Construction was flat, overall underperformed the market, and the segments rose more or fell less: this week, the Shenwan construction index closed at 2045.1 points, basically flat month on week, underperforming the market. The industry's average price to book ratio was 0.9 times, which was basically flat compared with last week. Segments rose more or fell less, of which the consulting sector rose 0.7%, with the largest increase; Fabricated fell 1.8%, the largest decline.
Focus on China Energy Engineering Corporation Limited(601868) investment in the establishment of hydrogen energy and digital technology subsidiaries: Recently, China Energy Engineering Corporation Limited(601868) issued an announcement to invest in the establishment of two wholly-owned subsidiaries of China energy construction Hydrogen Energy Development Co., Ltd. and China energy construction Digital Technology Group Co., Ltd. The business scope of the former includes hydrogen production and sales, research and development of hydrogen production equipment, development of hydrogen energy application scenarios, etc; The latter's business scope includes R & D, production and sales of science and technology projects (products), R & D and application of blockchain technology, high-end test of power infrastructure and production technology services. China Energy Engineering Corporation Limited(601868) the establishment of two wholly-owned subsidiaries can lead the development of the company's hydrogen energy business and expand and strengthen the company's hydrogen energy industry; It also represents the company's opening of digital transformation, starting to build the company's three platforms of "digital industry development platform, scientific and Technological Innovation Incubation Platform and digital and scientific and technological emerging industry investment platform", and cultivating and developing one of the main carriers of five major businesses, such as survey and design consulting, engineering construction, industrial manufacturing, clean energy and investment.
Infrastructure investment fell year-on-year, while real estate investment fell slightly: in October, fixed asset investment was 7.1 trillion, a decrease of 2.4%, of which the completed investment in infrastructure and real estate development was 1.8 trillion and 1.2 trillion respectively, with a year-on-year growth rate of - 4.8% and - 5.4% respectively. In October, real estate and infrastructure investment continued to decline year-on-year, and the year-on-year decline of real estate investment expanded compared with September. In infrastructure construction, the investment in power, transportation and public utilities was 0.34 trillion yuan, 0.73 trillion yuan and 0.74 trillion yuan respectively. The investment in electricity and public utilities declined year-on-year and decreased slightly, while the investment in transportation increased steadily year-on-year, with a month on month increase of 12.9%. Since June 2021, Hainan, Zhejiang, Ningxia, Inner Mongolia and other places have issued the comprehensive transportation plan for the 14th five year plan, which is expected to drive the transportation investment to continue to increase.
Both commencement and completion fell year-on-year, and real estate sales fell year-on-year: in October, the planned land construction area of 100 large and medium-sized cities totaled 70 million square meters, with a decrease of 46.7%, and the average transaction floor price was 4023 yuan / square meter. The construction, completion and sales areas were 140 million square meters, 60 million square meters and 130 million square meters respectively, with a year-on-year growth rate of - 33.1%, - 20.6% and - 21.7% respectively. In October, the land transaction area decreased significantly year-on-year. The new construction data decreased significantly compared with the same period last year. The completion data decreased year-on-year after the rapid growth from May to September, but increased significantly month on month. Recently, many departments have released signals of loose real estate policies, emphasizing "stabilizing land prices, house prices and expectations". It is expected that the sales area and sales unit price of commercial housing will stabilize for a long time. Key recommendation
It is recommended to focus on the leader Shenzhen Capol International&Associatesco.Ltd(002949) of prefabricated architectural design, and it is recommended to pay attention to the main risks faced by the ratings of Zhejiang Southeast Space Frame Co.Ltd(002135) , Changjiang & Jinggong Steel Building(Group)Co.Ltd(600496) , China National Chemical Engineering Co.Ltd(601117) , Jangho Group Co.Ltd(601886) of steel structures and industrial buildings whose demand is expected to increase under the recovery of manufacturing investment
Risk tip: manufacturing investment slowed down, the promotion of prefabricated buildings was less than expected, and macro liquidity tightened.
(BOCI Securities)
