Chemical industry ranks first in advance

Up to October 8, 513 A-share listed companies in Shanghai and Shenzhen Stock Exchanges disclosed their third-quarter earnings forecasts. Among them, 248 companies anticipate, the proportion of anticipation is 48%. In terms of industry, the chemical industry has the largest number of pre-increased companies, up to 27, accounting for more than 11% of the total pre-increased number, and the prosperity of the whole industry has improved.

Since this year, economic growth has slowed down due to Sino-US economic and trade frictions, continuous tightening of real estate regulation and other factors, but under the effect of implementing sound monetary policy, timely application of general and directional benchmarking policies, the effect has gradually emerged, the downward trend of the economy has been effectively curbed, the operation has been generally stable, and the macro-economy has shown a certain degree of resilience. According to Zheng Yong, an analyst at CSCI securities, throughout the chemical industry sector, although there is a lack of unexpected factors at the supply side, the demand side has gradually turned negative. The Sino US trade friction tariff has almost covered all exports to the United States. Even if it continues to worsen, the impact on China's economy will gradually decrease. On the other hand, in China, with the role of various boosting policies emerging, the economy will usher in the bottom-building process.

Specifically, in the first three quarters, although the market in Shanghai and Shenzhen is in a downturn, there are still individual sectors showing "a little red in the green bush". Although the automotive industry is relatively depressed, some tire companies set up factories overseas in Thailand, Vietnam and other countries, and some tire concept stocks are expected to continue to make profits; the vitamin industry is subject to continuous safety and environmental protection verification, and the aging of superimposed overseas giant equipment has caused accidents, seriously affecting production capacity, thus inhibiting the downward trend of the industry; with the expansion of restrictions on China's science and technology field by the United States, the domestic substitution of key materials will be made. More importantly, the state's policy and financial support accelerated the substitution business, and the profitability of the concept stocks of high-quality electronic chemicals is still guaranteed.

In the pre-increase of stocks, in the first three quarters, the net profit of more than 10 companies in the chemical industry doubled, among them, the net profit of the companies with the pre-increase of more than 10 times is expected to increase by 16-18 times, mainly due to the increase of product sales, and the sharp increase in sales prices and maintenance at a relatively high level. Fu Lichun, director of Northeast Securities Research, said that companies with substantial performance gains are usually sought after by capital. Some companies are affected by cyclical and seasonal factors, and may be hyped as the "peak season" comes. At the same time, he reminded investors that besides carefully selecting stocks, time node is also an important factor, and they should be alert to the risk of over-speculation.