China Galaxy Securities has released its November electronics industry outlook and allocation strategy, stating that the industry has the fundamental basis for an oversold rebound and recommending investors watch for the window for AI oversold recovery. Starting in November, market focus shifted from thematic expectations to actual performance realization. Priority should be given to targets with verified profitability in third-quarter reports, continued prosperity in the fourth quarter, and reasonable valuations, with a focus on three main themes: First, storage and advanced packaging. Computing power demand is tightening storage supply, original manufacturers are locking in long-term capacity through long-term agreements, and advanced packaging remains a key bottleneck for computing power chips. Key areas to monitor include storage contract prices, major manufacturers' capacity expansion, and process yield rates. Second, AI-PCBs, CCL, and MLCC. Third-quarter earnings have been fully realized, and the contrast between performance and valuation pullbacks has taken shape. It is recommended to track the extent of upstream raw material shortages, product delivery times, and overseas cloud manufacturers' capital expenditures. Third, domestic equipment, materials, and computing power chips. Policy support continues, wafer fab capacity expansion is driving the implementation of domestic substitution, earlier pullbacks have digested valuations, and attention should be paid to the progress of tender implementation, while vigilance should be maintained regarding uncertainties in external export controls.