The valuation of the machinery industry is below the average of nearly three years.
Since the beginning of 2018, the machinery and equipment industry has increased by -18.68%, ranking twenty-third in the 28 industries of Shen Wan. Up to now, the latest value of PE (TTM) is 33.08 times, and the average value in nearly three years is 64.77 times; the latest value of Shin mechanical equipment PB (LF) is 2.09 times, and the mean value of nearly three years is 3.07 times.
Machinery and equipment industry has performed better and profitability has been remarkably restored.
Taking the main business of listed companies as the basis of division, 160 constituent stocks are divided into 27 sub sectors to analyze and discuss their financial data. In 2017, the total operating income of machinery and equipment was 718 billion 702 million yuan, up 18.05% from the same period. In 2017, the total net profit of machinery and equipment was 43 billion 536 million yuan, which increased by 61.33%. In the first quarter of 2018, the total operating income of mechanical equipment was 162 billion 314 million yuan, an increase of 21.18%, of which 132 of the Growth Company and 28 of the Growth Company were realized. In the first quarter of 2018, the total net profit of the machinery was 9 billion 277 million yuan and 42.06%, of which 146 of profit companies were realized. 14.
It is suggested that investment opportunities should be arranged from two main lines in the second half of 2018.
Machinery and equipment industry can excavate investment opportunities from the following two main lines. (1) the import of the core parts is replaced by the inflexion point. "China made 2025" industrial strong foundation project mentioned, support the advantage enterprises to carry out political production, research and research, breakthrough key basic materials, core components of the engineering, industrialization bottlenecks. By 2020, 40% core basic components and key basic materials were guaranteed. By 2025, the 70% core components and key basic materials were guaranteed to achieve the international leading level. Since 2018, the core component suppliers, such as high-end hydraulic parts and industrial robots, have been accumulating for many years, and the products have gradually moved into large quantities from small batch production, and the pace of import substitution is expected to accelerate. It is recommended to focus on double ring transmission (002472), Japanese aircraft seal (300470), and current stock (603308). (2) cyclical performance is expected to exceed expectations. The recommended subsections are mainly for the engineering machinery industry and so on. Excavator sales data have exceeded expectations since 2018. As of the first 5 months of 2018, the total number of 25 mainframe factories which were included in the statistics of our country achieved 105 thousand and 900 sales of excavators, with a year-on-year increase of 60.2%, of which the domestic market increased by 57.7% and the overseas market increased by 103.9%. Apart from excavators, crane and concrete machinery also recorded high growth. With the continuous warming of the downstream industry, the financial structure of the engineering machinery plant is more stable, the historical burden is gradually clear, the profit is repaired and the market is expected to be over the market.
