Investment Rating - The investment rating for the company is "Buy" and is maintained [7]. Core Views - The company, China Chemical (601117.SH), has a broad layout in the chemical industry and is expected to contribute to performance in 2026 due to the recovery of the chemical sector driven by anti-involution trends [5][11]. - The company's asset quality is significantly undervalued, with approximately 80% of new orders coming from chemical engineering, and a good repayment situation, indicating a strong financial position [11]. - The company's operational quality is high, with a mid-term dividend reflecting shareholder returns, and an expected improvement in performance due to rising chemical product prices [11]. Summary by Relevant Sections Company Overview - China Chemical has signed new orders worth 352.6 billion yuan from January to November, a year-on-year increase of 6%, with chemical engineering orders increasing by 14% [11]. - The company has a total share capital of 610.688 million shares, with a current stock price of 7.75 yuan [7]. Financial Performance - The company is expected to achieve a net profit of 6.346 billion yuan in 2025, with projected profits of 7.058 billion yuan in 2026 and 7.806 billion yuan in 2027 [11]. - The estimated price-to-earnings (PE) ratios for 2025, 2026, and 2027 are 7.46, 6.71, and 6.06 respectively, indicating the company is still undervalued [11]. Market Position - The company has a significant presence in the chemical industry, with projects like the nylon new materials project expected to break technical barriers and create a complete nylon 66 chip industry chain [11]. - The company has a strong cash position with 38 billion yuan in cash and 17 billion yuan in interest-bearing debt, providing a safety margin [11].

Investment Rating - The investment rating for the company is "Buy" and is maintained [7]. Core Views - The nylon new materials project by Tianchen Qixiang has achieved full production and has entered a phase of efficient and stable operation after a 72-hour full-load performance assessment, with key technical and economic indicators meeting or exceeding design values [5][11]. - The project, which began construction in 2019, aims to break foreign monopolies and address critical supply chain issues, with a total investment of approximately 20 billion yuan and an annual production capacity of 1 million tons of nylon new materials [11]. - The company has signed new contracts totaling 312.67 billion yuan from January to October 2025, reflecting a year-on-year increase of 0.45%, with significant contributions from industrial and new materials sales [11]. Summary by Sections Project Development - Tianchen Qixiang's nylon new materials project has fully achieved production capacity, marking a transition to a stable operational phase [11]. - The project is expected to produce 200,000 tons of nylon 66 products annually, along with other chemical products, thereby establishing a complete nylon 66 chip industry chain [11]. Financial Performance - The company reported a total revenue of 186.61 billion yuan for 2024, with projections of 207.62 billion yuan for 2025, indicating a steady growth trajectory [17]. - The net profit attributable to shareholders is projected to reach 6.35 billion yuan in 2025, reflecting a compound annual growth rate of no less than 15% from 2021 [11][17]. Market Position - The company is positioned to benefit from the ongoing development of coal chemical projects in Xinjiang, with potential orders amounting to 700-800 billion yuan, which could enhance performance [11]. - The company has maintained a high dividend payout ratio of 19.69%, distributing 611 million yuan in cash dividends, demonstrating a commitment to shareholder returns [11].