J.P. Morgan China/HK FTM 29 Jun 26 Luxshare - A; Iluvatar CoreX - H; NetEase; Budweiser Asia Pacific; China Economics; Greater China Data Watch

Research evidence excerpt

J.P. Morgan China/HK FTM 29 Jun 26 Luxshare - A; Iluvatar CoreX - H; NetEase; Budweiser Asia Pacific; China Economics; Greater China Data Watch

Asia Pacific Equity Research

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China/HK First to Market 29 June 2026

Top Stories

Luxshare - A (002475.SZ, OW – Rmb68.00), China (Billy Feng)

Stronger-than-expected iPhone demand and potential optical module ramp to drive growth: buy on

correction

Luxshare’s share price fell c.9% today, vs a 2% sector index correction. We attribute this to rising market

concerns on iPhone volume drop, after Apple announced it would raise prices of Macbooks and iPads (no

price hike for iPhone, link) to offset memory cost hikes. In our view, investors overreacted given iPhones are

not on the price hike list, while our supply-chain checks suggest resilient iPhone volume and favourable

iPhone mix in 2026. We expect this to bring incremental JV income for Luxshare, along with margin

enhancement. With potential ramp up of optic transceiver modules from 2H26, which is accretive to

company margins and valuation, we believe this is a buy-on-dip opportunity. Reiterate OW with extended

Jun-27 PT of Rmb97.

Iluvatar CoreX - H (9903.HK, OW – HK$684.00), China (Billy Feng)

CSP design-wins and next generation GPU ramp to accelerate sales growth; remain OW

With higher ASP and margin, volume ramp up of next generation high-end GPU could drive Iluvatar CoreX’s

sales/earnings from end 2026, in our view. We revised up 2027/28E sales by 52% and 40%, respectively,