需求预期再提振，板块估值弹性大

Investment Rating - The report maintains a "Buy" rating for the construction and building materials sector, with specific recommendations for companies such as China State Construction, China Communications Construction, and Conch Cement [1][4]. Core Insights - The report highlights a more optimistic outlook for the industry due to proactive macro policies aimed at boosting domestic demand and stabilizing the real estate market. This is expected to enhance the overall valuation of the construction and building materials sector [1][4]. - The anticipated recovery in domestic investment demand, coupled with the acceleration of funding, is likely to support steady growth in the performance of central state-owned enterprises and the cement sector [1][4]. - The report emphasizes the importance of the recent political bureau meeting's focus on stimulating consumption and improving investment efficiency, which is expected to uplift macro demand expectations [1][4]. Summary by Sections Construction and Engineering - The report projects that the construction sector will benefit from a combination of improved cash flow and asset liability management, with a focus on state-owned enterprises that are undervalued [1][4]. - Specific recommendations include China State Construction, China Communications Construction, and other companies with high earnings elasticity [1][4]. Building Materials - The report notes that the building materials sector is expected to see a gradual recovery, driven by a rebound in new and second-hand housing transactions, which will aid in the recovery of construction companies' balance sheets [1][4]. - Key companies recommended in this segment include Conch Cement and China National Building Material, which are expected to benefit from the anticipated policy support and market recovery [1][4]. Key Company Insights - China State Construction (601668 CH): The company reported a revenue of 162.65 billion yuan for the first nine months of 2024, with a net profit of 3.97 billion yuan, reflecting a year-on-year decline. However, the outlook remains positive due to expected policy support [4]. - China Communications Construction (601800 CH): The company achieved a revenue of 53.66 billion yuan in the same period, with a net profit of 1.63 billion yuan, indicating resilience amid a challenging market [4]. - Conch Cement (914 HK): The company is projected to benefit from supply-side reforms and improved demand dynamics, with a target price set at 32.03 HKD [4]. - China National Building Material (3323 HK): The company is actively pursuing a share buyback plan, which is seen as a strong signal of management's commitment to enhancing shareholder value [4]. Market Trends - The report indicates that the manufacturing PMI for November was 50.3%, showing a continuous upward trend since September, which is expected to positively impact demand for construction materials [1][4]. - The anticipated implementation of special bonds and other financing measures is expected to accelerate project execution and physical volume formation, potentially leading to a recovery in the construction and building materials sector by 2025 [1][4].