Investment Rating - The report assigns a "Buy" rating for the company with a target price of HKD 12.01, indicating a potential upside from the current price of HKD 7.91 [1]. Core Insights - The company is positioned to benefit from a three-engine growth model, with its flagship brand, Zhenjiu, leading the way, followed by Li Du and regional brands like Xiangjiao and Kaikouxiao [9][10]. - The management team, led by founder Wu Xiangdong, has extensive experience in the liquor industry, which is seen as a key advantage for navigating market challenges [17][23]. - The company has demonstrated strong revenue growth, with a compound annual growth rate (CAGR) of 42.79% from 2020 to 2023, driven by strategic acquisitions and brand development [10][12]. Summary by Sections 1. Three-Engine Growth Model - The company has integrated high-quality assets to create a three-engine growth model, consisting of Zhenjiu, Li Du, and Xiangjiao & Kaikouxiao, which are expected to drive future growth [9][10]. - Zhenjiu has become a leading national brand in the mid-to-high-end liquor segment, contributing 65% of total sales in 2023, with revenue growing from CNY 1.346 billion to CNY 4.583 billion from 2020 to 2023, achieving a CAGR of 50.46% [12][38]. - Li Du, contributing 16% of sales, has transitioned to the high-end market with revenue increasing from CNY 0.359 billion to CNY 1.110 billion during the same period, with a CAGR of 45.63% [12][38]. - Xiangjiao and Kaikouxiao, as regional leaders, contributed 17% of sales, with Xiangjiao's revenue growing from CNY 0.395 billion to CNY 0.834 billion (CAGR of 28.28%) and Kaikouxiao's from CNY 0.172 billion to CNY 0.385 billion (CAGR of 30.77%) [12][13]. 2. Management Experience - The founder, Wu Xiangdong, has over 20 years of experience in the liquor industry, having successfully navigated various market cycles and established a strong brand presence [17][23]. - The management team has a proven track record in brand building and market expansion, which is critical for the company's future growth [24][27]. 3. Financial Projections - The company is projected to achieve revenues of CNY 85.32 billion, CNY 102.28 billion, and CNY 120.38 billion from 2024 to 2026, with corresponding net profits of CNY 18.97 billion, CNY 25.33 billion, and CNY 33.51 billion [2]. - The report uses a P/E valuation method, estimating a target P/E of 19.5x for 2024, leading to a target market capitalization of CNY 37 billion [2][12].

Investment Rating - The report maintains a "Recommended" rating for Tencent Holdings (00700.HK) [1][4] Core Views - The report anticipates Tencent's revenue for Q3 2024 to reach 167.2 billion RMB, representing a year-over-year (YOY) increase of 8% and a quarter-over-quarter (QOQ) increase of 4% [1] - The expected gross profit is 89.1 billion RMB, with a YOY increase of 16% and a QOQ increase of 4%, leading to a gross profit margin (GPM) of 53% [1] - Non-IFRS operating profit is projected at 61 billion RMB, a YOY increase of 18% and a QOQ increase of 4% [1] - Non-IFRS net profit attributable to shareholders is expected to be 54.6 billion RMB, reflecting a YOY increase of 22% but a QOQ decrease of 5% [1] Revenue Breakdown - **Value-Added Services**: Anticipated revenue of 52.3 billion RMB for online gaming, with a YOY increase of 13% and a QOQ increase of 8% [1] - Domestic market gaming revenue is expected to be 37 billion RMB, a YOY increase of 13% [1] - International market gaming revenue is projected at 15.2 billion RMB, a YOY increase of 15% [1] - **Social Network Services**: Expected revenue of 30.8 billion RMB, with a YOY increase of 4% and a QOQ increase of 2% [1] - **Advertising**: Projected revenue of 29.6 billion RMB, a YOY increase of 15% but a QOQ decrease of 1% [1] - **Financial Technology and Business Services**: Expected revenue of 53.4 billion RMB, a YOY increase of 3% and a QOQ increase of 6% [1] Financial Forecasts - Revenue forecasts for 2024-2026 have been slightly adjusted to 661.1 billion RMB, 718.9 billion RMB, and 773.3 billion RMB respectively, with YOY growth rates of 9% for each year [1] - Non-IFRS net profit forecasts have been adjusted to 218.6 billion RMB, 244 billion RMB, and 271.1 billion RMB for the same period, with a YOY growth of 39% in 2024 [1] - Non-IFRS EPS is projected at 23.82 RMB, 27.28 RMB, and 31.08 RMB for 2024-2026, with a YOY growth of 43% in 2024 [1] Target Price - The target price range is set between 471.25 and 523.61 HKD, based on a valuation of 18-20 times the 2024 Non-IFRS EPS [1][4]

Investment Rating - The report maintains an "Accumulate" rating for Chow Tai Fook (1929) [3][12]. Core Views - The report indicates that gold prices continue to rise, which may put pressure on the sales volume of gold by weight. However, the increase in the contribution of priced gold and the appreciation of inventory due to rising gold prices are expected to boost profit margins in FY2025 [3]. - The estimated net profit for Chow Tai Fook for FY2025-2027 has been revised down to HKD 6.321 billion, HKD 6.912 billion, and HKD 7.453 billion respectively, from previous estimates of HKD 7.420 billion, HKD 8.209 billion, and HKD 9.085 billion [3]. - The report projects earnings per share (EPS) for FY2025-2027 to be HKD 0.63, HKD 0.69, and HKD 0.75 respectively, down from previous estimates of HKD 0.74, HKD 0.82, and HKD 0.91 [3]. - The target price has been adjusted to HKD 9.45 from HKD 11.13, based on a price-to-earnings (PE) ratio of 15 times for FY2025 [3]. Summary by Sections Market Performance - From July to September 2024, gold prices have shown strong performance, with domestic gold prices rising from HKD 550 per gram to HKD 598 per gram [3]. - Retail sales in July and August 2024 grew by 2.7% and 2.1% year-on-year, but sales in the gold and jewelry category declined by 10.4% and 12% respectively, underperforming the overall consumer market [3]. Sales and Profitability - The demand for gold by weight is expected to remain under pressure due to high gold prices, while the demand for priced gold is anticipated to benefit from exquisite design and craftsmanship, leading to a potential increase in sales [3]. - The report suggests that the proportion of embedded products may stabilize and increase, benefiting from the sales boost from the "Chuanfu" series, which could drive the sales share of embedded products upward [3]. - The gross profit margin is expected to improve significantly due to the appreciation of inventory from rising gold prices, with a notable profit margin increase projected for FY2025 [3]. Financial Summary - The financial summary indicates that for FY2023, the company reported a revenue of HKD 94.684 billion, with a projected revenue of HKD 93.962 billion for FY2025, reflecting a year-on-year decrease of 13.6% [7]. - The gross profit for FY2023 was HKD 21.171 billion, with a projected gross profit of HKD 21.235 billion for FY2025 [7]. - The net profit for FY2023 was HKD 5.384 billion, with a projected net profit of HKD 6.321 billion for FY2025, indicating a slight decrease of 2.7% [7].

Investment Rating - The report maintains a "Buy" rating for the company 361 Degrees (01361.HK) [4] Core Views - The company has shown robust growth in offline business and exceptional performance in e-commerce, with a 10% increase in adult and children's apparel sales in offline channels and over 20% growth in e-commerce sales year-on-year [1][2] - The company is expected to achieve a revenue growth of 19% and a net profit growth of 20% in 2024, driven by product and channel optimization [2] Summary by Sections Business Performance - In Q3 2024, the adult apparel segment saw a 10% year-on-year increase in offline sales, maintaining the same growth rate as Q2. The number of adult apparel stores increased by 98 to 5,740, with an average store area growth of 8.3% to 143 square meters [1] - The children's apparel segment also experienced a 10% year-on-year increase in offline sales, with a net increase of 102 stores to 2,550 and a 12.5% increase in average store area to 108 square meters [1] - E-commerce sales grew by over 20% year-on-year, with the company leveraging platforms like Hupu, Douyin, Bilibili, and Xiaohongshu to enhance user engagement and promote products [1] Financial Forecast - The company is projected to achieve a revenue of 10,017 million yuan in 2024, with a year-on-year growth rate of 18.9%. The net profit is expected to reach 1,158 million yuan, reflecting a growth rate of 20.4% [3][12] - The earnings per share (EPS) is forecasted to be 0.56 yuan in 2024, with a price-to-earnings (P/E) ratio of 6.9 times [3][12] Valuation - The current market price corresponds to a P/E ratio of 7 times for 2024, indicating a favorable valuation for potential investors [2][4]

Investment Rating - The report maintains a "Buy" rating for the company, JD Logistics (2618 HK), with a target price raised from HKD 11.30 to HKD 16.30, indicating a potential upside of 21.5% [2][10]. Core Insights - The company is expected to report a revenue increase of 6% year-on-year for Q3 2024, reaching RMB 44.2 billion, which aligns with previous expectations. The adjusted net profit is projected to be RMB 10.9 billion, a 29% increase year-on-year, surpassing market expectations by 51% [1][6]. - The improved profit margins are attributed to operational efficiency enhancements, including better space utilization, cost control in transportation, and optimized product mix and pricing strategies [1][6]. - The anticipated collaboration with Taobao for the 2024 Double Eleven event is expected to boost business volume growth, particularly in supply chain and logistics services [2][10]. Financial Overview - Revenue for 2022 was RMB 137.4 billion, with projections of RMB 166.6 billion for 2023 and RMB 180.6 billion for 2024, reflecting a year-on-year growth rate of 21.3% and 8.4% respectively [5][11]. - The adjusted net profit for 2023 is expected to be RMB 2.8 billion, increasing to RMB 6.1 billion in 2024, with a corresponding net profit margin of 3.4% [5][11]. - The company’s market capitalization is approximately HKD 88.9 billion, with a year-to-date stock price increase of 37.22% [4][11].

Investment Rating - The report initiates coverage with a "Buy" rating for the company, indicating a positive outlook for its stock performance [3][9]. Core Insights - The company is a leading player in the travel luggage industry, with a strong brand portfolio including Samsonite, Tumi, and American Tourister. It is expected to achieve steady growth through global expansion and improved operational efficiency [3][9]. - Projected net profits for 2024-2026 are estimated at $422 million, $457 million, and $497 million respectively, with corresponding price-to-earnings (PE) ratios of 9, 9, and 8 times [3][9]. - The global luggage market is projected to grow at a CAGR of 7% over the next five years, with the company benefiting from multi-brand synergy and an expected increase in market share [3][9]. Summary by Sections 1. Key Points and Profit Forecast - The company is expected to maintain a competitive edge through high-quality brand assets and efficient channel operations. The main brand, Samsonite, offers a diverse range of products from mid-range to high-end, while Tumi focuses on the premium business segment [3][9]. - Revenue and net profit from the company's main brands showed significant growth in 2023, with increases of 28%, 34%, and 26% respectively [3][9]. 2. Company Overview: Global Renowned Luggage Brand - Established in 1910, the company is recognized as the largest luggage manufacturer globally, with a diverse brand portfolio that includes Samsonite, Tumi, and American Tourister [14][18]. 3. Industry: Rapid Growth in Luggage Consumption - The global luggage market has shown steady growth, increasing from $119.2 billion in 2011 to $161.1 billion in 2023, with a CAGR of approximately 3% [25]. - The domestic luggage market in China is also expanding, driven by rising disposable income and increasing travel demand, with a projected market size exceeding 300 billion yuan [27][31]. 4. Competitive Advantages: Quality Brand Assets and Channel Expansion - The company has a well-established brand matrix that covers various market segments, enhancing its competitive position [14][15]. - The direct-to-consumer (DTC) revenue share is expected to rise to nearly 40%, reflecting the company's commitment to enhancing operational efficiency [3][9]. 5. Future Outlook: Continued Global Expansion - The company plans to deepen its presence in high-potential emerging markets, particularly in Latin America, while maintaining stable performance in Europe and North America [10][11].

Investment Rating - Maintain BUY rating and raise target price to HK$ 126.68, based on 23x FY25E P/E, revised up from 20x [3][5][11] Core Views - Despite a disappointing 3Q24 performance, the outlook for 4Q24E is positive due to strong retail sales growth during the National Day holidays and government stimulus measures [3] - The company has not revised down its FY24E sales growth guidance, but a more conservative estimate is adopted [3] - Confidence in net profit margin remains high, supported by effective cost control and a resilient gross profit margin [3][6] Revenue and Profit Forecasts - FY24E revenue forecast is RMB 69,483 million, with a slight downward revision of -1.2% from previous estimates [7] - Net profit attributable to shareholders for FY24E is revised up by 4.8% to RMB 12,886 million [7] - Diluted EPS for FY24E is projected at RMB 4.601, reflecting a 4.8% increase from previous estimates [7] Sales Growth Expectations - Retail sales growth for Anta and FILA is expected to turn around in 4Q24E, with estimates of 16% and 10% respectively [3] - The company anticipates high single-digit to mid-single-digit retail sales growth for Anta and FILA in FY24E, compared to the company's guidance of over 10% [3] Market Position and Brand Performance - Anta's brand reforms are yielding positive results, with successful product launches and an expanded customer base through various store formats [3] - FILA is also expected to benefit from store revamps and new product series, although its recent performance has been weaker [3] Valuation Metrics - The stock is currently trading at 18x FY25E P/E, which is considered not demanding compared to its 5-year average of 25x [3] - The target price reflects a potential upside of 26.6% from the current price of HK$ 100.10 [5]

Investment Rating - The report maintains a HOLD rating for the company, indicating a potential return of +15% to -10% over the next 12 months [2]. Core Viewpoints - The earnings forecast for 2024E and 2025E has been revised down by 5% and 2% respectively, reflecting a projected ~20% year-on-year earnings decline in the second half of 2024, with recovery expected in 2025 [2]. - The target price has been adjusted to HK$21.4 from HK$19.5, based on a valuation of 4.5x EV/EBITDA, which aligns with the historical average [2]. - The report suggests that the current share price does not yet reflect the downside risks to earnings, particularly following a recent rally [2]. Financial Summary - Revenue is projected to grow from RMB 85,041 million in FY23A to RMB 91,906 million in FY24E, representing an 8.1% year-on-year growth [3]. - Net profit is expected to increase from RMB 5,318.1 million in FY23A to RMB 5,685.1 million in FY24E, reflecting a 6.9% growth [3]. - The P/E ratio is forecasted to decrease from 10.9x in FY23A to 10.2x in FY24E, indicating a more attractive valuation [3]. Sales Volume and Revenue Projections - The sales volume for heavy-duty trucks (HDT) is expected to decline by 3.7% in 2024E, with a slight recovery projected in 2025E [6]. - The revenue from the truck segment is forecasted to remain stable, with a slight increase from RMB 92,273 million in 2024E to RMB 92,517 million in 2025E [6]. - The report highlights a significant drop in engine sales volume, projected to decrease by 25.5% in 2024E [6]. Profitability Metrics - The gross profit margin is expected to decline from 16.2% in FY23A to 15.0% in FY24E, indicating pressure on profitability [10]. - Operating profit is projected to increase from RMB 6,487 million in FY23A to RMB 7,034 million in FY24E, reflecting an 8.4% growth [8]. - The return on equity (ROE) is expected to remain stable around 13.6% in FY24E [10]. Gearing and Liquidity - The net gearing ratio is projected to worsen from (44.3%) in FY22A to (47.3%) in FY24E, indicating increased leverage [3]. - The current ratio is expected to remain stable at around 1.2 over the forecast period, suggesting adequate liquidity [12].

Investment Rating - The report assigns an "Accumulate" rating for the company, marking its first coverage [1][47]. Core Insights - The company is a leading provider of autonomous driving domain controllers in China, with a strong binding to high-quality downstream customers [2][3]. - The penetration rate of intelligent driving is expected to continue rising, indicating a broad market prospect for autonomous driving domain controllers [2][3]. - The company maintains high R&D investment, with a focus on expanding its business opportunities both domestically and internationally [2][3]. Summary by Sections Company Overview - The company was established in December 2016 and specializes in autonomous driving solutions, achieving a market share of 8.6% in 2022, making it the fourth-largest provider in China [8][2]. - The management team has extensive industry experience, with the chairman holding 21.57% of the shares, ensuring a clear ownership structure [8][9]. Market Trends - The market for autonomous driving domain controllers is projected to grow significantly, with estimates suggesting a market size of RMB 915 billion by 2027, reflecting a CAGR of 56.33% from 2022 to 2027 [2][21]. - The penetration rate of autonomous driving passenger vehicles in China is expected to reach 55.20% by 2024 and 81.70% by 2027 [2][18]. Financial Performance - The company's revenue grew from RMB 0.48 billion in 2020 to RMB 13.26 billion in 2022, with a CAGR of 425.59% [14][3]. - The projected revenues for 2024, 2025, and 2026 are RMB 17.59 billion, RMB 23.95 billion, and RMB 26.42 billion, respectively, with corresponding growth rates of 44.6%, 36.2%, and 10.3% [37][45]. R&D and Product Development - The company has significantly increased its R&D investment, with expenditures rising from RMB 0.44 billion in 2020 to RMB 2.17 billion in 2023, achieving a CAGR of 70.22% [26][27]. - The product matrix includes autonomous driving domain controllers and iFC series products, with the SuperVisionTM product line contributing 89% of revenue in 2023 [11][31]. Competitive Position - The company is the second-largest third-party provider of autonomous driving domain controllers in China, with a market share of 26.20% [24][2]. - The company has established partnerships with major OEMs, including Geely and Chery, and is expanding its international presence [32][34].

Investment Rating - The report does not specify a clear investment rating for 康哲药业 (0867.HK) [1]. Core Insights - The company has shown signs of a performance turnaround, with a 8.9% quarter-on-quarter increase in drug sales revenue and a 92.8% increase in profit for the first half of 2024 [2][19]. - The successful NDA approval of Lucozine cream positions it as the first domestic drug for treating vitiligo, targeting a significant market of 14 million existing patients [2][11]. - The company is entering a harvest period in its innovation transformation, with five innovative drugs launched and over ten self-research projects progressing steadily [2][11]. Summary by Sections 1. Performance Turnaround - The impact of centralized procurement has largely dissipated, with a notable improvement in performance indicators. The first half of 2024 saw a drug sales revenue of 12.3 billion yuan from three national procurement products, reflecting a 49.2% decline, but the negative effects are expected to lessen moving forward [2][19]. - The company reported a revenue of 42.9 billion yuan in the first half of 2024, down 22.6% year-on-year, but with a quarter-on-quarter improvement in both revenue and profit [19]. 2. Innovation Pipeline - 康哲药业 has made significant strides in its innovation strategy, with over 30 innovative products, primarily First-in-Class (FIC) and Best-in-Class (BIC) drugs. Five innovative drugs have been launched, including Diazepam nasal spray and Treziq monoclonal antibody injection [2][11]. - The company has ten self-research projects in progress, with three innovative drugs entering clinical development [2][11]. 3. Market Potential - The Lucozine cream targets a large unmet clinical need in the vitiligo market, with 14 million patients in China. It is the only drug approved globally for this indication [2][11]. - The company’s product lines include cardiovascular, digestive, ophthalmology, and dermatology, with a strong market presence across over 55,000 hospitals and approximately 280,000 retail pharmacies in China [11][19]. 4. Financial Forecast - The company’s projected revenues for 2024, 2025, and 2026 are 78.9 billion yuan, 88.9 billion yuan, and 98 billion yuan, respectively [3][4].