Group 1 - Morgan Stanley increased its stake in Meituan-W from 4.60% to 5.32% as of May 30 [1] - The average share price for this transaction was 137.7158 HKD [1]

Core Viewpoint - The rise of new service models such as home cooking, home organization, and pet care services reflects changing market demands and consumer preferences, providing convenience and flexibility while also presenting challenges in regulation and service quality [1][2]. Group 1: Industry Trends - New service models are gaining popularity, driven by consumer demand for personalized and diverse services that can be accessed easily through mobile platforms [1]. - The emergence of these services has created more flexible employment opportunities, contributing to job creation [1]. Group 2: Regulatory Challenges - There is a lack of industry standards and market regulations, leading to inconsistent service quality and unverified service providers [1][2]. - The current e-commerce law allows individual service providers to operate without registration, complicating the resolution of labor disputes and increasing uncertainty in the industry [2]. Group 3: Recommendations for Development - Governments should enhance management regulations, clarify labor relationships, and include service providers in regulatory frameworks to ensure orderly development [2]. - Service platforms must implement strict entry mechanisms, maintain qualification records, and establish a unified contract system to ensure service quality and consumer protection [3]. Group 4: Consumer Protection and Service Quality - Service providers should adhere to legal standards, clearly define service terms, and protect customer privacy to build trust and recognition among consumers [3]. - Establishing effective consumer dispute resolution channels and feedback mechanisms is essential for maintaining service quality and reducing risks [3].

Group 1: Market Overview - A-share indices showed mixed performance in May, with the Wind All A Index recording the highest increase, while the Sci-Tech Innovation 50 Index experienced the largest decline [3] - Various industries performed differently, with light manufacturing, comprehensive, and textile apparel sectors showing strong performance, while electronics, computers, real estate, and social services lagged [3] Group 2: Company Insights - Longji Technology (600584.SH) is focusing on high-performance packaging technology and high-value applications, accelerating its strategic layout in automotive electronics, high-performance computing, storage, and 5G communication markets. Revenue from communication electronics, consumer electronics, computing electronics, automotive electronics, and industrial & medical electronics for 2024 is projected to be 44.8%, 24.1%, 16.2%, 7.9%, and 7.0% respectively, with all but the industrial sector showing double-digit year-on-year growth [4] - Xiaomi Group (1810.HK) reported Q1 2025 revenue of 111.3 billion yuan, a 47.4% year-on-year increase, marking a record high for a single quarter and surpassing 100 billion yuan for two consecutive quarters. The Non-IFRS net profit reached 10.7 billion yuan, up 64.5%, with a net profit margin of 9.6% [5] - Pinduoduo (PDD.O) reported Q1 2025 revenue of 95.67 billion yuan, a 10.2% year-on-year increase, but faced a significant decline in net profit, with GAAP net profit down 47.3% to 14.74 billion yuan and Non-GAAP net profit down 44.7% to 16.92 billion yuan [6] - Meituan-W (3690.HK) achieved Q1 2025 revenue of 86.56 billion yuan, an 18.1% year-on-year increase, with net profit attributable to shareholders rising 87.3% to 10.06 billion yuan and adjusted net profit increasing 46.2% to 10.95 billion yuan [7]

Group 1 - The article discusses the evolution of consumer identity from "visible" individuals in local communities to "invisible" consumers in a mass society, emphasizing the need for brands to connect with consumers on a personal level [1] - It highlights the challenge brands face in understanding today's diverse and rapidly changing young consumers, suggesting that brands must adopt a more relatable and empathetic approach [2] Group 2 - Yuanqi Forest's campaign "Young is Sparkling" encourages young people to express their individuality and emotions, contrasting the traditional notion of being calm like water with being dynamic like sparkling water [3][4] - The campaign uses sound as a medium to resonate with young people's emotions, showcasing their desire to express themselves and break free from societal constraints [5][6] Group 3 - Meituan's "Go Classy" campaign reinterprets workplace jargon in a humorous way, connecting with consumers' feelings about work-life balance during holidays [10][12] - The campaign effectively combines humor with promotional content, allowing for a seamless integration of brand messaging without feeling forced [15][16] Group 4 - Sgato's marketing strategy focuses on abstract concepts and relatable humor, utilizing a catchy phrase structure to engage younger audiences [19][21] - The brand is expanding its casual footwear line, responding to changing consumer preferences for comfort and versatility in fashion [22][23]

Investment Rating - The report maintains a "Strong Buy" rating for Meituan-W (03690.HK) [1][3] Core Insights - Meituan's Q1 2025 revenue reached 86.56 billion, representing an 18.1% year-on-year growth, with operating profit at 10.57 billion, up 102.8%, and adjusted net profit at 10.95 billion, increasing by 46.2% [1][6] - The report expresses long-term optimism regarding the company's domestic core business barriers and growth potential, alongside new growth opportunities from overseas expansion [1][6] Financial Performance Summary - **Revenue Forecasts**: - 2023: 276.85 billion - 2024: 337.59 billion - 2025E: 390.78 billion - 2026E: 451.15 billion - 2027E: 513.08 billion - Year-on-year growth rates are projected at 26%, 22%, 16%, 15%, and 14% respectively [2][9] - **Adjusted Net Profit**: - 2023: 23.25 billion - 2024: 43.77 billion - 2025E: 42.79 billion - 2026E: 56.37 billion - 2027E: 70.15 billion - Notable growth of 709% in 2023, followed by 88% in 2024, with a slight decline of 2% expected in 2025 [2][11] - **Earnings Per Share (EPS)**: - 2023: 3.79 - 2024: 7.13 - 2025E: 6.97 - 2026E: 9.19 - 2027E: 11.43 [2][11] - **Valuation Ratios**: - P/E (adjusted): 40.8 in 2023, decreasing to 13.5 by 2027 - P/B: 4.9 in 2023, decreasing to 2.3 by 2027 [2][10] Business Segment Performance - **Core Local Business**: - Q1 revenue of 64.32 billion, up 17.8%, with operating profit of 13.49 billion, a 39.1% increase [6] - **New Business**: - Q1 revenue of 22.23 billion, up 19.2%, with an operating loss of 2.27 billion [6] - **Delivery and Flash Purchase**: - Q1 delivery volume growth remained stable despite competitive pressures, with a projected increase in Q2 [6] - **International Expansion**: - Keeta is set to enter the Brazilian market, with a planned investment of 1 billion USD over five years [6]

Core Viewpoint - Credit Lyonnais has lowered the target price for Meituan to HKD 185 due to profit margin pressures from competition in the food delivery sector and global expansion efforts [1] Financial Performance - Meituan's Q1 2025 performance exceeded expectations, with total revenue and adjusted EBITDA increasing by 18% and 62% year-on-year, reaching RMB 86.6 billion and RMB 11.2 billion, respectively, surpassing Credit Lyonnais's estimates by 1% and 12% [1] - The company anticipates a slowdown in core local commerce revenue growth and a year-on-year decline in profits for Q2 2025, as it prioritizes competitive responses and faces increased losses from new business ventures due to global expansion [1] Revenue and Profit Forecasts - Credit Lyonnais projects a 13% year-on-year increase in total revenue for Q2 2025, while adjusted EBITDA is expected to decline by 21% [1] - Core local commerce revenue is forecasted to grow by 10% year-on-year, with adjusted EBITDA anticipated to decrease by 12% [1] Adjustments to Profit Predictions - The firm has revised its adjusted net profit forecasts for Meituan downwards by 7% and 6% for the next two years, leading to a reduction in the target price from HKD 195 to HKD 185 [1]

Core Viewpoint - The newly released "Beijing Old Brand Recognition Management Measures" aims to enhance the recognition of old brands by focusing on their cultural and economic value, rather than just their historical longevity [1][2]. Group 1: Recognition Criteria - The new regulations require that brands must have been established for at least 50 years and possess distinct Chinese cultural characteristics and regional features [1]. - The emphasis has shifted from merely being "old" to also being "good," highlighting the importance of quality and value in addition to historical significance [1]. Group 2: Impact on Consumption and Employment - Old brands play a significant role in promoting consumption, stabilizing employment, and preserving culture, with Beijing having 274 recognized old brands across various sectors as of last November [1]. - During the recent "May Day" holiday, many old brand stores experienced a surge in customer traffic, demonstrating their strong consumer appeal and cultural influence [1]. Group 3: Challenges and Opportunities - Despite their historical significance, some old brands face challenges such as outdated concepts and conservative products, leading to marginalization in the market [1]. - There is a need for these brands to resonate with younger consumers, as relying solely on nostalgia is insufficient for sustainable growth [1]. Group 4: Dynamic Management Mechanism - To activate old brand resources, a dynamic management mechanism should be established, transitioning from "recognition of qualifications" to "stimulating vitality" [2]. - The proposal includes the creation of an "Old Brand Vitality Index" to regularly assess brand performance, social reputation, and innovation capabilities, thereby enhancing social recognition [2]. Group 5: Cultural Significance - Revitalizing old brands is not only about expanding consumption and stimulating domestic demand but also about awakening urban cultural genes and fostering cultural confidence [2]. - Optimizing the system to invigorate brand vitality will help transform "visible history" into a "sustainable future," allowing more old brands to become "new classics" of the era [2].

Core Viewpoint - The Chinese government emphasizes stabilizing employment, enterprises, markets, and expectations to respond to external uncertainties with high-quality development [1] Group 1: Employment Initiatives - The target for urban new employment in 2025 is set at over 12 million, with enhanced public employment services and support for key groups [1] - A series of recruitment events have been launched, with over 1,000 events and 697,000 job postings from more than 350,000 employers, attracting nearly 7.42 million job-seeking graduates [2][4] - Various specialized service zones have been established at job fairs to provide policy consultation and career guidance [4] Group 2: Policy Support and Financial Aid - The government has implemented incentive policies to expand job opportunities in key sectors, including new productivity development and basic livelihood services [6] - Employment support policies have been enhanced, with a cumulative issuance of over 640 billion yuan in loans to stabilize and expand employment positions [13] - In the first quarter, 35.2 billion yuan in stabilization funds were distributed to 588,000 enterprises, reducing costs by 45.6 billion yuan through lowered unemployment insurance rates [15] Group 3: Skills Training and Development - The "Skills Illuminate the Future" training initiative aims to address structural employment issues by increasing the supply of skilled labor in high-demand sectors [20] - Over 1 million people are expected to receive subsidies for vocational skills training, focusing on advanced manufacturing and modern services [26] - Specialized training programs for sectors like elderly care and domestic services have been initiated to support workforce stability [30]

Investment Rating - The report maintains a "Buy" rating for all covered companies in the internet and education sectors, indicating a positive outlook for their performance [4]. Core Insights - The fundamental aspects of the internet and education industries continue to support valuation, with a focus on service platform opportunities. The report anticipates a potential increase in market expectations due to low base effects in the first half of 2025 [1][3]. - The report highlights the expected growth in Gross Merchandise Volume (GMV) for major e-commerce players, with projections of +6% for the industry, +6% for Alibaba, +10% for JD.com, +13% for Pinduoduo, and +15% for Kuaishou [3]. - The report notes that the valuation of most companies is currently lower than the average level for 2024, presenting opportunities for companies with stable performance and potential for business expansion, particularly those leveraging AI [3]. Company Performance - In April 2025, the stock price performance of covered companies showed significant variation, with notable increases for companies like Cloud Music (+22%) and Youdao (+17%), while companies like TAL Education saw a decline of -34% [5]. - The report indicates that the proportion of Hong Kong Stock Connect holdings for covered companies has increased, with Alibaba's holding rising to 8.7% as of April 2025 [3][6]. - The report anticipates a small wave of companies returning to Hong Kong for listing, as nearly 30 companies meet the conditions for such a move [3]. Financial Metrics - The report provides a detailed valuation summary for various companies, including projected earnings per share (EPS) and price-to-earnings (P/E) ratios for FY25E and FY26E. For instance, Tencent is projected to have a P/E of 17.4 for FY25E, while Alibaba is expected to have a P/E of 10.7 [4]. - The average P/E ratio across the covered companies is projected to be 16.0 for FY25E, indicating a generally favorable valuation environment [4][9]. Market Trends - The report notes that the market for Chinese concept stocks listed in the U.S. is facing potential delisting risks, but the impact is expected to be less severe than in previous years [3]. - The report highlights the increasing trading volume of Chinese concept stocks in Hong Kong, with a significant rise in trading activity since the introduction of dual-class share structures [7][8].

◎白丽斐 记者 李苑 就业是最基本的民生。近期，人力资源社会保障部等多部门推出新一轮稳就业政策"组合拳"，包括扩容 就业空间、突出保障重点群体就业、加大职业技能培训力度等。 开栏语 中共中央政治局会议指出，"着力稳就业、稳企业、稳市场、稳预期"。近期，国新办就稳就业稳经济推 动高质量发展政策措施有关情况举行新闻发布会，多部门透露正在密集部署一系列增量政策。即日起， 上海证券报推出"稳经济增量政策"系列报道，从就业、外贸、投资、工业、消费等多维度跟踪解析政策 落地情况和实效。 市场人士表示，此次政策"组合拳"通过"短期纾困+长期转型"双轨并行，既解决企业现金流压力，又引 导资源向新质生产力领域聚集，有利于以产业带就业、以就业促产业，为保障和改善民生、激发企业内 生动力提供有力支撑。 加大岗位释放力度 围绕新质生产力发展、消费新热点打造、重点工程项目实施、基本民生服务提供等重点领域，央地出台 激励政策，加大岗位释放力度。 ■"稳经济增量政策"系列报道 高校毕业生等青年群体是稳就业的重中之重。2025届全国普通高校毕业生规模预计达1222万人，同比增 加43万人。人力资源社会保障部、教育部、财政部日前联合印发的《关 ...