The momentum continues! Today (August 28), the STAR50 AI ETF (589520), which focuses on domestic AI industry chains, saw its intraday price rise by 2.36%. Shanghai Stock Exchange data shows the ETF has attracted continuous capital inflows over the past 5 days, totaling ¥144 million, and over ¥200 million in the past 60 days.

Among constituent stocks, Fudan Microelectronics and Autel Intelligent Technology gained over 4%, while Cambricon Technologies Corporation Limited, Amlogic, Siwei Maptek, and Montage Technology rose more than 3%.

Yesterday (August 27) at approximately 1:37 PM during trading hours, A-share markets witnessed a historic moment - Cambricon Technologies' stock price climbed to ¥1,462 per share with a daily gain of 10.01%, momentarily surpassing Kweichow Moutai's ¥1,460.93 per share to become the highest-priced stock in the A-share market at that time.

This achievement was not coincidental. Cambricon Technologies' impressive 2025 interim results released on August 26 provided strong data support for this valuation: first-half revenue reached ¥2.881 billion, a dramatic increase of 4,347.82% year-over-year; net profit attributable to shareholders was ¥1.038 billion, with adjusted net profit of ¥913 million, achieving a remarkable turnaround from a loss of over ¥500 million in the same period last year to substantial profitability.

Goldman Sachs' latest research report indicates it has raised Cambricon Technologies' target price by 50% from ¥1,223 to ¥1,835, citing three major growth opportunities:

First, China's cloud computing capital expenditure has increased significantly. Taking Tencent as an example, its second-quarter 2025 capital expenditure grew 119% year-over-year. Cloud providers' increased investment in AI infrastructure directly expands demand for AI chips.

Second, customers are accelerating chip platform diversification due to tariff uncertainties and data security considerations, reducing dependence on single suppliers. Cambricon Technologies' Siyuan series chips and their compatibility with models like DeepSeek (the China Academy of Information and Communications Technology announced in August 2025 that it passed DeepSeek compatibility testing) perfectly align with this demand.

Third, the company's continued increase in R&D investment drives chip technology iteration while laying the foundation for higher AI chip shipment volumes. Goldman Sachs has therefore raised its 2025-2027 net profit forecasts by 59%, 28%, and 29% respectively, reflecting performance growth from increased shipment volumes.

Cambricon Technologies' rise perfectly captures the convergence of two major opportunities: surging AI computing demand and accelerated domestic substitution, making it the most representative player in this wave. AI is transitioning from laboratory concepts to practical applications across industries, with computing power becoming infrastructure as essential as water and electricity. The technology sector is experiencing a growth wave centered on "domestic computing power independence."

Industry experts note that this year, native innovation companies like DeepSeek are overturning the outdated narrative that "China only imitates." Its success comprehensively validates China's rising technological capabilities and the success of China's education system. It's expected that more hard-core innovations with the potential to "change the world" will emerge like bamboo shoots after rain in China. "This will change global market expectations for Chinese technology assets, and Chinese technology assets' valuations may welcome systematic revaluation."

【Beacon of Domestic Substitution, STAR Board Self-Reliance and Self-Improvement】As a key core technology, achieving independent control of artificial intelligence is crucial. The STAR50 AI ETF (589520), which focuses on domestic AI industry chains with strong domestic substitution characteristics, has a 20% price limit and exhibits high elasticity. The top ten holdings account for nearly 70% of the weight, with semiconductors as the largest sector accounting for nearly half, demonstrating strong offensive characteristics. Edge-cloud integration is a core trend in AI development, and constituent stocks are companies with the largest revenue or best positioning in various sub-segments, positioned to benefit from accelerated AI adoption in edge chips/software. The feeder fund (024561) is available for off-exchange investment.

Chart: Top Ten Holdings of STAR50 AI ETF (589520) from Second Quarter Fund Report

Risk Warning: The STAR50 AI ETF Huabao (589520) and its feeder fund (024561) passively track the SSE STAR Board Artificial Intelligence Index. The index has a base date of December 30, 2022, and was published on July 25, 2024. Index constituent stocks are adjusted according to index compilation rules, and historical backtesting performance does not predict future index performance. Individual stocks and index constituents mentioned in this article are for display purposes only. Stock descriptions do not constitute investment advice in any form, nor do they represent holding information or trading activities of any fund under management. The fund manager assesses the STAR50 AI ETF Huabao's risk level as R4-medium-high risk, suitable for aggressive (C4) and above investors. Suitability matching opinions are subject to sales institutions. Any information appearing in this article (including but not limited to individual stocks, comments, predictions, charts, indicators, theories, any form of expression, etc.) is for reference only. Investors must be responsible for any independent investment decisions. Additionally, any views, analyses, and predictions in this article do not constitute investment advice to readers in any form, nor do they bear any responsibility for direct or indirect losses caused by using the content of this article. Fund investment involves risks. Past performance of funds does not represent future performance. Performance of other funds managed by the fund manager does not guarantee fund performance. Fund investment should be conducted with caution.

MACD golden cross signal formed, these stocks show good upward momentum!