Investment Rating - The report recommends a "Buy" rating for China Mobile (941.HK) with a target valuation of HKD 98 per share [5]. Core Insights - China Mobile is a leading global telecommunications and information service provider, with core businesses in mobile communication, home broadband, enterprise digital services, and emerging markets such as AI and cloud computing [5]. - The company has a strong economic scale effect, boasting 1 billion mobile users, which results in lower operating costs per user compared to competitors [5]. - Financial performance for the first quarter shows revenue of RMB 263.8 billion and net profit of RMB 30.6 billion, reflecting a year-on-year growth of 3.5% [5]. - The report anticipates an increase in the dividend payout ratio to 80%, with future dividends expected to grow at 2% [5][6]. Summary by Sections Company Overview - China Mobile operates in four main areas: mobile communication, home broadband, enterprise digital services, and emerging markets [5]. Financial Performance - The first quarter revenue was RMB 263.8 billion, with a net profit of RMB 30.6 billion, resulting in a profit margin of 11.6% and a return on equity (ROE) close to 10% [5]. Valuation - Using a dividend discount model, the estimated valuation is HKD 98 per share, indicating an upside potential of 11.3% from the current price of HKD 88.05 [5][7]. Investment Strategy - The report suggests that the company's stable growth in personal mobile communication and home broadband, along with rapid growth in enterprise digital services, supports the recommendation to buy at the current price [6].