Market review this week. This week, the wind new material index closed at 454503, up 0.2% month on month. Among them, Anhui Wanwei Updated High-Tech Material Industry Co.Ltd(600063) (15.89%), Jiangxi Hungpai New Material Co.Ltd(605366) (15.8%), Puyang Huicheng Electronic Material Co.Ltd(300481) (11.72%), Xinyaqiang Silicon Chemistry Co.Ltd(603155) (11.11%), Anji Microelectronics Technology (Shanghai) Co.Ltd(688019) (10.36%); The top five declines were Jiangsu Shuangxing Color Plastic New Materials Co.Ltd(002585) (- 17.76%), Phichem Corporation(300398) (- 11.58%), Hoshine Silicon Industry Co.Ltd(603260) (- 11.42%), Shenzhen Wote Advanced Materials Co.Ltd(002886) (- 8.18%), Sichuan Em Technology Co.Ltd(601208) (- 7.64%). Among the six sub industries, the semiconductor material index of Shenwan tertiary industry closed at 755317 points, down 1.82% month on month; Shenwan tertiary industry display material index closed at 107184 points, down 0.02% month on month; The organosilicon material index of CITIC’s tertiary industry closed at 904154, down 1.33% month on month; CITIC’s tertiary industry carbon fiber index closed at 399107, up 4.05% month on month; The lithium battery index of CITIC’s tertiary industry closed at 498397 points, up 1.77% month on month; The wind concept degradable plastics index closed at 185474, up 0.82% month on month.
The silicon carbide market will grow rapidly. According to yole, the SiC market is growing rapidly due to the strong promotion of automotive applications, especially the demand for EV main inverter. In addition to automobiles, industrial and energy applications are markets with a growth rate of more than 20%, such as the deployment of high-power charging infrastructure using SiC modules and growing photovoltaic installation. According to yole’s latest forecast, the SiC device market is expected to grow from US $1 billion in 2021 to more than US $6 billion by 2027.
China’s two major wafer foundry accelerated production expansion. Shanghai Securities News reported that since the second half of 2019, the global semiconductor production capacity has remained tight, and the expansion of production has become the main theme of wafer factories Semiconductor Manufacturing International Corporation(688981) , Huahong semiconductor said that the capacity utilization rate is full, and will continue to accelerate the pace of production expansion this year. For this year’s business plan, Semiconductor Manufacturing International Corporation(688981) said that it is estimated that the annual revenue growth will be better than the average value of the OEM industry, and the gross profit margin will be higher than that of the company last year.
Recommendation of key targets: downstream demand promotes industrial upgrading and innovation, and the industry has entered a period of rapid development. With the continuous breakthrough of high and new technology, the downstream demand will migrate to high-standard and high-performance materials, which is expected to drive the rapid development of the industry while promoting the upgrading of high-end manufacturing. In terms of industrial coordination and layout, we recommend Shandong Sinocera Functional Material Co.Ltd(300285) , a new material platform company. In terms of electronic chemicals, the downstream wafer factories have been completed continuously, and the chip production capacity has been further increased. The key attention is: Jiangsu Yoke Technology Co.Ltd(002409) . It is suggested to pay attention to: Anji Microelectronics Technology (Shanghai) Co.Ltd(688019) , Hubei Dinglong Co.Ltd(300054) , Guangdong Huate Gas Co.Ltd(688268) . In terms of polymer materials, the focus is on anti aging additives, Rianlon Corporation(300596) . Photovoltaic materials sector, focusing on the rubber film faucet Hangzhou First Applied Material Co.Ltd(603806) .
Risk tip: downstream demand is less than expected, product price fluctuation risk, new capacity release is less than expected, etc.
