Huatai Securities: The fundamentals of the military industry sector may already be in a rebound stage.

Huatai Securities pointed out that some targets in the upstream areas of military industry, such as informatization and new materials, have shown clear signs of improvement in demand, orders, and even performance, indicating that the fundamentals of the military industry sector have entered a rebound stage. We maintain a "one main and two rates" investment framework and recommend focusing on the direction of informatization, new materials, aircraft engines, and new quality and new domain.