China Securities

• The big three e-commerce companies strengthened collectively, and Alibaba soared 7% before the market

The big three e-commerce companies strengthened collectively. Alibaba soared 7% before the market, Pinduoduo rose nearly 4%, and JD rose nearly 3%.

Credit Suisse recently released a research report saying that Alibaba (09988)'s online consumption remained stable in the fourth quarter of last year, with express delivery volume increasing 37% year over year and 38% in the third quarter. The bank expects the Group's total revenue for the third quarter of FY2021 to increase 32.7% year-on-year to reach RMB 214 billion, maintaining its “superior to the market” rating, with a target price of US stocks of US$334.

• Baishi Group soared nearly 30% in the pre-market period. Rumor has it that Baishi Group, which is supported by Alibaba, is considering selling in a strategic evaluation

The Baishi Group soared nearly 30% before the market. According to Reuters, Baishi Group conducted a strategic evaluation and considered selling the company.

According to reports, due to the poor performance of stocks, Baishi has requested action from financial advisors. Alibaba, which holds 33% of the shares, and Baishi Group CEO Zhou Shaoning, which holds 11% of the shares, may sell shares. The formal sale process has not yet commenced and the evaluation is ongoing.

As of press release, a Baishi spokesperson said the sale was not being considered, adding that Zhou Shaoning has no plans to sell the shares. Alibaba also stated that the information was untrue, but did not provide further explanation.

• The Mavericks rose more than 3% before the session and soared 17% to a record high yesterday

The Mavericks rose more than 3% before the session, and the stock price reached a new high of $45. Recently, considering the company's multi-line growth strategy in 2021 to be more constructive, Needham raised Maverick Electric's target price from 36 US dollars to 46 US dollars.

Vincent Yu, an analyst at the bank, said that benefiting from the introduction of new national standards and the replacement cycle brought about by offline expansion, domestic demand is expected to be stronger, and the international market will bring sufficient upward space for Maverick Electric to get rid of the adverse effects of health incidents. Furthermore, thanks to new orders from ride-sharing operators and battery cost savings, the company's gross margin is expected to continue to improve.

• TSMC previously rose more than 3%, with the latest total market capitalization exceeding 700 billion US dollars

TSMC strengthened once again before the press release. At press time, TSMC continued to reach a new high of 135.3 US dollars. Based on pre-market prices, TSMC's latest total market value exceeded 700 billion US dollars.

On January 18, according to foreign media reports, Apple's chip manufacturing partner TSMC said it will begin risk production of 3nm chips in 2021, and then mass production will begin in the second half of 2022.

• Tencent Music and Bilibili hit new highs

Tencent Music and Bilibili continued to strengthen before the market. As of press release, Tencent Music had risen 5.32% and Bilibili had risen 3.57%.

Active US stocks before the market

• Netflix surged 12% before the market, and Q4 paid users increased by a net increase of 8.51 million. Performance far exceeded expectations

Netflix surged 12% before the market, with a net increase of 8.51 million Q4 paying users, and performance far exceeding expectations.

Overall, in 2020, the company's revenue was US$24.996 billion, up 24% year on year; net profit was US$2,756 billion, up 24% year on year; net profit was US$2,761 billion, up 47.9% year on year.