After a period of adjustment and selling pressure, risk appetite in the A-share market has notably rebounded this week. From August 4 to August 7, the Shanghai Composite Index and the STAR 50 Index both posted four consecutive days of gains, recording weekly increases of 2.81% and 6.61%, respectively. Market analysts believe the market is currently in a critical phase of bottoming out and trend reversal, with a broad window for bullish positioning now open.

Sectors like technology and healthcare have been taking turns leading the market. On Friday, several concepts, including CRO, electronic fabric, PCB, peptide drugs, innovative drugs, CPO, and indium phosphide, showed strong activity. The recent sustained activity in PCB and electronic fabric sectors is primarily driven by the booming AI computing power supply chain. The new platform cabinets from NVIDIA have entered the stocking cycle, with AI servers significantly boosting the value and demand for high-end PCBs. Upstream materials like electronic fabric and copper-clad laminates are facing tight supply-demand dynamics, with prices rising consecutively, establishing a logic of simultaneous volume and price growth across the chain. This is coupled with generally high mid-year report earnings in the sector, leading to continuous improvement in profit expectations. Additionally, the listing of C-Jiadali has further ignited sector sentiment, with capital gradually flowing back into computing hardware directions.

On August 6, Goldman Sachs released a global research report on PCB and CCL, significantly raising its market size forecast for core materials in the AI server supply chain. Amid the rapid expansion of computing infrastructure, the PCB and CCL sectors are entering a window of explosive growth. The report estimates that the global AI server PCB market will reach $37.5 billion by 2027, a 38% increase from previous forecasts, and further climb to $84 billion by 2028. For the upstream core substrate CCL market, the 2027 size is projected at $22.1 billion, an 18% upward revision, with potential for $48 billion by 2028. Calculations show that from 2026 to 2028, the compound annual growth rate for AI server PCB and CCL markets will be as high as 148% and 161%, respectively, maintaining triple-digit high-growth momentum.

The CPO concept has seen consecutive rebounds, with key catalysts coming from a recent tech forum where an NVIDIA Vice President formally announced that co-packaged optics (CPO) has entered mass production. Switches developed by NVIDIA in collaboration with supply chain partners have begun delivery to close partners, and are also being deployed within NVIDIA itself. Large-scale integration into global AI factories is expected in the second half of the year. The biggest future opportunity in the optical communication market lies in vertical scaling (Scale-up), which requires more than ten times the bandwidth performance of horizontal scaling (Scale-out). Trendforce estimates that the CPO/NPO market will exceed $39 billion by 2030. This announcement dispelled previous market concerns about a comprehensive delay in CPO, opening new incremental space for the optical module supply chain.

In the pharmaceutical sector, a research report from Guosheng Securities notes that since 2023, the top 15 multinational pharmaceutical companies have invested approximately $200 billion annually in external partnerships. As of July 10, 2026, these top 15 firms had already spent $200.3 billion on external capital expenditure in 2026, near 73.5% of the total for all of 2025. This indicates a high boom cycle for global pharmaceutical M&A has been firmly established. The recent repeated strength of the indium phosphide concept is directly linked to NVIDIA's forecast that global demand for indium phosphide wafers will surge about 20 times between 2026 and 2030. However, expanding production capacity for indium phosphide substrates is extremely difficult, with a single production line costing over 1.2 billion yuan and an expansion cycle of 3 to 5 years. The release of new supply lags far behind the growth in demand.

Market participants believe the market is in a critical phase of bottoming out and trend reversal. A stabilization with shrinking volume is not a sign of weakness, but rather a positive performance indicating the clearing of floating chips and a significant reduction in selling pressure, laying a solid foundation for the subsequent rally of mainline sectors. Considering the overall volume-price dynamics, technical patterns, and sector trends, the window for a broad market rally has opened. Operations should not be overly pessimistic, allowing investors to hold onto the main lines of structural opportunities and align with market trends to capture swing trading opportunities. So, how should one currently position investments to achieve more stable returns? Which core companies are worth tracking? Peng Zu, a seasoned market observer who has long tracked A-shares and US stocks, has provided his latest analysis and insights based on the current market environment.

Institutions and well-known investors have recently increased their holdings in certain companies. As A-share mid-year reports are disclosed, the positions of investment institutions beyond public funds are gradually coming to light. For example, the National Social Security Fund, a key member of the "national team," continued to increase its stake in Guangxi Guiguan Electric Power Co., Ltd.. The Social Security Fund 108 Portfolio and 110 Portfolio appeared together among the company's top ten shareholders for the first time at the end of the first quarter. By the end of the second quarter, the 108 Portfolio had increased its position by another 3 million shares, while the 110 Portfolio's holdings remained unchanged from the previous reporting period. Private equity funds focused their second-quarter additions on Peacebird. After previously being publicly held by the Bisheng Niannian Sheng 1 Private Fund and the Sixie Investment Xinxiang 13 Private Securities Investment Fund, another private equity product appeared among the top ten shareholders by the end of the second quarter. The Jiupeng Wengu 7 Private Securities Investment Fund also became the company's seventh-largest shareholder, holding 9.4215 million shares. For foreign QFII funds, the most significant increase in holdings was seen in Hongfa Technology Co., Ltd.. At the end of the first quarter, only Taibai Investment Co., Ltd. was a QFII among the company's top ten shareholders. By the end of the second quarter, this number had increased to four, with three major foreign institutions—Goldman Sachs International, BNP Paribas, and Union Bank of Switzerland—also establishing new significant positions.

Beyond institutional investors, the latest holdings of famous individual investor Zhao Jianping have also been revealed. Although the mid-year report has not yet been published, data from a recent repurchase announcement, as of the registration date of July 21, shows that Zhao Jianping and Zhao Ji, who is believed to be associated with him, both continue to appear among the top ten shareholders of Beijing TuringG-Light Co., Ltd.. Their holdings have increased by 1.4 million shares and 1.8 million shares, respectively, compared to the previous period. Data from the registration date of July 31 for Shenzhen Unilumin Group Co., Ltd. also shows that Zhao Jianping continues to be the company's ninth-largest shareholder, holding 7.7 million shares. However, unlike his approach to Beijing TuringG-Light, Zhao Jianping reduced his position in Shenzhen Unilumin by 11.3 million shares compared to the end of the first quarter. With the formation of MACD golden cross signals, these stocks are showing good upward momentum.