This month, Sichuan composite index rose 5.39% and Chongqing composite index rose 6.98%.
As of February 28, 2022, the PE of Sichuan sector is 46.39 times, and the overall valuation level has decreased; The PE of Chongqing sector is 21.98 times, and the overall valuation level has decreased. By industry, the top three sectors in Sichuan and Chongqing this month were household appliances (+ 23.34%), non-ferrous metals (+ 16.25%) and textile and clothing (+ 12.46%). From the perspective of listed companies, the top three gainers are Yimikang Tech.Group.Co.Ltd(300249) (+ 160.21%), Sichuan Yahua Industrial Group Co.Ltd(002497) (+ 53.38%), Guocheng Mining Co.Ltd(000688) (+ 31.41%); The top three declines were Chengdu Xgimi Technology Co.Ltd(688696) (- 19.87%), Chengdu B-Ray Media Co.Ltd(600880) (- 13.32%) and Senci Electric Machinery Co.Ltd(603109) (- 12.39%). The 42 listed companies we focus on in Sichuan and Chongqing rose by an average of 5.97%. The top three were: Sichuan Yahua Industrial Group Co.Ltd(002497) (+ 53.38%), Sichuan New Energy Power Company Limited(000155) (+ 23.71%), Sichuan Guoguang Agrochemical Co.Ltd(002749) (+ 19.96%); The top three declines were: Dongfang Electric Corporation Limited(600875) (- 7.24%), Chengdu Haoneng Technology Co.Ltd(603809) (- 5.63%), Chengdu Hongqi Chain Co.Ltd(002697) (- 5.19%).
Under the double carbon policy, many industries in Chengdu Chongqing double City Economic Circle usher in new opportunities for development.
The joint action plan for carbon peaking and carbon neutralization in Chengdu Chongqing twin city economic circle was officially released. Sichuan and Chongqing will jointly complete 10 key tasks, including regional energy green and low-carbon transformation action, regional industry green and low-carbon transformation action and regional transportation green and low-carbon action. By 2025, the growth rate of carbon dioxide emission in Chengdu and Chongqing will slow down, The proportion of non fossil energy consumption has been further increased, the energy consumption per unit of regional GDP and carbon dioxide emission intensity have been continuously reduced, and the new model of green and low-carbon circular development has initially taken shape. Sichuan is rich in clean energy resources. With the continuous promotion of low-carbon transformation of Chengdu Chongqing dual city economic circle, it will drive the continuous implementation of water, wind, photovoltaic and energy storage related infrastructure projects in Sichuan, and benefit the further development of new infrastructure related industries in Sichuan and Chongqing.
The food and beverage industry in Sichuan and Chongqing maintained rapid development.
According to the data released by Sichuan Provincial Department of economy and information technology, in 2021, the province’s food and beverage industry achieved an operating revenue of 100302 billion yuan, an increase of 10.3%, with a total increase of 183.04 billion yuan over the end of 2018, officially stepping into a trillion level industry. Among them, 4 industries, including Shenzhen Agricultural Products Group Co.Ltd(000061) intensive processing, high quality Baijiu, refined Sichuan tea and medicine health, respectively realized 480 billion 400 million yuan, 345 billion 140 million yuan, 24 billion 580 million yuan and 175 billion 700 million yuan respectively, operating 7.4%, 14%, 5.1% and 11.4% respectively, and the profits of quality Baijiu and pharmaceutical and health industries increased by 24.9% and 22% respectively. The economy in Sichuan and Chongqing has recovered rapidly, social consumption is stable and good, and the influence of local food and beverage brands in the consumer market in Sichuan and Chongqing continues to increase. As a key industry in Sichuan and Chongqing, the production and sales of Sichuan wine have maintained steady growth. With the gradual development of Chengdu Chongqing Shuangcheng economic circle, a large number of new and old infrastructure projects will be landing one after another, driving investment in Sichuan and Chongqing areas to be active and promoting Baijiu consumption in the region. The annual performance of Sichuan liquor is expected to be strong, with suggestions for attention: Wuliangye Yibin Co.Ltd(000858) , Luzhou Laojiao Co.Ltd(000568) and so on.
Risk tip: macroeconomic growth is lower than expected, covid-19 epidemic continues to be at risk, and consumption recovery is lower than expected.
