Core Viewpoint - The report from Guotai Junan Securities indicates that Antu Biology's domestic business is under short-term pressure, while the overseas market is experiencing rapid growth. The company is expected to stabilize its domestic business and achieve significant growth in international markets due to ongoing product registration and market expansion efforts [1]. Group 1: Business Performance - Antu Biology's domestic business is currently facing short-term challenges, but there is potential for recovery as industry policies are gradually implemented and the ecosystem becomes more rational [1]. - The company is projected to see a steady advancement in the installation of chemical luminescence instruments and assembly lines, which will support the recovery of its domestic business [1]. Group 2: Market Opportunities - The overseas market is expected to grow rapidly as the company progresses with product registrations and market development [1]. - The recent acquisition of medical device registration certificates for 14 new products, including various antigen test kits and nucleic acid test kits, enhances the company's product line and lays a foundation for future growth [1]. Group 3: Valuation and Rating - Based on comparable company valuations, Antu Biology is assigned a target price of 44.94 yuan with a 2026 PE of 21X, maintaining a "Buy" rating [1].

Macro Research - The report highlights a unique economic condition in the US characterized by "weak employment + strong growth," indicating a historical disconnection between employment and economic growth. The average annual growth rate of the labor force is projected to be only 0.3-0.5% over the next decade, significantly lower than the 1.3% observed in the past five years [1][16] - The report identifies high interest rates as the primary reason for the employment slowdown, followed by the adverse effects of labor hoarding during the pandemic. The impact of artificial intelligence on employment is deemed negligible, while the effects of reduced immigration and government layoffs are considered limited [2][16] - The strong economic growth is attributed to the marginal productivity decline of labor, with significant employment growth occurring in low-GDP-contributing sectors like education and healthcare. Capital expansion driven by AI investment and its wealth effect is seen as the main driver of US economic growth [2][17] Military Industry Research - The military sector experienced a decline recently, with the US Navy initiating recovery operations for two aircraft that crashed in the South China Sea. The report notes that the military industry remains on a long-term upward trend due to increasing geopolitical tensions [4][6] - The report emphasizes the importance of advanced military technology and equipment in modern warfare, suggesting a focus on aerospace and satellite internet sectors as key areas for investment [7] Automotive Industry Research - The Guangzhou International Auto Show showcased a strong focus on electrification and intelligence, with 629 out of 1,085 vehicles displayed being new energy vehicles, accounting for 58% of the total [8][9] - Companies like XPeng and Changan presented their latest advancements in embodied intelligence, indicating a shift towards integrating robotics into automotive design and functionality [8][9] - The report highlights the competitive landscape in the automotive sector, with a focus on product definition, technological self-research, and systematic capabilities as key competitive factors moving forward [11][9]

Investment Rating - The report maintains a rating of "Accumulate" for the company [6][13]. Core Views - The company's domestic business is under short-term pressure, while the overseas market is experiencing rapid growth. The product line continues to expand, justifying the "Accumulate" rating [2][13]. Financial Summary - Total revenue for 2023 is projected at 4,444 million, with a slight increase to 4,471 million in 2024, followed by a decrease to 4,121 million in 2025, and then a recovery to 4,619 million in 2026 and 5,180 million in 2027 [4]. - Net profit attributable to the parent company is expected to be 1,217 million in 2023, decreasing to 1,194 million in 2024, and further down to 1,059 million in 2025, before rising to 1,224 million in 2026 and 1,409 million in 2027 [4]. - Earnings per share (EPS) is forecasted to be 2.13 in 2023, decreasing to 2.09 in 2024, and 1.85 in 2025, with a recovery to 2.14 in 2026 and 2.47 in 2027 [4][14]. Market Performance - The current stock price is 37.20, with a target price set at 44.94, indicating potential upside [6][7]. - The company has a total market capitalization of 21,257 million [7]. Business Outlook - The company is expected to see a stabilization in domestic business as industry policies are gradually implemented, and the process of import substitution accelerates [13]. - The overseas market is anticipated to grow rapidly due to ongoing product registrations and market expansion efforts [13]. - The product line has been enriched with 14 new products recently obtaining medical device registration, laying a foundation for future growth [13].