建筑装饰行业跟踪周报：基建投资保持平稳，关注央企市值管理工作

Investment Rating - The report maintains an "Overweight" rating for the construction decoration industry [1] Core Viewpoints - The report highlights that infrastructure investment remains stable, with the effects of previous incremental policies on the investment side yet to fully materialize. The growth rates for water conservancy, aviation, and railway investments continue to perform well, while road and municipal investments remain weak. The report suggests monitoring the impact of incremental fiscal policies on physical demand in the future [12][21] - The report emphasizes the importance of state-owned enterprise (SOE) value management, as recent guidelines from the State-owned Assets Supervision and Administration Commission (SASAC) aim to enhance long-term strategic management and improve investor confidence through measures such as increasing cash dividends and establishing regular stock buyback mechanisms [30][31] - The report also notes the positive developments in the "Belt and Road" initiative, with a focus on high-quality development and significant engineering projects, which are expected to benefit overseas engineering demand and related companies [10][12] Industry Data Review - In November, infrastructure investment showed a year-on-year growth rate of 4.2%, reflecting a slight slowdown of 0.1 percentage points from the previous month. The report indicates that the structural performance of water conservancy, aviation, and railway investments is strong, with growth rates of 40.9%, 18.2%, and 15.0% respectively [1][12] - The report mentions that cement production in November decreased by 10.7% year-on-year, indicating ongoing pressure in the real estate investment sector, which saw a narrowing decline of 0.7 percentage points to 11.6% [1][12] - The report provides insights into the fiscal situation, noting that general public budget expenditure in November increased by 3.8% year-on-year, with infrastructure-related spending remaining relatively high [28][29] Recommendations - The report recommends focusing on leading state-owned enterprises and local state-owned enterprises with low valuations and stable performance, specifically suggesting companies like China Communications Construction Company, China Electric Power Construction, and China Railway Group for potential investment opportunities [12][21] - It also advises attention to companies involved in prefabricated construction and energy-saving projects, such as Honglu Steel Structure and Huayang International, as these sectors are expected to benefit from new policies aimed at energy conservation and carbon reduction [15][12]