The AI application sector continues to surge, driving a rebound in tech stocks. Fundamentals in China's domestic tech industry are improving, and listed companies have delivered impressive third-quarter results. According to statistics, among stocks covered by five or more institutions, 27 tech stocks have fallen more than 30% since July, yet their non-recurring net profits attributable to parent companies in Q3 grew more than 50% year-on-year and quarter-on-quarter. In terms of year-on-year growth, stocks including Jiayuan Technology, YOFC, International Composites, Shenling Environment, and Defu Technology all saw their Q3 non-recurring net profits attributable to parent companies grow more than tenfold. In terms of quarter-on-quarter growth, stocks including Muxi Shares-U, Tanyuan Advanced, and Xinlian Integration-U all grew more than threefold. Notably, some of these 27 companies plan large-scale buybacks. Among them, stocks including Wus Printed Circuit, Shengyi Technology, and Sanhuan Group have consensus 2027 P/E ratios of less than 20 times, according to institutional forecasts.
