Core Viewpoint - The article discusses the significant decline in sales and market share of Ericsson and Nokia in the Chinese 5G market due to geopolitical tensions and shifts in customer spending patterns, highlighting the challenges faced by Western telecom suppliers in China [3][5][7]. Group 1: 5G Infrastructure in China - China has built 4.83 million 5G base stations by the end of November, with an increase of 579,000 from the previous year, surpassing the total number installed in Europe since the technology's inception [2]. - The expected explosive growth in 5G spending in China makes it an attractive market for companies like Ericsson and Nokia, especially compared to the more regulated European market [2]. Group 2: Sales Decline of Ericsson - Ericsson's revenue from Chinese customers fell sharply from nearly $1.8 billion in 2019 to approximately $0.798 billion in 2025, representing a decline of over 40% [3]. - The company's market share in China has significantly decreased, with its revenue from the region accounting for only 3% of total sales in the latest quarterly report [3]. - In 2021, Ericsson's sales in China nearly halved to about $1.1 billion, attributed to geopolitical actions against Huawei and ZTE [3]. Group 3: Nokia's Market Challenges - Nokia's market share in China is reported to be only 3% as of 2025, with a significant drop in revenue from nearly €2.2 billion ($2.6 billion) in 2019 to about €1.1 billion ($1.3 billion) in 2025 [4][5]. - The company has hinted at a complete exit from the Chinese mobile communications market, citing national security concerns [5]. - Nokia's revenue in the Greater China region is projected to decline by 19% to €913 million ($1.08 billion) by 2025, which is only 42% of the revenue from seven years ago [5]. Group 4: Strategic Moves and Workforce Reduction - Nokia's acquisition of its subsidiary Nokia Shanghai Bell for €501 million ($592 million) aims to simplify its operations in China while potentially reducing expenditures [6]. - Both Ericsson and Nokia have significantly reduced their workforce in China, with Ericsson's employee count dropping from approximately 14,000 in mid-2021 to about 9,500 by the end of the previous year [7]. - The anticipated exit of both companies from the Chinese market raises concerns about their future in the global 6G market, as Chinese operators invest rapidly in mobile network technology [7].

Group 1: Fund Performance - Hotchkis & Wiley Global Value Fund outperformed the MSCI World Value Index in Q4 2025, returning 3.80% compared to 3.34% for the Index [1] - The Fund achieved a year-to-date return of 23.77%, exceeding the Index's 20.79% [1] - Positive stock selection was a key driver of the Fund's performance in both Q4 and the entire calendar year [1] Group 2: Non-US Equities - In 2025, stocks outside the US significantly outperformed those within the US, although the valuation gap remained largely unchanged [1] - The Fund maintained an overweight position in non-US equities [1] Group 3: Key Holdings - Telefonaktiebolaget LM Ericsson (publ) (NASDAQ:ERIC) was highlighted as a leading contributor to the Fund's performance [2] - Ericsson's stock closed at $10.89 per share on January 29, 2026, with a one-month return of 14.63% and a 52-week gain of 45.39% [2] - Ericsson has a market capitalization of $37.097 billion [2] Group 4: Ericsson's Business Outlook - Ericsson is a major vendor of hardware and software for wireless networks outside China, but its earnings are currently below normal due to low demand in Japan and India [3] - The company is working on turning around its Cloud Software and Services business, and its stock has shown improvement as management indicated a shift towards returning more capital to shareholders [3] - Recent results for Q3 2025 were modestly better than expected, with improvements in gross margins and the Cloud Software and Services business [3] Group 5: Market Sentiment and Competition - Ericsson is not among the 30 most popular stocks among hedge funds, with 16 hedge fund portfolios holding its stock at the end of Q3 2025, down from 17 in the previous quarter [4] - While Ericsson shows potential as an investment, certain AI stocks are perceived to offer greater upside potential with less downside risk [4]

Core Viewpoint - The European Union is considering increasing support for domestic industries, with Nokia's CEO emphasizing the interdependence between Europe and the U.S. in the technology sector [1][3]. Group 1: Industry Dynamics - Nokia's CEO, Justin Hottad, stated that no company can rely solely on either the European or U.S. market, highlighting the necessity of broad market access for success in the technology industry [1][3]. - Governments are reassessing the risks of collaborating with Chinese suppliers, positioning Nokia and its Swedish competitor Ericsson as secure network equipment providers for the Western bloc [1][3]. - The EU is focused on enhancing local technological capabilities and reducing dependence on third-party countries, including the U.S., which presents a delicate balance for Nokia and Ericsson as their significant revenues come from both sides of the Atlantic [1][3]. Group 2: Market Opportunities - The EU Commission has proposed gradually removing high-risk suppliers from critical areas like 5G networks, which could further diminish Huawei's market share in Europe [4]. - The past few years have seen weak 5G investment in Europe, but the large-scale removal of Chinese equipment could create new market opportunities for Nokia and Ericsson [5]. - Hottad expressed optimism about the EU's recent initiatives but urged for faster implementation and a shift from advisory to mandatory regulations for operators [5].

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even though momentum is a popular stock characte ...

Group 1: Hong Kong Stock Market Performance - Most property stocks in Hong Kong rose, with China Jinmao (00817) up 7.95%, Greentown China (03900) up 5.79%, and China Overseas Macro Yang Group (00081) up 4.62%. Vanke Enterprises (02202) also saw a gain of 2.49% following significant progress in debt resolution, with the extension proposals for two medium-term notes totaling 5.7 billion yuan approved [1][1]. - Pop Mart (09992) increased by over 4.8%, reflecting confidence in its development as it recently repurchased shares for the first time since early 2024, which is expected to attract more investors [1][1]. - Nanshan Aluminum International (02610) rose over 4.7% after announcing plans to invest approximately 4.37 billion USD (about 30.56 billion yuan) in a new aluminum project in Indonesia [1][1]. Group 2: Notable Company Announcements - Alibaba Health (00241) rose over 3.3% after launching a new feature for its AI medical application "Hydrogen Ion" [2][2]. - GCL Global (GCL.US) increased by 9.91% ahead of its earnings call scheduled for January 30, 2026 [5][5]. - Ericsson (ERIC.US) continued its upward trend with a 4.03% increase after reporting a strong Q4 2025 financial performance, with adjusted EBITA rising 24% year-on-year [5][5]. Group 3: Market Trends and Price Adjustments - The gold market saw a significant rise, with spot gold prices surpassing 5200 USD, leading to a 7.38% increase in the shares of Wan Guo Gold Group (03939) [2][2]. - The semiconductor sector showed strong performance, with stocks like Naxin Micro (02676) up 10.62% and a price adjustment announcement from Zhongwei Semiconductor indicating a price increase of 15% to 50% due to supply-demand pressures [3][4]. - The storage sector also experienced a pre-market surge, with Micron Technology (MU.US) up 5.44% as price increases spread across the storage market [7][7].

Core Viewpoint - The article discusses the strategic partnership between Nokia and Nvidia, highlighting the implications of Nvidia's investment and influence on Nokia's technology strategy, particularly in the context of 5G and 6G networks [2]. Group 1: Nokia and Nvidia Partnership - Nokia accepted a $1 billion investment from Nvidia, which led to a significant increase in its stock price, but also made Nvidia the second-largest shareholder, granting it substantial influence over Nokia's technology strategy [2]. - As part of the deal, future 5G and 6G network software must be designed based on Nvidia's GPUs, linking Nokia's technology closely with AI [2]. - Nokia's CTO emphasized the creation of a hardware abstraction layer to allow compatibility with various chip architectures, including Marvell chips and Nvidia GPUs, aiming to reduce complexity while maintaining software consistency [4]. Group 2: Ericsson's Strategy - Ericsson maintains a different approach by promoting hardware independence, focusing on ensuring that its network software can be deployed on various chip platforms rather than relying on a single chip provider [2][3]. - Ericsson's CEO stated that their software can run on multiple architectures, including x86 and GPUs, and they aim to keep hardware choices open as they approach AI-RAN and 6G [3]. - The company has been cautious about fully committing to any single chip architecture, reflecting concerns over the longevity of x86 in the face of a shift towards Arm architecture [7]. Group 3: Market Dynamics and Challenges - The article notes that many telecom operators advocate for complete separation of software and hardware, but achieving this remains challenging due to the inherent nature of proprietary chips [4]. - There is skepticism regarding the feasibility of a "full chip" strategy, with the likelihood that Ericsson may eventually adopt a common software core similar to Nokia's approach [8]. - The wireless access network (RAN) market shows little sign of significant recovery, posing risks for both Nokia's aggressive Nvidia partnership and Ericsson's cautious strategy [9].

每经AI快讯，继上周五大涨近9%之后，本周爱立信(ERIC.US)延续涨势，周二，该公司股价涨逾4%， 报11.12美元。 ...

此外，爱立信表示，将提议2025年每股派息3瑞典克朗，并推出150亿瑞典克朗的股票回购计划。值得一 提的是，这是爱立信自成立以来首次提出此类大规模的股票回购提议。 智通财经APP获悉，继上周五大涨近9%之后，本周爱立信(ERIC.US)延续涨势，周二，该公司股价涨逾 4%，报11.12美元。消息面上，该公司近日公布了一份表现强劲的2025财年第四季度财务报告。爱立信 第四季度调整后息税前利润(EBITA)达到127亿瑞典克朗，与上年同期相比增长了24%，这一数字显著高 于分析师此前预估的105亿瑞典克朗。不仅如此，其调整后EBITA利润率更是提升至18.3%。 ...

Core Viewpoint - Ericsson (ERIC.US) continues its upward trend following a nearly 9% increase last Friday, with a stock price rise of over 4% to $11.12 on Tuesday, driven by a strong financial report for Q4 of fiscal year 2025 [1] Financial Performance - Ericsson reported an adjusted EBITA of 12.7 billion Swedish Krona for Q4, representing a 24% increase compared to the same period last year, significantly exceeding analysts' expectations of 10.5 billion Swedish Krona [1] - The adjusted EBITA margin improved to 18.3% [1] Shareholder Returns - The company proposed a dividend of 3 Swedish Krona per share for 2025 and announced a stock buyback plan worth 15 billion Swedish Krona, marking the first large-scale buyback proposal in the company's history [1]

Group 1 - A wave of layoffs is sweeping through telecom operators and equipment manufacturers, with major companies like Verizon, Telefónica, and BT announcing significant job cuts [1] - Ericsson plans to cut approximately 1,600 jobs in Sweden, representing about 13% of its local workforce, as part of a global initiative to optimize its cost structure [2][4] - Nokia is also implementing layoffs across several European markets, including plans to close its Munich office, affecting hundreds of employees, and cutting over 700 jobs by 2030 [5] Group 2 - The layoffs are driven by pressures from a declining global RAN (Radio Access Network) market, which saw a significant drop from $45 billion in 2022 to $40 billion in 2023, a decrease of 11% [8] - Both companies reported disappointing financial results, with Ericsson's net sales declining by 9% year-on-year in Q3 2025, while Nokia's net profit fell by 43.7% despite a 12% increase in sales revenue [6][8] - The European market has become a challenging environment for both companies, with Nokia's sales in Europe dropping by 4% year-on-year, while North America shows strong growth [11] Group 3 - The anticipated deployment of 6G networks is expected to begin around 2028-2029, which may lead to a new growth cycle for the RAN market [9] - Both companies are increasingly shifting their focus and investments towards the North American market due to the stagnation in Europe, with Nokia planning significant investments in the U.S. [11]