[GF Computer Liu Xuefeng Team | Reaffirming Recommendation for Domestic Computing Power]

English summary

Key considerations for firmly recommending domestic computing power at current position: ①Domestic market demand is relatively independent and huge, local industry chain technology iteration continues to accelerate, market acceptance and deployment penetration rapidly improving, domestic substitution still has large space, industry growth trend certainty is strong. ②Domestic substitution improvement is currently in transition from 0 to 1 to 1 to N, compared to overseas chain which requires high-frequency tracking of data changes and fine-grained PE analysis, disturbances are much fewer. Inspur Information: ①At industry level, supernode large-scale volume trend is clear, high-margin supernodes and switches volume should drive steady improvement in overall company profitability; ②Domestic leading cloud vendors continue advancing overseas computing infrastructure layout, company's servers, supernodes and other core computing hardware products should fully benefit from internet vendors' overseas computing center expansion pace, achieving sustained shipment growth. ③We raised earnings forecast on July 8, expecting 2026 revenue of 218.1 billion yuan, net profit attributable to parent of 5.1 billion yuan. ...