Zhi Tong Cai Jing·2025-10-30 09:49Group 1 - The core viewpoint of the report is that the company has raised its profit forecast for 2025 but slightly lowered the forecasts for 2026 and 2027, maintaining a valuation benchmark of 1.1 times the 2026 price-to-book ratio, with a target price increase from HKD 11.7 to HKD 12.05 [1] - The company expects a significant weakening in performance over the next two quarters, and after a recent rebound in stock price, the valuation attractiveness is limited, leading to a downgrade in rating from "Buy" to "Neutral" [1] - In Q3, the company's revenue and profit reached RMB 4.73 billion and RMB 376 million respectively, representing a year-on-year increase of 21% and a turnaround from loss, with a quarter-on-quarter increase of 29% and 143% [1] Group 2 - The report indicates that the production capacity of photovoltaic glass in mainland China decreased from 100,000 tons at the end of May to 89,000 tons at the end of July, and the industry inventory days dropped from 36 days in mid-July to a minimum of 15 days by late September [2] - The price of 2.0mm glass per square meter increased significantly from RMB 11 in August to RMB 13 in September, outperforming expectations [2] - However, as component customers reduce purchases due to depleting inventory and production cuts, the industry inventory days have rebounded to 21 days since October, and glass prices are expected to decline again starting in November [2]