Chinese equities remain in focus as investors navigate a market marked by geopolitical risk, subdued domestic demand and selective re-entry into undervalued assets. Among the most talked-about names are companies with strong competitive moats, evolving business models and strategic exposure to AI, cloud and next-gen technology trends. This analysis explores four widely tracked Chinese stocks, their current positioning and how they might perform as economic conditions evolve.

The Chinese stock market enters 2026 in a strange balance between deep pessimism and gradually stabilizing fundamentals. After several years of poor performance, foreign capital outflows and a significant fall in valuations, investor confidence remains low, even though the business environment itself has in many ways stopped deteriorating further. China's main Hang Seng index is trading today at the same levels as in 2007.

Macroeconomically, the main theme is the persistent weakness in domestic demand and the fading…