Investment Rating - The investment rating for the company is "Buy" and is maintained [6]. Core Views - The main brand of the company shows steady growth, with a high single-digit year-on-year increase in Q4 retail sales, and discounts ranging from 70% to 75%. The inventory turnover ratio is approximately 4 months, with an overall year-on-year increase in retail sales for the year [2][4]. - The subsidiary brand, Saucony, experienced a remarkable performance with a year-on-year sales increase of approximately 50% in Q4 and over 60% for the entire year [2][4]. - The company maintains a healthy inventory and discount level, leading the industry. The inventory turnover ratio remains stable compared to Q3 2024, and the discount levels are considered healthy [5][7]. Summary by Sections Retail Performance - The main brand's Q4 sales growth is driven by pre-holiday sales, particularly during the Golden Week and Double Eleven shopping festival. E-commerce channels are expected to outperform offline channels due to holiday promotions, while offline sales may face pressure from weak foot traffic [5][6]. Inventory and Discount Management - The inventory turnover ratio is around 4 months, indicating a healthy inventory level. The discount range of 70% to 75% is viewed as sustainable and healthy for the industry [5][6]. Future Outlook - The company is expected to continue benefiting from healthy inventory and discount levels, with projections for net profit growth of 24%, 17%, and 13% for the years 2024, 2025, and 2026, respectively. The corresponding price-to-earnings ratios are projected to be 11, 9, and 8 times [5][9].

Investment Rating - The investment rating for the company is "Buy" and is maintained [5] Core Views - The company focuses on self-research to create cost advantages, resulting in an excellent price-performance ratio, with products covering a price range of 50,000 to 200,000 CNY. It is expected that the revenue for 2024 will not be less than 30.5 billion CNY, with an annual gross margin of no less than 8%. The company achieved a positive net profit in Q4 2024, one year ahead of its target for quarterly profitability [1][3][6] Summary by Relevant Sections Event Description - The company announced that it achieved a positive net profit in Q4 2024, one year ahead of its target for quarterly profitability [3] Financial Performance - The company expects to achieve sales of 294,000 units in 2024, a year-on-year increase of 103.8%. Revenue is projected to be no less than 30.5 billion CNY, a year-on-year increase of no less than 80%. The annual gross margin is expected to be no less than 8%, an increase of over 7.5 percentage points year-on-year. In Q4 2024, sales are expected to reach 121,000 units, a year-on-year increase of 118.4% and a quarter-on-quarter increase of 40.3%. Revenue for Q4 is projected to be no less than 11.79 billion CNY, a year-on-year increase of over 123.5% and a quarter-on-quarter increase of over 19.6% [6][7] Growth Drivers - The significant improvement in profitability in Q4 is attributed to three main factors: (1) Average monthly sales exceeded 40,000 units, with a quarter-on-quarter increase of over 40%. (2) The product structure continues to optimize, with high-priced C-series models accounting for over 77% of sales in Q4. (3) The company is continuously improving cost management and operational efficiency [6][7] Future Outlook - The company is expected to enter a strong new car cycle globally, with plans to launch 2-3 new products each year over the next three years. In 2025, three models from the B series are planned for launch, with prices ranging from 100,000 to 150,000 CNY. The company is also expanding its domestic and international sales channels, with a total of 860 stores in China and 339 stores in Europe by the end of October 2024 [6][7]

Investment Rating - The report assigns a **Buy** rating to Horizon Robotics-W (09660 HK) with a target price of HKD 3 72 [1] Core Views - Horizon Robotics is positioned to benefit from the global intelligent driving market which is expected to grow to a trillion-level market size The company provides cost-effective integrated hardware and software solutions to OEMs and Tier 1 suppliers making it well-positioned to capitalize on the trend of intelligent driving technology penetration into lower-tier markets [4][6] - The company's valuation is based on projected revenues of RMB 2 375 billion RMB 3 561 billion and RMB 5 954 billion for 2024 2025 and 2026 respectively with corresponding PS ratios of 19 1x 12 7x and 7 6x [6] Industry Overview - The global intelligent driving market is expected to grow significantly with the adoption of end-to-end autonomous driving technology The market size for advanced driver-assistance systems (ADAS) and high-level autonomous driving solutions is projected to increase from RMB 619 billion in 2023 to RMB 10 172 billion by 2030 with a CAGR of 49% [9] - End-to-end autonomous driving which uses neural network models to replace traditional modular designs is expected to drive the market forward with significant improvements in data processing efficiency and deployment lightweighting [9] Company Analysis - Horizon Robotics has established itself as a leading provider of intelligent driving solutions in China with a 35 9% market share in the domestic OEM ADAS solutions market in the first half of 2024 [75] - The company's hardware and software integrated solutions cover a wide range of applications from low to high-end autonomous driving with products like Horizon Mono Horizon Pilot and Horizon SuperDrive [20] - Horizon Robotics has a strong R&D team with over 1 500 employees in intelligent driving hardware and software development and has accumulated more than 1 900 global intellectual property rights [23] Financial Performance - Horizon Robotics' revenue has shown rapid growth with revenues of RMB 4 67 billion RMB 9 06 billion RMB 15 52 billion and RMB 9 35 billion for 2021 2022 2023 and the first half of 2024 respectively [29] - Despite being in a loss-making phase the company's net loss has been narrowing with net losses of RMB 20 64 billion RMB 87 20 billion RMB 67 39 billion and RMB 50 98 billion for the same periods [31] Competitive Landscape - Horizon Robotics is competing with global leaders like NVIDIA and Tesla in the intelligent driving domain control chip market In 2024 Horizon's Journey 5 and Journey 3 chips achieved market shares of 5 4% and 2 5% respectively in China [66] - The company's Journey 6P chip with a computing power of 560 TOPS surpasses NVIDIA's Orin-X and Tesla's FSD 4 0 in performance positioning Horizon as a strong competitor in the high-end market [73] Future Outlook - Horizon Robotics is expected to benefit from the trend of high-end intelligent driving technology penetrating into the mid-tier market particularly in vehicles priced below RMB 200 000 The company's cost-effective solutions are well-suited for this segment [83] - The company's Horizon SuperDrive solution combined with the Journey 6 chip offers a high-performance intelligent driving system that is expected to drive future growth [85]

Investment Rating - The report maintains a "Buy" rating for the company [7] Core Insights - The company is positioned as a global IP retail store, leveraging "IP + retail" to unlock overseas growth potential [1] - The emotional consumption era is on the rise, with the IP retail industry experiencing upward momentum [1] - The company has a strong competitive edge through efficient supply chain management, robust IP operation capabilities, and scale advantages [2] Summary by Sections Company Overview - The company, established in 2013, has developed a comprehensive supply chain system and is now a leading player in the domestic household goods retail sector [15] - The company operates two brands: MINISO, focusing on household goods, and TOP TOY, targeting the trendy toy market [20] Industry Analysis - The IP retail sector is in its growth phase, with significant potential for expansion as China's per capita IP retail consumption is only about 1/4 of the global average [34] - The emotional consumption trend is gaining traction, with increasing consumer interest in IP-related products [40] Competitive Advantages - The company excels in supply chain efficiency, IP operation capabilities, and has a significant scale advantage with over 7,186 stores globally [2][60] - The company has established partnerships with over 150 top IPs, enhancing its product offerings and market presence [60] Market Expectations - The report anticipates better-than-market expectations for same-store sales in both domestic and overseas markets, driven by refined IP operations and targeted product categories [3][66] - The company is expected to continue expanding its store network, particularly in overseas markets, which will support same-store sales growth [3][67] Financial Projections - Revenue forecasts for 2024-2026 are projected at 172 billion, 213 billion, and 256 billion respectively, with year-on-year growth rates of 24.3%, 23.9%, and 20.2% [5] - Adjusted net profit is expected to reach 28.0 billion, 35.8 billion, and 43.7 billion for the same period, reflecting growth rates of 19%, 28%, and 22% [5]

Investment Rating - Tencent Holdings maintains a "Buy" rating [4] Core Views - The inclusion of Tencent in the 1260H list by the US Department of Defense has limited direct impact on the company's operations [2] - The 1260H list does not authorize any direct restrictions on the listed companies, but indirect effects in financing and supply chain areas should be monitored [2] - There is a possibility that Tencent could be added to the NS-CMIC list, which would restrict US entities from trading its securities [3] - Tencent may face supply chain challenges due to potential classification as a "military end-user" under US export control regulations [3] - Historical precedents suggest that Tencent could potentially be removed from the 1260H list through appeals, as seen with Xiaomi in 2021 [3] Financial Projections and Valuation - Revenue is projected to grow from CNY 609,015 million in 2023 to CNY 795,437 million in 2026, with a CAGR of 9.24% [6] - Net profit attributable to the parent company is expected to increase from CNY 115,216 million in 2023 to CNY 216,284 million in 2026, with a CAGR of 23.45% [6] - Earnings per share (EPS) are forecasted to rise from CNY 12.19 in 2023 to CNY 23.45 in 2026 [6] - The P/E ratio is expected to decline from 22.65x in 2023 to 16.41x in 2026, indicating improving valuation metrics [6] Financial Ratios and Performance - Gross margin is projected to improve from 48.13% in 2023 to 55.18% in 2026 [12] - Return on Equity (ROE) is expected to increase from 14.25% in 2023 to 17.78% in 2024, before slightly declining to 16.33% in 2026 [12] - The debt-to-asset ratio is forecasted to decrease from 44.61% in 2023 to 38.12% in 2026, reflecting a stronger balance sheet [12] - The current ratio is expected to improve from 1.47 in 2023 to 2.43 in 2026, indicating better liquidity [12] Market and Industry Context - Tencent's stock price closed at HKD 409.40, with a 12-month price range of HKD 257.97 to HKD 482.40 [7] - The company's market capitalization stands at HKD 3,724.8 billion [7] - Tencent's performance is compared to the Hang Seng Tech Index, with a recent underperformance of -17.00% [9]

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The company is expected to see significant revenue growth driven by the launch of new content and seasonal events in its self-developed life simulation game "Heart Town" [5] - The company maintains its profit forecasts for 2024-2026, projecting net profits of 783 million, 1.137 billion, and 1.246 billion yuan respectively, with corresponding EPS of 1.6, 2.3, and 2.5 yuan [5] - The current stock price corresponds to P/E ratios of 13.5, 9.3, and 8.5 for the years 2024, 2025, and 2026 respectively, indicating a favorable valuation [5] Financial Summary and Valuation Metrics - Revenue for 2022 was 3.431 billion yuan, with a projected increase to 6.005 billion yuan in 2024, representing a year-over-year growth of 77.2% [8] - The company reported a net loss of 554 million yuan in 2022, but is expected to achieve a net profit of 783 million yuan in 2024, marking a significant turnaround [8] - Gross margin is projected to improve from 53.5% in 2022 to 65.2% by 2026, indicating enhanced profitability [8] - The return on equity (ROE) is expected to be 31.4% in 2024, reflecting strong operational efficiency [8]

Investment Rating - The investment rating for 康耐特光学 (2276.HK) is not explicitly stated in the provided documents, but the report indicates a positive outlook with expected profit growth [1]. Core Views - The company is forecasted to achieve a net profit growth of no less than 30% year-on-year in 2024, with a projected net profit growth of at least 28.5% for the second half of 2024. This growth is attributed to steady business expansion, an increasing proportion of high-value-added products, and a reduction in financial costs [1][2]. - The gross margin for standardized lenses is over 30%, while customized lenses have a gross margin of approximately 60%. The report anticipates continued optimization of overall gross margins as the proportion of customized products increases [2]. - The company is making steady progress in the XR (Extended Reality) sector, focusing on international leading clients and developing innovative lens solutions that enhance user experience [2]. Financial Summary - **Revenue Forecast**: The company expects revenues of 1,760 million in 2023, increasing to 2,907 million by 2026, reflecting a compound annual growth rate (CAGR) of approximately 18% [4][5]. - **Net Profit Forecast**: The projected net profits are 327 million in 2023, rising to 672 million by 2026, with a year-on-year growth rate of 32% in 2024 and 25% in 2025 [4][5]. - **Earnings Per Share (EPS)**: EPS is expected to grow from 0.77 in 2023 to 1.40 in 2026 [4][5]. Key Financial Metrics - **Operating Income**: The operating income is projected to grow from 1,760 million in 2023 to 2,907 million in 2026, with a consistent growth rate of around 18% [4][5]. - **Profitability Ratios**: The report indicates a gross margin improvement, with the gross margin for customized lenses expected to be around 60% as the product mix shifts [2][6]. - **Debt Ratios**: The asset-liability ratio is projected to decrease from 29.7% in 2023 to 21.37% in 2026, indicating improved financial stability [6].

Investment Rating - The investment rating for Tencent Holdings is "Outperform the Market" (maintained) [1][5][20]. Core Views - Tencent is expected to achieve revenue of 169.2 billion yuan in Q4 2024, representing a year-on-year growth of 9%. The growth is driven by stable growth in online advertising and an increase in gaming revenue [3][6]. - The gaming segment is projected to generate 47 billion yuan in revenue, reflecting a 15% year-on-year increase, with domestic game revenue expected to grow by 17% [3][10]. - The advertising revenue is anticipated to reach 34.3 billion yuan, marking a 15% increase year-on-year, supported by the growth of video accounts and improvements in advertising technology [4][15]. - Financial technology and enterprise services revenue is expected to grow by 3% year-on-year, reaching 56 billion yuan, influenced by macroeconomic conditions [16][20]. Summary by Sections Revenue Forecast - For Q4 2024, Tencent's total revenue is projected at 169.2 billion yuan, with a breakdown as follows: - Value-added services: 76.3 billion yuan, up 10% year-on-year - Online games: 47 billion yuan, up 15% year-on-year - Advertising: 34.3 billion yuan, up 15% year-on-year - Financial technology and enterprise services: 56 billion yuan, up 3% year-on-year [8][24]. Profitability - Non-IFRS net profit for Q4 2024 is expected to be 54.5 billion yuan, reflecting a 28% year-on-year increase, with a net profit margin of 32% [4][7][20]. Key Growth Drivers - The gaming segment is benefiting from the release of new games and updates to existing titles, with "DNF" showing strong performance in the iOS rankings [3][10]. - The advertising segment is expected to leverage AI and improved ad technology, with significant potential in WeChat e-commerce, which could generate approximately 50 billion yuan in advertising revenue in the medium term [4][15]. - The financial technology segment is facing challenges due to macroeconomic factors, but is still expected to show modest growth [16][20].

Investment Rating - The investment rating for JD Group is "Outperform the Market" (maintained) [1][4][8] Core Views - JD Group is expected to report strong revenue and profit performance for Q4 2024, with revenue projected to increase by 9% year-on-year to 333.7 billion yuan, driven by national subsidies boosting retail revenue growth [3][5] - The company is anticipated to benefit significantly from the continuation and expansion of the "trade-in" subsidy policy in 2025, leading to an upward adjustment in revenue and profit forecasts for 2024-2026 [4][8] Revenue and Profit Forecasts - Q4 2024 revenue is expected to reach 333.7 billion yuan, with a year-on-year growth of 9%, primarily due to the "trade-in" policy [3][5] - JD Retail revenue growth is projected at 10%, with double-digit growth in electronic categories and high single-digit growth in daily necessities [3][5] - Non-GAAP net profit for Q4 2024 is forecasted to be 9.446 billion yuan, reflecting a 12% year-on-year increase, with a Non-GAAP net profit margin of 2.8% [3][7] Adjustments to Financial Projections - Revenue forecasts for 2024-2026 have been adjusted to 1,145.5 billion yuan, 1,213.2 billion yuan, and 1,293.0 billion yuan, with increases of 0.9% for both 2024 and 2025, and 0.8% for 2026 [4][8] - Adjusted net profit forecasts for the same period are 46 billion yuan, 51.3 billion yuan, and 56.8 billion yuan, with increases of 2.6%, 2.5%, and 2.4% respectively [4][8] Market Position and Share - JD Group's market share is stabilizing and expected to recover, primarily driven by the "trade-in" policy, which is projected to contribute approximately 1.1% to GMV growth in the home appliance category and around 3% from new categories like mobile devices [6][7] - Active merchants are expected to show close to triple-digit growth, while active purchasing users are projected to increase by approximately 15% year-on-year [6][7]

Investment Rating - The investment rating for the company is "Buy" with a target price not specified [7]. Core Insights - The company has become the official sportswear partner for the Chinese Olympic Committee and the Chinese sports delegation for the 2025-2028 period, indicating a strong brand positioning and recognition in the sports industry [1]. - The company focuses on a "single brand, multiple categories, and multi-channel" strategy, emphasizing its commitment to sports and innovation across five core categories: running, basketball, fitness, badminton, and sports lifestyle [2]. - The company aims to be recognized globally as a fashionable and professional sports brand originating from China, promoting sports participation and a healthy lifestyle through various initiatives and events [3]. - The opening of the first youth sports store in Wuhan marks the company's strategic expansion into the youth sports market, showcasing its commitment to supporting youth sports development [4]. - The company maintains its profit forecast, expecting revenues of 28.4 billion RMB, 29.8 billion RMB, and 31.8 billion RMB for the years 2024 to 2026, with net profits of 3.1 billion RMB, 3.5 billion RMB, and 4.0 billion RMB respectively [5]. Summary by Sections Company Overview - The company has secured a partnership with the Chinese Olympic Committee for the upcoming Olympic cycles, enhancing its brand visibility and credibility in the sports sector [1]. Business Strategy - The company adopts a comprehensive strategy that includes a focus on innovation and consumer experience, ensuring sustainable growth while expanding its market presence [2]. Brand Engagement - The company is actively engaging consumers through campaigns that promote sports participation and highlight its technological advancements in sports equipment [3]. Market Expansion - The launch of a dedicated youth sports store reflects the company's strategic focus on the youth segment, indicating a proactive approach to market expansion [4]. Financial Projections - The company has set ambitious financial targets for the next three years, indicating confidence in its growth trajectory and market positioning [5].