Investment Rating - The report suggests a positive outlook for the coal industry, indicating potential investment opportunities in high-quality core stocks [5][6]. Core Views - The report emphasizes that stabilizing coal prices is crucial for reversing the Producer Price Index (PPI) decline, with a noted correlation between coal prices and PPI [5]. - It highlights that the coal industry may still be in a "golden era" due to energy transformation demands and strict production capacity controls under carbon neutrality policies [5]. - The report anticipates that coal prices will experience fluctuations but trend upwards, with a focus on quality stocks as primary investment targets [5]. Summary by Sections Thermal Coal - As of October 24, 2025, the Qinhuangdao 5500K thermal coal price is 770 CNY/ton, up 2.9% week-on-week [3][28]. - Daily average production from 462 sample mines is 5.479 million tons, down 4.3% week-on-week and 5.7% year-on-year [3][36]. - The report notes a significant drop in daily consumption at power plants, with a slight decrease in inventory levels [3][36]. Coking Coal - The price of main coking coal at Jingtang Port is 1,760 CNY/ton, reflecting a week-on-week increase of 2.9% [4][65]. - Daily average production from 523 sample mines is 761,000 tons, down 2.3% week-on-week [4][64]. - The report indicates a slight decrease in coking coal inventory levels across various regions [4][64]. Investment Recommendations - The report recommends focusing on companies with strong resource endowments and stable operating performance, such as China Shenhua, China Coal Energy, and Shaanxi Coal and Chemical [6]. - It also suggests looking at companies with production growth potential that can benefit from the coal price cycle, including Yanzhou Coal Mining, Huayang Co., and Gansu Energy [6]. - Companies with global resource scarcity attributes and those involved in coal-electricity integration models are highlighted as potential investment targets [6].