Hua Yuan Zheng Quan·2026-03-09 13:50Investment Rating - The investment rating for the construction and decoration industry is "Positive" (maintained) [4] Core Viewpoints - The National Two Sessions in 2026 released important policy signals for stabilizing investment, emphasizing the continuation of "two heavy" construction and increasing government investment while stimulating private investment [5][12] - The construction demand is expected to remain stable due to government investment and the ongoing promotion of major projects, with a focus on the "six networks" construction, particularly in water and electricity sectors [5][12] - The fiscal policy remains "more proactive," with historical highs in various fiscal indicators, supporting stable growth in infrastructure investment [6][15] Summary by Relevant Sections Investment Highlights - The government plans to invest over 7 trillion yuan in infrastructure and public service facilities this year, with major projects in the "14th Five-Year Plan" [5][12] - Key areas of investment include the construction of water networks, electricity networks, and comprehensive transportation facilities [5][12] Market Performance - The Shanghai Composite Index fell by 0.93%, while the construction and decoration index decreased by 0.70% during the week [7][23] - Notable stock performances included Huylv Ecological (+28.49%) and China Energy Construction (+13.78%) [7][23] Investment Suggestions - Future infrastructure investment is expected to shift towards structural investments that serve national strategies and security needs, focusing on energy security and regional strategic development [8] - Recommended companies to watch include Sichuan Road and Bridge, China Chemical, and China Energy Construction, which are positioned to benefit from these trends [8]