Index
On Monday, March 28, 2022, as of the closing, the Shanghai Composite Index rose slightly by 0.07% to 321450 points, the Shenzhen composite index fell by 1.02%, the gem index fell by 1.66%, and the turnover between the two markets reached 870.4 billion. Northbound funds bought a net 5.03 billion yuan today. In terms of sectors, coal, infrastructure, real estate, steel, banks and other undervalued sectors rose.
Comments
Recently, the situation of high inflation in the global economy has become more and more serious, and a large-scale epidemic has occurred in many places in China. As a result, the market has some concerns about the macro-economy, and the risk aversion has heated up again. In this context, we continue to suggest paying attention to investment opportunities in infrastructure and real estate in the near future. Our main logic is: 1. Infrastructure and real estate are very effective in stabilizing the economy and employment. Infrastructure construction is an important starting point for steady economic growth this year, and the industry is highly uncertain. I won’t repeat this point. With regard to real estate, the collection of real estate tax has been suspended this year. The previous regulatory policies such as purchase restriction, loan restriction, price restriction and sales restriction have been significantly loosened, and the development of the industry is expected to rebound to a certain extent. 2. The upstream raw material prices of infrastructure and real estate, such as cement and steel, have not increased significantly, have weak correlation with other commodity prices, and are less affected by macroeconomic fluctuations. 3. Infrastructure and real estate are mainly outdoor operations, which are also relatively less affected by the epidemic. 4. According to the released economic data, the growth rate of industry performance is expected to be good, and it has certain advantages in the stock game stage in the market
Industry dynamics
On March 28, the Ministry of housing and urban rural development issued a notice on comprehensively accelerating the construction of urban operation management service platform, proposing to take the “one network unified management” of urban operation management as the goal, focus on the safe, efficient and healthy urban operation, clean and orderly urban management, precise and exquisite services for the people, and take the Internet of things, big data, artificial intelligence, 5g mobile communication and other cutting-edge technologies as the support, Integrate information systems related to urban operation and management services, gather and share data resources, accelerate the iterative upgrading of existing information systems, fully build an urban transportation management service platform, and strengthen real-time monitoring, dynamic analysis, overall coordination, command, supervision and comprehensive evaluation of urban operation and management services.
Company dynamics
Changjiang & Jinggong Steel Building(Group)Co.Ltd(600496) ( Changjiang & Jinggong Steel Building(Group)Co.Ltd(600496) ): the company issued the announcement of performance increase in the first quarter. It is estimated that the net profit attributable to the shareholders of the listed company in the first quarter of 2022 will be 165 million yuan to 199 million yuan, an increase of 32.49 million yuan to 66.49 million yuan, a year-on-year increase of 25% – 50%.
It is estimated that the net profit attributable to shareholders of listed companies after deducting non recurring profits and losses in the first quarter of 2022 will be 158 million yuan to 190 million yuan, an increase of 40.3 million yuan to 72.3 million yuan compared with the same period of last year, with a year-on-year increase of 34% – 61%. （ iFinD）
Risk warning: the implementation of the policy is less than expected; The price rise of raw materials exceeded expectations; The epidemic situation repeatedly exceeded expectations.
