Investment Rating - The industry investment rating is "Outperform the Market," indicating an expected industry index increase of over 5% in the next six months [18]. Core Insights - Recent factor performance shows that the average turnover rate, non-liquid shock, and quarterly gross margin factors have performed well, while factors like Beta and one-year momentum have underperformed [2][9]. - Over the past year, small-cap stocks, earnings forecast accuracy, and one-month turnover rate volatility have shown strong performance, while one-year momentum and expected adjustment averages have lagged [2][9]. Factor Tracking Summary Factor IC Performance - In the last week, the one-month average turnover rate, non-liquid shock, and turnover rate volatility factors performed well, while one-year momentum and quarterly asset turnover rate showed poor performance [7]. - Over the last month, the one-month average turnover rate and Fama-French three-factor one-month residual volatility factors performed well, while Beta and one-year momentum lagged [7]. - In the past year, the one-month specificity and Fama-French three-factor one-month residual volatility factors performed well, while one-year momentum and dividend yield factors underperformed [7][8]. Factor Long-Only Portfolio Performance - The long-only portfolio, constructed from the top 10% of factors, has shown cumulative excess returns, with quarterly gross margin and one-month average turnover rate factors performing well recently [9][10]. - Over the last year, small-cap stocks and earnings forecast accuracy have shown strong performance, while one-year momentum and expected adjustment averages have underperformed [9][10]. Factor Introduction - The factors used in the analysis are categorized into valuation, profitability, growth, dividends, reversal, turnover, volatility, and analyst factors, each with specific calculation methods [11][12].