Investment Rating - The report maintains a "Buy" rating for the media industry, indicating a positive outlook for the sector [7]. Core Insights - The media industry (Shenwan) saw a weekly increase of 0.26%, ranking 8th among industries during the period from December 6 to December 12, 2025. Notable performers included Bona Film Group, Guangxi Radio and Television, Beijing Culture, Sanrenxing, and Huace Film & TV [11][18]. - The report highlights strong performance in AI applications and cultural exports, with a focus on sub-sectors such as gaming, intellectual property (IP), short dramas, and publishing [5][37]. Summary by Sections Market Performance - The media industry experienced a weekly increase of 0.26%, while the Shanghai Composite Index fell by 0.34%. The gaming sector saw a rise of 1.06%, and the film and television sector increased by 5.70% [11][12]. Key Industry Data AI Applications - In November, Deepseek led domestic AI web traffic with 346 million visits, despite a 2.95% month-over-month decline. Other notable AI products included Nano AI Search and Baidu AI Search, with respective monthly visits of 260 million and 52.63 million [22][23]. Gaming - The iOS gaming sales chart for December 13, 2025, was topped by "Honor of Kings," followed by "Gold Shovel Battle" and "Endless Winter." The report also noted that "Whiteout Survival" and "Kingshot" continued to perform strongly in overseas revenue [25][26]. Film - The total box office for the week of December 6-12 was 1.2 billion yuan, with "Zootopia 2" leading at 853 million yuan, accounting for 71% of the weekly total. Upcoming films include "Avatar: Fire and Ashes," set to release on December 19 [33][34]. Investment Recommendations - The report recommends focusing on themes such as AI applications and cultural exports, with specific attention to gaming, IP, short dramas, and publishing. Key companies to watch include Giant Network, Kaiying Network, Yaoji Technology, and others [5][37].

Investment Rating - The report maintains a "Recommended" rating for key companies such as Alibaba, Tencent, Kuaishou, Ctrip, Bilibili, Xiaomi, NetEase, and Meituan, indicating a positive outlook for their stock performance in the upcoming year [26]. Core Insights - The report highlights the expectation of improved liquidity in the Hong Kong market, suggesting it may be an opportune time to invest in technology-related sectors [5]. - The report emphasizes the acceleration of AI application commercialization, with significant developments from major companies like Alibaba, Tencent, and others [5][25]. - The report notes that southbound capital has shown a net inflow of 12,878 billion yuan year-to-date, which is 173.09% of the total net inflow for 2024, indicating strong investor interest [5]. Summary by Sections Company Financials and News - The Central Economic Work Conference emphasized the need for proactive fiscal and monetary policies to stabilize economic growth [7]. - Alibaba has restructured its business into the Qianwen C-end division, which has quickly gained over 30 million monthly active users [7]. - Tencent has launched new AI features in its QQ platform, enhancing user engagement [7]. Hong Kong Market Overview - The Hang Seng Index and related indices experienced slight declines, with the Hang Seng Technology Index down 0.43% [5]. - Notable net purchases from southbound funds included Xiaomi, Meituan, and Beike, indicating strong market interest in these stocks [24]. Investment Recommendations - The report suggests focusing on platform-based internet companies with synergistic advantages in computing power, model capabilities, and application scenarios, including Tencent, Ctrip, Kuaishou, Alibaba, Bilibili, Xiaomi, Baidu, and Meituan [25]. - It also highlights AI ecosystem companies with model or application capabilities, such as JD Health, Huixuan Technology, KEEP, Fenbi, Zhihu, Fourth Paradigm, and Tuya Smart [25].