Tracking of Hong Kong concept stocks | "Big hit! Over 2 million people pre-ordered Huawei's three-fold folding screen phone, paying attention to industry chain investment opportunities (with concept stocks)"

After the Huawei Mate 60 series, Huawei has ignited the market with another new phone. At 12:08 on September 7, the highly anticipated Huawei foldable phone Mate XT Master opened for pre-order. As of 12:08 on the 8th, within 24 hours, more than 2 million people had pre-ordered the product on the Huawei website, reaching 2.05 million. It is understood that this foldable phone will be officially released at the Huawei event on September 10, and the price will be announced at that time, with official sales starting at 10:08 on September 20. The official Huawei website shows that the Huawei Mate XT Master has two configuration versions, 16+512GB and 16+1TB. In terms of appearance, the Huawei Mate XT comes in two colors, Ruired and Black, with an octagonal rear camera design with four cameras and a metal color for the lens and the phone's perimeter. In August of this year, Yu Chengdong was seen using a foldable screen phone in the cabin of an airplane, and the internal screen of the foldable screen phone is much larger than that of a regular foldable phone when fully opened. Yu Chengdong also revealed in Dong Yuhui's live broadcast room, "Other people can think of the next generation of foldable screens, but can't make it. We've been thinking about it for five years, and it finally might be coming out." According to IDC data, in the second quarter of 2024, the shipment volume of foldable screen phones in China increased by 104.6% year-on-year, reaching 2.57 million units. With the release of more new generation foldable screen products from manufacturers, and the addition of foldable screen product lines from companies like Honor, it is expected that the second half of the year will see rapid growth in the Chinese foldable screen phone market, with better development than the global foldable screen phone market. Some analysts have said that the current penetration rate of foldable screen phones is increasing, and Huawei's foldable screen phone may boost market sentiment. Recently, foldable screen concepts continue to receive attention from investors, and several listed companies have replied to related questions on interactive platforms. On September 6, Kunshan Kersen Science & Technology announced a 10-consecutive limit, saying that the company's foldable screen hinge assembly business has a single customer, and the company currently assembles foldable screen hinges using purchased components. As of now, no revenue has been generated in 2024, and the company expects that the revenue generated by this business in the year will account for less than 1% of the annual revenue in 2024. Earlier, the company revealed that Apple and Huawei are its partners, but Apple has not yet launched a foldable screen phone, which may indicate that they are a supplier for Huawei's foldable screen products. Lens Technology, when asked if they are participating in Huawei's foldable screen business, said in an investor interaction platform, "The company has formed long-term strategic cooperation with major consumer electronics brands as the main supplier of appearance components, structural components, and functional modules." Shenzhen Microgate Technology stated that the company mainly provides basic electronic components for power management and signal processing units in phones, and similarly for foldable screen phones. As the company has signed confidentiality agreements with some customers, they have not disclosed their cooperation relationships with all customers. Visionox Technology Inc. mentioned that the company has accumulated a lot of leading technology in the foldable field, and has already supplied multiple foldable products to various brand customers. Specific product information should be followed based on the release by end customers. Huafu Securities stated that the pre-order numbers for Huawei's foldable phone are still growing. Compared to regular foldable screens, the three-fold screen phone will add an extra hinge, opening up further market space for the hinge. It is recommended to pay attention to the production and processing of foldable screen hinges, and the application of titanium alloy materials in foldable screen phones. In addition, foldable screen phones may bring new changes to assembly and testing methods. Guosen has recommended focusing on related targets in Huawei's industrial chain, such as NBTM New Materials Group, DBG Technology, Shenzhen Sunlord Electronics, Electric Connector Technology, etc. Related stocks: SUNNY OPTICAL (02382): As a major supplier of camera modules for Huawei, Sunny Optical has held the top two spots in market share for many years. The company is expected to continue benefiting from the innovation and upgrade of optical technology in smartphones and the accelerated penetration of ADAS systems in cars. The long-term growth logic for multiple cameras/3D/car mounted applications is apparent. In late August, Bank of America Securities released a research report stating that it has raised the target price of SUNNY OPTICAL (02382) from 70 Hong Kong dollars to 75 Hong Kong dollars and reiterated a "buy" rating. The report pointed out that the company's performance in the first half of the year showed improvements in all aspects of its business, driven by adjustments in its product portfolio, resulting in increases in average selling prices and gross margins. The company also shows more confidence in the development of AR applications. The bank forecasted a 6% to 9% increase in profits for Sunny Optical from 2024 to 2026, and management has raised its full-year operating guidance. Furthermore, better-than-expected progress from Apple's projects is expected to support the company's business next year and in 2026. Q TECH (01478): Q TECH is a Chinese domestic manufacturer of camera modules, focusing on the mid-to-high-end camera module market for Chinese brand smartphones and tablets. Q TECH is one of the few manufacturers in China to use COB and COF assembly techniques in camera module manufacturing and is one of few local manufacturers with the capability to produce fingerprint recognition modules using various processes. China Soft International (00354): Northeast previously mentioned that China Soft International is expected to benefit from the development of the Harmony OS ecosystem, entering a period of rapid expansion. Shenwan Hongyuan Group pointed out that CHINASOFT INT'L, as the first IT service provider to sign a Harmony OS element service agreement with Huawei, provides end-to-end solutions for Harmony OS native applications, element services, third-party SDK development, testing, and operations, helping enterprises quickly, efficiently, and low-costly embrace Harmony OS. It has already signed up in the hotel tourism, government, finance, etc. sectors, showing transformations to digitalization.Yong has signed contracts with dozens of clients in industries such as finance and healthcare, and has launched over ten HarmonyOS native applications and microservices.BOE VARITRONIX (00710): Previously, Huawei P20 Pro and Huawei P30 series phones used screens from BOE.