Conch Cement's factory price remained stable

Anhui Anhui Conch Cement (914) recorded a substantial increase in its first-half performance, mainly due to the rise in both volume and price of cement and clinker. The recent decline in cement stocks was mainly due to the slowdown in fixed asset investment in the Mainland and a drop in demand, apart from the large market environment. . The continuous tightening of real estate regulation and the stagnation of social housing have caused the relevant industry sectors to be sold off by the market. Recently, due to the impact of the third quarter of the third quarter, cement prices in some parts of the Mainland have fluctuated, but the ex-factory prices of big companies such as Conch Cement have remained stable.

The company expects that the country will not open gates to approve new projects in the short term. At present, private enterprises in the Mainland are generally experiencing tight funding, and the company is facing a better time for acquisition. Although cement sales in the fourth quarter of the Mainland are still difficult to recover sharply, the market is too pessimistic about the company's expectations at current prices.

Infrastructure provides a lot of room for development The company's stock price has undergone substantial adjustments, and the PB and tonne clinker capacity have dropped to a relatively safe range. At present, the company's sunrise volume is about 470,000 tons, and the price is relatively stable. In the long run, there is still much room for China’s rail transit construction. Real estate continues to maintain rapid growth this year. Rural urbanization will become a new investment direction in the future. The company's profitability exceeds that of its peers, giving a target price of 25 yuan and a stop-loss price of 16 yuan.