China Post Securities·2025-07-21 03:37Industry Investment Rating - The industry investment rating is "Outperform" [2] Core Views - The report highlights strong price support for TDI, with multi-crystalline and mono-crystalline silicon responding positively to the "anti-involution" policy. The focus is on preventing cutthroat competition in sectors such as silicon materials, coal chemical, and chlor-alkali chemical, with attention on performance and price increases in potassium fertilizer, phosphorus fertilizer, TDI, and pesticides as the mid-year report period approaches [5][9] - The basic chemical sector has shown a weekly increase of 1.77%, outperforming the CSI 300 index, which increased by 1.09%, resulting in a 0.69 percentage point advantage [6][19] Summary by Sections Industry Overview - The closing index for the basic chemical sector is 3635.87, with a 52-week high of 3635.87 and a low of 2687.54 [2] Price Movements - Major price increases were observed in multi-crystalline silicon (28.21%), liquid chlorine (21.78%), and TDI (18.83%) [9][25] - The report also notes a decline in prices for strontium carbonate (-16.67%) and vitamin K3 (-6.85%) [10][27] Stock Performance - Notable stock performances include significant increases for companies such as Shangwei New Materials (148.85%) and Dongcai Technology (33.16%) [7][20] - Conversely, stocks like Xingmin Zhitong (-16.56%) and Hongbai New Materials (-14.77%) experienced substantial declines [8][22] Key Companies and Ratings - Key companies with investment ratings include: - Wanhua Chemical: Buy, closing price 59.7, market cap 186.95 billion, 2025E EPS 139.5, PE 13.4 [12] - Runfeng Co.: Buy, closing price 61.6, market cap 17.31 billion, 2025E EPS 10.4, PE 16.6 [12] - Yangnong Chemical: Buy, closing price 61.1, market cap 24.78 billion, 2025E EPS 13.8, PE 17.9 [12] - Sailun Tire: Buy, closing price 13.3, market cap 43.57 billion, 2025E EPS 43.1, PE 10.1 [12]