Understanding the Market | ZTE rises over 5% as the company accelerates its expansion from connectivity to computing power; institutions are optimistic that its performance will maintain steady growth

ZTE rose over 5%, as of the time of writing, up 5.72%, priced at HKD 34.42, with a transaction volume of HKD 744 million. In terms of news, Changcheng Securities pointed out that in the first half of the year, the company seized the development opportunities brought by AI in network infrastructure, computing power infrastructure, industry applications, and edge computing, consolidating its domestic operator base and increasing its market share among overseas operators; at the same time, it deepened the expansion of computing power demand and accelerated the upgrade of AI edge products, effectively driving the company's revenue growth. The firm believes that as a leader in the domestic ICT industry, the company is continuously accelerating its expansion from connectivity to computing power, focusing on the rapid development of the major country, major network, and major T strategy, and the company's performance is likely to maintain steady growth. Minsheng Securities stated that looking ahead, the company maintains a leading competitive edge in the traditional communication network field; the company's self-developed chips/domestic solutions/intelligent computing supernode systems are expected to help the company gain a higher share in products such as servers and switches, and the company's mobile phones continue to show growth momentum, optimistic about the second curve's efforts