Chinese Concept Stocks | Alibaba's Strategic Partnership and TSMC's Capacity Expansion Lead Highlights
On January 2nd (Thursday) Eastern Time, the three major U.S. stock indexes closed lower collectively. The S&P 500 Index fell by 0.22% to 5868.55 points; the Dow Jones Index dropped 0.36% to 42392.27 points; and the Nasdaq Index decreased by 0.16% to 19280.79 points.
On December 31st, the Nasdaq Golden Dragon China Index rose by 0.39%.
Among popular Chinese stocks, NIO rose by 4.24%, TSMC increased by 2.07%, Alibaba rose by 0.19%, Bilibili dropped by 5.41%, XPeng Motors decreased by 2.33%, Baidu fell by 1.91%, NetEase dropped by 1.63%, JD.com fell by 1.27%, and Pinduoduo decreased by 0.10%.
Chinese stocks with consecutive gains include Eureka Acquisition with a latest increase of 0.10% over 8 consecutive days and an overall increase of 0.20% during this period. DayDayCook increased by 16.87% over 6 consecutive days with a total gain of 49.20%. Future Vision rose by 0.05% over 5 consecutive days with a cumulative gain of 0.10%. Dogness International increased by 3.72% over 4 consecutive days with a total gain of 19.41%. Singularity Future increased by 15.43% over 4 consecutive days with a cumulative gain of 28.97%.
Chinese stocks with consecutive losses include Dingdong Maicai with a latest decrease of -1.22% over 7 consecutive days with a total decline of -20.59%. Jiuzi Holdings decreased by -3.75% over 6 consecutive days with a cumulative decline of -18.73%. Futu Holdings fell by -0.66% over 5 consecutive days with a total decline of -8.67%. Sunlands Online Education decreased by -4.42% over 5 consecutive days with a cumulative decline of -19.28%. NetEase dropped by -1.63% over 4 consecutive days with a total decline of -4.93%. KE Holdings fell by -3.04% over 4 consecutive days with a total decline of -3.56%. XPeng Motors decreased by -2.28% over 4 consecutive days with a total decline of -12.90%. Bilibili dropped by -5.41% over 4 consecutive days with a total decline of -11.52%. Zai Lab fell by -5.27% over 4 consecutive days with a total decline of -8.85%. iQIYI decreased by -1.00% over 4 consecutive days with a total decline of -6.13%. X Financial dropped by -0.15% over 4 consecutive days with a total decline of -3.42%. LexinFintech fell by -0.52% over 4 consecutive days with a total decline of -8.70%. Sohu decreased by -2.35% over 4 consecutive days with a total decline of -6.20%. Yatsen dropped by -3.52% over 4 consecutive days with a total decline of -19.50%. DouYu fell by -0.36% over 4 consecutive days with a total decline of -4.86%. Xiao-i Robot decreased by -1.91% over 4 consecutive days with a total decline of -9.29%.
Alibaba Cloud and Zero One Technology Form Strategic Partnership to Establish "Industrial Big Model Joint Laboratory"
Recently, Alibaba Cloud and leading big model enterprise Zero One Technology have formed a strategic partnership for model platform business. The two parties will establish an "Industrial Big Model Joint Laboratory" to accelerate the application of big models from technology to implementation, further expanding the ecosystem of industrial big models. The laboratory includes technology, business, and talent components, combining the big model development strengths of both teams to form a comprehensive approach from next-generation base model technology exploration to industrial application big model services. This will be achieved through model services on Alibaba Cloud's BaiLian Big Model Platform.
Research: TSMC's CoWoS Monthly Capacity Expected to Double by 2025
Research institutions estimate that by 2025, TSMC will achieve a new high of 75,000 wafers per month for CoWoS capacity. This increase will be facilitated by the integration of capacity from old plants acquired from Innolux and the Taichung campus. It is expected to nearly double from 2024, and the expansion will continue in response to strong market demand in 2026. Apart from its own expansion, TSMC is also collaborating with packaging and testing partners such as ASE Technology Holding and Amkor to increase production.
Yu Minhong's Internal Letter: Oriental Selection Reaches a Turning Point After Three Years
Yu Minhong sent an internal letter to all employees of Oriental Selection, stating that over the past three years, the company has started from scratch and focused on the agricultural products and household goods sectors despite numerous challenges. They have brought better development opportunities to frontline producers while selecting quality products for the public. The company has also recommended hundreds of excellent books and interviewed over a hundred outstanding authors while exploring the magnificent landscapes of the country. Yu Minhong expressed that after three years of trials and tribulations, "We have reached a time to ride the wind and waves, and sail through the sea of clouds."
Morgan Stanley: Alibaba's Sale of Sun Art Retail Expected to Have Negative Impact on Stock Price
Morgan Stanley published a research report indicating that Alibaba has announced the sale of its stake in Sun Art Retail at a price of HKD 1.38 per share. If settled through deferred payment, the maximum price could reach HKD 1.58 per share, which is significantly lower than the previous day's closing price of HKD 2.48. Therefore, it is expected that Sun Art's stock price will react negatively. However, Morgan Stanley also pointed out that since Sun Art Retail's net asset value per share is HKD 2.5, there could be support above the asking price. If the transaction triggers a mandatory offer, non-Alibaba shareholders who accept the offer may choose to receive full payment at HKD 1.38 per share or opt for partial deferred payment with an additional HKD 0.2 per share interest, resulting in a price exceeding HKD 1.58 per share. Morgan Stanley currently estimates Sun Art's EBITDA for the fiscal year 2025 will reach RMB 2.4 billion. The bank maintains a rating of "in line with the market" for Sun Art with a target price of HKD 2.4.
Li Auto Introduces "Exchange Subsidy" Guarantee Offering a Cash Subsidy of 15,000 Yuan per Vehicle
It has been reported that Li Auto has launched an exchange subsidy guarantee today. Users who order and deliver Li Auto vehicles from January 1 to January 31, 2025, and do not have a local exchange subsidy available or do not qualify for such subsidies, can enjoy a cash subsidy of 15,000 yuan per vehicle from Li Auto by March 31. If a local exchange subsidy policy is announced before vehicle delivery, the aforementioned guarantee will terminate.
TSMC Establishes 2nm Pilot Line with Planned Monthly Capacity Exceeding 3,000 Wafers
According to industry sources, TSMC has started establishing a 2nm (N2) pilot line at its Hsinchu Baoshan fab (Fab 20) this quarter, with a planned monthly capacity of approximately 3,000 to 3,500 wafers. Reports indicate that considering the contribution from the Kaohsiung fab (Fab 22), TSMC's total 2nm monthly capacity is expected to exceed 50,000 wafers by the end of 2025 and reach 120,000 to 130,000 wafers per month by the end of 2026, driven by strong demand from major customers.
