CATL lands a large-scale ESS project in Europe; MU tops RMB 1tn mkt cap as memory rally continues | Daily News Recap

0527 | Dolphin Focus

🐬 Macro/Industry

1. NBS data show Apr. profits of industrial firms above designated size rose 24.7% YoY, accelerating from Mar.'s 15.8% to the fastest since Nov-2023. Profitability is rebounding sharply. Equipment and high-tech manufacturing led the upturn, with AI-driven demand and a PPI rebound as key drivers. Divergence across the value chain persists and domestic demand repair needs consolidation, so profit sustainability bears watching, supportive for A-share manufacturing and cyclicals.

🐬 Single Stocks

1.$CHINA LIT(00772.HK)

China Literature jumped over 7% intraday. It launched the overseas comic-drama platform ToonScroll, with plans to roll out 1,000+ titles this year under a dual engine of exporting domestic hits and co-creating locally. The leading online literature platform is doubling down on comic-drama overseas, scaling via AI translation and deep IP reserves to tap the global lightweight content track. WebNovel has validated overseas monetization, and ToonScroll could open a second growth curve.

2.$Alibaba(BABA.US) $BABA-W(09988.HK)

Alibaba Cloud rolled out the overseas AI product site Qwen Cloud and the agent platform MuleRun, while upgrading agent-oriented cloud infrastructure. The company is accelerating its global AI buildout. Moving from model outputs to full-stack AI cloud services, Alibaba Cloud is positioning to capture AI and agent tailwinds overseas, competing head-on with Amazon and Microsoft.

3.$CATL(03750.HK)

CATL and Solarpro's 601MWh energy storage project in Bulgaria has been successfully grid-connected, the largest in Eastern Europe, featuring the Tianheng zero-degradation system. After commissioning, it lifts the country's total storage capacity by Approx. 15%. This meaningfully raises the share of wind and solar in the energy mix. It is a milestone for Chinese storage tech going global, proving product strength and overseas delivery capability. The project supports Europe's energy transition and grid stability. CATL's share in Europe could rise, with storage becoming a new growth pillar, a sentiment positive for the NEV supply chain.

4.$Micron Tech(MU.US)

Micron surged over 19% on Tue., pushing market cap past $1 tn and bringing YTD gains to 210%+. It is the first storage chipmaker to reach the trillion-dollar mark globally. Backed by strong HBM demand from AI compute buildouts, the company beat estimates and saw a wave of target price hikes. The memory super-cycle is intact, with Micron, one of three key HBM suppliers, a direct beneficiary and further cementing its leadership.

5. Dolphin earnings and calls to watch

Xiaomi: 'Xiaomi: Crisis of confidence? The worst is over'. 'Xiaomi (Trans): Paid tokens exceed 30%, confident in the 550k delivery target'.

MINISO: 'MINISO: Aggressive AI spend, but growth still paid for'. 'MINISO (Trans): Expects high double-digit revenue growth in 2026'.

PDD and Kuaishou to report. Results are due.

🐬 Top Gainers by Sector

A-shares: computer and electronics retailers, industrial gases, and brewers led gains. These sectors outperformed.

HK: system software, consumer electronics, and paper products outperformed. These were the leading gainers.

US: precious metals & mining, copper, and independent power & renewable power producers led. These sectors outpaced the market.

🐬 Watchlist for Tomorrow

1. Marvell, Salesforce, XPeng, and Li Auto to report. Results are due.

2. US Apr. personal spending MoM, core PCE price index MoM, core PCE price index YoY, and Q1 real GDP annualized (2nd estimate). Key US macro prints.

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