Investment advice
Core combination [core combination] of the core combination of the core combination of ‘ Avic Xi’An Aircraft Industry Group Company Ltd(000768) forthe sake of ‘s Avic Aviation High-Technology Co.Ltd(600862) \ , Sinofibers Technology Co.Ltd(300777) , China Avionics Systems Co.Ltd(600372) , Inner Mongolia First Machinery Group Corporation Co.Ltd(600967) , Fushun Special Steel Co.Ltd(600399) , Gaona Aero Material Co.Ltd(300034) , Jiangsu Toland Alloy Co.Ltd(300855) The term of the \ , Xi’An Bright Laser Technologies Co.Ltd(688333) , Raytron Technology Co.Ltd(688002) , Beijing Beimo High-Tech Frictional Material Co.Ltd(002985) , Asian Star Anchor Chain Co.Ltd.Jiangsu(601890) [last week’s report] [ Aecc Aviation Power Co Ltd(600893) ]: the revenue of aeroengine business increased by 22% in 2021, with great flexibility in future performance; [ Wuhan Guide Infrared Co.Ltd(002414) ]: the performance in the first quarter exceeded expectations, and the company’s core models are expected to be in large quantities this year.
[views of this week] (1) on the 73rd anniversary of the founding of the people’s navy, several important naval ships of the Navy appeared; It is expected that China’s new aircraft carrier is expected to make important progress; The endogenous growth logic of defense and military industry is solid. (2) China’s second amphibious assault ship “Guangxi ship” and zhi-20 anti submarine helicopter made their debut for the first time, further improving the Navy’s amphibious combat effectiveness and Navy’s anti submarine combat effectiveness; Strengthen the endogenous growth logic of national defense and military industry. (3) Since the beginning of the year, Shenwan national defense index has fallen by 33%. At present, the overall PE of national defense and military industry is 50 times, which is in the 12% quantile of the highest point in history, and continues to be recommended.
[core view] the 12 character core logic of national defense and military industry: endogenous + extension, domestic demand + foreign trade, military products + civil products, and the deterministic growth of national defense equipment. (1) Under the “century changing situation”, the demand of the national defense and military industry is as firm as a rock, and the operation efficiency of enterprises will continue to improve under the catalysis of “scale effect / equity incentive / small core and large cooperation / pricing reform / large order + large prepayment” Avic Xi’An Aircraft Industry Group Company Ltd(000768) the deposit limit of connected transactions was significantly increased and Avic Shenyang Aircraft Company Limited(600760) made a good start in the first quarter, which confirmed the high prosperity. (2) The growth direction of military “extension” is clear: the state promotes the reform of state-owned enterprises and requires “stimulating the vitality of state-owned enterprises” and “improving the efficiency of state-owned capital”. In the next few years, the securitization of military assets / the reorganization and listing of core military products is expected to set off a new climax. Pay attention to the reorganization process of groups such as China Shipbuilding Group / Aerospace Hi-Tech Holding Group Co.Ltd(000901) / CETC / AVIC / Aerospace Science and industry / ordnance industry. (3) “Civilian products” + “foreign trade” will provide a lasting driving force for the growth of the military industry: China’s tanks / UAVs / trainers / fighters have global competitiveness, and the demand for foreign trade is gradually rising; Domestic large aircraft / civil aviation engine related civil products can be controlled independently, and the speed will also be increased.
1. Host factories: the defense industry is looking at the missile industry, the missile / information / aircraft launch / military machine sub industry, scale + fine management, “small core and big collaboration,” small core and big collaboration “. In the next five years, the next five years of defense host performance will be elastic, and the” three years of state enterprise reform “will be the end of the three-year action to end, and equity incentives are expected to accelerate. The release of performance is expected to accelerate. The release of equity incentives is expected to accelerate. The release of performance is expected to boost. The release of performance: Avic Shenyang Aircraft Company Limited(600760) China Cssc Holdings Limited(600150) , AVIC.
2. Core parts / raw materials: 2. Core parts / core components / raw materials: keep your eye on high-tech barriers, high scarcity, and high-tech alloys / composites / high-profile high-competing high-tech barriers with a competitive landscape of high-tech barriers, high scarcity, and high-high-2. 2. Core parts / raw materials: 2. Core components / raw materials: 2. Core parts / raw materials: keep your eye on high-tech barriers, high scarcity, high-tech barriers, high scarcity, high-tech barriers, high-scarcity, high-tech high-tech barriers, high-scarcity, high-tech high-tech high-tech barriers, high-scarcity, high-priced competition, high-tech alloys / composites / midsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmidsmids, Wuxi Paike New Materials Technology Co.Ltd(605123) , Guizhou Aviation Technical Development Co.Ltd(688239) , Xi’An Triangle Defense Co.Ltd(300775) , Wuxi Hyatech Co.Ltd(688510) , Avic Electromechanical Systems Co.Ltd(002013) China Avionics Systems Co.Ltd(600372) Xi’An Bright Laser Technologies Co.Ltd(688333) Jiangsu Toland Alloy Co.Ltd(300855) 。
3. Military electronics: missiles and informatization: Unigroup Guoxin Microelectronics Co.Ltd(002049) , Fujian Torch Electron Technology Co.Ltd(603678) , China Zhenhua (Group) Science & Technology Co.Ltd(000733) , Chengdu Zhimingda Electronics Co.Ltd(688636) , Wuhan Guide Infrared Co.Ltd(002414) , etc.
Risk tips: 1) the rhythm of equity incentive and asset securitization is lower than expected; 2) the delivery progress of important products is lower than expected
