Following a two-day lull, the HUABAO SHANGHAI SCIENCE AND TECHNOLOGY INNOVATION BOARD ARTIFICIAL INTELLIGENCE TRADING OPEN ENDED INDEX SEC (589520), which focuses on the domestic AI industry chain, has regained its momentum. Its intraday price surged by 3.34% and is currently up 2.78%.
Among its component stocks, Sikan Technology led gains, rising over 9%, while Lingyun Guang increased by more than 8%. Among the weighted stocks, Cambricon Technologies Corporation Limited and Langqi Technology rose over 2%, and Xinyuan shares gained more than 4%.
Driven by the AI boom, the semiconductor sector is experiencing a rare, significant uptrend. Despite substantial recent gains, noted economist Hong Hao believes the semiconductor rally is far from over. This year, AI Agents have begun to impact the physical world, generating explosive demand for memory semiconductors. Many memory companies have reported earnings growth of tenfold or even several dozen times, with production capacity for the next two years potentially already sold out. Semiconductor profitability is unlikely to be disproven for at least the next two years, suggesting the rally has further room to run.
Looking ahead, Guotai Haitong Securities posits that the evolution of AI Agents from "chatting" to "acting" is expected to initiate the next inflationary cycle within the industry chain. The implementation of Agents will lead to an exponential leap in Token consumption (projected to grow over 300 times from 2024 to 2025), further intensifying supply-demand imbalances. This is anticipated to trigger a new round of resource competition and price increases across the entire industry chain. AI-driven inflation has already spread from upstream core hardware to the mid-and-downstream segments, forming a systemic cost transmission mechanism. The current industry-wide price surge is reshaping the semiconductor value distribution, with upstream segments holding core technological barriers poised to be the primary beneficiaries.
Notably, on the performance front, Cambricon Technologies Corporation Limited successfully removed its "U" suffix in March, signifying a transition for AI companies from the technology investment phase to the commercial returns phase. Driven by AI computing power demand, the domestic AI industry chain may be approaching an inflection point in earnings. At the industrial level, the market may be underestimating the impact of DeepSeek-V4's release on the domestic computing power supply chain. Guotai Junan Securities stated that significant progress has been made in the native adaptation of DeepSeek-V4 with domestic chips, which could reshape the global AI industry chain's profit distribution, with the hardware segment likely to benefit first from the industry's development dividends.
Looking forward, Galaxy Securities expressed firm confidence in the AI theme for the full year 2026. China Securities Co., Ltd. pointed out that first-quarter earnings reports validate that the AI computing power sector is transitioning from a "thematic concept" to an "earnings realization" phase. Compared horizontally across the entire market, it remains a scarce high-growth track. Orient Securities believes that the domestic computing power-related industry chain, including domestic computing power chips and super nodes, is expected to accelerate its volume growth.
[A Beacon of Domestic Substitution, Fostering Sci-Tech Self-Reliance] The HUABAO SHANGHAI SCIENCE AND TECHNOLOGY INNOVATION BOARD ARTIFICIAL INTELLIGENCE TRADING OPEN ENDED INDEX SEC (589520) and its feeder funds (Feeder A: 024560, Feeder C: 024561) concentrate on the domestic AI industry chain. Their component stocks include leading domestic GPU companies (e.g., Cambricon Technologies Corporation Limited), leading domestic ASIC firms (e.g., Xinyuan), and leading AI application companies (e.g., Kingsoft Office). The semiconductor industry holds a weight of nearly half, providing strong offensive potential. The software industry accounts for over 30% of the weight, positioning it to benefit from potential catch-up rallies in AI applications. Furthermore, this ETF is a margin trading and securities lending target, serving as an efficient tool for a one-stop allocation to domestic computing power.
Risk Disclosure: The HUABAO SCI-TECH AI ETF passively tracks the SSE Science and Technology Innovation Board Artificial Intelligence Index. The index base date is December 30, 2022, and it was published on July 25, 2024. Its annual performance for 2023 and 2024 was 12.68% and 32.36%, respectively. The index constituent stocks are adjusted according to its compilation rules, and its backtested historical performance does not indicate future results. Individual stocks and index constituents mentioned herein are for illustrative purposes only. Descriptions of individual stocks do not constitute investment advice in any form, nor do they represent the holdings information or trading动向 of any fund managed by the manager. The fund manager assesses the risk rating of the HUABAO SCI-TECH AI ETF as R4 (Medium-High Risk), suitable for Aggressive (C4) and above investors. Suitability matching opinions are subject to the sales institution. All information appearing in this article (including but not limited to individual stocks, comments, forecasts, charts, indicators, theories, and any form of expression) is for reference only. Investors are responsible for any independent investment decisions. Furthermore, any views, analysis, or predictions herein do not constitute investment advice of any kind to readers, and no liability is accepted for any direct or indirect losses arising from the use of this content. Fund investment carries risks. The past performance of a fund does not represent its future performance. The performance of other funds managed by the fund manager does not guarantee the performance of this fund. Invest in funds with caution.
A MACD golden cross signal has formed, and these stocks are performing well.
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