CITIC Securities research note: The recent correction in China’s AI core names,
in both magnitude and duration, now parallels the new‑energy core pullback from
late‑2021 to April‑2022. The first round of hardware valuation re‑rating amid a
downshift in the super‑cycle’s acceleration (second derivative) appears close to
completion. For long‑term investors focused on AI’s growth rate (first
derivative) rather than its acceleration, the current adjustment is insufficient
to alter the trend. Memory prices, GPU rental rates and CSPs’ (cloud service
providers’) profit margins are the key variables to watch for direction of
underlying AI demand.
