The national Standing Committee has continuously stressed “steady growth” and strong confidence in infrastructure recovery. At present, China’s economic operation remains within a reasonable range, but the complexity and uncertainty of China’s external environment have intensified, the world economic recovery has slowed down, China’s epidemic has occurred frequently recently, and new downward pressure has further increased. However, China’s position of “steady growth” is important and prominent, the task of stabilizing the economy is urgent, and the predictability of infrastructure recovery is further strengthened. At the same time, more than 20 provinces in China have issued lists of major projects, and most provinces have increased significantly compared with the same period last year China Railway Group Limited(601390) orders increased rapidly, and continued to make a good start in the first quarter China Railway Group Limited(601390) as one of the central enterprises of head construction, it leads the country with infrastructure advantages. In the first quarter, the newly signed orders were 605.74 billion yuan, with a year-on-year growth rate of 84%, of which the newly signed contracts for infrastructure construction were 543.45 billion yuan, with a year-on-year growth rate of 94.1%, further verifying China’s expectation of a “good start” in the first quarter.
Investment suggestion: under the background of “steady growth”, central construction enterprises and high-quality state-owned enterprises have strong risk resistance and abundant demand. Although some areas may be affected by the epidemic in the short term, the project progress is slow, but the recovery trend of the whole year is clear.
Investment opportunities for earthquake mitigation and isolation under high-quality development: long-term efforts for disaster prevention and reduction have been made. The legislation has been passed, and 20-30 times of space can be expected. Relevant targets include Quakesafe Technologies Co.Ltd(300767) , Zhejiang Tiantie Industry Co.Ltd(300587) , the leader of earthquake mitigation and isolation industry
The rail transit sector of “transportation power” has benefited for a long time: there is a broad demand for the construction of “Urban Agglomeration” on the track, such as Zhejiang Tiantie Industry Co.Ltd(300587) , China Railway Group Limited(601390) , China Railway Construction Corporation Limited(601186) ;
Under the expectation of the improvement of China’s infrastructure investment margin in the second half of the year, it is suggested to pay attention to the opportunities related to the industrial chain: pay attention to the undervalued targets China State Construction Engineering Corporation Limited(601668) , China Railway Construction Corporation Limited(601186) , China Railway Group Limited(601390) ;
Leading infrastructure enterprises with steady main business and mineral resources: Metallurgical Corporation Of China Ltd(601618) , China Railway Group Limited(601390) ;
Under the background of dual control of energy consumption, high-quality targets in green power, BIPV and other related fields: Sinosteel Engineering & Technology Co.Ltd(000928) , Power Construction Corporation Of China Ltd(Powerchina Ltd)(601669) , Sinoma International Engineering Co.Ltd(600970) .
