Investment Rating - Industry rating is "Outperform the Market" (maintained rating) [5] Core Insights - The establishment of China Fusion Energy Co., Ltd. marks a significant step in the domestic nuclear fusion industry, with a registered capital of 11.469 billion yuan. The company aims to transition nuclear fusion technology from research to engineering applications [1] - The global investment landscape in nuclear fusion is heating up, with the US and China leading in equity financing. As of July 2025, US fusion companies have attracted approximately $6.28 billion, while Chinese companies have secured around $2.79 billion [2] - Various companies are making substantial investments in nuclear fusion technology, including New Hope Group, which has invested about 4 billion yuan since 2017, and several startups collaborating with public channels for funding [2] Summary by Sections Section 1: Company Establishment - China Fusion Energy Co., Ltd. was officially established on July 22 in Shanghai, with significant backing from state-owned enterprises and private capital [1] - The company will focus on overall design, technology validation, and digital R&D, aiming to build a technology research platform and a capital operation platform [1] Section 2: Investment Trends - The report highlights a surge in investments in nuclear fusion, with notable contributions from both state-owned and private enterprises in China [2] - Key players in the US, such as Helion and Commonwealth Fusion Systems, have also secured significant funding, indicating a competitive landscape [2] Section 3: Recommended Companies - The report suggests monitoring several companies involved in the nuclear fusion supply chain, including: - Lianchuang Optoelectronics, a leading supplier of high-temperature superconducting magnets - Yongding Co., a major supplier of high-temperature superconducting strips - Guoguang Electric, which provides various components for controllable nuclear fusion devices [3]

Investment Rating - The report maintains a "Recommended" rating for the nuclear fusion industry, indicating a potential stock price increase of over 15% relative to the benchmark index within the next 12 months [4]. Core Insights - The commercialization of nuclear fusion is accelerating, highlighted by the record agreement between Commonwealth Fusion Systems (CFS) and Google to supply 200MW of power from the first commercial fusion power plant, ARC, in the early 2030s [1]. - CFS has raised over $2 billion since its inception in 2018 and is currently leading in funding within the nuclear fusion sector, with significant investments from notable entities such as Tiger Global Management, Bill Gates, and Google [2]. - The global controllable nuclear fusion market is projected to grow from $331.49 billion in 2024 to $351.11 billion in 2025, with an expected compound annual growth rate (CAGR) of 8.1% reaching $479.5 billion by 2029 [2]. Summary by Sections Financing Situation - From 2010 to 2024, U.S. nuclear fusion companies have accumulated $5.63 billion in funding, leading globally, followed by China with $2.49 billion and Canada with $321 million [3]. Investment Recommendations - The report suggests continuous monitoring of the nuclear fusion industry, particularly focusing on companies involved in vacuum chambers, high-power electronic tubes, superconducting materials, and capacitors, including Guoguang Electric, Hexagon Intelligent, and Yongding Co., among others [3].