Market Performance - The Hang Seng Index (HSI) rose by 8 points or 0.03% to close at 26,347 points, after fluctuating between a low of 26,256 points and a high of 26,445 points during the day[1] - The Shanghai Composite Index increased by 54 points or 1.4%, closing at 4,023 points, with a total trading volume of 1.07 trillion yuan[2] - The S&P 500 Index gained 43 points or 0.6%, reaching a new high of 6,902 points[2] Currency and Economic Indicators - The RMB/USD central parity rate was adjusted up by 58 points to 7.0230[2] - The ISM Manufacturing PMI for December fell to 47.9, marking the lowest level since October 2024, and below the market expectation of 48.3[3] Corporate Developments - China National Airlines sold 108 million shares of Cathay Pacific at a price of 12.22 HKD per share, a 6.6% discount to the closing price, raising approximately 1.32 billion HKD[5] - Chifeng Jilong Gold Mining expects a net profit of 3 to 3.2 billion RMB for 2025, an increase of 70%-81% year-on-year, driven by a 49% rise in gold product prices[5] - Hon Hai Precision Industry reported a 22% year-on-year increase in Q4 revenue to 2.6 trillion TWD (approximately 82.6 billion USD), exceeding analyst expectations[6]

香港聯合交易所有限公司與香港證券及期貨事務監察委員會對本申請版本的內容概不負責， 對其準確性或完整性亦不發表任何意見，並明確表示概不就因本申請版本全部或任何部分 內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 Suzhou Dongshan Precision Manufacturing Co., Ltd. 蘇州東山精密製造股份有限公司 （「本公司」） （於中華人民共和國註冊成立之股份有限公司） 的申請版本 警告 本申請版本乃根據香港聯合交易所有限公司（「交易所」）及香港證券及期貨事務監察委 員會（「委員會」）的要求而刊發，僅用作提供資訊予香港公眾人士。 本申請版本為草擬本，當中所載資訊並不完整，亦可能會作出重大變動。 閣下閱覽 本文件，即代表 閣下知悉、接納並向本公司、其聯席保薦人、顧問或包銷團成員表示同 意： 倘於適當時候向香港公眾人士提出要約或邀請，有意投資者務請僅依據與香港公司註 冊處處長註冊的本公司招股章程作出投資決定；招股章程的文本將於發售期內向公眾派發。 845074 \ (Project DHL_Redacted) \ 18/11/2025 \ M39 (a) 本文件僅為向香港公眾提 ...

Market Performance - The Hang Seng Index (HSI) fell by 244 points or 0.9%, closing at 26,241 points after a previous gain of over 500 points[1] - The Shanghai Composite Index decreased by 10 points or 0.3%, ending at 3,997 points[1] - The S&P 500 rose by 8 points or 0.1%, closing at 6,728 points[2] Trading Volume and Currency - Total trading volume in the Hong Kong market reached HKD 209.644 billion[1] - The People's Bank of China conducted a reverse repurchase operation of CNY 141.7 billion at a rate of 1.4%[1] - The RMB/USD central parity rate was adjusted up by 29 points to 7.0836[1] Economic Indicators - China's Producer Price Index (PPI) fell by 2.1% year-on-year in October, slightly better than the expected decline of 2.2%[3] - The Consumer Price Index (CPI) in China rose by 0.2% year-on-year in October, ending two months of deflation[3] - Food prices decreased by 2.9% year-on-year, while non-food prices increased by 0.9%[3] IPO Activity - Nearly 80 companies were newly listed in Hong Kong, raising approximately HKD 210 billion[4] - The number of startups in Hong Kong increased by 40% over the past five years, totaling around 4,700[4] - Startups in Hong Kong's Science Park and Cyberport raised a total of HKD 6 billion in the past year[4]

Market Overview - The Hong Kong stock index experienced a notable increase, closing at 25,858 points, showing a recovery from previous declines, although trading volume was relatively low [2] - Investors have mixed sentiments; some anticipate a continued upward trend towards 26,000 points or even 26,500 points, while others remain cautious due to low trading activity [2] Technical Signals - Current technical signals indicate a predominance of "buy" signals, with 8 buy signals and 7 sell signals, suggesting a slightly optimistic market sentiment [3] - The resistance level is identified at approximately 26,436 points, with a potential upward movement towards 27,000 points if this level is breached [4] Individual Stock Analysis Kuaishou-W (01024) - Kuaishou's stock price has shown a slight recovery, but overall sentiment remains bearish, with a current support level at 70.4 yuan; a drop below this could lead to further declines [5][7] - Short-term technical signals for Kuaishou indicate a "strong buy," suggesting potential for upward movement despite the overall weak sentiment [8] Sands China - Sands China's stock price increased by about 4.3%, with a current support level at 18 yuan; if this level is breached, it could drop to 16 yuan [11] - Technical signals for Sands China are predominantly "buy," with 10 buy signals and 5 sell signals, aligning with positive investor sentiment [11] Xiaomi Group-W (01810) - Xiaomi's stock price has rebounded slightly after a significant drop, with a current support level at 45.1 yuan; a breach could lead to a decline to 40.5 yuan [14] - The short-term technical signals for Xiaomi show a "strong buy," indicating potential for upward movement [14] BYD Electronic (00285) - BYD Electronic's stock price has also seen a slight recovery, with a support level at 37.4 yuan; a drop below this could lead to a decline to 34.3 yuan [18] - The technical signals for BYD Electronic are primarily "buy," with 10 buy signals and 5 sell signals, reflecting a slight improvement in market sentiment [18] CNOOC (00883) - CNOOC's stock price has risen to 19.04 yuan, standing above the middle line of the Bollinger Bands; however, 19 yuan is seen as a challenging resistance level [21] - Current technical signals are neutral, indicating uncertainty about the stock's ability to break through the 19 yuan level [21]

Company Insights - The report highlights that Hongteng Precision (6088) is currently trading at HKD 4.38, with a short-term target price of HKD 4.80, indicating a potential upside of 15.7% [1] - The company is expected to hold a "Tech Day" next week, focusing on AI-enabled long-term development in the automotive industry, which may provide further updates on its EV business strategy [1] - Hongteng Precision is set to benefit from the upcoming launch of new flagship AI server platforms, GB200 and GB300, in the second half of 2025, which will increase demand for power supply and liquid cooling solutions [1] - The company is expanding its production lines in India, which is anticipated to enhance its market share in AirPods as production efficiency improves [1] - The current valuation corresponds to a FY26E P/E ratio of 15.2x, which is a 34% discount compared to the average valuation of peers in Hong Kong, A-shares, Taiwan, and international markets [1] Industry Overview - The macroeconomic focus indicates that mainland China has returned to deflation, with August CPI down 0.4% and PPI down 2.9% [3][11] - The Chinese government is emphasizing the importance of strengthening domestic circulation in its economic strategy [11] - The report notes that the automotive industry is undergoing a special rectification action to address online chaos and irrational competition [11]

Company Recommendation - BYD Electronics (0285) is recommended for purchase with a target price of HKD 38.50, indicating a potential upside of 16.7% from the current price of HKD 33.95 [2][10] - The catalysts for growth include the lifting of the EDA ban in the US and the completion of the US-Vietnam trade agreement, which is expected to ease concerns regarding upstream supply chain pricing and gross margin pressures [2][10] - The company is diversifying into AI servers, liquid cooling, and Autonomous Mobile Robots (AMR), with a strong partnership with NVIDIA, which is anticipated to drive new growth momentum [2][10] Valuation - The current price corresponds to a forecasted P/E ratio of 13.2x for FY25E and 11.2x for FY26E, with FY26E valuation being 29% lower than the 5-year average [2][10] - The expected revenue and net profit compound annual growth rates for FY24-FY27E are 11.6% and 22.4%, respectively [2][10] Market Review - The Hang Seng Index is facing resistance at 24,700 points, influenced by US-China trade negotiations and limited progress in economic stimulus from mainland China [2][4] - The market is experiencing a slowdown in capital inflow from Northbound trading, with corporate earnings showing limited improvement [2][4] Industry Insights - The automotive sector in China is showing resilience, with a 22.2% year-on-year increase in vehicle exports in June, and production and sales also reflecting positive growth [11] - The construction and real estate sectors are seeing increased land sale revenues, particularly in first and second-tier cities, with a 40% increase in land sale amounts [11] - The gaming industry in Macau is expected to benefit from strong summer season revenues, with June's gaming income exceeding expectations [5]

Market Overview - The Hang Seng Index is facing resistance at 24,700 points, with a projected P/E ratio of 11 times over the next 12 months [2] - The recent US-China trade talks have led to a reduction in tariffs, with US tariffs on Chinese imports dropping from 145% to 30%, and Chinese tariffs on US imports decreasing from 125% to 10% [2] - The inflow of capital from mainland investors has slowed, and corporate earnings improvements are limited [2] Economic Indicators - The People's Bank of China (PBOC) has mandated that cash transactions over 100,000 RMB for gold and diamonds must be reported starting August [4] - The National Development and Reform Commission (NDRC) has completed the allocation of 800 billion RMB for construction projects this year [4] - Hong Kong's retail sales rose by 2.4% in May, ending a 14-month decline [4][10] Corporate News - Luxshare Precision is planning to raise 1 billion USD through an H-share listing in Hong Kong [5][11] - Alibaba repurchased approximately 56 million shares for 805 million USD in the last quarter [11] - Xiaomi is prioritizing domestic delivery issues for its new car model YU7, with plans to expand production [11] - Geely is set to launch its brand of cars in the UK, starting with the electric SUV EX5 [11] IPO Market - PwC forecasts that Hong Kong's IPO fundraising will exceed 200 billion RMB this year, potentially making it the top global market [9] - The first half of the year saw Hong Kong's IPO market raise 107.1 billion RMB, a sevenfold increase from the previous year [9] Sector Focus - The biotech sector is expected to benefit from new government measures supporting high-quality development [8] - Macau's gaming revenue in June increased by 19% year-on-year, surpassing expectations [8] - The textile sector anticipates improved orders following Nike's performance [8] Banking Sector - KPMG reported that Hong Kong's banking sector showed resilient growth, with total assets increasing by 4.5% to 24 trillion RMB [10] - The non-performing loan ratio rose from 1.65% to 2.15%, primarily due to challenges in the commercial real estate sector [10]