CHINA LESSO(HK:02128) 智通财经网·2025-12-01 02:21Core Viewpoint - China Lesso (02128) experienced a significant stock price increase, rising over 7% in early trading, attributed to favorable government policies and strong performance in its pipeline business [1] Group 1: Government Policy and Investment - The National Development and Reform Commission plans to construct and renovate over 700,000 kilometers of underground pipelines during the 14th Five-Year Plan, with new investment needs exceeding 5 trillion yuan [1] - The enhanced debt policy is expected to alleviate government financial pressure, allowing for accelerated progress in municipal engineering projects [1] Group 2: Company Performance - China Lesso's pipeline business has shown a successful sales transformation, with rapid expansion in non-real estate and non-South China markets, particularly in the agricultural sector [1] - The company has effectively managed risks associated with receivables from high-risk real estate firms, with over 75% of receivables adequately provisioned [1] - The company's dynamic PE ratio has decreased to around 4x, influenced by its Hong Kong stock market presence, while its capital expenditure remains manageable despite underutilized capacity [1]