Huaxin Securities·2025-03-10 08:23Investment Rating - The report maintains a "Buy" rating for several companies including China Petroleum, China Oil, and others in the tire and titanium dioxide sectors [8]. Core Viewpoints - The report highlights significant price increases in ammonium chloride (23.53%), natural gas (13.12%), sulfur (11.64%), and sulfuric acid (7.14%), suggesting continued attention to the titanium dioxide and tire sectors [6][21]. - It notes that while many chemical sub-sectors have underperformed due to capacity expansions and weak demand, certain sectors like tires, upstream mining, and titanium dioxide have exceeded expectations [23]. - The report emphasizes the potential for valuation recovery in leading companies within specific sub-sectors, particularly as the industry enters a favorable demand season [7][23]. Summary by Sections Chemical Industry Investment Suggestions - International oil prices are experiencing a downward trend, impacting the market negatively [24]. - The report suggests focusing on undervalued, high-dividend companies such as Sinopec and CNOOC due to recent price declines [5][22]. Price Movements - Significant price increases were observed in ammonium chloride, natural gas, sulfur, and sulfuric acid, while declines were noted in products like acrylonitrile and TDI [21][23]. - The report indicates that the chemical product prices are rebounding as downstream demand improves, with notable increases in several key products [6][23]. Company Focus and Earnings Forecast - The report lists key companies with earnings per share (EPS) forecasts and price-to-earnings (PE) ratios, recommending a "Buy" for companies like Senqcia, Sinopec, and others [8]. - Specific companies highlighted for their strong market positions include Wanhua Chemical, Hualu Hengsheng, and Longbai Group, among others [7][23]. Market Trends - The report discusses the overall market trends, indicating that while some sectors are facing challenges, others are positioned for growth due to favorable supply-demand dynamics [23][24]. - It notes that the market is currently characterized by a mix of weak demand and potential recovery in certain sectors, particularly as seasonal demand increases [23][30].