Category: Money tips Release Date: 2006-05-17
The recent broad market up slightly, and steel plate performed well. Xining Special Steel limit-sealed at one stroke to drive Lingyuan Iron, Nanganggufen, Bengang Steel Plates and other firms or table onto the forefront of the market parties to focus.
Industry initially warmer
The recent boom level of iron and steel industry there have been some signs of warming, some varieties of iron and steel prices has picked up shares of listed companies to lay the foundation for recovery. Hot-rolled coils, such as broadband rose back to 300 yuan per ton, long products rose 80 -100 yuan, the price of other species also have a small rebound, "cut and protect the price" is the beginning of the current results. In this case, Xining Special Steel, Lingyuan Iron, Bengang Steel Plates and other stocks rallied together to rise, in which a sum of 356 million shares of Xining Special Steel has also been a large single-sealed daily limit, showing that the strong appeal of steel plates.
We note that the international steel market, the most common steel products ─ ─ hot-rolled coil prices have risen to around 600 U.S. dollars per ton, while hot-rolled coil �in China's price of about 380 U.S. dollars per ton, an enormous price difference would be the next few months in China and other markets to attract high-grade products from entering the United States �This will allow part of the first to benefit from the domestic steel producers. From the current view of the financial data published by �27 Jia boss's first three quarters of the total net profit compared to last year are still in raising �2005 net profit in the first three quarters of the first three quarters of 2004 net profit to increase capacity of 558,422 .8 million, price-earnings ratio is still low, a good valuation will attract more capital, thus giving birth to iron and steel stocks, "pulse" of Quotes.
Eleventh Five-Year conceptual support
National "Eleventh Five-year plan's recommendations" said that "conservation of resources as a basic national policy, develop a recycling economy, in the metallurgical industry to carry out a pilot recycling economy," the steel plate to form the substantive good, its the latter part of the trend provides a strong support for the . Under the Eleventh Five-year plan, iron and steel industry, mainly from increased raw material use efficiency, energy recycling, water recycling and solid waste utilization rate of utilization of the four-pronged approach to the implementation of circular economy.
From the forefront of the enterprises are concerned, the main consideration is cost-effective, while promoting the short-term development is not constrained by the raw materials, fuel, water, environmental constraints of the steel mills to implement circular economy is the key. Strong environmental technology innovation company, it would force the Government to promote its particular technology for a larger profit transfer fee. If they perform better in Jinan Iron and Steel Group to implement the "four-wide a spray, four closed-circuit, three full two tone, three-high 2 low, I can all waste heat recovery power generation" has created nearly 10 billion yuan-effectiveness, the current self-developed Jinan Iron and Steel 30 a number of advanced technology, then we may get a huge transfer fee, the late bubbling rich themes.
Grasp the four major strategies
In the "Eleventh Five-Year Plan" and the extent of warming the background of the industry boom, steel plate appears short-term "pulse" of market, then investors should be taken by operational strategy? We are from the Eleventh Five-Year Plan and the steel industry itself, summed up the four major strategies for investors stock picking reference:
First, the choice in their respective segments in both areas have the advantage of steel stocks. If Laiwu Steel in water recycling on the forefront, Jinan Iron and Steel basic needs of the original fuel purchased, so the savings in energy and raw materials and recycling on the forefront, has some advantages.
Second, the choice mine is rich in resources stocks. Such as Baotou Steel shares, New Steel and Vanadium, Angang have mine, and the New Steel and Vanadium in which the mineral containing vanadium and titanium, Baotou Steel shares mineral containing rare earth, in the ore, there is a more economic use of the successful experience in the minerals the background of a substantial increase in demand, its market potential is evident.
Third, the policy to choose the steel stocks, broader market iron and steel companies are more than 5 million tons-scale enterprises, which in July issued by the iron and steel industrial policy that the "5 million tons more than the size of the enterprise have to first conduct recycling economy" is consistent, and it is in line with national industrial policy.
Finally, as the broader market yesterday, after deducting the volume of Baosteel Warrants basically the same as the previous period, a number of low-cost iron and steel shares surge should be floating capital committed, incremental funding is not yet obvious signs of entry. Therefore, the prudent investor is best to keep watching until the tape appeared at the end of the mid-major, not later than the time of re-admission.
