Track the entire lifecycle of the main Sector.
Introduction: ① Last Friday, the market adjusted on low volume, with funds returning to the dividend direction, and this week focuses on short-term sentiment recovery; ② The Military Industry has been again the hot topic due to event-driven catalysts and policies, and is expected to remain active this week; ③ The Siasun Robot&Automation sector is set to receive intensive Bullish catalysts, focusing on leading stocks during sector rotation.
Last Friday, the market fell into adjustment again, with the three major Indexes adjusting on low volume, indicating a decrease in market risk appetite, while high-priced stocks continued to retreat and funds flowed back to the dividend direction represented by Banks. This week, pay attention to the recovery of short-term sentiment.
Looking back at last week's market, the Military Industry sector exhibited strong continuity, with stocks like Sichuan Chengfei Integration Technology Corp.Ltd. and Chengdu Tianjian Technology achieving three consecutive limit-up days, and the leading Zhonghang Chengfei in the trillion market cap rising approximately 36%. The sudden explosion of Military Industry stocks was mainly influenced by the event-driven catalyst of the India-Pakistan conflict; although India and Pakistan announced a ceasefire, the reputation effect of China’s Military Industry is expected to continue. The People's Daily also published an article titled "Accelerate the Liberation and Development of New Quality Combat Power" on Sunday, which may further increase market attention toward the Military Industry, and there are still opportunities for active trading in the short term.
Additionally, from the perspective of the Industry's fundamentals, the year 2025 marks the closing year of the 14th Five-Year Plan, with previously suppressed demand expected to be quickly released. Starting in February 2025, some companies' fundamentals have shown significant improvement, with notable advancements in aerospace and Missiles subsectors, and noticeable improvements in order sizes for some upstream companies on a month-on-month basis, reflecting the expanded downstream demand on the balance sheet; furthermore, order data released by some companies also show that downstream has gradually entered a high prosperity stage. Therefore, from a medium- to long-term perspective, there is still allocation value in Military Industry stocks.
Robots are likely to become a focal point of market attention again. Wang Xingxing revealed during a weekend forum speech that the development of humanoid robot companies, including Yushu, is in good condition, "Many companies' orders have exploded. In terms of short-term event expectations, according to recent information compile, HW plans to hold a humanoid robot mass production launch event on May 18, 2025. This news has been widely disseminated within the Industry Chain, and it is expected to launch the first mass-produced humanoid robot, with large-scale delivery expected by the end of the second quarter of 2025. Additionally, the World Robot Conference and the World Humanoid Robotics Competition will both be held in August this year.
However, as previously emphasized, currently many robots are facing the challenge of pressure from previous holders after experiencing prior rebounds. Against the backdrop of insufficient incremental funds, subsequent trends are likely to remain focused on rotation, with particular attention on highly active leading stocks.
