---
title: "Shenwan Hongyuan: Maintains \"Overweight\" rating on TSTC, equity incentives significantly boost market confidence"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/223883685.md"
description: "Shenwan Hongyuan maintains a \"Buy\" rating on TSTC, believing that the company's net profit targets for 2025-2027 reflect its confidence in growth. The company is accelerating its layout in the new materials business, with capital expenditures increasing year by year. If the initial projects are put into production, they will provide new momentum for performance growth. At the same time, the R&D of UTG technology and the progress of the spherical powder materials project for electronic packaging are proceeding smoothly, and equity incentives enhance market confidence"
datetime: "2025-01-03T07:30:22.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/223883685.md)
  - [en](https://longbridge.com/en/news/223883685.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/223883685.md)
---

# Shenwan Hongyuan: Maintains "Overweight" rating on TSTC, equity incentives significantly boost market confidence

Shenwan Hongyuan's research report points out that the high incentive targets reflect confidence in the growth of TSTC. It believes that the company's high net profit targets for 2025-2027 somewhat reflect its confidence in future growth. The company has accelerated its layout in multiple new material businesses in recent years, which may show a trend of "accumulating strength before a breakthrough." Capital expenditures have increased year by year, and the scale of ongoing projects is gradually accumulating. If the previously accumulated projects are gradually put into production, they are expected to contribute new performance growth points for the company, helping it achieve its incentive targets. The company is fully promoting the research and development process of UTG one-time molding technology and accelerating the iterative development of application technologies such as UFG, 3A coating technology, and microcrystalline glass processing. In terms of application materials: the 6000t/a spherical powder material project for electronic packaging has completed the installation of two production lines. The progress of research and manufacturing in multiple new businesses is smooth, and the equity incentives significantly boost market confidence. Maintain "Overweight" rating

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