Guoyuan Securities·2025-08-05 03:11Investment Rating - The report maintains a "Recommended" investment rating for the mechanical industry, indicating that the industry index is expected to outperform the benchmark index by more than 10% [6]. Core Insights - The mechanical industry is experiencing steady growth, particularly in the low-altitude economy sector, supported by government policies and initiatives aimed at promoting technology development and application [3][4]. - The report highlights the competitive advantages of domestic leading enterprises in the export sector, suggesting a positive outlook for the engineering machinery industry [3]. - Recent economic data indicates a 4.3% year-on-year increase in industrial added value in Shenzhen, with significant growth in general equipment manufacturing and high-tech product output [25][26]. Weekly Market Review - From July 27 to August 1, 2025, the Shanghai Composite Index fell by 0.94%, while the ShenZhen Component Index and the ChiNext Index decreased by 1.58% and 0.74%, respectively. The Shenwan Mechanical Equipment Index declined by 0.76%, outperforming the CSI 300 Index by 0.99 percentage points, ranking 9th among 31 Shenwan first-level industries [11]. - The sub-sectors within the mechanical equipment industry showed varied performance, with general equipment down by 0.94%, specialized equipment up by 0.66%, and engineering machinery down by 1.68% [11][14]. Key Sector Tracking - The low-altitude economy sector is receiving strong policy support, with initiatives from the Ministry of Industry and Information Technology aimed at accelerating the development and application of drone technology [3]. - The mechanical equipment sector is also benefiting from constructive discussions between China and the U.S. regarding trade relations, which may lead to a favorable export environment for domestic companies [3]. Investment Recommendations - For the low-altitude economy, recommended companies include Deep City Transportation, Sujiao Science and Technology, and WanFeng Aowei [4]. - In the mechanical equipment sector, suggested companies include Sany Heavy Industry, XCMG, and Anhui Heli for engineering machinery, and Huazhong CNC and Kede CNC for industrial mother machines [4].