Group 1 - The commercial space industry in China is set for a busy launch schedule in 2026, with multiple companies planning high-frequency launches, including Dongfang Space's "Gravity One" and "Gravity Two" rockets, and Deep Blue Aerospace's "Nebula One" rocket [1] - The Long March 8 rocket is scheduled to launch the "StarNet Low Earth Orbit 18A-I" payload on January 13, 2026, from Hainan, while other rockets like Long March 3B and Long March 12 are also set for launches in January 2026 [2] - The average launch cost for expendable rockets is reported to be between 110 million to 180 million yuan, while reusable rockets are expected to reduce costs significantly to between 2 million to 5 million dollars as major companies develop recovery technologies [3] Group 2 - As of January 8, 2026, the Zhongzheng Satellite Industry Index (931594) has risen by 4.47%, with notable increases in stocks such as Aerospace Electric (10.01%) and Aerospace Electronics (10.00%) [3] - The Zhongzheng Satellite Industry Index includes 50 companies involved in satellite manufacturing, launching, communication, navigation, and remote sensing, reflecting the overall performance of the satellite industry [3] - The top ten weighted stocks in the Zhongzheng Satellite Industry Index as of December 31, 2025, include China Satellite, Aerospace Electronics, and China Satcom, accounting for 63.64% of the index [4]

Market Overview - The other power equipment sector increased by 3.0% on January 7, with Yingjie Electric leading the gains [1] - The Shanghai Composite Index closed at 4085.77, up 0.05%, while the Shenzhen Component Index closed at 14030.56, up 0.06% [1] Stock Performance - Yingjie Electric (300820) closed at 54.02, up 9.07% with a trading volume of 112,800 shares and a transaction value of 590 million [1] - Maigemit (002851) closed at 99.58, up 7.92% with a trading volume of 305,300 shares and a transaction value of 2.991 billion [1] - New Power (300593) closed at 32.89, up 5.89% with a trading volume of 641,500 shares and a transaction value of 2.038 billion [1] - Other notable stocks include Zhongheng Electric (002364) up 5.82%, Kehua Data (002335) up 5.17%, and Oulu Tong (300870) up 4.84% [1] Capital Flow - The other power equipment sector saw a net inflow of 1.157 billion in main funds, while retail investors experienced a net outflow of 972 million [2] - The main funds showed significant inflows in stocks like Kehua Data (002335) with 264 million, Maigemit (002851) with 243 million, and Shanghai Electric (601727) with 209 million [3] - Conversely, retail investors showed outflows in stocks such as Kehua Data (002335) with 224 million and Maigemit (002851) with 102 million [3]

Group 1 - The core point of the news is that Beijing Xinle Energy Technology Co., Ltd. has seen a stock price increase of 5.22%, reaching 32.68 CNY per share, with a trading volume of 1.359 billion CNY and a turnover rate of 9.71%, resulting in a total market capitalization of 17.729 billion CNY [1] - The company, established on June 11, 1997, and listed on January 13, 2017, specializes in modular power supplies, customized power supplies, high-power power supplies, and systems for various industries including telecommunications, aerospace, military, railways, electricity, industrial control, and broadcasting [1] - The main business revenue composition is 98.86% from power supplies and motor drives, with the remaining 1.14% from other supplementary sources [1] Group 2 - From the perspective of fund holdings, Jin Xin Fund has one fund heavily invested in Xinle Energy, specifically the Jin Xin Prosperity Selected Mixed A (018375), which reduced its holdings by 2,000 shares in the third quarter, now holding 11,900 shares, accounting for 3.83% of the fund's net value, ranking as the fifth-largest holding [2] - The Jin Xin Prosperity Selected Mixed A fund was established on November 2, 2023, with a latest scale of 2.2048 million CNY, achieving a year-to-date return of 5.94%, ranking 546 out of 8,823 in its category, and a one-year return of 39.89%, ranking 3,098 out of 8,083 [2]

Core Viewpoint - Newray Energy has shown significant trading activity and financial performance, indicating potential growth and investor interest in the company [1][2]. Group 1: Trading Activity - On January 6, Newray Energy's stock rose by 4.72%, with a trading volume of 1.549 billion yuan [1]. - The financing buy-in amount for Newray Energy on the same day was 156 million yuan, while the financing repayment was 144 million yuan, resulting in a net financing buy of 12.32 million yuan [1]. - As of January 6, the total financing and securities lending balance for Newray Energy was 591 million yuan, with a financing balance of 587 million yuan, accounting for 3.48% of the circulating market value, which is above the 90th percentile level over the past year [1]. Group 2: Securities Lending - On January 6, Newray Energy had a securities lending repayment of 10,800 shares and sold 1,500 shares, amounting to a selling value of 46,600 yuan at the closing price [1]. - The remaining securities lending volume was 136,000 shares, with a securities lending balance of 4.2233 million yuan, also exceeding the 90th percentile level over the past year [1]. Group 3: Financial Performance - As of December 19, Newray Energy had 36,900 shareholders, an increase of 32.97% from the previous period, while the average circulating shares per person decreased by 24.80% to 12,141 shares [2]. - For the period from January to September 2025, Newray Energy achieved an operating income of 929 million yuan, representing a year-on-year growth of 36.16%, while the net profit attributable to the parent company was -89.86 million yuan, a year-on-year increase of 34.71% [2]. - Since its A-share listing, Newray Energy has distributed a total of 170 million yuan in dividends, with 104 million yuan distributed in the last three years [2]. Group 4: Shareholder Structure - As of September 30, 2025, the second-largest circulating shareholder of Newray Energy was Huaxia Military Industry Safety Mixed A, holding 25.9007 million shares, an increase of 447 shares from the previous period [2]. - Hong Kong Central Clearing Limited was the fifth-largest circulating shareholder, holding 8.8471 million shares as a new shareholder [2]. - Huaxia Advantage Growth Mixed, ranked tenth among circulating shareholders, held 6.0001 million shares, a decrease of 1.0349 million shares from the previous period [2].

Group 1 - The core viewpoint of the news highlights the strong performance of the satellite industry, with the China Satellite Industry Index (931594) rising by 4.63% and key stocks such as Aerospace Huanyu (688523) and Huace Navigation (300627) showing significant gains [1] - The commercial rocket industry is entering a rapid development phase, transitioning from initial development to a golden period of iteration, driven by the frequent launches of reusable rockets [1] - The commercial rocket supply chain includes propulsion systems, airframe structures, and control systems, all of which are expected to benefit from the increasing demand for rocket manufacturing during the early stages of reusable rocket development [1] Group 2 - As reusable rocket technology matures, liquid rocket engines will gradually be recovered, and airframe structures and control systems are expected to continue benefiting from this trend [1] - The satellite ETF Penghua (563790) closely tracks the China Satellite Industry Index, which includes 50 listed companies involved in satellite manufacturing, launching, communication, navigation, and remote sensing [1] - As of December 31, 2025, the top ten weighted stocks in the China Satellite Industry Index account for 63.64% of the index, with major companies including China Satellite (600118) and Aerospace Electronics (600879) [2]

Group 1 - The market continues to show strong performance, with the Shanghai Composite Index breaking through 4050 points, reaching its highest level since July 2015, driven by policy support, technical factors, and positive market sentiment [1] - The Satellite Industry ETF (159218) has reached a historical high of 1.853, maintaining a bullish technical pattern, indicating the potential for continued upward momentum [1] Group 2 - Major stocks in the satellite sector, such as China Satellite and China Satcom, are also reaching historical highs, reflecting sustained investor interest [3] - Satellite communication technology offers better network coverage and economic efficiency compared to traditional cellular communication, addressing the connectivity issues faced by over 2 billion people globally, particularly in rural and remote areas [4] - Since 2014, global government investment in space has increased significantly, from $4.2 billion to an expected $13.5 billion by 2024, with China being a leading player in this sector [5] Group 3 - The Satellite Industry ETF covers the entire satellite industry chain, with its top holdings including state-owned enterprises like Aerospace Electronics, China Satellite, and China Satcom, as well as competitive private companies like Xinle Energy [6] - The ETF's unique index construction method, which adjusts for operating revenue and free float market capitalization, ensures the selection of high-quality satellite companies, allowing for precise market tracking [7]

Summary of Key Points from Conference Call Records Industry Focus - The focus is on the **defense and aerospace industry** with a specific emphasis on **commercial aerospace** and **military-civilian integration** strategies for 2026 [1][2][3]. Core Insights and Arguments - The 2026 investment strategy emphasizes "confidence in transformative growth," highlighting a bottom-up stock selection approach that distinguishes between the **first growth curve** (traditional business) and the **second growth curve** (emerging directions) [1][3]. - The **military-civilian integration** and **military trade** are identified as two major potential sectors, with commercial aerospace being particularly promising due to its high market capitalization and ongoing developments [1][5]. - The commercial aerospace sector's future is assessed based on three dimensions: market capitalization (benchmarking against SpaceX), sustainability (development of space computing and satellite internet), and catalysts (successful reusable rockets, policy support, and IPOs) [1][6]. - The demand transmission path in the military industry is driven by strategic planning, resource allocation, and execution of annual plans, indicating robust and resilient demand for national defense and military modernization [7]. Emerging Trends and Catalysts - Key catalysts for the commercial aerospace sector in 2026 include the successful networking of **GW constellation**, progress in **Qianfan constellation**, and advancements in domestic engines and large aircraft transitioning from a low-profile to a high-profile status [1][8]. - The development of domestic large aircraft and engines, such as **C919** and **Changjiang 1,000**, is accelerating, with a focus on self-sufficiency as a critical goal [9]. Investment Opportunities - The investment landscape for 2026 includes three main tracks: **domestic modernization**, **military trade**, and **military-civilian integration**, forming a comprehensive investment research framework [2][10]. - The **AI sector** and **AIDC gas turbines** are expected to drive performance growth, while high-end military equipment exports, particularly advanced fighter jets, are a clear trend in military trade [3][10]. - Specific stock recommendations include companies involved in **network information systems**, **low-orbit satellite internet**, and **AI applications**, with a focus on firms like **Aerospace Electronics** and **New Ray Energy** [12][13]. Additional Important Insights - The **"14th Five-Year Plan"** is expected to significantly increase the proportion of new operational forces, emphasizing intelligent and cost-effective solutions in equipment construction [11]. - The **2026 Saudi WDS Defense Exhibition** is anticipated to revive market expectations for high-end military trade and lead to substantial contract signings [10]. This summary encapsulates the critical insights and strategic directions discussed in the conference call, providing a comprehensive overview of the defense and aerospace industry's investment landscape for 2026.

Market Overview - The other power equipment sector declined by 0.65% compared to the previous trading day, with Oulutong leading the decline [1] - The Shanghai Composite Index closed at 3965.12, down 0.0%, while the Shenzhen Component Index closed at 13604.07, up 0.49% [1] Stock Performance - Notable gainers in the other power equipment sector included: - ST Yishite (300376) with a closing price of 6.67, up 3.41% on a trading volume of 390,900 shares and a transaction value of 258 million [1] - Kewai Data (002335) closed at 56.75, up 2.31% with a transaction value of 1.713 billion [1] - Maigemeite (002851) closed at 89.26, up 1.28% with a transaction value of 1.612 billion [1] - Conversely, Oulutong (300870) saw a significant drop of 5.99%, closing at 218.96 with a transaction value of 1.631 billion [2] - Other notable decliners included: - New Funeng (300593) down 5.55% to 29.42 with a transaction value of 1.44 billion [2] - Jinshi Technology (002951) down 5.00% to 15.39 with a transaction value of 215 million [2] Capital Flow - The other power equipment sector experienced a net outflow of 468 million from institutional investors, while retail investors saw a net inflow of 271 million [2] - The capital flow for specific stocks showed: - Zhongheng Electric (002364) had a net inflow of 41.43 million from institutional investors [3] - Maigemeite (002851) saw a net inflow of 19.90 million from institutional investors but a net outflow of 42.24 million from retail investors [3] - Kewai Data (002335) had a net inflow of 19.01 million from institutional investors [3]

Group 1 - The company, Xinlei Energy (300593.SZ), responded to an investor inquiry regarding which products are supplied directly to NVIDIA [1] - The company stated that its partner, ADI, is responsible for business collaborations with other manufacturers, and that ADI primarily drives the engagement with specific customers [1]

Market Overview - The other power equipment sector experienced a decline of 0.57% compared to the previous trading day, with Haibosi leading the drop [1] - The Shanghai Composite Index closed at 3965.28, up 0.04%, while the Shenzhen Component Index closed at 13537.1, down 0.49% [1] Stock Performance - Notable gainers in the other power equipment sector included: - Xinfeng Energy (300593) with a closing price of 31.15, up 3.83%, and a trading volume of 622,600 shares, totaling 1.893 billion yuan [1] - ST Yishite (300376) closed at 6.45, up 3.20%, with a trading volume of 346,900 shares, totaling 224 million yuan [1] - Oulu Tong (300870) closed at 232.90, up 2.68%, with a trading volume of 166,400 shares, totaling 1.540 billion yuan [1] - Decliners included: - Haidao Feitan (688411) closed at 259.79, down 5.03%, with a trading volume of 31,500 shares, totaling 818 million yuan [2] - Xizi Clean Energy (002534) closed at 17.23, down 3.20%, with a trading volume of 140,600 shares, totaling 245 million yuan [2] - ST Huaxi (002630) closed at 2.58, down 3.01%, with a trading volume of 251,200 shares, totaling 65.3 million yuan [2] Capital Flow - The other power equipment sector saw a net outflow of 800.3 million yuan from institutional investors, while retail investors experienced a net inflow of 490 million yuan [2] - The capital flow for specific stocks showed: - Oulu Tong (300870) had a net inflow of 13.5 million yuan from institutional investors, but a net outflow of 139 million yuan from retail investors [3] - Xinfeng Energy (300593) had a net inflow of 54.67 million yuan from institutional investors, with a net outflow of 112 million yuan from retail investors [3] - Keda (002518) had a net inflow of 23.04 million yuan from institutional investors, but a net outflow of 26.74 million yuan from retail investors [3]