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MINIEYE(2431)
Analysis¡G
MINIEYE continues to iterate on its intelligent driving solutions, further perfecting its intelligent driving product matrix. In February of this year, the group launched the iPilot 4 Plus intelligent driving solution, built on the Horizon Journey 6M chip. It can integrate with multiple sensors such as LiDAR, enabling urban navigation assistance that covers full scenarios across urban areas, highways, and parking lots, along with valet parking functions from parking space to parking space. Relying on end-to-end algorithms, it further optimizes decision-making efficiency and generalization capabilities in complex scenarios.
In June of this year, the group launched the higher-performance iPilot 4 Pro intelligent driving solution, which is developed based on a chip solution with 256 TOPS of higher computing power. It not only provides a more intelligent and comfortable urban navigation experience but also achieves breakthroughs in complex scenario decision-making, extreme weather handling, and coping with complex intersections, effectively expanding the adaptation range for urban scenarios and improving traffic efficiency and avoidance response speed. The iPilot 4 Pro has secured platform-type project designations from vehicle manufacturers and is expected to enter mass production in the first half of 2026.
The group continues to build a progressive intelligent driving business layout from L0 to L4 levels, and achieved breakthrough progress in its L4 autonomous driving business, iRobo, during the first half of this year. Among these, the L4 unmanned minibus business took the lead in achieving a breakthrough, completing commercial deployment in Suzhou in February. This milestone signifies that the group¡¦s L4 autonomous driving technology has gained market validation and has officially become a new business growth point. Subsequently, the unmanned minibus business accelerated its expansion, with operations landing in multiple provinces and cities across the country, including Heilongjiang, Shanghai, and Hangzhou, cumulatively securing over 10 projects.
At the same time, the group has keenly captured opportunities in new scenarios: since this year, driven by the dual forces of local government policy support and an influx of industrial capital, unmanned logistics and other cargo-carrying scenarios have ushered in a period of commercial explosion. Leveraging its first-mover advantage in L4 autonomous driving technology, the group has focused on technical research and product development in unmanned logistics and other cargo-carrying scenarios, while actively exploring commercialization opportunities. In the intelligent cockpit business area, the group consistently focuses on iterating product functions and optimizing integration, committed to providing customers with more intelligent and cost-effective solutions.
The group continues to expand its customer cooperation ecosystem, building on close partnerships with multiple vehicle manufacturers and tier-one suppliers to further broaden customer coverage, showing a trend of extending from domestic independent brands to joint-venture vehicle manufacturers. As of June 30, 2025, it has cumulatively provided mass production for 42 automotive original equipment manufacturers (vehicle manufacturers), and added 18 new project designations from vehicle manufacturers and tier-one suppliers in the first half of this year. Designated vehicle model platforms are typically used to manufacture a series of models that share similar components, systems, and functions, differing from single-model designations, which can correspond to higher expected mass production scales and reduce the associated costs of developing and customizing solutions for each model. Therefore, the group can deliver solutions more quickly and effectively through standardized development processes, achieving start-of-production (SOP) for more models and thereby improving operational efficiency. (I do not hold the aforementioned stock)
Strategy¡G
Buy-in Price: $25.00, Target Price: $27.50, Cut Loss Price: $23.70
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COSCO SHIP ENGY(1138)
Analysis¡G
On September 8, the company announced plans to raise RMB 8 billion through an A-share placement to fund the construction of 6 very large crude carriers, 2 LNG carriers, and 3 Aframax crude oil tankers. This move directly fueled market optimism about capacity upgrades. On September 11, the VLCC TD3C freight rate reached $74,338 per day, a year-on-year increase of 113%, surpassing the peak season data for Q4 of 2023 and 2024. On September 12, the Worldscale freight rate point stood at 93.6, up 7.4% compared to the previous day. On the demand side, the market benefits from OPEC+'s continued production increases. On the supply side, limited deliverable capacity and ongoing sanctions by the U.S. and Europe against Russian and Iranian fleets have tightened overall fleet supply. Meanwhile, demand is shifting toward compliant fleets, widening the supply-demand scissors gap. The tight supply-demand dynamics during the Q4 peak season will be clearly reflected in freight rates, with the current cycle's peak rates expected to break new records.
Strategy¡G
Buy-in Price: $9.00, Target Price: $9.90, Cut Loss Price: $8.20
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Tencent (00700.HK) - AI-powered growth drives robust performance across all business segments
Financial performanceIn the second quarter of 2025, the company reported total revenue of CNY 184.5 billion, representing a year-on-year increase of 14.5%. In terms of profitability, operating profit reached CNY 60.1 billion, up 18.5% year-on-year, with the operating profit margin rising from 31.5% in the same period last year to 32.6%. Net profit attributable to equity holders of the company was CNY 55.6 billion, reflecting a year-on-year growth of 16.8%. By segment, Value-added Services revenue in 2Q25 saw robust growth, increasing by 15.9% year-on-year to CNY 91.4 billion, primarily driven by the sustained stability of top games. Online Marketing Services revenue grew by 19.7% year-on-year to CNY 35.8 billion, benefiting from improved user engagement, continuous AI upgrades to the advertising platform, and optimizations in the WeChat transaction ecosystem. FinTech and Business Services revenue increased by 10.1% year-on-year to CNY 55.5 billion, mainly due to growth in consumer loan services, wealth management services, as well as increased cloud services revenue and merchant service fees. Performance SummaryGaming Business
In the second quarter of 2025, the company's game revenue increased by 22.1% year-on-year to CNY 59.2 billion, accounting for 32.0% of total revenue, up from 30.1% in the same period last year. Among this, international market game revenue reached CNY 18.8 billion, a year-on-year increase of 35.3%, primarily driven by revenue growth from PUBG MOBILE and contributions from newly launched games. Domestic market game revenue grew by 16.8% year-on-year to CNY 40.4 billion, benefiting from sustained revenue growth of evergreen titles and the strong performance of the new game Delta Action, which achieved an average DAU of over 20 million in July, ranking among the top five in the industry by daily active users and top three by revenue. With a broader and more platform-diversified game portfolio, management expects reduced volatility in overall game revenue growth. Social Networks Business
In the second quarter of 2025, the company's Social Networks revenue increased by 6.3% year-on-year to CNY 32.2 billion, primarily driven by growth in game virtual item sales, live streaming services from Channels, and music subscription revenue. WeChat's user traffic continued to grow in 2Q25, with combined MAU reaching 1.411 billion, up 2.9% year-on-year. Meanwhile, monthly active accounts on QQ's smart terminal saw a slight decline compared to the same period last year. The number of registered paid value-added service subscriptions remained stable at 264 million year-on-year. Tencent Music's paid members recorded healthy growth, while Tencent Video's subscription count experienced a decline. Marketing Services Business
In the second quarter of 2025, the company's online marketing services revenue increased by 19.7% year-on-year to CNY 35.8 billion, primarily driven by AI-powered upgrades in advertising technology and new ad inventory from the Channels transaction ecosystem. According to management, the company enhanced its AI capabilities across advertising creation, placement, recommendation, and performance analysis, significantly improving ad click-through rates, conversion rates, and return on investment. This was achieved by deploying an upgraded foundational model to revamp the advertising platform architecture, which comprehensively analyzes cross-application/service ad click-through rates, transaction data, and user interactions with text, images, and videos to determine user interests in real time and optimize ad performance. Management noted that the company's short-form video ad load rate remains in the low single digits, compared to the industry average of 10%-15%. With continued AI-driven microtargeting, growing user traffic, and increasing advertiser demand, management expects advertising revenue to maintain healthy growth. FinTech and Business Services Business
In the second quarter of 2025, the company's FinTech and Business Services revenue reached CNY 55.5 billion, representing a year-on-year increase of 10.1%. Revenue growth from FinTech services accelerated to mid-to-high single digits, primarily driven by commercial payment services and consumer credit offerings. Business Services revenue achieved double-digit year-on-year growth. Cloud services revenue growth accelerated compared to recent quarters, mainly due to increased demand for GPU leasing to support AI workloads and growth in API token revenue. Company valuationGiven the company's better-than-expected growth in gaming and advertising businesses, sustained operating leverage effects, and the empowering role of AI technology across its ecosystem, we have accordingly raised our profit forecasts. Consequently, we upwardly revise our revenue estimates for 2025-2027 to CNY 746.7/828.6/917.6 billion, with adjusted net profit attributable to equity holders projected at CNY 259.1/279.2/313.9 billion. Corresponding EPS estimates are CNY 28/30/34, implying P/E ratios of 20/18/16x at the current share price. Based on SOTP valuation methodology, applying a 10% holding discount to the latest market values or valuations of subsidiaries and invested companies, we derive a total target market capitalization of CNY 5.6 trillion for Tencent in 2025. This corresponds to a target price of HKD 682 per share. We maintain our rating as 'Accumulate'. 
Risk factors1) Strict gaming regulations;
2) Weak macroeconomic environment;
3) Potential competitive threats from existing and emerging social platforms. Financials
(Current Price as of: Sep 10 2025)
Exchange rate: HKD/RMB = 0.91
Source¡G PSHK Est. Download PDF version...
| Recommendation on 16-9-2025 | | Recommendation | Accumulate | | Price on Recommendation Date | $ 633.500 | | Suggested purchase price | N/A | | Target Price | $ 682.000 |
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