Country Daily
China Property / Hangzhou Hikvision Digital Technology / NAURA Technology Group
Analyst
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Top Stories
Sector Update | China Property
The market is again abuzz with rumours of a nationwide mortgage-interest subsidy of 40-100bp. Around 20 cities are already running their own schemes. With mortgage contraction accelerating (net repayments reached Rmb716b in 1H26, above the full-year 2025 decline of Rmb677b), we believe a potential mortgage-interest subsidy is worth watching. However, share prices could correct if the subsidy comes later or is smaller in scale than expected. Maintain UNDERWEIGHT on China's property sector.
Asian Gems Corporate Highlights | Hangzhou Hikvision Digital Technology (002415 CH/NOT RATED/Rmb32.58)
Hikvision’s domestic core business returned to growth in 1H26 as effective DRAM cost pass-through drove higher ASPs and top-line growth despite declining shipment volumes, while lifting gross margin to a record 50%. According to management, memory tightness is expected to support earnings throughout 2027, before growth shifts from pricing to volume.
Asian Gems Corporate Highlights | NAURA Technology Group (002371 CH/BUY/Rmb668.15/Target: Rmb930.00)
NAURA is well positioned to report a stronger financial performance in 2027, supported by memory demand, rising domestic equipment adoption and its established presence at leading memory manufacturers. Advanced-logic localisation and continued FEOL and advanced-packaging portfolio expansion provide multi-year growth opportunities, while component bottlenecks should ease by 2027. Maintain BUY with a target price of Rmb930.00.
Top Stories
Sector Update | China Property
The market is again abuzz with rumours of a nationwide mortgage-interest subsidy of 40-100bp. Around 20 cities are already running their own schemes. With mortgage contraction accelerating (net repayments reached Rmb716b in 1H26, above the full-year 2025 decline of Rmb677b), we believe a potential mortgage-interest subsidy is worth watching. However, share prices could correct if the subsidy comes later or is smaller in scale than expected. Maintain UNDERWEIGHT on China's property sector.
Asian Gems Corporate Highlights | Hangzhou Hikvision Digital Technology (002415 CH/NOT RATED/Rmb32.58)
Hikvision’s domestic core business returned to growth in 1H26 as effective DRAM cost pass-through drove higher ASPs and top-line growth despite declining shipment volumes, while lifting gross margin to a record 50%. According to management, memory tightness is expected to support earnings throughout 2027, before growth shifts from pricing to volume.
Asian Gems Corporate Highlights | NAURA Technology Group (002371 CH/BUY/Rmb668.15/Target: Rmb930.00)
NAURA is well positioned to report a stronger financial performance in 2027, supported by memory demand, rising domestic equipment adoption and its established presence at leading memory manufacturers. Advanced-logic localisation and continued FEOL and advanced-packaging portfolio expansion provide multi-year growth opportunities, while component bottlenecks should ease by 2027. Maintain BUY with a target price of Rmb930.00.
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Key Indices
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