Zhitong Hong Kong Stock Exchange Unravels | Rumors of resurgence of brokerage mergers and acquisitions trigger a strengthening of real estate

[Anatomy Dashboard]

In this environment, it is generally dangerous for the index to open higher. The probability is that they will make up for the gap. Today, both markets are in this situation. The Hang Seng Index opened high and fell, closing slightly higher by 0.02%.

The US Bureau of Labor Statistics said in an announcement that due to the inability to fully collect data during the government shutdown, the agency will not release the October non-farm payrolls report. However, it will release the September non-farm payrolls data on Thursday, and the data gap has finally been partially filled, but this data is of little reference significance for December.

Overnight, the Federal Reserve released the minutes of the October interest rate meeting. The minutes show that the members of the Federal Reserve “had serious differences” at this meeting where the final decision was made to cut interest rates. Currently, expectations for interest rate cuts are getting lower and lower. Plus, geopolitics are still fermenting, so the market hasn't improved.

Also, according to the central bank's official website, the loan market quoted interest rate (LPR) price was released in November: LPR for a term of 5 years or more was 3.5%, compared to 3.5% last month. The 1-year LPR was 3%, compared to 3% last month. Unchanged for 6 consecutive months. It can be seen that domestic policies also show no signs of easing. This is very bad for the development of the market.

The Japanese stock market is also rebounding. The market expects the Japanese government to announce the long-awaited economic stimulus plan on Friday. Japanese Prime Minister Takaichi Sanae's plan is expected to exceed the 13.9 trillion yen plan introduced by her predecessor, and some lawmakers are pushing for an additional budget of about 25 trillion yen. There were favorable rumors at a critical moment. People familiar with the matter said that China is considering adopting new measures to reverse the downturn in the real estate market.

Sunac China (01918) rose more than 6% due to a “rumor” that stimulated the real estate market in the market. Chairman of Vanke (02202): Shenzhen Railway will work tirelessly with all parties to help Vanke resolve risks in an orderly manner. The stock rose nearly 4%. China Resources Land (01109) and China Overseas Development (00688) all rose more than 2%. Individual stocks in the industrial chain, the intermediary category Shell-W (02423), rose more than 5%; the cement and building materials category Conch Cement (00914) and China Building Materials (03323) rose more than 2%. However, this is just a rumor; it has not been confirmed.

Yesterday's market inertial Nvidia earnings report was very strong. Revenue for the third quarter reached a record $57 billion, higher than the company's overall guidance range, and more than 3% higher than analysts' expectations. The year-on-year revenue growth rate increased from 56% in the previous quarter to 62%. This is the first time in almost two years since the fourth fiscal quarter of fiscal year 2024 that the revenue growth rate has accelerated compared to the previous quarter. The median revenue guide increased 65% year over year, and gross margin rose to 75%. Hwang In-hoon said “Blackwell's sales far exceeded expectations.”

Continuing strong growth, Nvidia's supply chain will naturally be stimulated. Nvidia is planning to use 12-inch silicon carbide substrates in advanced packaging for next-generation GPU chips, which will be introduced by 2027 at the latest. Tianyue Advanced (02631) is a global leader in silicon carbide substrates. It has successfully developed a 12-inch semi-insulated/conductive substrate and entered the Nvidia packaging supply chain. Today's increase is over 5%. Innosecco (02577) collaborated with Nvidia to develop an 800VHVDC architecture, bringing the potential for revenue growth starting in 2027. At one point, it surged more than 4% in the intraday period. Other Nvidia concept stocks, Hongteng Precision Technology (06088) and Huiju Technology (01729), all rose more than 3%.

Performance has been tested, and the bubble theory can be weakened. The cloud business continues to gain momentum in the AI direction. Jinshan Cloud (03896) is up nearly 5% today; the market began speculation early next week. Volkswagen Public (01635) said on the investor interactive platform that the company holds 10.81% of Shenzhen Venture Capital's shares, which is up more than 7% today due to indirect participation in Moore Thread.

Another example of a brokerage merger, China Cinda (01359) announced a suspension notice issued by Cinda Securities Co., Ltd., a subsidiary of the company, on November 19, 2025, that China International Finance Corporation, as one party, has signed a legally binding cooperation agreement with CICC Securities Co., Ltd. and Cinda Securities as the other party regarding the proposed merger (“proposed merger”) to be carried out by CICC through absorption, merger and share exchange.

One of the important improvements in this integration is the capital size of CICC, opening up more space for capital operations; various rankings such as total assets, net assets, revenue and net profit, and customer size will all be raised; with the experience of integrating China Investment in the past, future integration results can be expected; and related fund licenses will follow up or enter the integration process to further enhance the scale effect of the asset management business. China Cinda (01359), as a beneficiary, rose more than 6% today. Other securities stocks did not increase much; most of them retreated higher.

Currently, big money continues to speculate on banks. Previously, the Agricultural Bank led the team, and now the Bank of China (03988). The bank is following the dividend line, and the overall dividend time for the middle of this year was brought forward. Funding stabilized at the end of the year. Insurance capital was the main driver. Minsheng Bank (01988) rose 3.56%; Postbank (01658) rose 2.7%.

The sporadic performance of consumer stocks, such as China's free trade closure concept (01880), and the textile and apparel Guochao brands Li Ning (02331) and Anta (02020), all rose more than 3%. Are these speculative alternatives to Japanese goods?

The Ningde Era (03750) fell by more than 5% due to the lifting of the ban on shares restricted by Hong Kong stock cornerstone investors today. It has a negative impact on lithium batteries as a whole.

[Section Focus]

Reporters learned from multiple interviews that AI has driven a surge in demand for high-end PCBs, and copper-clad boards, which are key PCBs, have ushered in structural opportunities. Some high-end categories have become popular, and prices have risen simultaneously. Manufacturers such as Jiantao Laminate have raised product prices several times during the year, and cost pressure and demand dividends have become important drivers of price increases. The securities department staff of Nanya New Materials and Huazheng New Materials Company both said that the current capacity utilization rate is high, and there was a price adjustment in October.

In addition, some industry manufacturers are still adjusting the prices of different copper-clad plate products in batches. A source from a domestic copper-clad plate manufacturer said that the price of copper-clad plate products began to fall in 2022 and fell until last year. Although it is currently recovering, it is far from returning to the level of 2021.

Hong Kong stock related products: Jiantao Laminate (01888), Jiantao Group (00148).

[Individual Stock Mining]

Hanson Pharmaceuticals (03692): Domestic alternative sales are growing rapidly, and innovative drugs are gradually entering the harvest period

Recently, the company announced the licensing of its CDH17 targeted antibody conjugate drug (ADC) HS-20110, which it is currently developing, to Roche for global rights outside of Greater China. 2025H1, the company's total revenue was 7.434 billion yuan, up 14.3% year on year; net profit to mother was 3.135 billion yuan, up 15.02% year on year.

Comment: This cooperation is another important example of China's innovative pharmaceutical companies being recognized by top international pharmaceutical companies for their R&D strength in the ADC field. It is worth noting that in the first half of 2025, Hanson Pharmaceuticals' sales revenue of innovative drugs and cooperative products reached 6.145 billion yuan, an increase of 22.1% over the previous year, accounting for 82.7% of total revenue. This figure is significantly higher than the industry average.

As the first third-generation EGFRTKI produced in China, ametinib's sales grew rapidly, and indications continued to expand. According to sample hospital sales data, from 18.41 million yuan in 2020 to 1,784 billion yuan in 2024, the compound annual growth rate was 214%, accounting for about 28% of the total sales of the third-generation EGFRTKI in 2024, ranking first for domestic drugs. Ametinib is actively expanding the indications related to NSCLC. Currently, a total of four NSCLC-related indications have been approved. In 2025, additional adjuvant treatment indications after surgery and treatment of patients progressing after treatment with platinum-containing chemotherapy were added. The NDA for first-line treatment of NSCLC with combined chemotherapy is still under review. Ametinib was approved for marketing by the UK MHRA in June 2025, making it the first innovative drug approved by Hanson Pharmaceuticals to enter overseas markets. The company will continue to strive to obtain EMA's overseas regulatory approval.

As of 2025H1, the company has carried out more than 70 innovative drug clinical trials with more than 40 candidate innovative drugs; 2025H1 added 8 new innovative drugs to clinical trials, including HS-20122 (eGFR/c-MetaDC) and HS-10510 (PCSK9). Three additional phase III clinical trials were added, namely the HS-20137 (IL-23p19) psoriasis trial introduced from Quanxin Biotech, and the global phase III clinical trial for bone and soft tissue sarcoma and HS-20089 (B7-H4ADC) ovarian cancer. Overseas rights for these two ADCs have been granted to GSK. B7-H3ADC

In addition, Hanson's phase III clinical trial of Hanssen's TYK2 inhibitor HS-10374 is also continuing to advance, and the data shows that the risk of skin toxicity is low.