稀土永磁行业周报：短期行业估值至较高水平，产业链成本端支撑较为坚挺

Investment Rating - The industry rating is maintained at "Overweight" with a projected performance of 30% over the next twelve months compared to the benchmark of the CSI 300 at 10% [1][3]. Core Insights - The rare earth permanent magnet industry saw a significant increase of 14.01% in the week before the holiday, although it underperformed the benchmark by 1.69 percentage points. The industry valuation (TTM P/E) rebounded to 45.19x, reaching 60.4% of its historical percentile [1][3]. - The prices of rare earth raw materials, particularly praseodymium and neodymium, remain strong due to increased seasonal demand and reduced inventory levels. The market is experiencing a tightening supply expectation with the implementation of new rare earth management regulations [3][20]. - The demand in the air conditioning sector is expected to grow, while the elevator and fuel vehicle sectors are seeing a decline. Overall industrial demand is recovering, but traditional sectors are growing at a slower pace, impacting the overall industry growth [3][20]. Summary by Sections Market Performance - The rare earth permanent magnet industry experienced a weekly increase of 14.01%, but this was still below the benchmark performance [1][3]. - Domestic rare earth ore prices remained stable, with slight increases in imported ore prices. For instance, the price of mixed rare earth carbonate was stable at 26,500 CNY/ton, while the price of imported monazite rose by 1.26% to 40,100 CNY/ton [1][3]. Price Trends - The prices of praseodymium and neodymium showed fluctuations, with the average price of praseodymium-neodymium metal increasing by 1.15% to 528,000 CNY/ton [1][3]. - The price of dysprosium remained stable after an initial increase, with the average price of dysprosium oxide rising by 0.57% to 1,775 CNY/kg [1][3]. Supply and Demand Dynamics - The supply side shows that the production growth rate of praseodymium-neodymium remains high, with marginal increases noted. However, the current supply growth is outpacing demand growth, which may limit price increases [3][20]. - The overall market sentiment has improved due to macroeconomic policies, leading to a rapid short-term increase in the industry, although the absolute and relative valuations are now at high levels [3][21].