Minsheng Securities·2025-04-20 03:23Investment Rating - The report maintains a "Buy" recommendation for several steel companies, including Baosteel, Hualing Steel, Nanjing Steel, and others [3][4]. Core Viewpoints - The report suggests that tariff negotiations may have concluded, and there is an expectation for domestic macro policies to provide countermeasures [3]. - Steel prices have declined due to tariff impacts, but after market sentiment stabilizes, prices may stabilize as well [3]. - Long-term expectations indicate potential production adjustments for crude steel, with raw material supply becoming more relaxed, which may restore profitability for steel companies [3]. Price Trends - As of April 18, steel prices have decreased, with HRB400 rebar at 3130 CNY/ton, down 40 CNY/ton from the previous week [1][10]. - Hot-rolled steel prices fell by 90 CNY/ton to 3240 CNY/ton, while cold-rolled steel prices dropped by 100 CNY/ton to 3790 CNY/ton [1][10]. - The price of medium plate increased by 20 CNY/ton to 3470 CNY/ton [1][10]. Production and Inventory - As of April 18, the production of five major steel varieties rose to 8.73 million tons, with total inventory decreasing by 518,700 tons to 11.24 million tons [2]. - Rebar production decreased by 31,500 tons to 2.29 million tons, while plate production increased by 20,200 tons [2]. - The apparent consumption of rebar increased by 211,400 tons to 2.74 million tons [2]. Investment Recommendations - The report recommends focusing on the following companies: - For general steel: Baosteel, Hualing Steel, Nanjing Steel - For special steel: CITIC Special Steel, Yongjin Co., and Xianglou New Materials - For pipe materials: Jiuli Special Materials, Wujin Stainless Steel, Youfa Group - Additionally, it suggests paying attention to high-temperature alloy companies like Fushun Special Steel [3]. Key Company Earnings Forecasts and Valuations - Baosteel (600019.SH): Price 6.78 CNY, EPS forecast for 2024E is 0.41 CNY, PE ratio 17 [3]. - Hualing Steel (000932.SZ): Price 4.73 CNY, EPS forecast for 2024E is 0.29 CNY, PE ratio 16 [3]. - Nanjing Steel (600282.SH): Price 4.24 CNY, EPS forecast for 2024E is 0.37 CNY, PE ratio 11 [3]. - CITIC Special Steel (000708.SZ): Price 11.69 CNY, EPS forecast for 2024E is 1.02 CNY, PE ratio 11 [3].