Core Viewpoint - Longli Technology has officially commenced production at its Vietnam factory, focusing on high-end display products such as automotive Mini LED to meet customer demands and achieve capacity goals [1]. Group 1: Company Overview - Longli Technology specializes in providing overall backlight display module solutions, with core businesses in consumer electronics like mobile phones, tablets, and notebooks, alongside rapidly growing automotive display and LIPO businesses [4]. - The company has diversified into several future growth potential areas, including AR/VR displays and new precision structural components [4]. Group 2: Automotive Display Business - Longli Technology's Mini LED technology has been applied in new models such as M7, Zeekr 9X, Zhiji LS6, and NIO ES8 [4]. - The company is committed to expanding its automotive display segment, which is a key focus area for future growth [4]. Group 3: Recent Developments - In addition to the Vietnam project, Longli Technology is also advancing new projects domestically, with a new intelligent manufacturing base for display modules set to begin construction in December 2025, involving an investment of approximately 1.375 billion yuan [4].

Group 1 - The core point of the news is that TCL Electronics and Sony have signed a non-binding memorandum of understanding to establish a joint venture for the development, manufacturing, sales, and customer service of home entertainment products globally, with TCL holding 51% and Sony 49% [1] - The joint venture is expected to leverage Sony's advanced technology and brand value in the audio-visual field, combined with TCL's strengths in display technology, global scale, and efficient manufacturing, to optimize production costs and enhance operational quality for Sony TVs [1] - The collaboration is anticipated to accelerate the overseas market development for both Sony and TCL's television businesses, benefiting from their complementary brand positioning and channel advantages [1] Group 2 - TCL Electronics is a leading player in the Chinese television industry, with a projected global TV shipment ranking of second in 2024 and first in Mini LED TV shipments [2] - From 2016 to 2024, TCL's revenue is expected to grow at a compound annual growth rate (CAGR) of 14.5% to HKD 99.3 billion, with net profit growing at a CAGR of 32.7% to HKD 1.8 billion [2] - The company is expanding its presence in overseas markets, with an expected 58% of revenue coming from international sales in 2024 [2] Group 3 - TCL is focusing on new technology development, particularly in Mini LED, and has established a vertical supply chain from LED chips to panels and finished products, enhancing its competitive edge [3] - The company is implementing a global brand marketing strategy, including sports marketing and regional IP sponsorships, to boost its brand influence [3] - TCL is also diversifying its growth avenues by investing in solar energy, full-category marketing, AI glasses, and smart home products [3] Group 4 - Revenue forecasts for TCL Electronics from 2025 to 2027 are projected at HKD 112.51 billion, HKD 126.54 billion, and HKD 138.14 billion, with year-on-year growth rates of 13.3%, 12.5%, and 9.2% respectively [4] - The expected net profit for the same period is HKD 2.41 billion, HKD 2.82 billion, and HKD 3.25 billion, with growth rates of 37.2%, 16.8%, and 15.3% respectively [4] - The stock is estimated to have a reasonable valuation range of HKD 15.29 to HKD 17.64 per share, with a projected price-to-earnings (PE) ratio of 13.7 to 15.8 for 2026 [4]

TCL电子与索尼合作，有望实现优势互补，加速索尼及TCL电视业务在海外市场的发展 TCL与索尼合资公司有望结合索尼在音视频领域的先进技术、品牌价值，和TCL电子在先进显示技术、 全球化规模优势、产业链上下游布局、高效制造等方面的积累，有助于优化索尼电视的生产制造成本， 提升索尼电视在全球的运营质量。同时，Sony及BRAVIA品牌定位中高端，海外影响力大，与TCL品牌 互补性强，结合双方在渠道上的优势，有助于推动双方电视业务发展更进一步。 智通财经APP获悉，国信证券发布研报称，首次覆盖，给予TCL电子(01070)"优于大市"评级。预计TCL 电子2025-2027年营收1125.1/1265.4/1381.4亿港元，同比分别增长13.3%/12.5%/9.2%;归母净利润分别为 24.1/28.2/32.5亿港元，同比增长37.2%/16.8%/15.3%;对应EPS为0.96/1.12/1.29港元，对应PE为 12.8/11.0/9.6倍。综合绝对估值和相对估值，该行认为公司股票合理估值区间为15.29-17.64港元/股，对 应2026年PE为13.7-15.8倍。 国信证券主要观点如下： 近期事件 ...

Industry Overview - The global TV industry is undergoing unprecedented adjustments, with significant market differentiation driven by large screen adoption, Mini LED technology proliferation, and AI integration [2] - Global TV shipments fell below 200 million units in 2025, marking a ten-year low, with a projected further decline of 5%-7% in 2026 [2] - China's TV market, as the largest consumer market, saw a shipment drop to 32.895 million units in 2025, a decline of 8.5%, the lowest in 16 years [2][3] Market Dynamics - The Chinese market showed a notable split in performance, with a slight increase of 1.4% in the first half of 2025 due to government subsidies, followed by a significant decline of 16.9% in the second half [2] - European markets are under pressure, with Western Europe expected to see a decline, while Eastern Europe may experience slight growth due to economic recovery [2][3] - North America remains relatively stable, supported by a solid consumer base and event marketing [2] Emerging Markets - Emerging markets in Asia-Pacific, Latin America, and the Middle East and Africa still hold growth potential, but price sensitivity may limit actual volume if prices rise due to memory cost increases [3] - The Indian market, despite strong demand, is dominated by local brands using low-price strategies, posing challenges for international brands [3] Technology Trends - Mini LED technology is expected to enter a phase of widespread adoption in 2026, with RGB-Mini LED shipments projected to exceed 300,000 units, becoming a new profit driver in the high-end market [6] - In 2025, China's Mini LED TV shipments surged by 92.8%, with a penetration rate of 28.9%, and are expected to exceed 10 million units in 2026 [6][7] Competitive Landscape - Chinese brands like Hisense and TCL are leading innovations in RGB-Mini LED and SQD-Mini LED technologies, respectively, with significant growth in global shipments [6][7] - International brands such as Samsung and Sony are entering the RGB technology space, but Chinese companies maintain advantages in technology iteration and cost control [8] - The competition is shifting from price wars to a comprehensive contest of technology, supply chain, and globalization capabilities [3][8] Consumer Trends - Large screen adoption is an irreversible trend, with 75-inch and larger TVs expected to account for 23% of the Chinese market in 2025, with further growth anticipated in 2026 [9] - AI technology is redefining the role of TVs as central to living spaces, with companies like Huawei and Skyworth investing heavily in AI capabilities for their products [9] Market Share - In 2025, the top three brands—Samsung, TCL, and Hisense—held over 43% of the global market share, with Samsung leading at 35.3 million units shipped [9] - TCL's growth of 5.4% positioned it as the most significant growing brand, while Hisense maintained a strong presence with 29.3 million units shipped [9] Strategic Partnerships - Sony and TCL have signed a memorandum of understanding for strategic cooperation in the home entertainment sector, which may impact market dynamics and competition [10]

Core Insights - The global television industry is undergoing unprecedented adjustments in 2026, with significant market structural changes driven by large-screen demand, Mini LED technology proliferation, and AI integration [1] Group 1: Market Trends - Global television shipments fell below 200 million units in 2025, marking a ten-year low, with a projected further decline of 5%-7% in 2026 [2] - China's television market, as the largest consumer market, saw a shipment volume of 32.895 million units in 2025, down 8.5% year-on-year, the lowest since 2010 [2] - The first half of 2025 saw a slight increase of 1.4% in shipments due to government subsidies, but the second half experienced a significant decline of 16.9% due to policy effects waning and demand being pulled forward [4] Group 2: Regional Performance - The European market is under pressure, with Western Europe expected to decline, while Eastern Europe shows slight growth due to economic recovery [4] - North America remains relatively stable, supported by a solid consumer base and event marketing [4] - Emerging markets in Asia-Pacific, Latin America, and the Middle East and Africa still have growth potential, but rising memory chip prices may limit actual volume due to price sensitivity [4][5] Group 3: Technology and Innovation - Mini LED technology is expected to enter its popularization phase in 2026, with global shipments projected to exceed 300,000 units, becoming a new profit engine for the high-end market [7] - Chinese brands like Hisense and TCL are leading innovations in RGB-Mini LED and SQD-Mini LED technologies, with significant growth in shipments expected [7][8] - AI technology is redefining the role of televisions, with companies like Huawei and Skyworth investing heavily in AI capabilities to enhance user experience [12][13] Group 4: Competitive Landscape - The competition is shifting from price wars to a comprehensive comparison of technology, supply chain, and globalization capabilities [5] - In 2025, the top three brands—Samsung, TCL, and Hisense—held over 43% of the global market share, with Samsung leading at 35.3 million units shipped [13] - The partnership between Sony and TCL for future strategic cooperation in home entertainment is expected to further disrupt the market dynamics [14]

Investment Rating - The investment rating for TCL Electronics is "Buy-A" with a 12-month target price of HKD 13.34, while the current stock price is HKD 10.89 [5][8]. Core Insights - TCL Electronics has signed a strategic cooperation memorandum with Sony to establish a joint venture that will enhance global brand strength and profitability. The joint venture will be 51% owned by TCL and 49% by Sony, focusing on integrated operations for products like televisions and home audio systems, expected to commence in April 2027 [1][3]. - Sony's television business has been underperforming in recent years, with a significant gap in revenue and shipment volume compared to TCL. In 2024, Sony's global television revenue is projected to be RMB 26.6 billion with a shipment of approximately 4.8 million units, while TCL's revenue is expected to be RMB 54.9 billion with around 28.9 million units shipped [2][3]. - The collaboration is anticipated to leverage TCL's strengths in Mini LED technology and supply chain efficiency, combined with Sony's audio-visual expertise, potentially increasing TCL's consolidated revenue and enhancing overall profitability in the television sector [3][4]. Financial Projections - TCL Electronics is projected to achieve a significant increase in adjusted net profit for 2025, estimated between HKD 2.33 billion and HKD 2.57 billion, representing a year-on-year growth of 45% to 60% [3]. - The company aims for continued growth through globalization and a focus on mid-to-high-end products, with expected earnings per share (EPS) of HKD 0.98, HKD 1.21, and HKD 1.48 for the years 2025, 2026, and 2027 respectively [4][9]. - Revenue forecasts indicate a growth trajectory from HKD 99.32 billion in 2024 to HKD 151.2 billion by 2027, with net profit projected to rise from HKD 1.76 billion in 2024 to HKD 3.74 billion in 2027 [9][17].

Investment Rating - The report maintains an "Outperform" rating for the home appliance industry, specifically focusing on the Mini LED segment [2]. Core Insights - The Mini LED technology is positioned as a core driver of transformation in the black electrical appliance sector, with significant advancements in display technology and market penetration expected [16][17]. - The report highlights a shift in consumer preferences towards larger screen sizes and superior picture quality, which Mini LED technology addresses effectively [21][34]. - The competitive landscape is evolving, with domestic brands leveraging cost advantages and government subsidies to enhance market share both locally and internationally [6][49]. Summary by Sections 1. Mini LED as the Core Driver of Black Electrical Transformation - Mini LED technology represents the third generation of display technology, competing with OLED and other emerging technologies [18]. - The performance of Mini LED displays, particularly in brightness and longevity, positions it favorably against OLED, which excels in flexibility and contrast [21][22]. - The global sales of Mini LED TVs are projected to surpass those of OLED TVs for the first time in 2024, with a significant increase in market penetration expected [22][24]. 2. Building High Barriers in the Mini LED Supply Chain - The report discusses the optimization of the Mini LED backlight industry and the advantages of high-generation panel layouts, which strengthen the competitive position of domestic manufacturers [2.1][2.2]. - The cost of 65-inch Mini LED backlight modules is expected to decrease significantly from $150 in 2023 to a range of $80-100 by 2025, enhancing profitability for domestic suppliers [2.3]. - The report emphasizes the importance of the supply chain's evolution, with key players like 聚飞光电 and 京东方 showing strong revenue growth and margin improvements [2.4][54]. 3. Domestic Brands Expanding Internationally with Mini LED - Chinese brands are strategically entering high-value markets in the U.S. and Europe, capitalizing on the mismatch in supply and demand for high-end televisions [3.1][3.2]. - The report notes that the average size of televisions in China is expected to exceed the global average by 11.3 inches by 2025, indicating a strong trend towards larger displays [5]. - The competitive dynamics are shifting, with Chinese brands like TCL and Hisense aggressively expanding their presence in emerging markets while traditional Korean brands adopt a more conservative approach [5][6]. 4. Market Dynamics and Consumer Preferences - The report identifies a significant shift in consumer purchasing criteria, with an increasing focus on picture quality and size rather than just price [41]. - The penetration of Mini LED technology is driven by a cycle of price reduction and increased demand, which is expected to continue as production costs decrease [46][49]. - The sales data from 京东 indicates a substantial increase in the market share of Mini LED TVs, reflecting the successful implementation of competitive pricing strategies by brands like 小米 [46][49].

Group 1: Domestic Demand and Market Outlook - The home appliance sector is expected to show a "high first half and stable second half" trend in 2025, driven by policy continuation and consumption peaks [1] - In the first three quarters of 2025, air conditioner shipments increased by 8.4%, refrigerators by 2.4%, and washing machines by 4.1% year-on-year [1][13] - For 2026, the continuation of subsidies is anticipated to mitigate the impact of high base effects and demand pull-forward, with projected declines in overall appliance sales of -4% to -7.3% under various subsidy scenarios [1][16][19] Group 2: Export Performance and Global Market Trends - Home appliance exports have slowed down due to tariff policies and global supply chain adjustments, but still show resilience and structural highlights [2] - In 2025, the export growth rate for air conditioners is expected to be weaker than that of washing machines and refrigerators, primarily due to adverse weather conditions affecting overseas demand [2][39] - The U.S. market is projected to benefit from a rate cut, which may enhance demand for home appliances, while the European market is expected to maintain a slow recovery [42][44][50] Group 3: Investment Themes - The narrative in the black appliance sector is shifting from "market share chasing" to "profit and pricing power," with Chinese brands like Hisense and TCL expected to convert market share into higher profits [3][55] - White appliances are seen as having strong growth potential due to their historical resilience through cycles, with leading brands like Midea and Haier expected to maintain stable growth and generous dividends [3][83] - The global competition in new consumer products, particularly in smart imaging and robotic vacuum cleaners, is expected to favor Chinese brands, highlighting their competitive advantages [3] Group 4: Financial Metrics and Valuation - As of December 22, 2025, the home appliance sector's PE TTM is 16.27 times, remaining below the 10-year average of 32.8% [7] - The white appliance segment's current PE is 11.22, while black appliances stand at 25.94, indicating varying levels of market valuation [9] - The home appliance sector has seen a decline in public fund holdings, with a heavy allocation of only 2.46% in Q3 2025, reflecting concerns over demand in 2026 [9]

Core Insights - TCL Electronics has been awarded the "Annual Investment Value Award" and "Annual Outstanding IR Team" at the 2026 Gelonghui "Golden Award" annual selection, recognizing its achievements in display technology innovation, global expansion, and business innovation [1] Group 1: Technological Leadership and Innovation Breakthroughs - The television industry, previously seen as a slow-growth sector, has entered a new product upgrade cycle driven by TCL's Mini LED technology [3] - In the first three quarters of 2025, TCL's global television sales revenue increased by 8.7%, with a shipment volume of 21.08 million units, a year-on-year increase of 5.3%, and an average price increase of 3.2% [3] - TCL's Mini LED television shipments reached 2.24 million units in the first nine months of 2025, a year-on-year surge of 153.3%, capturing a global market share of 11.4% [3][4] - TCL launched the world's first SQD Mini LED television, X11L, and two RGB-Mini LED televisions, marking a significant breakthrough in color control technology [4] - The integration of artificial intelligence (AI) into TCL's product ecosystem is enhancing user experience and operational efficiency, with various AI-driven products showcased at the 2025 TCL Global Technology Innovation Conference [5] Group 2: Growth Potential and Dividend Stability - TCL's projected net profit for 2025 is approximately HKD 2.33 billion, with a target growth rate of 45%, 75%, and 100% for 2025-2027 [8] - The current valuation of TCL Electronics is misaligned with its growth potential, with a PE ratio of only 11.4 times based on the 2025 forecasted EPS of HKD 0.94 [10] - The company has a stable dividend policy, with an average payout ratio of 42.33% since 2000, and a projected dividend yield of over 3.5% for 2025 [10] - The recognition of TCL's long-term value through the "Annual Investment Value Award" indicates a potential revaluation opportunity as it transitions from a "consumer electronics cyclical stock" to a "technology growth stock" [11]

Core Insights - TCL Electronics has won the "Annual Investment Value Award" and "Outstanding IR Team" at the 2026 Gelonghui "Golden Award" annual selection, recognizing its achievements in display technology innovation, global expansion, and business development [1] Group 1: Technological Leadership and Innovation Breakthroughs - The television industry, previously seen as a slow-growth sector, has entered a new product upgrade cycle driven by TCL's Mini LED technology [3] - In the first three quarters of 2025, TCL's global television sales increased by 8.7% year-on-year, with a shipment volume of 21.08 million units, up 5.3%, and an average price increase of 3.2% [3] - TCL's Mini LED television shipments reached 2.24 million units in the first nine months of 2025, a year-on-year increase of 153.3%, capturing a global market share of 11.4% [3][4] - The company launched the world's first SQD Mini LED television, X11L, and two RGB-Mini LED models, marking a significant breakthrough in color control technology [4] - TCL is integrating artificial intelligence into its product system, enhancing user experience and operational efficiency [4][5] Group 2: Growth Potential and Dividend Stability - The company's profit growth is projected to be strong, with a target net profit of approximately HKD 2.33 billion for 2025, based on a 45% growth rate from the adjusted net profit of HKD 1.61 billion for 2024 [9] - Analysts from 13 institutions, including CICC and Huatai, have given a "buy" rating, indicating confidence in TCL's growth potential and valuation improvement [9] - TCL's current valuation is seen as misaligned with its growth potential, with a PE ratio of only 11.4 times based on the projected EPS of HKD 0.94 for 2025 [9] - The company has a stable dividend policy, with an average payout ratio of 42.33% since 2000, and a projected dividend yield of over 3.5% for 2025 [11] - TCL's case illustrates how a former industry leader can regain growth momentum through technological innovation and globalization, transitioning from a consumer electronics stock to a technology growth stock [11]