The key work of grain production and a package of support policies were released, and the profit of seed industry concept stocks increased in advance; Pig prices continued to decline, the deregulation of production capacity continued to accelerate, and funds went north to increase positions in many concept stocks.
key work of grain production and package support policies released
On the morning of March 25, the Ministry of agriculture and rural areas and the Ministry of finance made clear the key work of grain production and a package of support policies in 2022, requiring all localities to go all out to ensure a bumper harvest of summer grain and wheat, do everything possible to expand the planting of soybean oil, keep a close eye on the stable price and supply of agricultural materials, do a good job in agricultural disaster prevention, mitigation and relief, stabilize the basic situation of agriculture, and provide strong support for promoting the stable and healthy development of economy and society.
Today, agricultural stocks rose across the board. In terms of sub sectors, the biological breeding index rose by 3.7% and the pig industry index rose by 2%.
policy positive impact, seed industry concept stock profit increase in advance
In recent years, the seed industry has continued to obtain favorable policies. Since the release of the action plan for the revitalization of the seed industry in July 2021, the market pattern of the seed industry has been significantly optimized. With the implementation of the newly revised Seed Law on March 1 this year, the protection of intellectual property rights in the seed industry at the legal level will be further improved, and the sector will go up as a whole.
According to the statistics of securities times · data treasure, five seed industry concept stocks have disclosed the performance forecast or performance express in 2021, of which four have increased in advance, including Hefei Fengle Seed Co.Ltd(000713) , Shandong Denghai Seeds Co.Ltd(002041) , Hainan Shennong Technology Co.Ltd(300189) , Winall Hi-Tech Seed Co.Ltd(300087) , of which Hefei Fengle Seed Co.Ltd(000713) , Shandong Denghai Seeds Co.Ltd(002041) are expected to increase by more than 100%.
Hefei Fengle Seed Co.Ltd(000713) announcement shows that the net profit attributable to the parent company is expected to be 175200 million yuan in 2021, with a year-on-year increase of 247.19% ~ 296.79%, and the recurring profit and loss increased by 20-30 million yuan. The main reason is that the sales revenue of the company's seed business increased significantly, and the net profit increased year-on-year.
There are 3 land stocks in the seed industry concept stocks, all of which have been increased by going north this month, including Yuan Longping High-Tech Agriculture Co.Ltd(000998) , Shandong Denghai Seeds Co.Ltd(002041) , Winall Hi-Tech Seed Co.Ltd(300087) ; Among them, Yuan Longping High-Tech Agriculture Co.Ltd(000998) this month's shareholding increased by 19266400 shares, adding positions for four consecutive weeks.
pig prices continued to decline, and the capacity removal continued to accelerate
According to the data released by the National Bureau of statistics, the price of domestic pigs (foreign three yuan) was 11.9 yuan / kg in mid March, falling below the 12 yuan mark for the first time since 2019. Since March, the national development and Reform Commission has successively started the collection and storage of three batches of central frozen pork reserves, and the decline of pig prices has not been corrected. The losses at the breeding end have also been magnified, the excess capacity of pigs has been gradually eliminated, and the number of fertile sows has been reduced by 6% from last year's peak.
Recently, the Ministry of agriculture and rural areas held a department coordination meeting to study the work of stabilizing the production and supply of pigs. The meeting held that at present, the production of pigs is generally stable, the production capacity of fertile sows is maintained at a reasonable level, the supply of pork market is relatively loose, affected by the relationship between supply and demand, the price of pigs has entered the lower range of the cycle, coupled with the recent rise in the price of bulk feed raw materials, continuous losses in breeding, and many farmers have difficulties in operation, It needs the joint efforts of relevant departments around the country to help farmers tide over the difficulties.
Sealand Securities Co.Ltd(000750) research report believes that the capacity continues to be deregulated. It has decreased month on month for eight consecutive months since July last year. The capacity decline has maintained high intensity, the direction of deregulation has maintained high stability, and is expected to accelerate under multiple factors such as supply and demand and cost. The pig price is in the bottom area, and the downward space is very small, which is in an environment extremely conducive to the deregulation of capacity.
While the pig price has continued to decline, individual stocks in the pig industry have rebounded continuously. According to the statistics of data treasure, the pig industry index has rebounded since last Wednesday, Tech-Bank Food Co.Ltd(002124) has increased by 20.93% this week, and Jiangxi Zhengbang Technology Co.Ltd(002157) , Dongrui Food Group Co.Ltd(001201) , Shandong Delisi Food Co.Ltd(002330) have increased by more than 10% this week.
According to the statistics of databao, the northbound capital net bought several pig industry concept stocks this month. Based on the average transaction price of the range, Muyuan Foods Co.Ltd(002714) obtained the northbound capital increase of 308 million yuan, and New Hope Liuhe Co.Ltd(000876) , Wens Foodstuff Group Co.Ltd(300498) obtained the northbound capital increase of more than 100 million yuan.
Muyuan Foods Co.Ltd(002714) in the past month, it has received three institutional surveys, with a total of 95 institutions participating in the survey. The company said that the company strictly manages the elimination standard of fertile sows. Recently, the overall elimination rotation rhythm of fertile sows has been accelerated compared with 2019 and 2020. This strategy is conducive to maintaining the overall high quality of fertile sows and enhancing the cost control at the production end.
