Investment Rating - The report maintains a "Recommended" rating for the company, indicating an expectation to outperform the benchmark index by 10%-20% over the next six months [1][21]. Core Insights - The company achieved profitability in Q2 2025, driven by high-margin products and a broadening product portfolio, which opens up growth opportunities [1][6]. - The demand for AI terminals and the acceleration of domestic substitution are expected to benefit the company, as it continues to expand its product offerings [6][7]. - The company reported a revenue of 283 million yuan in H1 2025, a year-on-year decrease of 6.99%, but with a gross margin improvement to 29.58% [6][7]. Financial Performance Summary - **Revenue Forecast**: Projected total revenue for 2024A is 688 million yuan, increasing to 839 million yuan in 2025E, with a CAGR of 21.8% through 2027E [2][7]. - **Net Profit Forecast**: The company is expected to turn a profit with a net income of 9 million yuan in 2025E, growing to 75 million yuan by 2027E, reflecting a significant growth rate of 362.6% in 2026E [2][7]. - **Earnings Per Share (EPS)**: EPS is projected to improve from -0.25 yuan in 2024A to 1.08 yuan in 2027E [2][7]. Product and Market Development - The company is actively expanding its product matrix, including high-power fast charging and power supply applications, and has successfully entered the supply chain for international brands [6][7]. - The introduction of new products, such as specialized driver chips for micro-stepping motors, has seen significant growth, with a year-on-year increase of over 245% in motor driver control chip products [6][7]. - The company maintains a high R&D investment strategy, with a research expense ratio of 25.42% in H1 2025, focusing on markets such as home appliances and industrial power [6][7].

Group 1 - The Hang Seng Index rose by 0.62%, gaining 156 points to close at 25,426 points, while the Hang Seng Tech Index increased by 1.96%. The early trading volume in Hong Kong stocks reached HKD 172 billion [1] - Chinese brokerage stocks continued their upward trend, with the Shanghai Composite Index hitting a nearly ten-year high, indicating a growing trend of active investment behavior among residents. Guotai Junan (601456) rose by 5.93%, China International Capital Corporation (601995) increased by 5.31%, and CITIC Securities (06030) gained 4% [1] - The film and television sector showed strength in early trading, driven by a surge in summer box office revenues and positive reviews for major films, leading to a recovery in audience demand. Lemon Films (09857) surged by 37%, while Maoyan Entertainment (01896) rose by 6.05% [1] - The performance of China Literature Group (00772) exceeded expectations, with the stock rising over 20% as the market focused on the company's IP commercialization progress [1] Group 2 - ZTE Corporation (00763) saw a rise of over 9%, with its A-shares hitting the daily limit, as the company has been actively expanding its smart computing and AI terminal businesses [2] - Continental Aerospace Technologies (00232) surged by over 26%, with expected net profit growth of nearly seven times for the first half of the year, as it is a manufacturer of general aviation piston engines [2] - Soundon Technology (02495) increased by nearly 40%, with expected net profit exceeding 50 million yuan, marking a turnaround from losses year-on-year [3] - Dongwu Cement (00695) experienced a mid-day surge of over 25%, with a cumulative increase of over 100% in the month, and an expected reduction in losses by approximately 67.6% year-on-year [4] - Tsunami Machine Tool China (01651) rose by over 14%, as the company actively explores new markets in AI liquid cooling connectors and electric brake systems for vehicles [4] - Jiufang Intelligent Investment Holdings (09636) increased by over 14%, reaching a new high as its subsidiary Jiufang Zhiyuan entered the "Mosu Space" [5] Group 3 - Standard Chartered Group (02888) fell by 2.58% amid allegations from U.S. lawmakers regarding public sentiment disturbances, following significant fluctuations in its London stock price [6]

Core Viewpoint - Jiemai Technology (002859) has announced an employee stock ownership plan (ESOP) for 2025, allowing up to 81 employees to participate at a price of 13.1 yuan per share, with a total of up to 3.66 million shares available, representing 0.85% of the company's total equity [1][2]. Group 1: Employee Stock Ownership Plan - The ESOP will be funded by shares repurchased by the company, and the plan requires approval from the shareholders' meeting [1]. - The plan has a duration of 36 months, and the total shares held under all effective employee stock ownership plans cannot exceed 10% of the company's total equity [1]. - Individual employees can hold a maximum of 1% of the company's total equity through this plan [1]. Group 2: Performance Assessment - The ESOP includes performance assessments at both the company and individual levels, with company performance targets set for 2025 and 2026 [2]. - For 2025, the revenue growth target is set at no less than 8% compared to 2024, while the net profit growth target is set at no less than 20% [2]. Group 3: Company Overview and Market Context - Jiemai Technology specializes in the research, production, and sales of electronic packaging materials and electronic-grade film materials, with products widely used in integrated circuits, semiconductor, and new energy sectors [2]. - The company is benefiting from the accelerated global digitalization process and policies such as "new infrastructure" and "old-for-new" electronic product exchanges, which are driving demand in various markets including 5G, cloud computing, and electric vehicles [2]. Group 4: Financial Performance - In the first half of 2025, Jiemai Technology reported total revenue of 962 million yuan, a year-on-year increase of 14.67%, while net profit attributable to shareholders decreased by 18.78% to 98.49 million yuan [3]. - The revenue from electronic-grade film materials reached 116 million yuan, marking a significant year-on-year growth of 61.29% [3].

Group 1 - The 2025 World Robot Conference is being held at the Beijing Beiren Yichuang International Exhibition Center, attracting over 200 global enterprises to participate [1] - More than 1,500 cutting-edge exhibits are being showcased, covering key areas such as large models, AI terminals, and intelligent robots [1] - Chengdu Humanoid Robot Innovation Center Co., Ltd. has officially launched the world's first AI neural network electronic skin, utilizing an innovative magnetic induction solution [1]

Core Viewpoint - The development of household service robots requires a comprehensive and ecological layout, with a focus on cloud-based large models, intelligent agents at home, and AI terminals on the ground [1] Group 1: Development Stages - The evolution of household service robots can be divided into three stages: mechanical stage, tool interaction stage, and physical intelligence stage [1] Group 2: Key Focus Areas - The development of household service robots should emphasize three key concepts: scenarios, ecology, and evolution [1]

Core Insights - The AI terminal industry is expected to develop starting in 2024, currently in the "initial penetration" phase, with significant differences from traditional smart terminals due to advancements in large model capabilities [3][4] - Traditional terminal markets, such as smartphones and PCs, have faced continuous pressure, with smartphone shipments declining for nine consecutive quarters and PCs for eight quarters [3] - The government is promoting the "Artificial Intelligence+" initiative, which aims to enhance innovation in classic, new, and industry terminals, potentially leading to breakthroughs in core technologies within the supply chain [3][4] Industry Developments - AI terminals are characterized by proactive perception, multimodal natural interaction, intelligent services, and autonomous learning capabilities, marking them as key carriers of the new technological revolution [3] - Key products in the classic terminal category include smartphones, projectors, tablets, high-quality audio devices, headphones, and cameras, targeting scenarios like home entertainment and health services [4] - New terminal products include AR/VR headsets, smart vehicles, intelligent robots, drones, and green smart ships, focusing on intelligent manufacturing and home services [4] Technology and Market Trends - NPU heterogeneous integration is the primary deployment model for edge AI, with chip manufacturers focusing on the collaborative upgrade of "computing power + memory" to enhance performance [6] - The AI intelligent agent is expected to become a new human-computer interaction interface, utilizing large model technology for autonomous environmental perception, learning, decision-making, and tool invocation [7] - The AI intelligent agent market is still in its early stages, characterized by rapid technological iteration, product optimization, application scenario exploration, and diverse participant types, including internet giants and AI startups [7][8]

Core Viewpoint - AI terminals represent a new opportunity in consumer electronics, with AI agents expected to become the new human-computer interaction interface in the AI terminal era [1][7]. Group 1: AI Terminal Characteristics - AI terminals possess capabilities such as proactive perception, understanding, multimodal natural interaction, intelligent services, and autonomous learning evolution, making them crucial carriers of the new technological revolution and industrial transformation [3]. - The AI terminal industry is currently in its "initial penetration" phase, with significant development expected to begin in 2024 [4]. Group 2: Differences from Traditional Terminals - The distinction between AI terminals and traditional smart terminals lies in the transition from information processing to knowledge learning capabilities, and from limited program definitions to open-domain self-decision-making models [5]. - Traditional terminal markets, such as smartphones and PCs, have faced continuous pressure, with smartphone shipments experiencing nine consecutive quarters of negative growth and PCs facing eight quarters of decline [5]. Group 3: Technological and Policy Support - Rapid advancements in edge AI chip performance and the progress in large model compression and lightweight deployment technologies provide the necessary hardware and software foundation for edge AI implementation [5]. - The 2024 government work report emphasizes the "Artificial Intelligence +" initiative, promoting innovation in classic, new, and industry terminals, which is expected to enrich terminal forms and scenarios, driving breakthroughs in core technologies across the supply chain [5]. Group 4: Key Products and Scenarios - Key products in classic terminals include smartphones, projectors, tablets, high-quality audio systems, headphones, and cameras, targeting scenarios such as home audio-visual, health care, and digital life [5][6]. - New terminal products focus on AR/VR headsets, smart vehicles, intelligent robots, drones, and green smart ships, aimed at smart manufacturing and home services [6]. Group 5: AI Agent Development - AI agents, based on large model technology, are expected to become the new human-computer interaction interface, featuring capabilities such as autonomous environmental perception, learning memory, decision execution, and tool invocation [9]. - The current AI agent market is in the early stages of technological iteration, product optimization, application scenario exploration, and ecosystem positioning, with diverse participants including internet giants, AI startups, enterprise software service providers, and consumer electronics manufacturers [9].

Investment Rating - The investment rating for the company is "Buy" and is maintained [9] Core Insights - On June 26, 2025, the company held a robot strategy launch event, showcasing its "trinity" strategic layout in the robotics industry, four core advantages, assembly lines, product matrix, and the latest achievements in the development of robot application scenarios [2][6] - The company is a leading global supplier of AI terminal hardware, focusing on providing comprehensive intelligent manufacturing services and solutions to global customers. The launch event signifies the company's further focus on cutting-edge fields such as "human-eye-folding" to build comprehensive product solution capabilities in the future AI terminal market [2][6] Summary by Relevant Sections Company Overview - The company is positioned as a global leader in AI terminal hardware, emphasizing the integration of applications, solutions, and services in the context of vertical integration in the future AI terminal market [12] Robotics Strategy - The company defines its robotics business as "trinity" intelligence, focusing on core component and assembly design, comprehensive hardware services, and complete industrial application scenario development. The company has accumulated relevant technology since 2009 and has established a full-chain system for precision components, core modules, joint assemblies, complete machine assembly, and performance testing [12] Financial Projections - The projected net profits for the company from 2025 to 2027 are estimated to be 2.437 billion, 2.947 billion, and 3.987 billion respectively [12]

Core Viewpoint - The collaboration between China Mobile and Honor aims to leverage AI technology to create innovative AI terminal products, marking a significant shift in the industry landscape and enhancing user experience through smart services [1][3][5]. Group 1: Strategic Collaboration - China Mobile and Honor have launched a strategic partnership focused on AI terminals, with the goal of exploring new opportunities in the AI terminal market [1][6]. - The partnership emphasizes the integration of both companies' strengths in product, technology, brand, and ecosystem to develop customized AI smartphone products [5][6]. Group 2: AI Technology Integration - The collaboration will utilize China Mobile's "Nine Sky" large model and Honor's "Magic" model to create a seamless service experience for users [5]. - The YOYO smart life assistant will be integrated with China Mobile's eight specialized ecological scenarios, providing personalized services such as travel planning and financial reports [5]. Group 3: Product Features and User Experience - The Honor X70i will feature an AI one-click access function, allowing users to quickly access various services and functionalities, enhancing the overall AI experience [5]. - Users will benefit from features like one-click cleaning, payment code retrieval, and real-time translation during voice calls, making AI services more accessible [5]. Group 4: Market Strategy - The partnership aims to create a comprehensive AI terminal ecosystem that promotes deep collaboration between multiple devices and systems, enhancing user convenience and intelligence [6]. - China Mobile plans to leverage its extensive network and operational capabilities to drive the sales of AI terminal products, positioning them as industry benchmarks [6].

Core Viewpoint - The management of Bawei Storage is optimistic about the company's future development, with executives committing not to sell their shares in the secondary market within the year following the planned share reduction [1] Company Summary - Bawei Storage's executives plan to reduce their holdings, with the total shares to be sold being minimal compared to the company's total share capital, thus having a limited impact [2] - The company has seen significant growth in embedded storage revenue, with a more than doubling increase expected in 2024, indicating a positive trend in demand diversification within the storage industry [2] - Bawei Storage's storage packaging technology is leading domestically, particularly in the AI glasses sector, providing a competitive edge in low power consumption and fast response times [3] - The company is enhancing its advanced packaging capabilities, which will support both its storage product development and meet customer demands for integrated storage solutions [3] Industry Summary - The storage industry is expected to experience healthy growth with the emergence of new products such as AI terminals and intelligent robots, moving away from a reliance on traditional smart terminals [2] - Localized demand from downstream terminal enterprises in China is becoming increasingly clear amid global trade disputes, further supporting the industry's growth [2]