Dahua Jixian: TENCENT (00700), INNOVENT BIO (01801), and others have been added to the "Buy" list. Maintain a positive outlook on TMT and IT hardware.

Daiwa Capital Markets released a research report stating that Chinese stocks consolidated in August, with the Hang Seng Index and MSCI China Index down 1.2% and 0.4% respectively on a month-on-month basis, generally holding onto the gains from July. The firm remains optimistic about TMT and IT hardware, favoring companies benefiting from capital expenditure related to artificial intelligence, as well as the domestic production of semiconductors and advanced manufacturing equipment. The firm has added Han's Laser Technology Industry Group (002008.SZ), NAURA Technology Group (002371.SZ), INNOVENT BIO (01801), and TENCENT (00700) to its "Buy" list; has locked in profits on BeOne Medicines Ltd. (06160); and has placed stop-loss orders on Eve Energy Co., Ltd. (300014.SZ) and TRIP.COM-S (09961). Daiwa Capital Markets also maintains "Buy" ratings on BABA-W (09988), ASMPT (00522), BYD COMPANY (01211), COWELL (01415), Foxconn Industrial Internet (601138.SH), NTES-S (09999), and Zhejiang Shuanghuan Driveline (002472.SZ). Among these, Tencent has been added to the list based on reasons including revenue and efficiency improvements driven by artificial intelligence, enhanced advertising on WeChat video accounts, approval of game licenses, and expansion of the mixed yuan ecosystem, with a target price of HKD 608. INNOVENT BIO was added based on strong revenue and profit growth, smooth R&D progress, continuous new product launches, and expanding global collaborations, with a target price of HKD 132.