Why is nvidia's 5-day consecutive rise reigniting the ai fever, and what are the key points of bullishness in the short term? Which individual stocks are more active when it comes to the abnormal movement of concept stocks related to Hong Kong stocks?
Finance Associated Press October 9th (Editor Feng Yi) Driven by nvidia's stock price approaching a new high, concept stocks related to Hong Kong stocks have strengthened after the holiday.
The semiconductor sector accelerated in the afternoon today, with hg semi (06908.HK) surging by over 30% at one point, while semiconductor manufacturing international corporation (00981.HK) rose nearly 12%.
However, the most noteworthy one is fit hon teng under Hon Hai Group, with the stock soaring by 20% at one point today, reaching a new high in nearly three months.
Recently, Hon Hai Group revealed that it is building the world's largest GB200 production base for nvidia in Mexico to meet the tremendous demand for nvidia's Blackwell platform. The company also has a strong outlook for the fourth quarter.
According to various sources including nvidia and Hon Hai, GB200 is expected to start mass shipping in the fourth quarter of this year, and then may be massively deployed. Considering that the B-series chips are a significant update for nvidia, suitable for the current market demand for large AI models, the market has high sales expectations.
As a subsidiary of Hon Hai Group, fit hon teng is one of the world's leading server connector manufacturers. The company's management previously expected a year-on-year growth of 15-20% in server/interconnection business revenue in 2024, with AI server-related product revenue accounting for 8-10% of the total.
Analysts Fu Tianzi and Wang Yun from Everbright Securities previously pointed out in their research that nvidia's GB200 NVLink rack GPU and NV Switch use copper interconnection, with related connecting products having patents and manufacturing barriers.
Everbright Securities believes that with years of technical accumulation in the connector sector and lean manufacturing capabilities, the company is expected to pass the Nvidia certification and enter the list of backplane connector suppliers.
It is worth noting that at the artificial intelligence summit held by Nvidia in Washington on Tuesday, the promotion of the latest Blackwell chip's high energy efficiency has reignited market expectations for the AI concept.
Bob Pett, Vice President and General Manager of Nvidia's enterprise platform, also stated that energy efficiency was considered from the outset in the design of the Blackwell platform; it is expected that artificial intelligence will generate up to $20 trillion impact across all industries that use this technology.
Driven by this news, Nvidia, as the leader of this global AI wave, saw its US stocks surge by 4% on the day, rising for the fifth consecutive day and approaching historical highs.
In addition, Fit Hon Teng Precision achieved $2.067 billion in revenue in the first half of the year, a year-on-year growth of 15.9%; net income was $32.672 million, turning losses into profits year-on-year. It is evident that the manufacturing demand driven by AI has begun to gradually reflect on the performance level.
Analyst Mo Wenyu of Sinolink Securities pointed out in a report on October 7 that with a series of confidence-boosting and economy-stimulating policies recently implemented in China, AI will be one of the important investment directions, and continuous attention is recommended.
Everbright Securities predicts that Fit Hon Teng Precision's revenue will be $4.509 billion, $6.273 billion, and $7.88 billion from 2024 to 2026, with year-on-year growth of 7.5%, 39.1%, and 25.6%; during the same period, the net income attributable to the mother will be $0.176 billion, $0.271 billion, and $0.376 billion, with a year-on-year growth of approximately 36.7%, 53.5%, and 38.8%, respectively.
