Industry changes this week
1) cement: the national cement market price this week was 506.5 yuan / ton, a month on month decrease of 1.43% and a year-on-year increase of 14.5%. This week, the national cement storage capacity ratio was 59.3%, with a month on month increase of 1.59 percentage points and a year-on-year increase of 6.61 percentage points. The cement shipment rate was 55.9%, down 3.9 percentage points month on month and 25.1 percentage points year-on-year.
2) glass: the average price of white glass nationwide this week was 2113 yuan / ton, down 6.8% month on month and 3.6% year-on-year. The glass inventory was 56.45 million heavy boxes, up 5.8% month on month and 91.6% year-on-year; The utilization rate of glass production capacity this weekend was 71.80%, up 0.85% year-on-year.
Investment strategy this week
Cement sector: this week, a number of cement companies released results. In Anhui Conch Cement Company Limited(600585) 2021, the operating revenue reached 167953 billion yuan, a year-on-year decrease of 4.73%, and the net profit attributable to the parent company reached 33.267 billion yuan, a year-on-year decrease of 5.38%. China building materials released its annual report for 2021, with a total operating revenue of 274735 billion yuan, a year-on-year increase of 7.0%, and a profit of 16.218 billion yuan in 2021, a year-on-year increase of 29.2%. In 21 years, the overall cement industry was affected by multiple factors such as epidemic situation, power restriction and coal price, but its performance remained at a historically high level. At present, the current round of epidemic is still in multi-point outbreak, and the transmission range is gradually expanding. In addition, due to the influence of cloudy and rainy weather, the downstream construction slows down, which has a great impact on the shipment of enterprises. It is suggested to pay attention to Anhui Conch Cement Company Limited(600585) , Huaxin Cement Co.Ltd(600801) .
Real estate industry chain: Beijing New Building Materials Public Limited Company(000786) released the annual report this week. In the past 21 years, the company achieved an operating revenue of 21.086 billion yuan, a year-on-year increase of 25.15%; The net profit attributable to the parent company was 3.510 billion yuan, a year-on-year increase of 22.67%. The net profit deducted from non parent company was 3.414 billion yuan, with a year-on-year increase of 22.99%. The accelerated development of “one body and two wings” supported the steady growth of the company’s performance. Recently, affected by the epidemic situation in various regions, the completion and construction of real estate have been impacted, and the downstream home decoration has also been delayed one after another, which has a great impact on the overall demand of the industrial chain. We suggest that we should focus on the attention of ‘ Hongda Xingye Co.Ltd(002002) 372 Oppein Home Group Inc(603833) , Suofeiya Home Collection Co.Ltd(002572) etc.
Glass fiber: this week, the average price of alkali free glass fiber yarn was 6885 yuan / ton, up 1.39 yuan / ton month on month, and the average price of medium alkali glass fiber yarn was 5850 yuan / ton, flat month on month; The average price of winding direct yarn was 6267 yuan / ton, up 16.67 yuan / ton month on month; The average price of electronic yarn was 10000 yuan / ton, unchanged month on month.
Glass: this week, China’s float glass market was weak and downward, and prices in many places fell by different ranges. After the recent price reduction in some regions, the profit has dropped to a low level, and the adjustment intention has weakened. With the effective digestion of the inventory in the middle and lower reaches of the south, the price in South China has increased slightly recently, and a certain amount of goods have been replenished in the lower reaches. On the whole, the new orders are still insufficient. The processing plant just needs replenishment and pays attention to the sustainability of trading volume. Pay attention to Zhuzhou Kibing Group Co.Ltd(601636) etc.
Risk tips: the completion is not as expected, the real estate is falling faster than expected, the industry coordination is broken, and the impact of the epidemic situation.
