CATL (03750) announced it has signed a memorandum of understanding with European energy storage solutions provider INTILION. Over the next five years, the two parties will deploy 3GWh of CATL's Tianheng energy storage systems in Germany, Switzerland, Austria and other regions, applied to grid-scale and commercial & industrial scenarios.
CATL stated on its investor interaction platform on October 27 that the company continues to firmly invest in all-solid-state batteries, with technology at an industry-leading level, and is expected to achieve small-batch production by 2027. In addition, in recent years the company has accelerated capacity construction progress according to market demand. With the gradual commissioning of capacity this year, the degree of capacity tightness has eased somewhat. However, market demand also continues to grow. Overall, the capacity utilization rate will remain at a relatively high level going forward, maintaining a relatively healthy state.
Market Outlook
The Nasdaq Golden Dragon China Index fell 0.11%. Overnight, as of the close, the Dow Jones Industrial Average rose 15.99 points from the previous trading day to close at 52,377.57, up 0.03%; the S&P 500 rose 45.83 points to close at 7,722.6, up 0.6%; the Nasdaq Composite rose 308.43 points to close at 26,477.81, up 1.18%. Most of the "Magnificent Seven" tech giants rose, with Tesla up 4.04%, Amazon up 1.61%, and Apple up 0.93%. Storage and optical communications sectors strengthened, with Western Digital and Coherent up more than 6%, and SanDisk and Seagate Technology up more than 3%. Energy stocks fell as international oil prices retreated, with Exxon Mobil down 2.51%. Chinese concept stocks were broadly flat overall, with the Nasdaq Golden Dragon China Index down 0.11% at 5,501.01 points, showing divergence among new energy vehicle makers, e-commerce and internet platform stocks.
The Hang Seng Index ADR rose, calculated proportionally to close at 23,128.66 points, up 87.34 points or 0.38% from the Hong Kong close. On the New York Mercantile Exchange, the front-month continuous contract for WTI crude oil futures fell $1.56 to close at $100.2 per barrel, down 1.53%. COMEX gold futures front-month continuous contract rose $34.70, up 0.86%, to $4,073.1 per ounce.
Key Developments
Estun (02715) will acquire approximately 19.4574% equity of Estun Jiangsu Intelligent for approximately RMB 211 million. After completion of the acquisition, the company will hold 69.608% equity of the target company, which will remain a subsidiary of the company, and its financial results will continue to be consolidated into the group's financial statements. Estun Jiangsu Intelligent is mainly engaged in automation, digitalization and intelligent transformation of production lines, providing smart manufacturing solutions for lithium battery, energy storage, new energy vehicle, sheet metal and other markets, building industry technology benchmarks for the company's automation core components and robot products in various niche markets, and achieving large-scale scenario applications. It has cumulatively delivered over a hundred intelligent production lines, continuously empowering the development of the smart manufacturing industry.
Andre Juice (02218): The acquisition of control of Ningbo Yongqiang Technology has completed delivery. Yongqiang Technology has become a controlling subsidiary of the company and has been included in the scope of the company's consolidated financial statements from the date of completion of the industrial and commercial change registration. The board reshuffle of Yongqiang Technology has also been completed. The company nominated 3 directors and has obtained a majority of board seats, enabling it to exercise effective control over Yongqiang Technology.
Hengrui Pharma (01276) reported net profit attributable to shareholders of approximately RMB 6.923 billion for the first three quarters, up 20.38% year-on-year, with basic earnings per share of RMB 1.05. The company continues to increase innovation efforts, maintaining relatively high R&D investment. In the first three quarters of 2026, the company's cumulative R&D investment reached RMB 7.146 billion, of which expensed R&D investment was RMB 5.423 billion.
JL Mag Rare-Earth (06680) reported net profit attributable to shareholders of RMB 760 million for the first three quarters, up 47.48% year-on-year. The company's comprehensive gross margin reached 21.57%, up 2.08 percentage points from 19.49% in the same period last year. In the first three quarters of 2026, the company achieved sales revenue of RMB 3.752 billion in the new energy vehicle and auto parts sector, up 43.44% year-on-year. Benefiting from the continuous release of robot market demand, the company's related product revenue continued to increase, with sales revenue in the robot and industrial servo motor sector reaching RMB 428 million, up 101.77% year-on-year. The company's embodied robot motor rotor module products have achieved micron-level processing precision and have obtained project designations from world-renowned technology companies, currently entering the stage of ramping up production according to customer orders.
Junzheng Holdings (03223) reported net profit attributable to shareholders of approximately RMB 2.616 billion for the first three quarters, up 922.95% year-on-year. The report shows that the company achieved significant growth in all businesses in the integrated circuit field. The company is mainly engaged in the R&D and sales of memory chips, computing chips and analog chips. Among them, the memory chip market demand is strong, product prices continue to rise, driving rapid growth in sales revenue; the computing chip product line also achieved significant growth due to increased market demand; analog chips maintained a stable sales trend.
Joyson Electronics (00699) achieved net profit attributable to shareholders of RMB 958 million and total profit of RMB 1.376 billion for the first three quarters. Joyson Electronics (00699) announced that in the first three quarters of 2026, it achieved operating revenue of RMB 41.887 billion (the same unit below); total profit of RMB 1.376 billion; net profit attributable to shareholders of the listed company of RMB 958 million; and basic earnings per share of RMB 0.62.
Huaqin Technology (03296) reported net profit attributable to shareholders of RMB 4.323 billion for the first three quarters, up 39.53% year-on-year. The performance change was mainly due to the continuous increase in the company's business scale, of which the data business revenue in the current period was RMB 22.456 billion, up 228% year-on-year, and super node products achieved revenue of RMB 6.191 billion. In addition, the increase in operating revenue scale and contributions from upstream and downstream investments in the industry chain jointly led to the rise in total profit and net profit.
Dingtai High-Tech (01377) reported net profit attributable to shareholders of RMB 1.15 billion for the first three quarters, up 307.44% year-on-year. In the first three quarters of 2026, it achieved operating revenue of RMB 3.487 billion (the same unit below), up 139.25% year-on-year; net profit attributable to shareholders of the listed company of RMB 1.15 billion, up 307.44% year-on-year; and basic earnings per share of RMB 2.78.
Wole Nuclear Materials (09981) released its first three quarters performance, with net profit attributable to shareholders of RMB 877 million, up 6.77% year-on-year. In terms of balance sheet items, monetary funds increased 150.92% compared with the beginning of the period, mainly due to the completion of the H-share issuance and receipt of raised funds. Inventory also increased 31.72% compared with the beginning of the period, mainly to ensure timely delivery by increasing raw material and product inventory. Overall, the company's various businesses maintained steady development.
Pharmaron (03759) reported net profit attributable to shareholders of RMB 1.247 billion for the first three quarters, up 9.31% year-on-year. The company's main businesses include laboratory services, CDMO services and clinical research services. Laboratory services generated operating revenue of RMB 7.222 billion during the reporting period, accounting for a relatively high proportion of total operating revenue. CDMO services generated operating revenue of RMB 3.102 billion, showing a good growth trend. Clinical research services generated operating revenue of RMB 1.659 billion, also achieving steady growth. In terms of customer types, revenue from the world's top 20 pharmaceutical companies grew 52.50% year-on-year, accounting for 22.66% of the company's operating revenue; revenue from other customers grew 11.82% year-on-year, accounting for 77.34%.
CanSino Biologics (06185) reported net profit attributable to shareholders of RMB 16.2913 million for the first three quarters, up 12.82% year-on-year. For the nine months ended September 30, 2026, it achieved operating revenue of RMB 882 million, up 27.4% year-on-year; net profit attributable to shareholders of the listed company was RMB 16.2913 million, up 12.82% year-on-year. Basic earnings per share was RMB 0.07.
Guangdong Investment (00270) reported profit attributable to owners of the company of HKD 4.362 billion for the first three quarters, up 7.3% year-on-year. Consolidated revenue from continuing operations was HKD 15.711 billion, up 10.0% year-on-year. The increase in revenue was mainly due to increased revenue from the water resources business.
Dongshan Precision (02384): Final offer price set at HKD 86.8 per share; international offering was 3.17 times subscribed. Dongshan Precision (02384) announced its allotment results. The company globally offered 114 million H-shares, with Hong Kong public offering accounting for 5.19% and international offering accounting for 94.81%. The final offer price was HKD 86.8 per share, and net proceeds from the global offering were approximately HKD 9.717 billion. Each board lot is 100 shares, and the H-shares are expected to commence trading on the Stock Exchange at 9:00 a.m. on October 28, 2026. Among them, the Hong Kong public offering was 0.52 times subscribed, and the international offering was 3.17 times subscribed.
Stock Spotlight
Li Ning (02331): Management plans to discuss the distribution of a special dividend. The company plans to discuss the distribution of a special dividend, constituting a positive surprise. In addition, the company's retail sales in both August and September returned to positive year-on-year growth, and Citi expects the discount level to further narrow in the fourth quarter. Management maintained its full-year performance guidance, expecting full-year sales to achieve low single-digit year-on-year growth, with net profit margin ranging from mid-to-high single digits.
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