The 720: AI Debt Issuance, China RVC, BEKE, Yingliu, Busy Ming, Japan Defense, Australia Strategy, US Software, Oil

研报英文原文证据摘录

The 720: AI Debt Issuance, China RVC, BEKE, Yingliu, Busy Ming, Japan Defense, Australia Strategy, US Software, Oil

to Rmb82.4, reflecting an updated capacity-expansion

schedule and management’s decision to prioritize volume growth and market share over

aggressive pricing. For 2Q26, we forecast revenue of Rmb916mn and net profit of

Rmb118mn, up 27% and 23% yoy respectively, with gross margins recovering to 34.5%

as raw-material cost pressures ease. Order momentum remains robust with backlog

exceeding Rmb2.2bn, supported by extended long-term agreements with Baker Hughes

through 2031 and deepening cooperation with Siemens Energy. While the market

debates the sustainability of global gas-turbine order growth, we remain constructive on

the stock’s risk-reward profile as hyperscaler data center power demand should provide

long-term visibility. Zhou Li

First Tractor – High-HP momentum builds into 2Q26 – Buy. We raise our 12m TPs to

Rmb21.3 and HK$13.9 as we expect the company to be a key beneficiary of a sustained

recovery in China’s agricultural tractor market. Industry data points to strong

momentum, with 2Q medium-to-high horsepower production up 22% yoy and high-HP

output surging 41%, supported by resilient exports and improving domestic demand

driven by favorable crop pricing. Benefiting from this demand rebound and a

record-high product mix upgrade, we forecast 2Q26 revenue growth of 25% yoy and

core EBIT growth of 40% alongside gross margin expansion to 16.8%, though net profit

growth will likely be a more modest 6% due to a high base from one-off gains last year.

Nick Zheng

Themes in Play | Busy Ming, Japan Defense, Korea Financials

Busy Ming – Store Count Surpasses 2026 Estimates – Buy. According to media reports,

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