Barclays maintained Fuzhikang (02038.HK)'s increased holdings rating, with a target price of 4.8 yuan unchanged. Last week's adjustments were mainly due to market concerns that the original design and manufacture of smartphones next year will be weak. The bank believes that although the number of orders from major customers such as Xiaomi and Sony may decline next year, orders from major customers such as Huawei and Meizu will remain steady in 2016. The bank also believes that in terms of the company's current market value of 2.9 billion US dollars, net cash is 85% of the market value, which is too undervalued. Moreover, under the current operating model, it is expected that the huge losses in 2010 and 2012 will not be repeated. The bank expects that among Fuzhikang's customers, the high-average price customers Sony and Motorola may lose market share next year, and sales will decrease; while Xiaomi orders with higher gross margin are expected to have a longer product transfer period due to new model component restrictions, the increase in order volume next year will be concentrated in the second half of the year; strong demand from Huawei and Meizu will partially offset the reduction in orders from global brands. Regarding the cooperation between Fuzhikang and Snapdeal, the bank believes that there will be obvious long-term synergies between the two sides. In addition to predicting that the Indian market will contribute 7% to 8% of the company's total, the bank expects that future Snapdeal's potential financial actions will drive Fuzhikang's asset value.