UBS: Fuyao Glass (03606.HK) average price of car glass continues to rise, target price raised to 95 Hong Kong dollars.

According to the Wisdom Financial APP, UBS released a research report stating that the management of Fuyao Glass (03606.HK) updated the operating situation of the third quarter, with the capacity utilization rate of domestic factories reaching about 87% so far this quarter, an increase of about 2 percentage points year-on-year, and a quarterly increase of about 3 percentage points. The capacity utilization rate of the Phase I factory in the United States maintained a high level of about 80%; the capacity expansion of the Phase II factory in the United States is progressing smoothly, and it is expected that the capacity utilization rate of the factory will reach about 40% in the second half of the year. Transportation costs in the third quarter have significantly decreased year-on-year, which will help improve profit margins. The bank raised its profit forecast for the company by up to 13% from this year to 2030, reflecting that the new capacity expansion is faster than expected and the price adjustment in the US market. The target price of the stock was raised from HK$84 to HK$95, maintaining a "buy" rating.