Category: Money Tips Date: 2007-06-15
Source: Northeast Securities
With the national "15" projects have been launched to promote rural development and development will be the next five years, one of the country's top priority. The new rural development will be an important rural economic development projects. The project will mainly focus on strengthening and improving rural infrastructure constructions. The infrastructure in the building will require a lot of cement and other building materials. Therefore, to excess production capacity in recent years has been in a state of the cement industry to bring in spring. All the data and indications that the industry is gradually emerging from the trough, while the future of large-scale mergers and acquisitions will also be launched. Can be seen that the biggest beneficiary will be the leading position in the industry. G Chinese new (600801) as the industry's leading enterprises in the first quarter report showed that companies have deficits in one fell swoop, the future growth potential will undoubtedly be enormous.
Industry leading and fast-growing company's main business is cement, technical services, cement equipment, research, manufacture and installation of repair, cement import and export trade. National Cement Company is the largest variety of businesses, products, markets a broad range of applications. The company already has an annual output of nine million tons of clinker, 17 million tons of cement production capacity, forming the axis of the Yangtze golden waterway, east Shanghai, Jiangsu, west Yunnan, Tibet, cement by nearly 20 points, a subsidiary of the composition of The cement industry base, built with central and eastern China-based market, the west extension of the market structure, enhance the company's long-term competitive advantage. From a development point of view, the company the industry leader worthy of the title. The company's Wuxue 6,000 tons / day cement clinker production lines, Xiangfan 4,000 tons / day cement clinker production lines, Tibet Shannan 1000 tons / day cement clinker production lines, such as projects currently under construction steadily. Of these projects after the completion of the new Chinese cement and clinker production capacity of more than 20 million tons / year. The completion of these new investment projects will become the future development of the company's strong profitability of capital.
Performance losses, is beginning to show highlights of the company last year, a quarterly earnings per share -0. 03 yuan, and this year show a quarterly earnings per share up to 0.027 yuan, is expected to achieve net profit in the first half of 2006 compared with the previous year the number of large magnitude increase in rate may exceed 50%. With the completion of construction projects in the next two years, production capacity will reach 30 million tons. With the launching of new rural construction, the market demand for cement will become more and more stronger. The industry is also gradually bottomed out. Therefore, as the industry leader, this year, a substantial increase in the overall performance of the company has become a foregone conclusion. High growth performance relative to the secondary market stock price to climb to 6 yuan, indicating that the market value of the company grossly underestimated. Therefore, the recent signs of the main body Masukura very obvious. The long-term bullish stock became a foregone conclusion. Meanwhile, the company has also subjects foreign mergers and acquisitions, as the world's largest cement manufacturer, one of the company's second-largest shareholder HOLCHINB. V. The overweight also means that foreign investors optimistic about the company conduct follow-up development, and became the company's future highlights the rapid development of new. In the wave of mergers and acquisitions, driven by one as an industry leader, the company will be the biggest beneficiary.
Master Sheng Lang is expected to usher in the secondary market, the stock has bottomed out since the trend is strong, with increased access good. After the recent share reform, Su Liang drop of imagination displayed excellent lock the main bargaining chip. At the same time shares at 20-day moving average has been significant support, with the volume of effective amplification is expected to enter the main Shenglang afternoon, investors can focus on. ZHENG Ting
