Shenzhen Senior Technology Material Co., Ltd. (300568)

Stock Analysis Report | Industry: Lithium-ion Battery Separator | Report Date: September 13, 2026 | As of the close on September 11, 2026; technical indicators and one-week outlook are based on historical closing prices and calculated data from the research notes.

This report is automatically compiled and generated by AI based on publicly available information, for reference only and does not constitute investment advice.

1. Core Summary

Senior Technology Material's performance significantly recovered in H1 2026: revenue reached RMB 2.652 billion, up 39.72% year-on-year; net profit attributable to shareholders was RMB 204 million, up 103.08% year-on-year; non-recurring net profit attributable to shareholders was RMB 173 million, up 297.03% year-on-year. Of this, Q2 2026 net profit attributable to shareholders was approximately RMB 175 million, up approximately 497% quarter-on-quarter, indicating that separator product prices, product mix, and overseas business improvements were mainly realized in Q2. However, the company's 2025 net profit attributable to shareholders was only RMB 36.3678 million, down 90.00% year-on-year, with a non-recurring loss of RMB 54.2909 million; the high growth in 2026 still includes a low-base factor.

The company's main business is highly concentrated in lithium-ion battery separators, with separator revenue of RMB 4.077 billion in 2025, accounting for 98.82% of operating revenue, covering dry-process, wet-process, and coated separators. In H1 2026, separator revenue was approximately RMB 2.631 billion, up approximately 39.9% year-on-year, with a business gross margin of approximately 29.24%, up 4.40 percentage points year-on-year; overseas sales revenue was approximately RMB 820 million, up 233.52% year-on-year, with overseas revenue proportion rising above 30%. The Malaysia project, European and other overseas layouts, as well as wet-process, coated, and high-performance products, are expected to become important supports for subsequent revenue and profitability recovery.

The company's profitability is relatively sensitive to industry supply-demand dynamics, separator prices, material costs, and major customer bargaining power. Separator business gross margin has declined from approximately 45.37% in 2022 to 22.78% in 2025; 2025 material costs were approximately RMB 1.682 billion, accounting for 53.44% of separator business operating costs, with a growth rate higher than separator revenue growth; meanwhile, the top five customers accounted for 60.24% of sales, and accounts receivable were RMB 1.891 billion, approximately 45.8% of 2025 operating revenue. Both customer concentration and capital occupation require continued attention.

As of September 11, 2026, the company's stock closed at RMB 14.40, with a trailing P/E of approximately 153.91x and P/B of approximately 1.94x. The stock price has recently been oscillating in the RMB 13.88–14.97 range; after a volume-driven rally on September 9, it fell for consecutive days, with the current price below MA20 and the Bollinger middle band of approximately RMB 14.58, indicating increased short-term capital divergence. The market has strong expectations for 2026 earnings recovery, overseas capacity ramp-up, and new materials business growth, and valuation is relatively sensitive to the degree of subsequent earnings realization.

2. Company Overview

2.1 Basic Information

2.2 Main Business and Product Layout

• Lithium-ion battery separators: including dry-process separators, wet-process separators, and coated separators such as ceramic, boehmite, and nanofiber coatings; 2025 revenue was RMB 4.077 billion, accounting for 98.82% of operating revenue.
• Functional membrane products: including high-safety, high-strength, low-moisture, and low-closure functional membrane products; the annual report does not disclose their specific revenue proportion among dry-process, wet-process, and coated membranes.
• Other businesses: 2025 revenue was RMB 49 million, accounting for 1.18% of operating revenue.
• Downstream applications cover new energy vehicle power batteries, energy storage stations, electric bicycles, power tools, 3C digital products, aerospace, and medical fields. The company primarily uses direct sales and conducts customized development and production according to customer needs.
• Production and R&D layout: has established production bases covering Shenzhen, Anhui, Changzhou, Jiangsu, Nantong, Europe, and other locations, and has set up R&D platforms in Shenzhen, Osaka Japan, Germany, and other locations; in 2025, it advanced the Malaysia project for high-performance lithium-ion battery wet-process and coated separators.

2.3 Industry Chain Position and Cost-Profit Structure

Senior Technology Material is positioned in the separator segment in the midstream of the lithium battery industry chain, mainly producing dry-process, wet-process, and coated separators. Separators directly affect battery safety, cycle life, internal resistance, energy density, and fast-charging performance, but corporate profitability is simultaneously affected by upstream petrochemical and coating material costs, downstream large battery manufacturers' procurement cost reduction, and industry supply-demand changes.

• Main purchased materials include polyethylene (PE), polypropylene (PP), ceramic powder, boehmite, polymers, white oil, dichloromethane, other additives, packaging materials, and production auxiliary materials. Among these, PE and PP are basic materials for base film production, while ceramic powder, boehmite, polymers, and other additives are mainly used for coated membranes or functional membrane products.
• 2025 separator business material costs were approximately RMB 1.682 billion, accounting for 53.44% of separator business operating costs, higher than 40.24% in 2024; material costs grew 67.45% year-on-year, higher than the 16.28% growth in separator revenue over the same period, indicating the company is relatively sensitive to petrochemical material and coating material costs.
• 2025 top five suppliers' total procurement amount was RMB 919 million, accounting for 47.97% of total annual procurement; the largest supplier accounted for 13.68% of total procurement. The company did not disclose specific supplier names.
• PE, PP, and some coating materials are affected by petrochemical prices, supply-demand changes, and product specifications; the company is generally a price taker for some raw materials rather than a buyer with absolute pricing power. The annual report does not disclose procurement prices for different raw materials, supplier locations, long-term agreement proportions, or single-material dependency levels, making it impossible to determine whether specific materials have significant supplier lock-in relationships.
• Major customers are domestic and international power battery, energy storage battery, and consumer battery companies, with end demand from new energy vehicles, energy storage stations, power tools, electric bicycles, and consumer electronics.
• The downstream battery customer types listed in the annual report definitions include CATL, BYD, LG Energy Solution, Samsung SDI, CALB, EVE Energy, Gotion High-tech, Sunwoda, etc., but the annual report does not confirm each of them as 2025 customers, and this list cannot be equated with the current-period customer list.
• As of 2025, the company's top five customers' total sales amount was RMB 2.485 billion, accounting for 60.24% of total annual sales; the largest customer accounted for 16.23%, the second largest for 12.38%, and the third through fifth largest for 11.51%, 11.00%, and 9.12% respectively. The company did not disclose the specific names of the top five customers, so it is impossible to confirm which battery companies they correspond to.
• The separator industry has characteristics of customer certification and large-scale procurement. After passing relatively long-cycle performance verification and batch certification, separator companies can obtain relatively stable supply relationships; however, large battery manufacturers have concentrated procurement and typically impose requirements on price, delivery, yield, and annual cost reduction, and downstream bargaining power further strengthens when industry supply increases.
• As of December 31, 2025, accounts receivable were RMB 1.891 billion, operating revenue was RMB 4.125 billion, and accounts receivable/operating revenue was approximately 45.8%; inventory was RMB 762 million, and contract liabilities were RMB 18 million. 2025 net cash flow from operating activities was RMB 753 million, significantly improved from 2024, but accounts receivable still approached half of operating revenue, reflecting that the company needs to provide certain payment terms for large battery customers; downstream customer capital occupation and settlement cycles remain important variables. The annual report does not provide complete accounts receivable turnover days, major customer payment terms, or customer-by-customer accounts receivable information, making it impossible to further judge differences in payment conditions among different customers.
• Customer concentration data is on a 2025 annual basis: top five customers' sales proportion was 60.24%, top five suppliers' procurement proportion was 47.97%. Both customers and suppliers are disclosed on an anonymized basis, making it impossible to confirm specific names and single-material dependency relationships; the above concentration data is based on the company's 2025 Annual Report, and the current notes do not provide other years' data for cross-comparison.

Senior Technology Material is positioned in the key separator material segment in the midstream of the lithium battery industry chain, belonging to a manufacturing-type material enterprise with barriers in technology and customer certification but product prices significantly affected by large battery manufacturers and industry supply-demand dynamics, with a profit structure closer to midstream processing and manufacturing. Further profit improvement mainly depends on separator price stabilization, capacity utilization improvement, material and manufacturing cost reduction, increased proportion of coated and ultra-thin high-end products, and customer and order absorption after overseas capacity is commissioned; the company is not a mineral resource enterprise, and natural resource reserve logic such as coal and lithium mines is not applicable.

3. Financial Data and Valuation Analysis

3.1 Recent Operating Performance

H1 2026 non-recurring net profit attributable to shareholders was RMB 173 million, up 297.03% year-on-year; basic earnings per share was RMB 0.15, and weighted average return on equity was 2.08%. H1 2026 net cash flow from operating activities was RMB 391 million, down 27.06% year-on-year. 2025 non-recurring net profit attributable to shareholders was a loss of RMB 54.2909 million, down 119.22% year-on-year; 2025 net cash flow from operating activities was RMB 753 million, up 104.24% year-on-year.

The company's H1 2026 revenue and profit significantly improved, with Q2 performance accelerating quarter-on-quarter; separator product prices, product mix, and overseas business improvements were mainly realized in Q2. H1 2026 lithium battery separator business revenue was approximately RMB 2.631 billion, up approximately 39.9% year-on-year, with business gross margin of approximately 29.24%, up 4.40 percentage points year-on-year; overseas sales revenue was approximately RMB 820 million, up 233.52% year-on-year, with overseas revenue proportion rising above 30%. Attention should be paid to operating cash flow being lower than profit growth, as well as the impact of accounts receivable, inventory, and overseas expansion on cash flow. The high growth in 2026 performance includes a low profit base factor from 2025.

3.2 Profit Forecasts

The above forecasts are respectively from publicly available research reports by Soochow Securities, Everbright Securities, Great Wall Securities, and Guolian Minsheng Securities, with differences in specific institutions and versions. One set of Soochow Securities forecasts is 2026–2028 revenue of RMB 6.174/8.143/10.579 billion, and net profit attributable to shareholders of RMB 748/1,283/1,827 million; another version only discloses net profit attributable to shareholders of RMB 740/1,390/1,670 million. Based on comprehensive publicly available research reports, 2026 revenue forecasts are roughly concentrated in RMB 6.0–6.2 billion, with net profit attributable to shareholders of approximately RMB 710–780 million; 2027 net profit attributable to shareholders forecasts are approximately RMB 1.12–1.52 billion, and 2028 approximately RMB 1.58–2.16 billion. The above forecasts are not formal company performance guidance and cannot be regarded as a unified market consensus.

3.3 Valuation Level and Institutional Ratings

As of the close on September 10, 2026, the company's stock price was RMB 14.74, total market capitalization approximately RMB 22.040 billion, trailing P/E approximately 160x, P/B approximately 2.02x. Another data source during trading on September 11, 2026 showed a stock price of approximately RMB 14.50, total market capitalization approximately RMB 21.68 billion, PE (TTM) approximately 154.98x, PB approximately 1.99x; this data is not mixed with the September 10 closing data. Based on the September 10 closing market capitalization, using simple annualization of H1 2026 net profit attributable to shareholders, full-year profit would be approximately RMB 408 million, corresponding to a static annualized PE of approximately 54x; based on the average institutional 2026 net profit attributable to shareholders forecast of approximately RMB 731 million, forward PE is approximately 30.1x; based on Soochow Securities' forecast of RMB 748 million, approximately 29.5x; based on Great Wall Securities' forecast of RMB 707 million, approximately 31.2x. Based on Soochow Securities' 2027 forecast of RMB 1.39 billion and 2028 forecast of RMB 1.67 billion, PE is approximately 15.9x and 13.2x respectively. Based on the broadly forecast 2026 EPS of approximately RMB 0.47–0.48, the stock price of RMB 14.74 corresponds to a dynamic PE of approximately 30.7–31.4x. The current TTM PE of approximately 155–160x is mainly due to the low 2025 profit base and has limited reference value; if 2026 earnings forecasts are realized, valuation could switch to approximately 30x 2026 PE, and if 2027–2028 forecasts are realized, it could further decline to approximately 13–17x. However, the current valuation already implies strong expectations for separator price recovery, overseas capacity ramp-up, and new materials business growth. Institutional target prices are mainly concentrated at RMB 18.0–18.4, with some third-party platform average target prices at approximately RMB 18.95, corresponding to implied upside of approximately 22%–29% relative to the RMB 14.74 closing price, but the target price sample is limited and depends on earnings forecast realization. Key areas to track include actual separator product price increases, wet-process and coated separator unit profitability, Malaysia and U.S. base commissioning progress, overseas revenue growth, inventory and accounts receivable changes, profit contribution after Bangci Electronics consolidation, and whether operating cash flow can recover alongside profits.

4. Recent News and Announcements

4.1 New Overseas Project Financing Guarantee

On September 8, 2026, the company disclosed the "Announcement on Progress of Guarantees Provided by the Company and Its Subsidiaries for Subsidiaries" (Announcement No.: 2026-067). The wholly-owned second-tier subsidiary Innov New Material Technology (Malaysia) Co., Ltd., due to production project construction needs, applied to a syndicate of banks for a term loan of no more than EUR 118,473,495, with Commerzbank acting as agent bank and Hermes export credit insurance underwriting. The company and its wholly-owned subsidiary Innov (Singapore) Pte. Ltd. each provided joint and several liability guarantee of no more than EUR 118,473,495, which constitutes domestic guarantee for overseas loans and requires registration according to regulations. As of the announcement disclosure date, the company and its subsidiaries' actual guarantee balance was RMB 6,548,605,500, accounting for 66.40% of the company's 2025 audited net assets; the company noted the risk that total guarantees exceed 100% of the most recent audited net assets. The company has no overdue guarantees, nor does it provide guarantees for controlling shareholders, actual controllers, or their related parties.

4.2 Convening Extraordinary Shareholders' Meeting to Review Acquisition of Bangci Electronics

On September 5, 2026, the company disclosed the "Notice on Convening the Sixth Extraordinary Shareholders' Meeting of 2026" (Announcement No.: 2026-066). The company plans to convene the Sixth Extraordinary Shareholders' Meeting of 2026 on September 23, 2026, with the record date of September 17, 2026. The sole core proposal of the meeting is the "Proposal on Foreign Investment Acquisition of Bangci Electronics Equity and Signing of Equity Transfer Agreement." Whether the acquisition plan can continue to advance still requires approval by the shareholders' meeting.

4.3 Proposed Cash Acquisition of 59.9806% Equity in Bangci Electronics

On August 13, 2026, the company disclosed Announcement No. 2026-056, proposing to acquire a total of 59.9806% equity in Bangci Electronic Technology (Yancheng) Co., Ltd. from 7 shareholders by cash, with total itemized transaction consideration of approximately RMB 241.83 million. The company had previously acquired 13.50% equity in Bangci Electronics for approximately RMB 91.0698 million in February 2026. After completion of this transaction, the company's shareholding ratio will increase from 13.50% to 73.4806%, and Bangci Electronics will become a controlled subsidiary of the company and be included in the consolidated financial statements. This transaction constitutes a business combination not under common control, does not constitute a related-party transaction, nor a major asset restructuring, but must be submitted to the shareholders' meeting for review.

4.4 Bangci Electronics Acquisition Has Consolidation and Integration Uncertainties

Bangci Electronics is mainly engaged in multilayer piezoelectric ceramics and related businesses, applied in semiconductor equipment, precision control, satellite laser communication, 3C electronics, and new energy fields. The company plans to extend into semiconductor materials, precision ceramics, and other new materials fields through the acquisition. Currently, Bangci Electronics has not been included in the company's consolidated financial statements, and short-term performance contribution is uncertain; the transaction does not disclose clear performance commitments, and future profitability still needs to be verified through post-consolidation financial data. At the same time, cash payment, overseas capacity construction, and entry into new business areas may bring capital expenditure, financing, industry experience, customer development, and technology industrialization risks.

4.5 H1 2026 Performance Significantly Recovered Year-on-Year

On August 28, 2026, the company disclosed its H1 2026 semi-annual report and summary. H1 2026 operating revenue was RMB 2.652 billion, up 39.72% year-on-year; net profit attributable to shareholders of the listed company was RMB 204 million, up 103.08% year-on-year; net profit after deducting non-recurring gains and losses was RMB 173 million, up 297.03% year-on-year; net cash flow from operating activities was RMB 391 million, down 27.06% year-on-year; basic earnings per share was RMB 0.15. As of June 30, 2026, the company's total assets were RMB 27.333 billion, and net assets attributable to shareholders of the listed company were RMB 10.891 billion. The company's wholly-owned subsidiary Senior Materials USA received cumulative U.S. tariff and interest refunds totaling USD 3.9097 million during the reporting period.

4.6 H1 2026 Provision for Asset Impairment

On August 28, 2026, the company disclosed the "Announcement on Provision for Asset Impairment for H1 2026" (Announcement No.: 2026-060). The company made a total provision for asset impairment of RMB 22.2194 million in H1 2026, including accounts receivable credit impairment loss of RMB 3.669 million, other receivables credit impairment loss of RMB 52,300, notes receivable credit impairment loss of RMB 76,200, and inventory write-down provision of RMB 18.4219 million. This provision will reduce H1 2026 total profit by RMB 22.2194 million, and the relevant data has not been audited and confirmed.

4.7 No Q1–Q3 2026 Performance Forecast Yet

As of September 11, 2026, no newly published Q1–Q3 2026 performance forecast by the company in September 2026 was found. The earlier publicly disclosed performance forecast was the "2025 Annual Performance Forecast" released on January 30, 2026, expecting 2025 net profit attributable to shareholders of the listed company of RMB 27.5–40.5 million, and net profit after deducting non-recurring gains and losses of a loss of RMB 45.2–58.2 million; the relevant data are preliminary estimates and have not been audited by an accounting firm.

4.8 H-Share Issuance Caused Passive Dilution of Controlling Shareholder's Shareholding Ratio

On June 23, 2026, the company's H shares were listed on the Main Board of the Hong Kong Stock Exchange. After the company issued 149,523,500 H shares, total share capital increased from 1,345,710,639 shares to 1,495,234,139 shares. The controlling shareholder and actual controller Chen Xiufeng and his concert party Chen Weirong did not reduce their shareholding, but their shareholding ratio was passively diluted due to the increase in total share capital; this matter does not involve shareholder reduction, nor did it result in a change of control.

4.9 Top Ten Shareholders and Shareholder Changes in H1 2026

As of June 30, 2026, the company's total number of common shareholders was 82,821. Chen Xiufeng held 170,489,491 shares, with a shareholding ratio of 11.40%; HKSCC NOMINEES LIMITED held 149,523,500 shares, with a shareholding ratio of 10.00%; Hong Kong Securities Clearing Company Limited held 45,007,766 shares, with a shareholding ratio of 3.01%. Shenwan Lingxin New Energy Vehicle Theme Flexible Allocation Mixed Securities Investment Fund, Goldman Sachs International—own funds, Penghua CSI细分 Chemical Industry Theme ETF, and Guosen Securities held 1.25%, 0.96%, 0.92%, and 0.69% respectively. The company's controlling shareholder and actual controller did not change during the reporting period. As of September 11, 2026, no announcements of recent reductions by the controlling shareholder or actual controller were found; changes in the top ten circulating shareholders as of the semi-annual report date do not represent current real-time holdings.

4.10 No New Repurchase or Controlling Shareholder Increase Plans from August to September 2026

As of September 11, 2026, no newly disclosed share repurchase plans, repurchase progress, or controlling shareholder increase plans by the company from August to September 2026 were found. The company previously completed cancellation of 2,413,500 repurchased shares in the repurchase special account in January 2026; this matter is not part of the recent September matters in this round.

4.11 Vesting of Reserved Portion of Restricted Stock Incentive Plan

On August 28, 2026, the company disclosed the announcement on the achievement of vesting conditions for the first vesting period of the reserved portion of the 2024 restricted stock incentive plan. The incentive recipients meeting the vesting conditions this time are 5 persons, and 185,000 shares of Class II restricted stock are proposed to be vested, accounting for approximately 0.01% of the company's total share capital on the announcement date, with an adjusted grant price of RMB 3.69/share, and the shares are sourced from A-share common stock directionally issued by the company to incentive recipients.

4.12 No New Regulatory Penalty Announcements from August to September 2026

As of September 11, 2026, no new announcements of public penalties, investigations, or disciplinary actions by the CSRC or Shenzhen Stock Exchange against the company from August to September 2026 were found. The publicly searchable regulatory matter is the July 2023 Shenzhen Securities Regulatory Bureau's warning letter measures against the company, Chen Xiufeng, and Shen Xiwen, which is a historical regulatory record and not a newly added regulatory event in 2026.

5. Stock Price Trend and Technical Analysis

5.1 Price Overview

5.2 Technical Indicators

As of September 11, 2026, Senior Technology Material's A-shares closed at RMB 14.40, with the stock recently oscillating repeatedly in the RMB 13.88–14.97 range. On September 9, the stock rose 7.85% and significantly increased volume to RMB 1.523 billion, then fell over the following two days, indicating profit-taking pressure near RMB 14.97 and increased capital divergence. The current price is basically close to MA5 and MA10, but below MA20 and the Bollinger middle band of RMB 14.58, with technical form showing oscillating weakness. On the downside, key observation should be the support validity of the RMB 13.55–14.00 area and near the Bollinger lower band of approximately RMB 13.64; on the upside, attention should be paid to the RMB 14.76–15.43 pressure area and the Bollinger upper band near RMB 15.53. Currently, MACD lacks synchronous data for September 11, 2026, making it impossible to make a definitive judgment on golden cross, death cross, or red bar status.

5.3 Short-Term Outlook (Next Week, Scenario Deduction, for Reference Only)

⚠️ Risk Warning: The following content is only a subjective scenario deduction based on closing data as of September 11, 2026, historical prices, and technical indicator calculations. It does not constitute investment advice, nor is it a single-point price forecast.

① Key Technical Levels

② Next Week Scenarios (Subjective Weighting, Not Statistical Probability)

• Range-bound consolidation (relatively higher weight, approximately 60%; subjective heuristic weight based on current technical form, capital flows, and volume, not statistical probability): Price range approximately RMB 13.90–14.90. If it stabilizes near RMB 13.55–14.00 on reduced volume and turnover remains approximately RMB 500–800 million, the stock price may oscillate repeatedly near RMB 14 and attempt to return above RMB 14.76. Basis: current price is close to MA5 and MA10 but below MA20, and after the volume-driven rise on September 9, it fell for consecutive days with capital divergence.
• Weak downside (medium weight; subjective heuristic weight based on current technical form, capital flows, and volume, not statistical probability): Price range approximately RMB 13.00–13.80. Trigger conditions include support near RMB 13.55 being broken with volume, single-day turnover significantly higher than recent normal levels but closing continues to weaken, or continued significant capital outflow from the new energy and battery materials sectors. If RMB 13.55 is lost, the short term may seek support in the RMB 13.00–13.37 strong support area.
• Rebound strengthening (relatively low weight; subjective heuristic weight based on current technical form, capital flows, and volume, not statistical probability): Price range approximately RMB 14.80–15.50. Requires the stock price to reclaim MA20 and the Bollinger middle band near RMB 14.58, and turnover to recover to approximately RMB 800 million–1 billion or more, with main capital turning back to net inflow on up days; if it further breaks above RMB 14.97–15.00 with volume, it may have a chance to test the RMB 15.30–15.53 pressure area.

③ Capital and Liquidity Background

Recent 5 trading days' turnover was approximately RMB 454 million–1.523 billion, averaging approximately RMB 746 million; turnover rate was approximately 2.69%–8.58%. On September 9, turnover expanded to approximately RMB 1.523 billion with a turnover rate of 8.58%, then on September 10 and 11 turnover fell to approximately RMB 628 million and RMB 597 million respectively, with turnover rates dropping to 3.54% and 3.46%, indicating that after the volume-driven rise, continuous volume-driven upward attack did not form, and short-term chips are still in the process of profit-taking and repricing. Shareholder structure data as of June 30, 2026: top ten circulating shareholders held approximately 23.68% of the float, institutional holdings approximately 25.51% of the float; among the top ten shareholders there are public funds, ETFs, QFIIs, and brokerage institutional investors, but no extremely high concentration of holdings was formed. Hithink classifies it as having relatively low main capital control. Because shareholder data lags the current market by approximately two months, it cannot fully represent the real-time holding structure as of September 11, 2026, and the actual chip structure may have changed. Combined with daily turnover at the hundreds-of-millions level, buy-sell impact under normal trading is relatively limited, but turnover rapidly falling after volume expansion indicates that short-term capital sustainability still needs observation.

A checkable volume confirmation signal is: if the stock price reclaims RMB 14.76 and single-day turnover reaches approximately RMB 800 million–1 billion, maintaining volume for at least one consecutive trading day, while main capital turns from net outflow to net inflow, it can be regarded as a strengthening signal for rebound validity; if volume expands but the close still falls below RMB 13.55, it should be understood as capital withdrawal or selling pressure release rather than a positive entry signal.

④ Key Points to Watch (Observation Ideas Only, Not Trading Instructions)

• Observation idea, not trading instruction: focus on whether the RMB 13.55–14.00 area can stabilize on reduced volume, and whether turnover simultaneously expands when breaking below this area.
• Observe whether MA20 and the Bollinger middle band near RMB 14.58 can be reclaimed, as a reference position for short-term technical structure repair.
• Observe the breakthrough situation of the RMB 14.76–15.43 pressure area and the Bollinger upper band near RMB 15.53, focusing on whether accompanied by turnover expansion.
• Observe whether single-day turnover reaches approximately RMB 800 million–1 billion with main capital turning to net inflow; if volume expands on a decline and breaks below RMB 13.55, then focus on the RMB 13.00–13.37 strong support area.

The above scenario deduction is based on September 11, 2026 closing data and historical prices and technical indicator calculations. Short-term stock prices will also be disturbed by multiple factors such as news, capital, and overall market environment. Technical indicators themselves have lag and limitations, do not constitute a guarantee of future actual trends, nor constitute buy-sell advice. Please combine the latest market information for independent judgment and bear investment risks yourself.

6. Industry Landscape and Competitor Analysis

6.1 Industry Status

The upstream of the lithium battery industry chain includes petrochemical raw materials, polyolefin resins, coating materials, and chemical additives; the midstream includes battery materials such as cathodes, anodes, electrolytes, and separators; the downstream includes power batteries, energy storage batteries, consumer electronics batteries, and end applications such as new energy vehicles and energy storage systems. Senior Technology Material is positioned in the midstream separator segment, covering dry-process, wet-process, and coated technology routes.

6.2 Competitive Landscape

• Chinese separator companies have become the world's main supply force in recent years. The company's 2024 annual report cited industry data stating that Chinese companies accounted for more than 91% of the global separator market share in 2024.
• Public industry statistics show that in 2023 global separator shipment rankings, Yunnan Energy New Material was approximately 5.70 billion square meters, with global share of approximately 27.14%; Senior Technology Material was approximately 2.61 billion square meters, with global share of approximately 12.43%; Sinoma Science & Technology was approximately 1.74 billion square meters, with global share of approximately 8.29%; Hebei Jinli was approximately 1.47 billion square meters, with global share of approximately 7.00%; Zhongxing New Material was approximately 1.38 billion square meters, with global share of approximately 6.57%. The top ten companies together accounted for approximately 90% of the global market. The above data comes from China Bond Rating and public industry statistics, not directly disclosed in the company's annual report; statistical calibers may include different regions and technology routes, and are for industry reference only.
• Wet-process separators have advantages in thinness, pore structure, and comprehensive performance, suitable for high-energy-density power batteries and some high-end consumer batteries; dry-process separators have lower cost, relatively simple process, better high-temperature resistance and mechanical strength, and are competitive in lithium iron phosphate, energy storage, power tools, and some power battery fields.
• Coated separators improve heat resistance, wettability, adhesion, and safety performance through ceramic, boehmite, polymer, and other coatings, typically with higher added value than ordinary base films.
• Core industry competition includes technology and processes, scale and cost, customer certification, global production, and product prices. After industry capacity release, ordinary base films face downward price pressure, and coated films, ultra-thin films, and solid-state battery-related materials are the main upgrade directions.
• The company's 2025 annual report does not disclose the total designed capacity of dry-process, wet-process, and coated separators on a consolidated basis; the third-party claim of approximately 4.665 billion square meters of separator sales in 2025 could not be cross-verified in the annual report text and is not used as official core data.

6.3 Major Competitors

Senior Technology Material's differentiation lies in its layout across all three technology routes: dry-process, wet-process, and coating, with an early start in dry-process separators and continuous expansion of wet-process and coating capabilities; at the same time, it advances global layout through production bases in Shenzhen, Anhui, Changzhou, Jiangsu, Nantong, Europe, and the Malaysia project. Compared with Yunnan Energy New Material, the company faces competitive pressure in overall wet-process separator scale and customer coverage, but has differentiation in dry-process separators, some overseas customers, and synergy across three technology routes; compared with Sinoma Science & Technology, Hebei Jinli, etc., the company's business is more focused on separators. The industry as a whole is still in a stage where scale competition, cost competition, and downstream battery manufacturers' cost reduction pressure coexist. The company's profit recovery depends on price stabilization, cost control, capacity utilization, and absorption of high-value-added products and overseas capacity.

7. Risk Warnings

• Increased supply in the separator industry and downstream battery manufacturers' cost reduction may continue to压低 product prices and unit profitability. The company's separator business gross margin has declined from approximately 45.37% in 2022 to 22.78% in 2025; if price stabilization falls short of expectations, 2026 earnings recovery may be weaker than institutional forecasts.
• The company is relatively sensitive to raw material and coating material costs. 2025 separator business material costs were approximately RMB 1.682 billion, accounting for 53.44% of separator business operating costs, up 67.45% year-on-year, higher than separator revenue growth; if PE, PP, ceramic powder, boehmite, and related additives costs rise, cost pressure may erode gross margin.
• Customer concentration is relatively high and downstream bargaining power is strong. 2025 top five customers accounted for 60.24% of sales, with the largest customer accounting for 16.23%; the company did not disclose the specific names of the top five customers. If major customers' procurement plans, certification progress, prices, or settlement conditions change, it may affect revenue recognition and profitability.
• Accounts receivable and cash flow pressure exists. As of the end of 2025, accounts receivable were RMB 1.891 billion, approximately 45.8% of that year's operating revenue; H1 2026 net cash flow from operating activities fell 27.06% year-on-year. If overseas expansion and business growth continue to occupy working capital, it may increase capital turnover and impairment risks.
• Overseas project construction and financing guarantee scale are relatively large. The company and its subsidiaries' actual guarantee balance was RMB 6,548,605,500, accounting for 66.40% of 2025 audited net assets; the company has noted the risk that total guarantees exceed 100% of the most recent audited net assets; the Malaysia project also involves loan guarantees of no more than EUR 118,473,495. If project commissioning, order absorption, or capital recovery fall short of expectations, it may increase financial and guarantee risks.
• Overseas operations face construction, customer development, exchange rate, and regional operational uncertainties. The 2025 annual report already mentioned increased investment and expenses from overseas capacity layout, exchange rate fluctuations, and some asset impairment impacts; H1 2026 overseas revenue grew rapidly, but its sustainability still needs to be verified through overseas base commissioning progress, customer orders, and profitability data.
• Bangci Electronics acquisition has approval, consolidation, and integration uncertainties. The company plans to acquire 59.9806% equity by cash; the transaction still requires shareholders' meeting review, and Bangci Electronics is currently not consolidated into the company's statements and no clear performance commitment has been disclosed; if technology industrialization, customer development, or business integration fall short of expectations, new business contribution may be lower than expected.
• The company's current valuation is highly dependent on earnings realization. The September 11, 2026 closing price of RMB 14.40 corresponds to a trailing P/E of approximately 153.91x, and institutional 2026 earnings forecasts have a relatively wide range; if separator prices, overseas capacity, or Bangci Electronics consolidation contribution fall short of expectations, valuation switching and stock price volatility pressure may increase.

8. Conclusion and Outlook

The company's current core growth logic lies in separator main business profitability recovery, advancement of overseas sales and capacity layout, and synergy across multiple technology routes including dry-process, wet-process, and coating, as well as high-value-added products. H1 2026 revenue, non-recurring profit, and separator business gross margin improved simultaneously, with Q2 accelerating quarter-on-quarter, indicating that price and product mix improvements have already affected periodic performance; if separator prices stabilize, capacity utilization improves, and material and manufacturing costs are controlled, main business profitability still has room for further recovery.

The company plans to acquire 59.9806% equity in Bangci Electronics for approximately RMB 241.83 million in cash; after the transaction is completed, its shareholding ratio will rise to 73.4806%, and it plans to extend into semiconductor materials, precision ceramics, and other fields. The transaction still requires shareholders' meeting review; Bangci Electronics is currently not consolidated and no clear performance commitment has been disclosed, so its actual contribution to the company's revenue, profit, and business structure still needs to be verified through subsequent consolidation and operating data. Institutional 2026–2028 earnings forecast ranges are relatively wide; the relevant forecasts are not formal company performance guidance and cannot replace actual earnings realization.

Looking ahead, the company needs to simultaneously verify the sustainability of separator price recovery, overseas project commissioning and order absorption capability, the matching degree between operating cash flow and profit, and the effectiveness of new business integration. H1 2026 net cash flow from operating activities was RMB 391 million, down 27.06% year-on-year, while the company's overseas expansion, cash acquisition, and project financing will increase capital management complexity; technically, the area near RMB 14.58 is the MA20 and Bollinger middle band observation position, and the RMB 13.55–14.00 area is an important downside support reference. Whether the stock price can recover still depends on the combined changes in performance, capital, and market expectations.

Data Sources

• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: 2025 Annual Report Sina Finance_Sina
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• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: 2024 Annual Report Summary Sina Finance_Sina
• "Senior Technology Material" 300568.SZ - Shenzhen Senior Technology Material Co., Ltd. - Shenzhen Stock Exchange ChiNext - A-shares - Pre-IPO
• Shenzhen Senior Technology Material Co., Ltd. 2026 Semi-Annual Report Full Text
• Senior Technology Material (300568): Separator Profitability Recovery, Globalization + New Materials Build Growth Momentum__Sina Finance_Sina
• Shenzhen Senior Technology Material Co., Ltd. 2025 Annual Report Full Text
• Senior Technology Material: 2025 Net Profit RMB 36.3678 Million, Plans RMB 0.1 per 10 Shares _ East Money
• Senior Technology Material (300568) 2026 Semi-Annual Report Review: Separator Main Business Volume and Profit Rise Together, Semiconductor Layout Opens Growth Curve__Sina Finance_Sina
• 2026 Semi-Annual Report Review: Separator Profit Inflection Point Has Emerged, Semiconductor Materials Empower Second Growth Curve - Macro Research Report _ Data Center _ East Money
• Great Wall Securities-Senior Technology Material (300568) Separator Global Layout Accelerates, Piezoelectric Ceramics Expand New Horizons-260810
• Senior Technology Material (300568.SZ) 2026 Semi-Annual Report Review: Separator Main Business Profitability Improves, Acquisition of Bangci Electronics Lays Out Second Growth Curve - Guolian Minsheng Securities | Discover Report
• Senior Technology Material (300568) In-Depth Report: Separator Profit Inflection Point Established, Semiconductor Builds Second Growth Curve__Sina Finance_Sina
• Institutional Ratings | CICC Gives Senior Technology Material "Outperform Industry" Rating
• Institutional Ratings | Great Wall Securities Gives Senior Technology Material "Buy" Rating, No Target Price Given
• Senior Technology Material Research Reports and Institutional Views - Research Report Radar
• Senior Technology Material (300568) Stock Forecast and Analyst Ratings - Futu Niuniu
• Single Stock Research
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: 2026 Semi-Annual Report Summary Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: Announcement on Progress of Guarantees Provided by the Company and Its Subsidiaries for Subsidiaries Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: Notice on Convening the Sixth Extraordinary Shareholders' Meeting of 2026 Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: Announcement on Foreign Investment Acquisition of Bangci Electronics Equity and Signing of Equity Transfer Agreement Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: Announcement on Provision for Asset Impairment for H1 2026 Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: 2025 Annual Performance Forecast Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: Announcement on Equity Change of Controlling Shareholder, Actual Controller and Their Concert Parties' Shareholding Ratio Passively Diluted to Reach 1% Integer Multiple Sina Finance_Sina
• Senior Technology Material Top Ten Circulating Shareholders Structure Changes: Gates Foundation etc. Exit, Northbound Capital etc. Increase Holdings_Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: 2026 Semi-Annual Report Sina Finance_Sina
• Senior Technology Material (300568)_Company Announcements_Senior Technology Material: Announcement on Achievement of Vesting Conditions for the First Vesting Period of the Reserved Portion of the 2024 Restricted Stock Incentive Plan Sina Finance_Sina
• Shenzhen Securities Regulatory Bureau Decision on Issuing Warning Letter Measures Against Shenzhen Senior Technology Material Co., Ltd., Chen Xiufeng, and Shen Xiwen_Shenzhen Regulatory Bureau
• Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited Take No Responsibility for the Contents of This Announcement, Nor for Its Accuracy
• https://www.igu888.com/hangqing/300568.html?utm_source=openai
• SZ.300568 Senior Technology Material SENIOR MATERIAL - A-share Real-time Quote RT Quote - Detailed Quote - etnet | Hong Kong News Financial Information and Lifestyle Platform
• Senior Technology Material (300568) Stock Quote Trend Technical Analysis_Future Forecast_Buy Sell Operation Suggestions_Investing.com
• Senior Technology Material Main Capital Net Inflow in Recent 5 Days, Net Outflow on September 11, Current Valuation at Historical High - Economic Observer Network - Professional Financial News Website
• Senior Technology Material (300568) Shareholder Research_F10_Hithink Financial Services Network

This report is automatically retrieved, compiled, and generated by AI based on public channel information, with information as of the close on September 11, 2026; technical indicators and one-week outlook are based on historical closing prices and calculated data from the research notes. There may be timeliness differences; specific data please refer to the company's formal announcements and authoritative data terminals. This report is only for information compilation and research reference, does not constitute any investment advice, and investors should make independent judgments and bear investment risks themselves.