1、 Watchlist the stock on Insights Direct to receive prompt updatesWatchlist the stock on Insights Direct to receive prompt updates ed:BM/sa:JC,AS,PY,CS Nothing artiNothing artificial about AIficial about AI Current Current upcycle continuesupcycle continues,with projectedwith projected CAGRCAGR of of

2、 29.7%29.7%forfor AI semiconductor reAI semiconductor rev venueenue over 2023over 2023-2828,significantly outpacsignificantly outpacinging semiconductors semiconductors 9.9.2 2%growthgrowth Twin growth Twin growth engineengine:AI and:AI and endend-market recovermarket recovery y.WWe are more optimis

3、tice are more optimistic onon mobilemobile growthgrowth vsvs.consensusconsensus A AI I-proxy proxy PE PE of c.30 xof c.30 x supported by earnings growthsupported by earnings growth not bubblenot bubble-likelike,unlike,unlike dotdot-coms 60 x peakcoms 60 x peak Focus on Focus on undervaluedundervalue

4、d downstream plays.HKdownstream plays.HK-listed listed picks picks AACAAC,BYDEBYDE,and,and LenovoLenovo boast PEG ratios boast PEG ratios below 0.4x,below 0.4x,vs vs peers at peers at c.c.1x.1x.Global AI proxies:Global AI proxies:AppleApple,TSMTSMC C,MicronMicron Current Current semiconductor semico

5、nductor uptrend uptrend remains robust.remains robust.AI is a key driver of this growth.While the explosive growth phase for AI may be behind us,we believe the growth trajectory remains compelling.According to Gartner,AI semiconductor revenue is projected to surge by 57%y/y in 2024,followed by anoth

6、er 35%in 2025 and 26%in 2026.This significantly outpaces the overall semiconductor market,which is expected to grow by 19%in 2024 and 17%/7%in 2025/2026.The forward PEG for the S&P500 Info Tech is among the most attractive sub indices.AI:AI:b bubble or ubble or b boom?Comparing to oom?Comparing to d