Zhong Guo Zheng Quan Bao·2025-10-17 05:55Group 1 - The coal sector has been experiencing a continuous rise, with companies like Antai Group and Dayou Energy hitting the daily limit up [1] - Analysts attribute the strength in the coal sector to three main factors: high dividend characteristics attracting market attention, expectations of recovery in Q3 earnings, and seasonal demand increases due to the upcoming heating season [2] - The expected profit for the coal industry in the first half of 2025 is projected to be 149.2 billion, a year-on-year decline of 52.9%, with Q1 and Q2 profits at 80.4 billion and 68.8 billion respectively, reflecting declines of 47.4% and 58.1% [2] Group 2 - With the arrival of the strongest cold air mass this year, temperatures are expected to drop significantly across various regions in China, which may further stimulate coal demand for heating [3] - The coal supply-demand balance is expected to remain tight over the next 3-5 years, with high barriers to entry for quality coal companies, leading to strong cash flow and dividend characteristics [3] - The coal price is anticipated to stabilize, which could lead to a revaluation of the sector, making it an attractive investment opportunity with a good risk-reward profile [3]