Macro Analysis - The inflation data in the US showed a rebound in June, driven by rising oil prices and the increasing impact of tariffs on goods inflation, with expectations that the CPI year-on-year high may exceed 3% in the second half of the year [2] Bond Market - In the first half of 2025, all adjusted convertible bonds had their ratings downgraded, with a decrease in the number of downgrades compared to the previous year; the majority of these bonds were rated AA- or below, with a focus on private enterprises in the basic chemical and computer industries [3] Industry Research Medical Industry - The disposable glove industry is expected to see a price turning point in the third quarter, with a focus on the overseas capacity release of leading domestic companies; as demand grows and costs are controlled, domestic companies are likely to gain global market share [4] Construction and Engineering - The solid-state battery sector is experiencing rapid development, with specific materials like silicon-carbon anodes and high-nickel cathodes likely to benefit; recommended companies include China National Materials, Puyang Refractories, and China Communications Construction [5] Company Research High-end Manufacturing - The company is expected to achieve a net profit of 105-120 million yuan in the first half of 2025, marking a significant improvement; the increase is attributed to higher product deliveries and a favorable industry outlook [6] Electronics - The company plans to acquire a 30% stake in Rainbow Optoelectronics, further solidifying its position in the panel industry; profit forecasts for 2025-2027 have been adjusted downwards due to high depreciation costs, but the outlook remains positive due to recovering market conditions [7] Overseas TMT - Qualcomm is positioned as a leader in wireless communication chips, with expectations to maintain its market share in high-end smartphone SoCs and expand in PC and autonomous driving SoCs; the company is also exploring AI-related markets [8]

Core Viewpoint - The company, Sely Medical, has experienced a significant increase in stock price and has made announcements regarding the use of idle funds and credit rating adjustments [1][2][3]. Group 1: Stock Performance - As of June 27, 2025, Sely Medical's stock closed at 13.91 yuan, up 14.49% from the previous week [1]. - The stock reached a peak price of 14.2 yuan and a low of 11.65 yuan during the week [1]. - The company's current total market capitalization is 2.657 billion yuan, ranking 30th in the pharmaceutical commercial sector and 4521st in the A-share market [1]. Group 2: Company Announcements - Sely Medical plans to use up to 32.5 million yuan of idle raised funds to temporarily supplement working capital, with a usage period not exceeding 12 months [2]. - As of May 31, 2025, the company had utilized 201.8791 million yuan of the 2020 convertible bond funds, achieving an overall investment progress of 37.90% [2]. - The board and supervisory committee approved the use of idle funds, stating it would enhance fund efficiency and lower financial costs without affecting the normal use of raised funds [2]. Group 3: Credit Rating Adjustment - The credit rating for Sely Medical's convertible bonds has been adjusted from "BBB-" to "BB+" with a stable outlook [3]. - The previous rating was established on February 18, 2025, and the new rating was issued following a tracking analysis by Zhongceng Pengyuan Credit Rating Co., Ltd. [3]. - The adjusted rating means that the "Sely Convertible Bonds" can no longer be used as collateral for repurchase transactions [3].

1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints of the Report - Rating downgrades in the convertible bond market from 2021 - 2024 showed high - frequency, seasonal, and industry - concentrated characteristics. Over 61% of downgrades were in June, with cyclical industries like industrial and materials dominating, and over 80% of downgraded entities being private enterprises in coastal developed areas. High - rating entities had lower downgrade risks [6]. - Rating adjustments drove market differentiation. High - growth sectors such as TMT, electronics, and non - ferrous metals had low downgrade risks, while industries like real estate, steel, and power equipment faced greater downgrade pressure. After a downgrade, convertible bond prices generally showed a "first decline then rise" pattern, and market sentiment was significantly affected by the rating window period [6]. - To deal with credit risks, a triple - strategy approach could be adopted: using equity - biased convertible bonds to hedge risks, seizing repair opportunities of undervalued low - price bonds, and using short - duration high - YTM bonds for defense [6]. 3. Summary According to Relevant Catalogs 3.1 Rating Adjustment Review 3.1.1 Historical Rating Adjustments and Market Performance - From 2021 - 2024, there were 193 downgrades in the convertible bond market, accounting for 4.51% of all rating adjustments. Over 61% of them were in June. Industries such as industrial and materials were dominant, private enterprises accounted for over 80%, mainly in coastal areas like Guangdong and Jiangsu. Downgraded entities were generally of weak quality, with issuance ratings concentrated at AA and AA - [6][8][10]. - The broader market index often weakened in May and June. The CSI Convertible Bond Index usually had a phased decline before the release of rating adjustment announcements due to risk pre - screening by institutions, leading to a chain reaction of "forward - priced risk → wider credit spread → market correction" [16]. - After a downgrade, convertible bond prices generally showed a "first decline then rise" pattern. For example, Zhongzhuang Zhuan 2 and Ying 19 Convertible Bond rebounded about 1 month after the downgrade [19]. 3.1.2 Identification of Downgraded Convertible Bonds - Factors leading to rating downgrades included performance losses, weakened solvency, low industry prosperity, equity issues, and liquidity risks. For example, Lingnan Convertible Bond was downgraded multiple times due to a plunge in EBITDA margin to - 119% and a high short - term debt ratio [6][23][24]. 3.1.3 Rating Adjustments Showed Structural Differentiation - High - growth sectors such as TMT, electronics, and non - ferrous metals had strong profitability and low downgrade risks. For example, the computer industry had a 471.86% year - on - year increase in net profit, the electronics industry had a ROE of 6.27% and a 37.24% net profit growth, and the non - ferrous metals industry had a ROE of 11.3% and a 53.23% net profit growth [26]. - Traditional industries such as real estate, steel, and power equipment faced greater downgrade risks. The real estate industry had a 274% drop in net profit, the steel industry had a negative ROE, and the power equipment industry had a low ROE of 3.6% [28]. 3.2 How to Select Bonds Around the Rating Adjustment Window Period 3.2.1 Equity - linked Convertible Bonds Could Hedge Credit Risks - In the face of credit risk shocks, equity - biased convertible bonds showed stronger price resilience. For example, during the "20 Hongda Xingye SCP001" default in 2020, equity - biased convertible bonds rose while others declined [32]. 3.2.2 Low - price Convertible Bonds Presented a Layout Window - During the credit adjustment window period, the low - price index usually showed a "first decline then rise" return characteristic. In 2024, low - price convertible bonds initially underperformed but later achieved the highest cumulative return for the year. Currently, attention could be paid to undervalued but cash - flow - stable bonds [33]. 3.2.3 Layout of Short - duration High - YTM Convertible Bonds - Short - duration high - YTM convertible bonds with a remaining term of less than 2 years and positive YTM could be selected. For example, Wanshun Zhuan 2 in 2024 outperformed the market under the protection of the put - back clause [36]. 3.3 Post - market Allocation Suggestions - Focus on three types of opportunities: high - growth equity - biased convertible bonds such as Hao 24 Convertible Bond; low - price bonds with credit mispricing like Jingneng Convertible Bond; and short - duration high - YTM defensive bonds such as Lvyin Convertible Bond [40].

Core Viewpoint - Zhongzheng Pengyuan has placed Beijing Sound Communication Electronics Co., Ltd. on a credit rating watch list due to significant losses and declining financial indicators, maintaining its credit rating at A+ [1] Group 1: Company Performance - In 2024, Sound Communication reported revenue of 302 million yuan, a year-on-year increase of 7.85%, but incurred a net loss of 51.2 million yuan, a decline of 304.23% compared to the previous year [1] - The company continued to experience losses in Q1 2025, with a net loss of 14.21 million yuan [1] - The decline in gross profit, increased expenses, and poor receivables collection have contributed to the company's financial struggles [1] Group 2: Credit Rating and Market Position - Zhongzheng Pengyuan has maintained the company's credit rating at A+ while placing it on a watch list due to the aforementioned financial issues [1] - Sound Communication has one outstanding bond, the Sound Convertible Bond, with a remaining scale of 279 million yuan and a maturity of 3.63 years [2] - The company, founded in 1994, provides comprehensive security solutions and services across various sectors, including rail transportation and finance [2] Group 3: Industry Context - In 2023, over 10 convertible bonds have had their ratings downgraded, with 4 bonds placed on a watch list, indicating a trend of increasing credit risk in the market [3] - The primary reasons for rating downgrades include operational losses, liquidity issues, and deteriorating credit conditions [7][9]