AI Applications & Foundation Models
All research in AI Applications & Foundation Models — 3 reports.
SenseTime is a leading AI software company in China, with generative AI revenue of RMB3.63 billion in 2025, or 72.4% of total revenue, replacing vision AI as its core business through monetization of models, inference infrastructure, and industry Agents. H2 EBITDA and operating cash flow turned positive for the first time, but full-year free cash flow remained deeply negative, three placement rounds in one year point to dilution pressure, and roughly 10.8x sales is not cheap. Research rating Watch: the pivot is already visible in the revenue mix, but cash generation and dilution constraints are still not fully reflected in the share price.
DeepSeek is a frontier Chinese AI model company founded in 2023, building adoption through free Web/App access, metered API monetization, and an open-source model ecosystem. Its latest DeepSeek-V4 model was released in April 2026, with API pricing far below OpenAI and Anthropic, but the company remains a private business with no publicly audited financials and a latest media-reported post-financing valuation of roughly $52 billion to $59 billion. Rating Avoid: the business is technically impressive, but the current valuation appears to have prepaid an optimistic ten-year outcome without enough verifiable cash-flow evidence.
iFLYTEK is China's leading integrated AI voice, foundation-model, education, government, healthcare, and automotive player, and the only listed pure AI full-stack company in the A-share market. FY2025 revenue reached RMB 27.105 billion (+16.12%), net profit attributable to shareholders was RMB 839 million (+49.85%), non-GAAP recurring net profit was RMB 264 million (+40.47%), overseas revenue surged 275%, and R&D spending reached RMB 5.364 billion, or 19.79% of revenue; Q1 2026 revenue was RMB 5.274 billion (+13.23%), but the recurring loss widened to RMB -430 million. Rating Watch: Spark V4.0 to X1 to X2, fully domestic compute training, strong overseas momentum, two U.S. Entity List events in 2019 and 2023, and founder Qingfeng Liu's 20.82% aggregate control make this a high-quality but fully priced AI theme stock.