Zhitong Hong Kong Stock Exchange Unravels | High real estate capitalization, bank explosion, AI strengthens both software and hardware
[Anatomy Dashboard]
Although the external environment is still unstable, the trend in the two markets was not bad. A-shares bottomed out and rebounded, and Hong Kong stocks also rebounded quite a bit at the end of the day, closing down slightly by 0.07%.
After a month, the US and Iran got started again. The US military bombed two Islamic Revolutionary Guard Corps military facilities on Larak Island because the US side observed that Islamic Revolutionary Guard Corps personnel were “preparing to launch rockets carrying mines into the Strait of Hormuz.” Iran says it attacked the US military base in Jordan in response to the US attack. On August 31, local time, the Islamic Revolutionary Guard Corps of Iran released news that a supertanker caught fire by lightning while crossing the Strait of Hormuz and has now stopped sailing. As can be seen, the strait continues to be controlled by Iran. Oil prices are expected to rise in the future.
Regarding Walsh's speech at the annual meeting of global central banks in Jackson Hole, the market felt that “fighting inflation is a top priority” and reiterated that the 2% inflation target is “firm and fixed”; the current financial environment “has no limits”. If inflation does not fall clearly and quickly enough, the Federal Reserve “still has work to be done.” This statement is not the same as expected, but if you look closely, it is not fundamentally different from the previous speeches: it still depends on the data before deciding, and US stocks haven't dropped much. Don't just look at what you say; the key is how you do it. At the same time, it also laid the groundwork for the next September interest rate meeting. Now they are more hawkish and stay on hold when the time comes. Isn't that beneficial? Therefore, it is impossible to say that the prediction was wrong last time. Regarding the performance of gold stocks, it can only be said that due to the large overall increase in the previous period, there will definitely be an emotional impact. Today's adjustments are also expected, but those with sufficient adjustments combined with good performance and dividends will also continue to rise. For example, Shandong Gold (01787) reported net profit of about 3,543 billion yuan, an increase of 26.17% over the previous year, with a discovery dividend of 1.00 yuan for every 10 shares. Today's increase was over 6%.
Last weekend, ministries and departments such as the Central Bank, the State Financial Supervisory Authority, and the Ministry of Housing and Construction collectively introduced a number of real estate-related adjustment policies. There is a lot of content in it, including a few additions over the weekend. Generally speaking, it is a supply-side reform. It is relatively friendly to buying a house. At least you won't buy an unfinished building, but the demand is not very stimulating. As a result, real estate stocks all declined after opening high, and Sunac China (01918) fell by more than 10%. Relatively speaking, banks are the ones that benefit the most, because personal mortgage terms have been extended from a maximum of 30 years to 40 years. This policy lowered the threshold for buying a house in disguise, and banks charged 10 more years of interest. Performance was also strong. The 2026 semi-annual reports of the six major state-owned banks, ICBC, the Agricultural Bank, the Bank of China, CCB, CCB, and the Postbank, were collectively released on August 28. Thanks to a marginal recovery in net interest spreads, the net interest income of the six major banks grew at a rate of 5.82% to 10.5% year on year. Operating income continued to grow rapidly, and dividends were good. They all raised the cash dividend ratio to 31%, and the total proposed dividend scale exceeded 220 billion yuan. Among them, the Postbank (01658) rose nearly 7%, and Bank of China (03988) and Minsheng Bank (01988) all rose more than 5%.
The General Office of the Ministry of Industry and Information Technology recently issued the “Notice on Launching Special Actions to Cultivate Artificial Intelligence Application Service Providers”. Among them, it was mentioned that by the end of 2026, the number of service providers in the national service provider resource pool will exceed 2,000, and by the end of 2027, the number of service providers in the national service provider resource pool will not be less than 3,000. The focus is to encourage the government and state-owned enterprises to buy and use them for the first time, and increase the procurement of smart devices and token services. This was a big stimulus for the big model. MINIMAX-W (00100) surged more than 16%, and the intelligence spectrum (02513) surged more than 9%.
This policy has also added another impetus to AI hardware. Last Friday, Bizao Technology (06082) released financial reports. Revenue increased nearly 20 times, surging nearly 19% today; in addition, leading companies such as Cambrian and Moore Thread have all achieved significant revenue growth. The reason behind this is that high-end computing power is in short supply. Currently, the supply side of high-end computing power is in short supply chain, and some companies' orders have been scheduled until 3 years later. Convergence Technology (01729), which has a supernode concept, rose nearly 7%; related PCBs continued to be driven by price increases, Dazu CNC (03200) rose more than 11%, and Jiantao Laminate (01888) rose nearly 3%.
The AI application side also continues to achieve results. Mango TV's first AI drama “Journey to the West” will land on Hunan TV today and become the first star-broadcast AI drama in China. Reading Text Group (00772) and the leading domestic animation company Art Painting Kaitian jointly announced that they will continue to support 60-year-old animator Zhao Bin in his creative exploration of an AI animated series around “The Legend of Cyber Heroes.” In the first half of the year, revenue from the new circuit of reading skits and AI comics surpassed 430 million yuan, an increase of 230% over the previous year, achieving leapfrog growth. The company has resources, materials, and IP. The next key depends on how to achieve commercialization, which requires profitable explosions to catalyze. Today, it has risen by nearly 7%.
The AI token is already generating benefits. Yunzhisheng (09678) achieved revenue of 562 million yuan in the first half of the year, an increase of 38.7% over the previous year; gross profit of 186 million yuan, an increase of 42% over the previous year. Among them, Token business revenue was close to 30 million yuan, an increase of 760% over the previous year; of these, revenue in the second quarter exceeded 25 million yuan in a single quarter, an increase of more than 500% over the previous quarter. The gross margin of the business has exceeded 60%, and the increase is mainly driven by US dollar revenue, indicating that overseas users are directly calling its model API. In 2026, contract amounts have increased 65% year over year, orders in hand have exceeded 1.5 billion yuan, and cash reserves are close to 1 billion yuan. Today it surged more than 17%. Fubo Group (03738) had mid-term revenue of HK$1,805 billion, and profit increased 92.7%. The subscription revenue model is dominated by pay-as-you-go API calls, and the service is deeply embedded into the daily operations of large-scale platforms such as Byte, Tencent, Xiaohongshu, Kuaishou, B-station, and Youku, achieving a strong binding between revenue and customer ecosystem prosperity. AI computing power revenue has also achieved a breakthrough of zero to ten million US dollars, marking the substantial implementation of the company's business logic from a “copyright protector” to an “AI creative enabler.” Today's increase is over 9%.
The logic of the above varieties is mainly based on calling an API to achieve token charges. This revenue is easy to shrink in price cuts, and the overall volume is small, and only “charging according to business results” has pricing power, and the premium will be higher. Maifushi (02556), the leader that pioneered this scenario of charging, is definitely unavoidable. The net profit growth rate of 466.1% far exceeds the revenue growth rate of 111.2%. The volume has reached the level of 1 billion, and today its competitiveness is even stronger.
September is the traditional peak season for consumer electronics: Berlin IFA 2026 will be held in Germany on September 4-8. As a global consumer electronics weather vane, major brands will display mobile phones, AR glasses, smart homes, AI terminals, and overseas supply chain information release windows. There will also be Apple and Huawei press conferences later, as well as quite a few Android series. The main varieties are: Ruisheng Technology (02018), Shunyu Optical Technology (02382), and BYD Electronics (00285). TCL Electronics (01070): Net profit due to mother increased by 40.2% year-on-year in the first half of the year, and the company plans to split the photovoltaic business and go public independently. The company believes that it is in the overall best interests of the company and all shareholders, and today it has risen by more than 9%.
[Section Focus]
According to media reports, on the high-end AI server production line in Jinan, Shandong, a batch of liquid-cooled servers are being stepped up for assembly testing and will soon be delivered and put into operation; in Laixi, Qingdao, Shandong, an order for a CDU assembly line for liquid cooling core equipment components has already been scheduled until the end of December. According to the data, more than 80% of domestic air-cooled computer rooms have the potential for liquid cooling transformation. On the one hand, there is a rapid increase in the number of new intelligent computing centers, and on the other hand, demand for energy-saving renovation of old computer rooms has been released, and liquid cooling is eating both “incremental” and “stock” markets at the same time. In 2025, China's liquid-cooled data center market reached 15.98 billion yuan, an increase of 45.2% over the previous year. According to industry agency forecasts, the global intelligent computing liquid cooling market may exceed 100 billion yuan in 2026. As long as AI server power continues to rise, cabinet density continues to increase, and intelligent computing centers continue to be built, the intelligent computing liquid cooling market will continue to expand.
The main concepts related to Hong Kong stocks include Ruisheng Technology (02018), BYD Electronics (00285), Lingyi Intelligent Manufacturing (01688), and Midea Group (00300).
[Individual Stock Mining]
Jiantao Laminated Board (01888): Shortage of supply and price increases continue to catalyze the doubling of FR-4 copper-clad board
The company issued the latest price increase notice. From now on, the company will uniformly increase the price of all FR-4 copper-clad plates with a thickness of 10%; the price of PP semi-cured sheet specifications will increase the price of thick cloth PP above 7628 (inclusive) by 10%, and the price of thin cloth PP below 7628 will increase by 20%. This is the 7th time during the year that Jiantao Laminate has issued a price increase letter. Since March, it has basically risen once a month. The profit for the first half of 2026 was 2,887 billion, which already exceeded the net profit for the full year of 2025. The 2026 interim dividend was HK28 cents, +87% year over year, improving dividend returns.
Comment: The overall supply of the industry was in short supply. The price of Jiantao laminated boards increased several times in the first half of the year. The pace of price increases accelerated in the second quarter, and price increases continued to catalyze. The company has a market share of about 14.7% of the global rigid copper-clad plate sales, ranking first in the world for many years. The revenue of copper-clad panels was HK$14.775 billion, +56% year over year, contributing almost all of the Group's revenue, profit of HK$3,830 billion, +227% year over year; shipments were +14% year over year, with an average monthly shipment of over 10 million sheets, and production capacity close to full production. In the shortage phase of the industry, peers were forced to cut production due to lack of glass fiber cloth. The company was able to get close to full production delivery, and its ability to guarantee supply was outstanding.
The company's performance in the first half of the year was outstanding, and the cyclical boom was extremely high. The company said it will continue to expand production significantly from 2027 to 2028, driven by AI demand. Among them, yarn production capacity will increase by 15%, glass cloth will increase by 5% in the short term, increase to 10% next year, and copper clad plate will increase by 10% next year. The product was upgraded to AI high-frequency high-speed, and the M6 high-frequency high-speed board entered the leading PCB factory for verification; M8 completed development and samples; and the M9 is in the pre-development stage and is aimed at AI server PCB boards.
Production capacity planning: 70,000 tons of electronic yarn in Shaoguan will be put into operation at the end of June 2026, supporting 96 million meters of electronic cloth, to be put into operation in 2026Q3. Expansion of copper foil production: Qingyuan's 21,000 tons of high-end RTF/HVLP copper foil is expected to be put into production in 2027Q3 to meet AI server demand. The first phase of copper-clad panels in Pingxiang, Jiangxi will be put into operation in mid-2027; Kaiping will expand the M6 and above high-end plate production line to be put into operation in 2027Q1. FR-4 copper-clad sheets doubled, and FR-4 copper-clad sheets are still the main order body; M6/M8 high-end AI sheets are in the verification and small batch stages. Since the second quarter, the factory price has been raised several times. New orders have been signed at the new price, and the release of profit dividends has been deferred until the second half of 2026; net profit for a single month in July was about HK$1.1 billion, a record high in a single month.
Driven by AI servers, the overall supply of electronic cloth and copper-clad panels is in short supply, the delivery cycle is lengthened, and downstream customers actively lock the goods. Some industry peers are limited by upstream materials and production capacity is limited. The company is operating at full capacity, and order visibility is good. With a new round of price increases at the end of August, profit releases will fall on the 2026 three-quarter report.