Liaoning Port Share Repurchase; Mkt Stability.

Revenue Surpasses 20 Billion Yuan, Shanxi Fenjiu Continues Rapid Growth

The semi-annual report shows that Shanxi Fenjiu, with a market value of over 200 billion yuan, achieved a revenue of 22.746 billion yuan in the first half of the year, breaking through the 20 billion yuan mark for the first time in the first half of the year, with a year-on-year increase of 19.65%; the net profit attributable to the parent company was 8.41 billion yuan, with a year-on-year increase of 24.27%. In terms of performance growth rate, Shanxi Fenjiu ranks at the forefront among white liquor enterprises.

Data shows that Shanxi Fenjiu's revenue target for 2024 is to strive for a year-on-year increase of about 20%; based on this calculation, the company's annual revenue this year is expected to reach around 38.3 billion yuan. The company's revenue in the first half of the year has already completed nearly 60% of the annual target, exceeding market expectations. In comparison with the market, against the backdrop of the white liquor industry being in a deep adjustment period, Shanxi Fenjiu still achieved growth against the trend on a high base, and its leading position is solid.

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In view of Shanxi Fenjiu's impressive performance, many institutions have paid close attention after the release of the semi-annual report. CICC, Shenwan Hongyuan, Everbright Securities, Guojin Securities and other securities companies have issued research reports, all giving Shanxi Fenjiu a "recommend" or "buy" rating. The latest rating report released by Orient Securities maintains a "buy" rating for Shanxi Fenjiu, with the highest target price at 237.38 yuan.

The leading domestic beauty brand, Pechoin, has delivered a brilliant report in the first half of the year, with revenue breaking through the 5 billion yuan mark for the first time, reaching 5.001 billion yuan, a year-on-year increase of 37.90%; the net profit attributable to the parent company was 702 million yuan, a year-on-year increase of 40.48%; the non-IFRS net profit was 679 million yuan, a year-on-year increase of 41.78%. The company's semi-annual revenue scale ranks first among domestic beauty companies.

It is worth mentioning that by the end of the second quarter, GIC Private Limited has increased its holdings in the company for two consecutive quarters, holding a total of 9.1014 million shares; the National Social Security Fund 109 portfolio has increased its holdings for three consecutive quarters, with a position of 5.3468 million shares. In addition, in the second quarter, Schroders Global Fund Series China A-Shares (Exchange) newly entered the company's shares with 2.1607 million shares.

Cinda Securities stated that the company's semi-annual report performance continues to be eye-catching, with multiple core brands driving high performance growth, and is optimistic about the long-term growth potential of the leading domestic beauty brand, maintaining a "buy" rating.

Many photovoltaic concept stocks have risen, and institutions are optimistic about the opportunities in the sector

This week, the most noteworthy is that the photovoltaic leaders Longi Green Energy and TCL Zhonghuan have announced price increases, bringing a glimmer of hope to the photovoltaic industry, which has been mired in low-price competition.

Driven by favorable stimuli, the photovoltaic equipment and wind power equipment sectors have seen a significant increase this week. Among them, the weekly increase of Sungrow Power was as high as 13.04%, and Penghui Energy surged by more than 20%, with Fuxin, Goldwind Technology, TCL Zhonghuan and other stocks rising by more than 10%.Several photovoltaic inverter companies have disclosed their semi-annual reports, with leading companies showing improved performance. Among them, Sungrow Power Supply reported a net profit attributable to the parent company of 4.959 billion yuan, a year-on-year increase of 13.89%; Deye Stock profited 1.236 billion yuan, a slight decrease of 2.21%; Jinlong Technology achieved a profit of 352 million yuan, a year-on-year decrease of 43.83%; and Shangneng Electric achieved a net profit attributable to the parent company of 161 million yuan, a year-on-year increase of 18.9%.

In the secondary market, after reaching its peak in August 2021, the stock price of Sungrow Power Supply has fluctuated and declined in recent years, but it still firmly holds the throne of "the most valuable photovoltaic company" in the A-share market. Pacific Securities stated that as a global leader in the photovoltaic and energy storage industry, Sungrow Power Supply has a deep accumulation in the domestic market, and its overseas inverter and energy storage business have obvious advantages, which is expected to fully benefit from the continuous growth in industry demand.

Zhu Yue, an analyst at CITIC Construction Investment, believes that currently, the photovoltaic sector is at the bottom of its fundamentals and profitability, but recent positive marginal changes are occurring. On one hand, domestic projects have started to be delivered in August, and it is expected that component production will continue to rise from September to November, with marginal improvement on the demand side of the industry; on the other hand, the bottom of the industry chain's profitability is becoming clearer, and the improvement on the supply side of the industry is accelerating.

The latest research report from Dongguan Securities indicates that as global power grids increase investment, the inverter industry is facing new opportunities to go overseas. Individual stocks to watch include Sungrow Power Supply, Jinlong Technology, and Deye Stock.

27 stocks have been upgraded by securities firms this week, including Unisplendour Corporation, Shennan Circuits, Tuojing Technology, and Paring Bioscience.

On August 29, Industrial Bank successfully closed the syndicated loan for "Unisplendour Corporation's acquisition of New H3C," helping the new Unisplendour Group and Unisplendour Corporation to complete the acquisition of the remaining equity of New H3C. New H3C is an important subsidiary of Unisplendour Corporation, holding a 51% stake, and ranks in the first tier in the Chinese market for Ethernet switches, enterprise network switches, campus switches, and enterprise network routers. If the acquisition is completed, Unisplendour Corporation's stake in New H3C will increase from 51% to 81%.

Caixin Securities stated that considering the development potential of Unisplendour Corporation as a leader in the entire ICT industry chain, and the expected significant increase in profits from future equity acquisitions, the rating has been upgraded to "Buy."

In addition, among the stocks that received ratings from more than two institutions this week, 10 stocks have a price increase space of more than 80% compared to the consensus target price predicted by institutions. Among them, Huanghai Bio, a global leader in alanine, has a price increase space of more than 158%.

On July 28, Huanghai Bio's biological method L-methionine project successfully passed the scientific and technological achievement appraisal organized by the China National Light Industry Council and has built the first domestic 3,000-ton/year biological method production line for L-methionine. Methionine is the only sulfur-containing amino acid essential for humans and animals, with a broad market size.Due to short-term performance pressure, the stock has continued to plummet since May of this year, with a cumulative decline of over 60%. Huahan Biotech is a leading enterprise in synthetic biology, with its main business in anaerobic processes for alanine and valine being industry-leading. The three new products and new varieties of amino acid products are expected to contribute to new profit increments.