[Guojin Machinery] Seek Certainty from AI, Seek Growth from Traditional Machinery

English summary

With the extreme market style in Q2 coming to an end, two directions are recommended: 1) AI equipment with strong certainty and long-term benefits: gas turbines, semiconductor equipment; 2) traditional machinery at historical low valuations with improving prosperity: agricultural machinery, machine tools, engineering machinery. Gas turbines: North American power shortage is moving from expectations to reality; AIDC electricity demand as a share of total US electricity is expected to rise significantly by 2027, becoming a bottleneck, accelerating Chinese gas turbine main engines and parts exports. Growing orders at leading domestic and overseas companies confirm accelerating prosperity. Top picks: Yingliu + Jereh; focus on Xizi Clean Energy, China Shipbuilding Power. Semiconductor equipment: seek low localization rate + price inflation; backend expectations gap larger than frontend, especially testing. Top picks: Lianxun Instruments, Jiaocheng Ultrasonic. Agricultural machinery: domestic sales stabilizing, large tractor output growth above 30% for three consecutive months and accelerating; exports continue high growth. June large tractor output +58.6%, exports +63.6%, accelerating. Leading companies' valuations remain at historical lows. Top pick: First Tractor (A+H). ...