Huaan Chemical Industry Latest Views Update 0730

English summary

Huaan Chemical Industry latest views update 0730.

The chemical sector overall stabilized and rebounded. The strait conflict shows a tug-of-war trend. Oil prices gradually stabilize around the center. Market disturbances weaken. Interim report catalysts are frequent. Short-term chemical performance certainty is strong. Medium-term inventory restocking trend is obvious. Long-term pattern improvement and dual-carbon policy benefit directions are clear.

Short-term catalysts: ① Golden September and Silver October restocking ② Product price increases ③ Partial capacity exits.

Key recommendations for three major directions:

1. Oversold chemical leaders: Chemical leaders were affected by oil prices earlier, and Q2 demand generally weakened, but valuations and stock prices are at historically low levels, with room for recovery later. Key focus: [Wanhua Chemical] [Rongsheng Petrochemical] [Hualu Hengsheng] [Longbai Group] [Huafon Chemical] etc.

2. Interim report performance line: Q2 inventory gains are expected to explode, and Q3 still has restocking expectations. Key focus on filament, light hydrocarbons, coal chemical, methionine, etc.