Dongwu Securities released a research report on April 25 stating that it gave Hongfa Co., Ltd. (600885.SH) a purchase rating, with a target price of 38.5 yuan. The main reasons for the rating include: 1) 2024Q1 revenue +6% year-on-year, net profit to mother +8% year-on-year, net profit after deduction; 2) electric vehicles, electricity, and automobiles have a good Q1 boom and month-on-month growth; 3) Weak recovery and storage continues in some industries; 4) Inventory turnover has improved significantly, contract liabilities have increased, and cash flow has declined significantly. (Mainichi Keizai Shimbun)