Industry Overview - Taiwan's NOR Flash storage manufacturer Winbond indicated a 50% increase in NOR Flash usage due to the rising demand from AI servers transitioning from HBM3E to HBM4, with plans to raise NOR Flash prices by up to 30% in Q1 next year [3] - The AIOT sector is experiencing rapid growth, as evidenced by the performance of major domestic listed companies, indicating a clear upward trend in storage demand over the next two years [3] Advanced Manufacturing - CATL has made significant supply chain moves, including a framework agreement with Jiangyuan Technology to secure a minimum capacity of 626,000 tons and strategic investments in Tianhua New Energy to ensure lithium salt supply [7] - In October, battery production increased by 22.4% month-on-month, with utilization rates nearing 90%. CATL reported a saturated energy storage capacity with a production of approximately 180 GWh in Q3, maintaining a utilization rate above 90% [7] - The asset expenditure growth for CATL and other companies in the sector indicates a strong commitment to expanding capacity and innovation, suggesting a new cycle of prosperity for lithium batteries and related industries [7] Consumer Sector - On Running reported a Q2 net sales of 749.2 million Swiss francs, a 32% year-on-year increase, with a gross margin of 61.5% [9] - The company adjusted its full-year sales guidance to 2.91 billion Swiss francs, expecting a growth of at least 31% year-on-year [9] - Brooks, a professional running brand, achieved a 17% sales growth in Q3, marking the ninth consecutive quarter of growth, supported by strong overseas market expansion [9] Precious Metals - Precious metal prices are expected to continue their upward trend, with silver showing stronger rebounds than gold due to easing market liquidity and a decline in the US dollar index [11][12] - The increasing proportion of gold reserves held by global central banks and the net inflow of funds into physical gold ETFs reflect growing concerns over dollar credit and geopolitical uncertainties [12] - Silver's recent strong performance is attributed to its relatively low gold-silver ratio and low COMEX exchange inventories, suggesting continued strength in the silver market [12]

Company Analysis - Hesai Technology (HSAI US) reported a robust performance in Q3 2025 with total revenue reaching 795.4 million RMB, a year-on-year increase of 47%, exceeding Bloomberg consensus by 1.4% [2] - The non-GAAP net profit was 288 million RMB, while the adjusted net profit, excluding one-time gains from an early-stage tech investment, was 140 million RMB [2] - The management raised the 2025 GAAP net profit guidance to 350-450 million RMB from the previous 200-350 million RMB, reflecting optimism about business growth [5] Market Performance - The Hang Seng Index closed at 26,696, up 0.18% for the day and 33.08% year-to-date [2] - The Shanghai Composite Index fell by 0.39% to 4,003, with the Shenzhen Composite Index down 0.47% to 2,518 [2] - Southbound capital inflow into Hong Kong stocks was 4.467 billion HKD, with notable net purchases in Xiaomi Group, China Mobile, and CNOOC [4] Economic Outlook - The People's Bank of China indicated a commitment to a moderately loose monetary policy, with expectations of a 50 basis point reserve requirement ratio cut in December and two interest rate cuts totaling 20 basis points next year [4] - In the U.S., the Dow Jones Industrial Average reached a historical high, driven by the Senate's approval of a budget bill to end the government shutdown, which is expected to reduce policy uncertainty [4] - U.S. economic data showed a decline in private sector employment by 45,000, marking the largest drop in two and a half years, contributing to a decrease in the dollar index [4] Industry Insights - China Hongqiao (1378 HK) is expected to see further valuation uplift due to nearly full capacity utilization of its aluminum production and stable raw material costs, prompting an upward revision of profit forecasts by 4-5% for 2025-2027 [5] - Hongteng Precision (6088 HK) reported a 13% year-on-year revenue growth in Q3 2025, driven by strong demand for AI products and automotive business, leading to a record gross margin of 23.5% [5] - The target price for Hesai Technology has been set at 26.7 USD, based on a 5.3x sales multiple for 2026, reflecting a 10% premium over industry peers due to its competitive advantages and strong revenue growth prospects [5]

Core Viewpoint - Guanghe Tong (300638) has seen a significant increase in stock price following strategic partnerships aimed at advancing the consumer AI glasses industry and enhancing its technological capabilities [1] Group 1: Strategic Partnerships - On October 27, Guanghe Tong announced a strategic collaboration with leading AR glasses technology company XREAL to promote the consumer-grade AI glasses industry [1] - The partnership aims to leverage both companies' technological strengths and manufacturing capabilities to accelerate innovation and large-scale implementation in the AR+AI consumer ecosystem [1] - Additionally, Guanghe Tong has formed a strategic alliance with Hesai Technology to jointly release a multi-modal perception and control solution based on LiDAR technology [1] Group 2: Market Performance and Growth Potential - Guanghe Tong's stock rose over 6% in the afternoon trading session, with a current increase of 3.67%, trading at 19.2 HKD and a transaction volume of 26.82 million HKD [1] - According to Shenwan Hongyuan, Guanghe Tong is positioned as a core player in the global IoT module market, with expectations for continued performance growth driven by AI/robotics and automotive/FWA deployments [1] - China Merchants Securities noted that Guanghe Tong's successful listing on the Hong Kong Stock Exchange and completed financing enhances its strength, positioning the company to capitalize on the accelerating trends in edge intelligence [1]

Investment Rating - The report maintains a "Buy" rating for the company [3] Core Insights - The company has adjusted its revenue forecasts for 2025 to 2027 to be 31.7 billion, 47.3 billion, and 67.1 billion RMB respectively, with net profits of 4.0 billion, 7.5 billion, and 12.5 billion RMB, and EPS of 3.05, 5.75, and 9.56 RMB [3] - The company reported a revenue of 7.95 billion RMB in Q3, exceeding expectations with a year-over-year growth of 47.5% [9] - The delivery volume of LiDAR units in Q3 reached 441,000, a year-over-year increase of 228.9%, with ADAS LiDAR deliveries at 381,000, up 193.1% [9] - The gross margin for Q3 was 42.1%, maintaining a high level, and net profit significantly exceeded expectations, with GAAP earnings of 2.56 billion RMB [9] - The company has raised its full-year GAAP net profit guidance to 3.5-4.5 billion RMB [9] Summary by Sections Financial Performance - Revenue for 2023 is projected at 2,077.16 million RMB, with a growth rate of 10.66% [8] - The company expects to achieve a net profit of 400.41 million RMB in 2025, with a growth rate of 491.11% [8] - The diluted EPS is forecasted to be 3.05 RMB in 2025 [8] Operational Metrics - Operating expenses (OpEx) for Q3 were 316 million RMB, fully covered by gross profit, showing a year-over-year improvement of 7.9% [9] - The company has secured partnerships with major ADAS clients for 2026 model year vehicles, ensuring a strong customer base [9] Market Position - The company has successfully established a partnership with a leading Chinese EV manufacturer for its ETX product line, indicating strong market validation [9]

Core Viewpoint - The Chinese automotive lidar company, TuDatong (Seyond), plans to merge with the SPAC TechStar Acq (7855.HK) for a valuation of HKD 11.7 billion, aiming to become the third completed DeSPAC merger in Hong Kong after Lion Group (2562.HK) and Zhaogang Group (6676.HK) [1] Company Overview - TuDatong was established in 2016 and specializes in the design, development, and production of automotive-grade lidar solutions [1] - The company's product lineup includes models such as Falcon K1, Falcon K2, Lingque E1X, Lingque W, and OmniVidi [1] - In 2024, TuDatong plans to deliver approximately 230,000 units of lidar systems, with NIO being a major customer [1] Financial and Investment Highlights - The merger has successfully passed the Hong Kong Stock Exchange listing hearing, indicating progress towards public listing [1] - TuDatong received USD 29.29 million in Series A funding led by NIO Capital, highlighting the strong relationship between the two companies [1] - NIO has been a significant customer for TuDatong since the initial product shipment of the Cheetah model in 2018 [1]

Core Insights - RoboSense achieved a record monthly delivery of over 120,000 units of LiDAR in October, marking a significant milestone in the industry [2] - The delivery of the 120,000th digital LiDAR unit was made to a leading global new energy vehicle company, coinciding with a critical turning point in China's intelligent driving industry [2] - The penetration rate of new passenger cars equipped with combined driving assistance systems reached 62.6% in the first seven months of 2023, with sales totaling 7.76 million units [2] - The industry has entered a phase of mass production for front-mounted standard configurations, with technological leadership becoming a key factor in defining market dynamics [2] Company Insights - RoboSense is recognized as an industry leader for its early investment in full-stack self-developed chips, which has enabled its large-scale delivery capabilities [2] - The company made significant advancements in SPAD-SoC chip technology in 2022, becoming the only global enterprise to meet AEC-Q series automotive standards across the entire digital LiDAR chip development chain [2] - RoboSense has established the only mass-producible digital LiDAR matrix in the industry, with products like EM4, EMX, and E1 entering large-scale production [3] - High-end intelligent models such as Zeekr 9X and IM LS6 have adopted the EM4 520-line LiDAR, indicating the company's products are becoming the preferred choice for new generation vehicles [3] - The recent delivery milestone not only signifies an increase in the company's production pace but also indicates that digital LiDAR is entering a rapid application phase [3]

Core Insights - Seyond Holdings Ltd. (图达通) has delivered over 600,000 units of automotive-grade LiDAR and plans to list on the Hong Kong Stock Exchange on December 10, 2023, under the stock code "2665" [2] - The company focuses on the design, development, and production of high-performance LiDAR solutions for advanced driver-assistance systems (ADAS) and autonomous driving systems (ADS) [2] - The competitive landscape for LiDAR has shifted from single technology to a comprehensive evaluation of product matrix integrity, stable mass production, and mature business models [2] Company Performance - In the first three quarters of 2023, the company delivered approximately 181,131 units of automotive-grade LiDAR, representing a year-on-year growth of 7.7% [2] - The company has established a dual-technology strategy with its high-performance Falcon series (1550nm) and platform-based Sparrow series (905nm/940nm), catering to both high-end and mass-market vehicles [2] - The company expects to achieve positive gross margins for four consecutive quarters from Q4 2024 to Q3 2025, indicating a shift from scale-driven to profit-driven growth [3] Market Expansion - The company has deepened cooperation with NIO and received new orders from three state-owned automotive manufacturers and a mainstream joint venture, which are expected to convert into sales by the end of 2025 [3] - The global market for non-automotive LiDAR solutions is projected to grow from $1.274 billion in 2025 to $9.158 billion by 2030, with a compound annual growth rate of 48.4% [4] - The company has established its LiDAR solutions in over 20 provinces and cities in China, with expectations for this sector to drive overall sales and operational performance [5] Investment and Funding - The company has attracted investments from notable institutions including NIO Capital, Temasek, and Fidelity, and raised approximately HKD 553.1 million in its De-SPAC listing [5] - Approximately 60% of the IPO proceeds will be allocated to R&D for new LiDAR architectures and upgrades, 20% for existing production line upgrades, and 10% for global expansion and general corporate purposes [5]

Core Viewpoint - The article discusses the upcoming IPO of Seyond Holdings Ltd. (referred to as "图达通"), a leading provider of automotive-grade LiDAR solutions, highlighting its achievements, market position, and future growth prospects [2][3][4]. Group 1: Company Overview - Founded in 2016, 图达通 specializes in the design, development, and production of automotive-grade LiDAR, providing high-performance solutions for Advanced Driver Assistance Systems (ADAS) and autonomous driving systems (ADS) [3]. - 图达通 is the world's first supplier to achieve mass production of automotive-grade LiDAR solutions, having delivered over 600,000 units to date [4][5]. Group 2: Market Position and Performance - In the first three quarters of this year, 图达通 delivered approximately 181,131 automotive-grade LiDAR units, representing a year-on-year growth of 7.7% [5]. - The company has established a diverse revenue structure, with its high-performance "Eagle" series (1550nm) and platform-based "Sparrow" series (905nm/940nm) catering to both high-end and mid-range vehicles [6]. Group 3: Strategic Partnerships and Collaborations - 图达通 has deepened its collaboration with NIO, delivering over 600,000 units of the 1550nm Eagle series across nine models, and has secured orders from three state-owned automotive manufacturers and a mainstream joint venture [7]. - The company is also exploring partnerships with various companies in the US, Europe, and Asia for testing and potential adoption of its LiDAR solutions [7]. Group 4: Financial Performance and Growth - From Q4 2024 to Q3 2025, 图达通 is expected to achieve positive gross margins for four consecutive quarters, indicating a shift from scale-driven growth to profit-driven growth [8]. - The gross margin for the first five months of this year was reported at 12.9% [8]. Group 5: Market Expansion and Future Prospects - The global market for non-automotive LiDAR solutions is projected to grow from $1.274 billion in 2025 to $9.158 billion by 2030, with a compound annual growth rate of 48.4% [10]. - 图达通's LiDAR solutions have been implemented in over 20 provinces and cities in China, with expectations for this sector to drive overall sales and operational performance [10]. Group 6: Investment and Funding - 图达通 has attracted investments from notable institutions, including NIO Capital and Temasek, and has raised approximately HKD 553.1 million in its upcoming De-SPAC listing [11]. - The IPO proceeds will be allocated as follows: approximately 60% for R&D, 20% for upgrading existing production lines, and 20% for global expansion and general corporate purposes [12].

Core Viewpoint - TechStar Acquisition Corporation is in the final stages of merging with Seyond Holdings (Tuda Technology), which has passed the Hong Kong Stock Exchange listing hearing, marking it as the third lidar company to go public in Hong Kong after Hesai and RoboSense [2] Financial Performance - Tuda Technology reported revenues of $66.3 million, $121.1 million, and $159.6 million for the years 2022, 2023, and 2024 respectively, with losses of $188.2 million, $219 million, and $398.2 million during the same periods [3][4] - For the first five months of 2025, Tuda Technology generated $51.96 million in revenue and incurred a loss of $21.49 million [4][5] - The gross profit for the first five months of 2025 was $6.71 million, with a gross margin of 12.9%, a significant improvement from previous periods where gross margins were negative [5][6] Product and Market Position - Tuda Technology's primary product, the Falcon lidar, contributed $48.09 million in revenue, accounting for 92.5% of total revenue as of May 31, 2025 [8][12] - The company has established long-term procurement agreements with NIO, which has chosen Tuda Technology's lidar solutions for nine of its models, leading to significant revenue contributions from NIO [13][14] - Tuda Technology's market share in ADAS lidar solutions was 12.8% in 2024, ranking fourth globally [14] Investment and Shareholding Structure - Tuda Technology has entered into a PIPE investment agreement totaling approximately HKD 551 million, with major investments from Huangshan Jian Investment Capital, Fucai, and Zhuhai Hengqin Huagai [15] - The company's shareholding structure post-IPO indicates that founder Dr. Bao Junwei will control approximately 13.70% of the voting rights through various entities [21][23] Leadership Background - The founders of Tuda Technology, Dr. Bao Junwei and Dr. Li Yimin, previously worked at Baidu, where they were involved in the development of autonomous driving technologies [19]

Core Viewpoint - Goldman Sachs reports that Hesai's Q3 operating profit and net profit exceeded its forecasts by 125% and 200% respectively, primarily due to higher lidar shipment volumes, reduced operating expenses, and equity investment income [1] Group 1: Financial Performance - Hesai's Q3 operating profit and net profit were significantly higher than Goldman Sachs' predictions, with increases of 125% and 200% respectively [1] - The strong financial performance is attributed to higher lidar shipment volumes, lower operating costs, and income from equity investments [1] Group 2: Market Position and Opportunities - Goldman Sachs believes Hesai is well-positioned to benefit from the acceleration of navigation-assisted driving adoption in China's new energy vehicle market starting in 2025 [1] - The introduction of low-cost products is expected to drive the use of lidar in mass-market vehicles [1] - There are opportunities in overseas advanced driver-assistance systems (ADAS), with design orders expected from global automakers, and mass production anticipated to begin in 2026 and 2027 [1] Group 3: Market Share and Future Projections - Hesai is projected to hold a 61% market share in the global Robotaxi market by 2024, along with incremental orders from other verticals such as automatic lawn mowers [1] - Goldman Sachs sets a 12-month price target of $36 for Hesai's US stock and HKD 281 for its Hong Kong stock, with a "Buy" rating [1]