI server segments [6] - The forecast for net profit attributable to shareholders for FY2025-2027 has been revised upwards to $1.602 billion, $1.750 billion, and $2.199 billion, representing year-on-year growth rates of 58.5%, 9.2%, and 25.7% respectively [6] - The latest stock price of HKD 13.60 corresponds to a PE ratio of 16.3, 14.9, and 11.8 for FY2025-2027 [6] Financial Summary and Valuation Metrics - Revenue for FY2025 is projected at $69.033 billion, with a year-on-year growth of 21.4% [9] - Net profit for FY2025 is expected to be $1.602 billion, with a year-on-year increase of 58.5% [9] - The gross margin is forecasted to be 16.0% for FY2025, with a net margin of 2.3% [9] - The diluted EPS for FY2025 is estimated at $0.108, with a PE ratio of 16.3 [9]

Investment Rating - The report initiates coverage with a "Buy" rating and sets a target price of HKD 64.86 for Beike [4]. Core Views - Beike, as a leading real estate brokerage in China, is expected to benefit from the 2025 policy goal of stabilizing the market, leading to a recovery in transaction volumes and housing prices. The "three wings" business model is rapidly developing and maturing [3][4]. Financial Performance - The company reported a revenue of HKD 60,669 million in 2022, with a projected increase to HKD 126,029 million by 2026, reflecting a compound annual growth rate (CAGR) of 22% from 2018 to 2023. The adjusted net profit is expected to grow from HKD -1,386 million in 2022 to HKD 8,547 million in 2026 [6][27]. - The adjusted EPS is forecasted to be HKD 2.41, HKD 2.60, and HKD 3.12 for 2024, 2025, and 2026 respectively, with a reference PE of 23 times for 2025 [4][6]. Business Model and Strategy - Beike is transitioning from a traditional real estate brokerage to a technology-driven integrated housing service platform, having completed approximately 4.4 million property transactions in 2023, with a total transaction value of HKD 31,429 billion [11][27]. - The "one body and three wings" strategy includes core brokerage services and expansion into home decoration, rental services, and other housing-related services, which are becoming significant growth drivers [27][28]. Market Position - Beike holds approximately 25% market share in the existing housing brokerage sector, with significant growth potential as the market shifts towards existing homes. The company maintains a strong bargaining position with commission rates consistently above industry averages [11][27]. - The new housing brokerage business is also performing well, with Beike's quality coverage and de-stocking capabilities allowing it to outperform the market [11][27]. Growth Drivers - The non-brokerage business segments, particularly home decoration and rental services, are increasingly contributing to revenue, with their combined revenue share rising to 36% in the first three quarters of 2024, up from 25% in 2023 [27][28]. - The company has seen a significant rebound in net profit, achieving HKD 59 billion in 2023, a 245% increase in adjusted net profit compared to the previous year, driven by improved transaction volumes and profitability in non-brokerage services [38][41].

Investment Rating - The report initiates coverage with a "Buy" rating and sets a target price of HKD 64.86 for the company [4]. Core Views - The company is positioned to benefit from the 2025 policy goal of stabilizing the market, which is expected to lead to a recovery in transaction volumes and housing prices. The "three wings" business model is rapidly developing and maturing [4][3]. Financial Performance - The company reported a revenue of HKD 60,669 million in 2022, with a projected increase to HKD 126,029 million by 2026, reflecting a compound annual growth rate (CAGR) of 22% from 2018 to 2023. The adjusted net profit is expected to grow from HKD 5,883 million in 2023 to HKD 8,547 million in 2026 [6][27]. - The adjusted EPS is forecasted to be HKD 2.41, HKD 2.60, and HKD 3.12 for 2024, 2025, and 2026 respectively, with a reference PE of 23 times for the target price calculation [4]. Business Model and Strategy - The company is transforming from a traditional real estate agency to a technology-driven integrated residential service platform, leveraging a digital infrastructure that includes the ACN network and property dictionary [11]. - The "one body and three wings" strategy includes core brokerage services and expansion into home decoration, rental services, and development services, which are becoming significant growth drivers [27][11]. Market Position - The company holds approximately 25% market share in the existing housing brokerage business, with significant growth potential as it expands into lower-tier cities [11]. - The company completed around 4.4 million property transactions in 2023, with a total transaction value of HKD 31,429 billion, indicating strong market presence [11]. Revenue Composition - The revenue from non-brokerage businesses has been increasing, contributing 25% in 2023 and projected to rise to 36% in 2024, highlighting the diversification of income sources [28][27]. - The company’s gross margin has improved since 2022, driven by higher profitability from existing housing and home decoration services [32]. Management and Governance - The company has a dual-class share structure, with the core management team holding nearly 50% of the voting rights, ensuring strong governance and strategic direction [22][24].

Investment Rating - The investment rating for Alibaba-SW (09988.HK) is "Outperform" [6] Core Insights - Alibaba's revenue for 3QFY25 reached 280.2 billion yuan, representing an 8% year-over-year increase, driven by significant contributions from Taobao, AIDC, cloud intelligence group, and other segments [1][10] - The adjusted EBITA margin was 19.6%, with a non-GAAP net profit of 51.1 billion yuan, reflecting a 6.5% year-over-year increase primarily due to changes in equity investments [1][10] - The company is focusing on e-commerce and AI & cloud as its core business areas while continuing to reduce costs in non-core operations [4][23] Summary by Sections Taobao Group - Taobao Group's revenue for the quarter was 136.1 billion yuan, up 5% year-over-year, with a customer management revenue (CMR) growth of 9% driven by an increase in GMV and take rate [2][13] - The adjusted EBITA margin for Taobao reached 44.9%, a year-over-year increase of 1.9%, indicating improved monetization strategies [14] Cloud Computing - The cloud business revenue grew by 13% year-over-year, with AI-related product revenue experiencing triple-digit growth for six consecutive quarters [3][16] - Alibaba Cloud holds a 33% market share in the domestic cloud service market and is expected to significantly increase its capital expenditures (CAPEX) to support AI initiatives, with future CAPEX projected to exceed the total of the past ten years [3][19] Financial Projections - Revenue forecasts for FY2025-FY2027 have been adjusted to 997.4 billion, 1,096.6 billion, and 1,205.5 billion yuan, reflecting increases of 1.1%, 1.5%, and 2.0% respectively [4][23] - Adjusted net profit forecasts for the same period are set at 151.3 billion, 165.7 billion, and 186.1 billion yuan, with adjustments of 2.0%, 2.2%, and 1.1% respectively [4][23] Market Position - Alibaba's strategy emphasizes user-centric approaches and AI-driven growth, with ongoing efforts to enhance user experience and operational efficiency [23] - The company is also exploring various AI application scenarios across its ecosystem, including e-commerce, consumer interaction, and enterprise solutions [20]

港股公司报告 | 公司点评 卓越教育集团（03978） 证券研究报告 业绩盈喜，教培景气延续 公司发布 2024 年度盈利预告 预计 2024 年收入 10.5~11.5 亿元，同比增长 114.5%~135%，净利润 1.8~2.0 亿元，同比增长 100.3%~122.5%。 2024 年度公司素质化转型取得卓越成效，相关产品深受家长及学生的认 可，招生人次、辅导课时较 2023 年同期有较大幅度的增长。同时，公司积 极推广人工智能技术在业务及管理层面的应用，不仅提升产品及服务质量， 经营管理效率也得到较大的提升。 全面接入 Deepseek R1 公司将持续探索 AI+教育的落地场景，充分发挥线下教育的独特优势，不 断提升教育质量和服务水平。 2025 年 2 月 14 号，卓越教育鲸准教"青椒助教"应用全面升级，接入 Deepseek R1。升级后的"青椒助教"在逻辑性、内容精准度等方面表现出 色，无论是解析综合题型还是创新教学策略，都能游刃有余。 同时，公司将进一步深化 AI 技术在教学中的应用，通过"青椒助教"等 一系列工具，为老师提供更强大的教学支持，帮助学生更好地学习和成长。 同时，用 Ai ...

港股公司报告 | 公司点评 卓越教育集团（03978） 证券研究报告 业绩盈喜，教培景气延续 公司发布 2024 年度盈利预告 预计 2024 年收入 10.5~11.5 亿元，同比增长 114.5%~135%，净利润 1.8~2.0 亿元，同比增长 100.3%~122.5%。 2024 年度公司素质化转型取得卓越成效，相关产品深受家长及学生的认 可，招生人次、辅导课时较 2023 年同期有较大幅度的增长。同时，公司积 极推广人工智能技术在业务及管理层面的应用，不仅提升产品及服务质量， 经营管理效率也得到较大的提升。 全面接入 Deepseek R1 公司将持续探索 AI+教育的落地场景，充分发挥线下教育的独特优势，不 断提升教育质量和服务水平。 2025 年 2 月 14 号，卓越教育鲸准教"青椒助教"应用全面升级，接入 Deepseek R1。升级后的"青椒助教"在逻辑性、内容精准度等方面表现出 色，无论是解析综合题型还是创新教学策略，都能游刃有余。 同时，公司将进一步深化 AI 技术在教学中的应用，通过"青椒助教"等 一系列工具，为老师提供更强大的教学支持，帮助学生更好地学习和成长。 同时，用 Ai ...