The State Council has issued the "15th Five-Year Plan for National Health," outlining a comprehensive strategy to build a Healthy China over the period. The plan details 24 key tasks. These include fostering the entire development and application chain for innovative drugs and medical devices, optimizing the review and approval processes for such products, and accelerating the construction of new information infrastructure like 5G, gigabit optical networks, and mobile IoT. It also aims to promote the development of a national integrated computing power network, expand automotive consumption by fostering innovation across the entire automotive circulation and consumption chain, and support the intelligent upgrade of home and appliance consumption. Furthermore, the plan seeks to promote the sustained and healthy development of the real estate market, consolidate the stable and positive momentum in the capital markets, increase urban and rural residents' property income through multiple channels, and strengthen redistribution adjustments through taxation, social security, and transfer payments.
Market Outlook
Storage-related stocks experienced a significant decline overnight. SanDisk fell over 12%, while SK Hynix dropped more than 9%, and Seagate Technology declined over 5%. Optical communication stocks were broadly lower. Oil and gas stocks generally rose, with EOG Resources and ExxonMobil up over 4%. The Hang Seng Index ADRs closed slightly lower. NYMEX WTI crude oil futures for the current month surged by $6.59, settling at $78.0 per barrel, a gain of 9.23%. COMEX gold futures for the current month fell by $105.00, or 2.55%, to $4008.7 per ounce.
Focus on Key Developments
The Iranian Strait of Hormuz Authority stated on social media that the Strait of Hormuz is currently impassable due to recent "hostile actions" by US forces. The authority indicated that once stability is restored, all passage applications will be reviewed according to schedule. The US Joint Maritime Information Center announced that a US naval blockade of all Iranian ports and coastal areas would commence. Former President Trump stated on social media that the US would reinstate a maritime blockade on Iran and impose a 20% fee on all cargo transiting the Strait of Hormuz. International oil prices surged over 9% overnight.
Midea Group (00300) has secured nearly 200,000 additional air conditioner orders for the European market over the past month, responding to a surge in demand driven by persistent extreme heat across the continent. The orders are being fulfilled through coordinated production at its factories in Nansha, Guangzhou and Wuhu.
Shenghong Technology (02476) issued a clarification, stating that negative rumors circulating online regarding its products, market share, and project progress are seriously inaccurate and have caused significant negative impact. The company clarified that the online statements are untrue, emphasizing that it is a long-term strategic partner to leading AI clients, prioritizes quality and safety, and adheres strictly to customer standards. Demand for AI-related PCB products is robust, with orders continuously growing. Production and shipments are normal, and orders from key clients are increasing. The company is in close communication with core clients, and co-developed R&D iteration products are progressing smoothly. Some clients have already indicated long-term demand for 2027–2028, and the company is confident about its future operations and performance.
China Sanjiang Fine Chemicals (02198) issued a positive profit alert, expecting attributable net profit for the first half of the year to increase by approximately 100% to 130% year-on-year. The increase is primarily attributed to the group's dynamic adjustments in procurement strategy, raw material mix, and production mix in response to current commodity market conditions.
Lingbao Gold (03330) also issued a positive profit alert, anticipating an interim net profit increase of about 42% to 57% year-on-year. The growth is mainly due to higher gold prices in the first half of 2026 compared to the same period in 2025, and the consolidation of the financial results of St Barbara Mining Pty Ltd following the completion of a share subscription transaction on April 2, 2026.
New China Life Insurance (01336) expects its first-half net profit attributable to parent company shareholders to be between 20.719 billion yuan and 23.678 billion yuan, representing a year-on-year increase of 40% to 60%.
Zhujiang Group (01300) announced unaudited revenue of approximately 1.7505 billion yuan for the first half of the year, a year-on-year increase of 41.7%. Benefiting from the rapid growth of the global AI Data Center industry, the company has optimized its customer and order structure. Its main products have gained increasing recognition in the AIDC field, driving accelerated growth in revenue and gross profit.
DTECH (01377) forecasts first-half net profit attributable to parent company shareholders in the range of 640 million to 700 million yuan, a year-on-year surge of 300.62% to 338.18%. Strong demand from downstream PCB customers for precision tools and polishing materials, coupled with improved production ramp-up efficiency and scale effects, drove the high-speed growth.
Longpan Technology (02465) issued a positive profit alert, expecting to turn a profit in the first half with attributable net profit between 373 million and 448 million yuan. The recovery is attributed to the development of the power and energy storage battery sectors, which positively impacted the company's lithium iron phosphate business, leading to revenue and sales volume growth and a restoration of profitability through scale effects.
HUAQIN (03296) anticipates interim net profit attributable to parent company shareholders to be between 2.9 billion and 3.05 billion yuan, a year-on-year increase of 53.5% to 61.5%. The estimated growth is primarily due to the sustained growth in operating performance, driven by steady growth in mobile terminals and computing/data center businesses, and the high-speed growth of innovative businesses.
Spotlight on Individual Stocks
CNGR (02579) expects its first-half net profit attributable to parent company shareholders to increase by 70.58% to 84.23% year-on-year. The company seized opportunities in the high-growth global new energy industry. Leveraging its leading position in battery materials, the total sales volume of its core products exceeded 250,000 tons. Ternary precursor sales grew over 50% year-on-year, phosphate material sales increased over 25% with a significant release of profit elasticity, and sodium-ion battery precursor material sales maintained a high growth trend. The company's upstream resource layout has yielded positive results, and its nickel smelting project in Indonesia maintained excellent profitability. The integrated "resource + smelting + material" industrial chain advantage continues to deepen, with all business segments working synergistically to enhance operational safety and cyclical resilience.
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