Latest Search
Quote
| Back Zoom + Zoom - | ||||
|
<Research>Jefferies Envisions CN Mkt Consolidation Inevitable; POEs Have Humungous Growth Opportunities
Recommend 30 Positive 56 Negative 17 |
||||
|
||||
|
Under the “15th Five-Year Plan”, China is transitioning from “common prosperity” to an era dominated by AI and high-tech manufacturing, which will be an era of private enterprise (POE) economy, containing humungous growth opportunities, a Jefferies research report indicated. As most of the returns driven by P/E become a thing of the past, market consolidation is inevitable. Meanwhile, China's P/E growth rate remained attractive, with the profit growth momentum expected to accelerate. Jefferies outlined five key themes for 2026, including: 1) Buying high-growth technology and manufacturing stocks with improving earnings. Recommended Hong Kong-listed companies include INNOVENT BIO (01801.HK), WUXI XDC (02268.HK), JLMAG (06680.HK), and YOFC (06869.HK). 2) Buying stocks with continuously upwardly revised earnings forecasts. Recommended Hong Kong-listed companies include TENCENT (00700.HK), ZIJIN MINING (02899.HK), NONGFU SPRING (09633.HK), CMOC (03993.HK), WUXI APPTEC (02359.HK), CHINAHONGQIAO (01378.HK), POP MART (09992.HK), HANSOH PHARMA (03692.HK), JD HEALTH (06618.HK), CHALCO (02600.HK), FUYAO GLASS (03606.HK), GEELY AUTO (00175.HK), GF SEC (01776.HK), CICC (03908.HK), WUXI XDC (02268.HK), SUNNY OPTICAL (02382.HK), GOLDWIND (02208.HK), GUANGDONG INV (00270.HK), CNBM (03323.HK) and MEITU (01357.HK). 3) Buying stocks with sustainable yields and buyback programs. Recommended Hong Kong-listed stocks include ICBC (01398.HK), CCB (00939.HK), CHINA MOBILE (00941.HK), PING AN (02318.HK), CNOOC (00883.HK), MIDEA GROUP (00300.HK), PICC GROUP (01339.HK), HAIER SMARTHOME (06690.HK), CSC (06066.HK), GEELY AUTO (00175.HK), WH GROUP (00288.HK), CHINA RES BEER (00291.HK), WANT WANT CHINA (00151.HK), GUANGDONG INV (00270.HK), ZHEJIANGEXPRESS (00576.HK), MINTH GROUP (00425.HK), YADEA (01585.HK), U-PRESID CHINA (00220.HK), SINOPEC SEG (02386.HK), HENGAN INT'L (01044.HK), SANY INT'L (00631.HK), and GUANGSHEN RAIL (00525.HK). 4) Paying attention to A-shares that may list in Hong Kong in 2026, which include HYGON INFORMATION (688041.SH), NAURA (002371.SZ), INOVANCE TECH (300124.SZ), YILI (600887.SH), NARI (600406.SH), and AMEC (688012.SH). 5) Buying stocks with high Return on Invested Capital (ROIC) and avoiding stocks whose ROIC has peaked. Recommended Hong Kong-listed stocks include TENCENT (00700.HK), CMOC (03993.HK), WUXI APPTEC (02359.HK), CHINAHONGQIAO (01378.HK), POP MART (09992.HK), HANSOH PHARMA (03692.HK), FUYAO GLASS (03606.HK), GEELY AUTO (00175.HK), SINO BIOPHARM (01177.HK), LAOPU GOLD (06181.HK), WUXI XDC (02268.HK), SUNNY OPTICAL (02382.HK), TINGYI (00322.HK), and MEITU (01357.HK). AAStocks Financial News |
||||
Copied to Clipboard
 |
||||
