Guosheng securities gave Hangzhou First Applied Material Co.Ltd(603806) overweight rating: global leading scale advantage of photovoltaic adhesive film + self research of equipment + process control to build a moat

Guosheng securities issued a research report on February 21, saying that it gave Hangzhou First Applied Material Co.Ltd(603806) (603806. SH) an overweight rating. The reasons for rating mainly include: 1) photovoltaic adhesive film: the pioneer of domestic substitution of film materials, the global leading position is stable, and the market share remains at 50-60%; 2) Excellent management ability and outstanding competitive advantage; 3) Electronic film materials: actively promote the localization of photosensitive dry film and other materials, and continuously optimize the product structure, which is expected to create a new growth pole of the company. Risk warning: global demand is less than expected; The price reduction of adhesive film exceeded expectations; New business expansion was less than expected.