Stock Analysis: ST Engineering | Lianhe Zaobao

ST Engineering is recommended to buy, with a target price of 9.40 yuan and a closing price of 8.38 yuan (+2.45%). The company has achieved substantial results in the fields of intelligent transportation and urban solutions, with an order reserve of 32.6 billion yuan, providing approximately three years of revenue visibility. It is expected that by the end of 2027, the net debt ratio will decrease to 81%. The aviation asset management business is being restructured into a fund platform, with assets under management expected to increase to 3.5 billion USD by 2029. The upside potential comes from international defense orders and declining interest costs, while risks are concentrated in the recovery pace of the aerospace industry