Macro Strategy - The report indicates that the supply and demand for direct financing markets, such as Sci-tech bonds, are expected to continue expanding, supported by structural policy tools [1][9][10] - Recent US economic data shows marginal improvement, with consumer confidence and retail sales exceeding expectations, leading to a rise in US stocks [1][10] - The US 10-year Treasury yield increased by 0.62bps to 4.416% over the week, influenced by mixed economic signals and dovish comments from Fed officials [1][11] Fixed Income - The bond yields slightly decreased this week, recovering from the previous week's rise due to restrictions on bond purchases by rural commercial banks, but the "stock-bond seesaw" effect limits the downward space for yields [2][14] - The report highlights concerns regarding the convertible bond market, including a potential reduction in net supply and the impact of profit-taking by insurance and wealth management products [2][17] Company Analysis - UBTECH Robotics has secured the largest procurement order for humanoid robots, accelerating its commercialization process. Revenue forecasts for 2025-2027 are set at 2.016 billion, 2.823 billion, and 3.705 billion yuan, respectively, with a "buy" rating maintained [5] - Jingcheng Machinery has laid the foundation for a new production base for 600,000 pieces of 8-inch silicon carbide substrates, enhancing its competitive edge in the market. The company aims to benefit from the transition to 8-inch substrates, which can reduce costs significantly [5][6] - Great Wall Motors reported H1 2025 results that met expectations, with revenue forecasts for 2025-2027 at 219.5 billion, 237.6 billion, and 253.8 billion yuan, respectively, maintaining a "buy" rating [7] - Tuojing Technology anticipates significant growth in Q2 2025, with revenue expected to be between 1.21 billion and 1.26 billion yuan, driven by new product contributions and improved gross margins [8]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has laid the foundation for a new production base with an annual capacity of 600,000 pieces of 8-inch silicon carbide substrates, which is expected to accelerate the release of silicon carbide substrates [7] - The company is strategically expanding its domestic and international substrate production capacity, aiming for a total of 900,000 pieces, with 650,000 pieces being 8-inch capacity, which will enhance its competitive edge through economies of scale [7] - The transition to 8-inch silicon carbide substrates is expected to significantly reduce costs, with a 35% decrease in single-chip costs and an increase in effective chip quantity by 1.8 to 1.9 times compared to 6-inch substrates [7] - The company is developing a full-chain layout for silicon carbide materials and equipment, including various types of silicon carbide crystal growth and processing equipment [7] - The company maintains a profit forecast for 2025-2027 with net profits of 2 billion, 2.2 billion, and 2.7 billion yuan, corresponding to a price-to-earnings ratio of 17, 16, and 13 times respectively [7] Financial Summary - Total revenue for 2023 is projected at 17,983 million yuan, with a year-on-year growth of 69.04% [1] - The net profit attributable to the parent company for 2023 is expected to be 4,558 million yuan, reflecting a year-on-year increase of 55.85% [1] - The earnings per share (EPS) for 2023 is estimated at 3.48 yuan, with a price-to-earnings (P/E) ratio of 7.63 times [1] - The company’s total assets are projected to reach 31,550 million yuan in 2024, with a debt-to-asset ratio of 43.16% [8]