China's high-end equipment manufacturing industry usher in a new opportunity for development

Researcher Zhang Shiyuan said that the demand for high-end equipment manufacturing for other industries is many, including new materials, electronic information, software services, spare parts manufacturing, etc.; high-end equipment manufacturing has no worse impact on other industries than real estate, from an industrial economic point of view Real estate is even stronger.

High-end equipment manufacturing should be the highlight of the “12th Five-Year Plan” economic growth, which is mainly determined by the process of urbanization in China, the disappearance of demographic dividends, and national security, including the internal needs of China's integration into the global economy.

According to the data, there are 45 listed companies directly owning high-end equipment manufacturing concepts. Judging from the rise and fall in the past year, the major decliners are Tianye Tonglian, Taiyuan Heavy Industry, Petroleum Jichai, and China Yizhong.

From the view of price-earnings ratio, the stocks with lower P/E ratio include 8.67 times for Xugong Machinery, 8.84 for Weichai Power and 10.21 times for Zoomlion.

Zhang Shiyuan also believes that it is necessary to properly avoid PM2.5 concept stocks. Some stocks of the PM2.5 concept have been valued very high, and there is little room for a rise in the short term. Buying in may not be able to make money. The valuation of this sector may be as large as billions, but the market capacity is very small.