Follow up comments
On March 15, 2022, the Shanghai Composite Index closed at 306397 points, down 4.95%; The Shenzhen Component Index closed at 1153724 points, down 4.36%. The Chongqing composite index, which we focus on, closed at 337902 points, down 3.63%; Sichuan composite index closed at 795927 points, down 4.19%. The top three stocks of Listed Companies in Sichuan and Chongqing are: Taihai Manoir Nuclear Equipment Co.Ltd(002366) ( Taihai Manoir Nuclear Equipment Co.Ltd(002366) , 10.02%), Pku Healthcare Corp.Ltd(000788) ( Pku Healthcare Corp.Ltd(000788) , 9.99%), North Chemical Industries Co.Ltd(002246) ( North Chemical Industries Co.Ltd(002246) , 9.98%). The 42 companies we focused on fell by an average of 5.60%, among which the top three stocks were: Chengdu Jafaantai Education Technology Co.Ltd(300559) ( Chengdu Jafaantai Education Technology Co.Ltd(300559) , 0.51%), Sichuan Huati Lighting Technology Co.Ltd(603679) ( Sichuan Huati Lighting Technology Co.Ltd(603679) , 0.23%), Tongwei Co.Ltd(600438) ( Tongwei Co.Ltd(600438) , – 0.11%). By industry, the top three sectors with lower decline in Sichuan and Chongqing are power equipment (- 2.02%), medicine and Biology (- 3.89%) and social services (- 2.04%).
Sichuan Provincial Department of housing and urban rural development issued the key points of promoting the development of prefabricated buildings in the province in 2022. In 2022, 58 million square meters of prefabricated buildings will be newly started in Sichuan Province, including 500000 square meters of steel structure prefabricated houses. In addition, this year, Sichuan will study and formulate the implementation plan for promoting the standardized construction of prefabricated buildings, improve the technical standards for the design, production, construction and acceptance of prefabricated buildings, and promote the standardization of design, component production and construction technology. Prefabricated building is an important development direction of green transformation of the construction industry. During the “14th five year plan” period, Sichuan and Chongqing will vigorously promote the construction of green cities, which is expected to continue to release a large amount of demand for the prefabricated building industry in Sichuan and Chongqing. It is suggested to pay attention to the head construction related enterprises in Sichuan and Chongqing who layout prefabricated buildings, green environmental protection materials and other businesses.
Industry dynamics
The Civil Aviation Administration of China issued the guiding opinions of the Civil Aviation Administration of China on accelerating the construction of Chengdu Chongqing world-class airport cluster, which proposed that by 2025, Chengdu Chongqing world-class airport cluster will begin to take shape, with a significant increase in international service capacity, comprehensive support strength, market development vitality and innovation and development momentum, and a significant increase in the level of coordinated development in various fields, becoming a leading airport in addition to Beijing, Tianjin and Hebei, the Yangtze River Delta Outside the Great Bay area of Guangdong, Hong Kong and Macao, it is the fourth pole supporting the development of China’s civil aviation. By 2035, Chengdu Chongqing world-class airport cluster will be fully completed. At the same time, it will build a global influential civil aviation science and technology innovation center, an international first-class education and training highland and a modern industrial cluster, becoming a leading demonstration area to lead and drive the construction of civil aviation power in many fields. (China News Network)
Company dynamics
Chengdu Xuguang Electronics Co.Ltd(600353) ( Chengdu Xuguang Electronics Co.Ltd(600353) ): according to the annual report of 2021, the company achieved an operating revenue of 1.007 billion yuan in 2021, with a year-on-year increase of 11.61%, and a net profit attributable to shareholders of listed companies of 580 million yuan, with a year-on-year increase of 8.24%. （ wind）
Sichuan Chengfei Integration Technology Corp.Ltd(002190) ( Sichuan Chengfei Integration Technology Corp.Ltd(002190) ): according to the annual report of 2021, the company achieved an operating revenue of 1.268 billion yuan in 2021, with a year-on-year increase of 28.91%, and a net profit attributable to shareholders of listed companies of 56 million yuan, with a year-on-year decrease of 53.15%. （ wind）
Risk warning: economic recovery is lower than expected and covid-19 outbreak risk
