CITIC Securities: AI Disrupts the Narrative of U.S. Internet Stocks, Short-term Overinterpretation

A CITIC Securities research report states that AI will overturn the U.S. stock internet narrative that is being overplayed in the short term. In consumer scenarios, the incremental value from AI experience is limited; AI substitution faces cost constraints; and model companies themselves have inherent capability boundaries. Therefore, AI is more likely to be a cooperative partner with existing internet platforms rather than a replacement, and some high-quality companies have been clearly mispriced. CITIC Securities recommends focusing on companies that have competitive barriers in the AI era—such as being linked to the physical world, strong network effects, accumulated data and algorithms, and high-quality content IP—while also identifying directions in which demand expands as AI penetrates deeper.