Investment Rating - The report maintains an investment rating of "Outperform" with a target price set at 72.02 times PE, indicating a strong outlook for the electronic industry [5][39]. Core Insights - The collaboration between Samsung and NVIDIA to build an AI factory and develop the next-generation HBM4 memory is expected to enhance production efficiency and drive advancements in smart manufacturing [1]. - Qualcomm's entry into the AI chip market with the launch of A1200 and A1250 chips is set to reshape the competitive landscape, particularly in the data center AI sector [2]. - Samsung's semiconductor division reported an 80% year-on-year increase in operating profit for Q3, driven by strong demand in the AI sector, indicating a robust recovery in the memory chip business [3]. Summary by Sections Industry News Overview - Samsung and NVIDIA announced a partnership to create an AI factory and develop HBM4 memory, aiming for a speed of 1TBps, surpassing current standards [1]. - Qualcomm introduced AI chips A1200 and A1250, targeting the data center market and aiming to reduce AI inference costs for clients [2]. - Samsung's semiconductor profits surged due to AI demand, with plans for mass production of HBM4 memory next year [3]. Market Performance - The electronic sector experienced a decline of 1.65% in the past week, ranking 28 out of 31 industries [8][29]. - The semiconductor sub-sector faced the largest drop at -3.69%, while consumer electronics saw a modest increase of 1.19% [32]. Valuation Metrics - As of November 1, 2025, the electronic industry PE stands at 72.02 times, with a 10-year percentile of 92.43%, indicating high valuation relative to historical averages [39]. - The semiconductor sub-sector has a PE of 111.81 times, reflecting strong investor interest and growth expectations [43]. Investment Recommendations - The report suggests focusing on companies in the AI computing space, such as Feirongda and Xingsen Technology, as well as those in the storage industry like Zhaoyi Innovation and Bawei Storage [9].