Hongchang Electronics' main products are electronic-grade epoxy resins, which can be used in electronic parts such as copper-clad plates, light-emitting diodes, backwash transformers, and capacitors in the electronics industry, as well as special composites, adhesives and handicrafts for aerospace and military applications. The company's high-end electronic grade epoxy resin can completely replace imported electronic grade epoxy resin. It is expected that in the next few years, industries such as integrated circuits, large aircraft, and high-speed rail will drive consumption in the epoxy resin industry as national strategic goals and key development directions. In the next 5-10 years, fierce competition will promote the rapid development of China's epoxy resin industry. Crude oil prices have plummeted since last year, causing the company's raw materials, mainly bisphenol A and epichlorohydrin, to drop drastically. Hongchang Electronics' new product, liquid epoxy resin, hardens and forms the resin with a laser, and is the main material for 3D printing. The company is currently actively preparing to open up high-tech markets such as 3D printing. If the product is launched, it will achieve explosive growth in the company's performance. Based on the epoxy resin industry sentiment analysis and the company's business analysis, we believe that the company's performance will be difficult to improve significantly in 2015, and that the company's performance will improve significantly after 2016. We estimate that the company's 2015-2017 revenue will be 16.4, 24.0, and 3.67 billion yuan, and net profit attributable to shareholders of the parent company will be 6.83, 8.73, and 1.15 billion yuan, corresponding EPS of 0.17, 0.22, and 0.29 yuan, respectively. Give the company a “neutral” rating. Risk warning: With the slowdown in China's economic growth rate and the adjustment of the industrial structure, the epoxy resin industry has also entered an important transition period of development, and the overcapacity of the epoxy resin industry may increase.