2000亿稀土龙头收警示函，年内涨幅超170%

Core Viewpoint - Northern Rare Earth received a warning letter from the Inner Mongolia Securities Regulatory Bureau for failing to disclose the occupation of 8.95 million yuan in funds, which will be recorded in the integrity archive of the securities and futures market [1] Company Summary - As of October 13, Northern Rare Earth’s stock price hit the daily limit, with a total market value of 208.7 billion yuan, reflecting an increase of over 170% year-to-date [2] - The company’s net profit for the first three quarters is expected to be between 1.51 billion and 1.57 billion yuan, representing a year-on-year increase of 272.54% to 287.34% [5] - The quarterly net profit shows a growing trend, with estimates of 430 million, 500 million, and between 580 million to 640 million yuan for the first three quarters [6] - Despite the significant profit growth, this level of increase is common in the basic materials sector and is not particularly outstanding [7] - The company’s profitability has not returned to historical peak levels, with profits exceeding 5 billion yuan in 2021 and 2022 [11] Industry Summary - The rare earth sector saw a 9.49% increase on October 13, leading all popular concept sectors, with several companies, including Baotou Steel and China Rare Earth, also hitting the daily limit [3] - The demand for rare earths is expected to improve as the traditional peak season approaches, with supply-demand dynamics potentially remaining favorable [3] - However, the prices of various rare earth products have shown a downward trend, except for a slight increase in dysprosium oxide due to increased procurement activities by leading companies [3] - The overall performance of the rare earth industry remains rational compared to the heated secondary market [3] - The valuation of rare earth stocks has become notably high, with Northern Rare Earth’s stock price reflecting a significant increase, leading to an annualized valuation of approximately 74.97 times based on the latest price [18] - Other rare earth companies also exhibit high valuation levels, with estimates for China Rare Earth, Guangsheng Nonferrous, and Shenghe Resources at 177 times, 83 times, and 52 times, respectively [19]