Huaxin Securities·2025-05-26 09:35Investment Rating - The report maintains a "Buy" rating for several companies in the chemical industry, including Sinopec, China National Petroleum, and China National Offshore Oil Corporation [10]. Core Viewpoints - The report highlights significant price increases in products such as butadiene (up 19.15%), domestic naphtha (up 13.10%), and coal tar (up 10.94%), while products like liquid chlorine and sulfur experienced substantial declines [4][5][20]. - It suggests focusing on investment opportunities in import substitution, domestic demand, and high-dividend stocks due to the stabilization of international oil prices and easing of US-China tariff issues [6][21]. Summary by Sections Industry Tracking - International oil prices have shown volatility, with WTI and Brent prices at $61.53 and $64.78 per barrel, respectively, indicating a slight decline [6][23]. - The chemical industry is experiencing mixed performance across sub-sectors, with some like the tire and lubricant industries performing better than expected [7][22]. Price Movements - Notable price increases this week include butadiene (19.15%), domestic naphtha (13.10%), and coal tar (10.94%), while significant declines were seen in liquid chlorine (-71.43%) and sulfur (-61.30%) [4][5][20]. - The report emphasizes the need to monitor the price trends of key chemical products, as they reflect broader market conditions [20][31]. Investment Recommendations - The report recommends focusing on companies that are likely to benefit from import substitution, such as lubricant additives and specialty coatings, as well as those in the fertilizer and coal chemical sectors [8][22]. - It also highlights the attractiveness of high-dividend stocks in the oil sector, particularly the "three barrels of oil" companies, which are expected to maintain strong asset quality and dividend yields [8][22]. Company Focus and Earnings Forecast - Specific companies recommended for investment include Xinyangfeng, Senqilin, Ruifeng New Materials, and others, with projected earnings per share (EPS) growth and favorable price-to-earnings (PE) ratios [10].