Market Overview - On September 24, the professional engineering sector experienced a slight decline of 0.09%, with Haibo Zhongke leading the drop [1] - The Shanghai Composite Index closed at 3853.64, up 0.83%, while the Shenzhen Component Index closed at 13356.14, up 1.8% [1] Stock Performance - Notable gainers in the professional engineering sector included: - Shengkai Technology (605178) with a closing price of 31.83, up 6.42% and a trading volume of 59,000 shares, totaling 182 million yuan [1] - Shenghui Integration (603163) closed at 45.06, up 6.37% with a trading volume of 50,700 shares, totaling 224 million yuan [1] - Yaxiang Integration (603929) closed at 42.67, up 5.93% with a trading volume of 35,900 shares, totaling 150 million yuan [1] Capital Flow - The professional engineering sector saw a net inflow of 38.57 million yuan from institutional investors, while retail investors experienced a net outflow of 146 million yuan [2] - The sector's overall capital flow indicates a mixed sentiment among different investor types, with institutional investors showing confidence while retail investors withdrew funds [2] Individual Stock Capital Flow - Key stocks with significant capital flow include: - Shenghui Integration (603163) with a net inflow of 28.23 million yuan from institutional investors, but a net outflow of 31.86 million yuan from retail investors [3] - Tianwo Technology (002564) had a net inflow of 24.72 million yuan from institutional investors, with retail investors withdrawing 35.78 million yuan [3] - Fuhuang Steel Structure (002743) saw a net inflow of 16.81 million yuan from institutional investors, while retail investors withdrew 19.38 million yuan [3]

Investment Rating - The report maintains an "Overweight" rating for the construction and decoration industry [1] Core Views - Infrastructure investment growth is under pressure, with a cumulative year-on-year increase of 2.0% from January to August, slowing down by 1.2 percentage points compared to the previous month. In August, infrastructure investment saw a year-on-year decline of 5.9% [2][11] - The report highlights that while the construction and real estate sectors face challenges, there is potential for policy support to boost growth, particularly through major infrastructure projects and urban renewal initiatives [2][11] - The report recommends focusing on leading state-owned enterprises in infrastructure, such as China Communications Construction Company, China Electric Power Construction, and China Railway Group, which are expected to see valuation recovery [2][11] Summary by Sections Industry Views - From January to August, the year-on-year growth rates for various sectors are as follows: railway transportation +4.5%, road transportation -3.3%, water conservancy management +7.4%, and public facilities management -1.1%. All sectors showed a slowdown compared to the previous month [2][11] - Cement production from January to August decreased by 4.8% year-on-year, with a notable decline of 6.2% in August alone. The overall revenue and profit in the construction sector remain under pressure, although cash flow has improved [2][11][16] International Expansion - In the first half of 2025, China's overseas contracting projects saw a revenue increase of 9.3% year-on-year, with new contracts growing by 13.7%. Notably, contracts in Belt and Road Initiative countries increased by 21% [3][12] - The report suggests that the ongoing geopolitical tensions and trade frictions may lead to increased infrastructure cooperation abroad, benefiting companies involved in international engineering projects [3][12] Demand Structure and New Opportunities - The report identifies opportunities in the semiconductor cleanroom sector, driven by increased capital expenditures from international semiconductor giants and cloud service providers. Companies like Shenghui Integrated and Yaxiang Integrated are recommended for investment [3][12]

Market Overview - The professional engineering sector experienced a decline of 1.3% on September 22, with Zhonghua Rock and Soil leading the drop [1] - The Shanghai Composite Index closed at 3828.58, up 0.22%, while the Shenzhen Component Index closed at 13157.97, up 0.67% [1] Stock Performance - Notable gainers in the professional engineering sector included: - Nengzai Technology (301046) with a closing price of 26.50, up 4.50% [1] - Shenluda A (000032) with a closing price of 22.99, up 2.22% [1] - Zhenhai Co. (603637) with a closing price of 12.74, up 2.17% [1] - Major decliners included: - Zhonghua Rock and Soil (002542) with a closing price of 3.78, down 5.50% [2] - Tianwo Technology (002564) with a closing price of 8.58, down 5.30% [2] - ST Tianlong (300029) with a closing price of 5.96, down 4.33% [2] Capital Flow - The professional engineering sector saw a net outflow of 379 million yuan from institutional investors, while retail investors contributed a net inflow of 320 million yuan [2] - The capital flow for specific stocks indicated: - Zhenhai Co. (603637) had a net inflow of 9.91 million yuan from institutional investors [3] - Zhonghua Rock and Soil (002542) experienced a net outflow of 22.85 million yuan from institutional investors [3] - Retail investors showed a net inflow of 9.40 million yuan into Shenluda A (000032) [3]

Investment Rating - The industry investment rating is "Overweight" indicating a positive outlook compared to the overall market performance [22]. Core Insights - The construction industry is experiencing weak fixed asset investment, with infrastructure investment under pressure. However, regional investments may gain elasticity as national strategic layouts deepen [1][12]. - The overall fixed asset investment in China from January to August 2025 showed a year-on-year increase of 0.5%, while infrastructure investment (including all categories) rose by 5.4% [9][10]. - The report highlights significant stock performance, with the infrastructure private sector showing the highest weekly increase of 6.19% and annual growth of 53.51% [5][6]. Summary by Sections 1. Market Performance - The construction sector's weekly increase was 0.44%, outperforming the Shanghai Composite Index which decreased by 1.30% [3][4]. - The top three sub-sectors for weekly performance were private infrastructure (+6.19%), state-owned infrastructure (+1.17%), and professional engineering (+0.16%) [5][6]. 2. Industry Changes - National statistics indicate that from January to August 2025, fixed asset investment increased by 0.5% year-on-year, manufacturing investment rose by 5.1%, and infrastructure investment (excluding electricity) grew by 2.0% [9][10]. - Real estate investment saw a significant decline of 12.9% year-on-year during the same period [9][10]. 3. Key Company Developments - Notable contracts include a feasibility study for the Ho Chi Minh City urban rail project valued at 0.46 billion yuan, and a mining engineering project contract worth 5.04 billion yuan signed by Beixin Road and Bridge [12][13]. - The report also mentions significant stock movements, with Shanghai Construction and Time Space Technology showing substantial weekly gains of 31.7% and 29.14%, respectively [9][10]. 4. Profit Forecasts and Valuation Levels - The report provides a detailed valuation table for key companies in the construction sector, indicating projected earnings per share (EPS) and price-to-earnings (PE) ratios for 2024 to 2026 [17][18].

Core Viewpoint - Northern International (000065) has announced the establishment of a new branch in Guangzhou to expand its import-export and new energy business, reflecting its strategic growth initiatives in these sectors [1][2]. Company Overview - As of September 19, 2025, Northern International's stock closed at 11.11 yuan, down 0.71% from the previous week [1]. - The company's market capitalization is currently 11.903 billion yuan, ranking 7th out of 39 in the professional engineering sector and 1599th out of 5153 in the A-share market [1]. Recent Developments - The company's board of directors approved the establishment of a branch in Guangzhou during a meeting held on September 19, 2025, with unanimous support from all participating members [1]. - The new branch will be located in the Huangpu District of Guangzhou and will be managed by Wu Shaokun [1]. - The operational scope of the Guangzhou branch will include the import and export of various goods and technologies, sales of mining machinery, electrical equipment, photovoltaic equipment, new energy products, and electric vehicles, among others [1].

Group 1 - The stock price of Yaxiang Integration (603929) closed at 41.02 yuan on September 19, 2025, down 3.82% from the previous week [1] - The highest intraday price for Yaxiang Integration was 43.12 yuan on September 16, 2025, while the lowest was 40.78 yuan on September 19, 2025 [1] - The current total market capitalization of Yaxiang Integration is 8.752 billion yuan, ranking 11th out of 39 in the professional engineering sector and 2119th out of 5153 in the A-share market [1] Group 2 - Yaxiang Integration announced a cash dividend of 1.00 yuan per share (including tax) for the fiscal year 2025, with the record date set for September 19, 2025 [2][3] - The total amount of cash dividends to be distributed is 213.36 million yuan, with the payment date on September 22, 2025 [2][3] - Individual shareholders holding shares for more than one year are exempt from individual income tax, while those holding for one year or less will be taxed at rates of 10% or 20% [2][3]

Group 1 - The core stock price of China National Materials International (中材国际) closed at 8.83 yuan on September 19, 2025, down 1.67% from the previous week's closing price of 8.98 yuan [1] - The highest intraday price for the stock during the week was 8.99 yuan on September 15, 2025, while the lowest was 8.71 yuan on September 18, 2025 [1] - The current total market capitalization of China National Materials International is 23.311 billion yuan, ranking 4th out of 39 in the professional engineering sector and 807th out of 5,153 in the A-share market [1] Group 2 - The company has fully redeemed the principal and interest of its first phase of short-term financing bonds for 2025, totaling 502,210,547.95 yuan [1] - The first phase of short-term financing bonds was issued on June 12, 2025, with a total issuance amount of 500 million yuan and an interest rate of 1.63%, with the redemption date set for September 19, 2025 [1] - The relevant redemption documents have been publicly disclosed on the China Money Network and Shanghai Clearing House websites [1]

Group 1 - The company plans to reduce its holdings through centralized bidding from March 5, 2024, to May 16, 2024, for a maximum of 1.975 million shares, which represents 0.99% of the total share capital and 1.00% of the total share capital excluding repurchased shares [1] - The reduction period is set from October 21, 2025, to January 20, 2026, with the selling price determined by the market price at the time of reduction [1] - As of the announcement date, the company has repurchased a total of 2.5222 million shares, with no shares yet sold or transferred [1]

Market Overview - On September 19, the professional engineering sector declined by 0.15% compared to the previous trading day, with Baili Technology leading the decline [1] - The Shanghai Composite Index closed at 3820.09, down 0.3%, while the Shenzhen Component Index closed at 13070.86, down 0.04% [1] Stock Performance - Notable gainers in the professional engineering sector included: - Tianwo Technology (002564) with a closing price of 9.06, up 9.95% and a trading volume of 988,500 shares, totaling 880 million yuan [1] - ST Tianlong (300029) with a closing price of 6.23, up 6.31% and a trading volume of 58,100 shares, totaling 36.12 million yuan [1] - Sanwei Chemical (002469) with a closing price of 9.13, up 4.34% and a trading volume of 290,200 shares, totaling 262 million yuan [1] - Conversely, Baili Technology (603209) experienced a significant drop, closing at 6.32, down 9.97% with a trading volume of 1,028,000 shares, totaling 669 million yuan [2] Capital Flow - The professional engineering sector saw a net outflow of 220 million yuan from institutional investors, while retail investors experienced a net inflow of 288 million yuan [2] - The capital flow for specific stocks indicated: - Tianwo Technology had a net inflow of 156 million yuan from institutional investors, while retail investors had a net outflow of 56.94 million yuan [3] - ST Tianlong had a net inflow of 40,200 yuan from retail investors, with a net outflow of 1.11% from institutional investors [3]

Market Overview - On September 18, the professional engineering sector declined by 1.69%, with Sentai Co., Ltd. leading the drop [1] - The Shanghai Composite Index closed at 3831.66, down 1.15%, while the Shenzhen Component Index closed at 13075.66, down 1.06% [1] Stock Performance - Notable gainers included: - Roman Co., Ltd. (605289) with a closing price of 63.01, up 5.10% and a trading volume of 123,300 shares, totaling 770 million yuan [1] - Zhonghua Rock and Soil (002542) closed at 4.10, up 4.59% with a trading volume of 2,272,200 shares, totaling 927 million yuan [1] - Major decliners included: - Sentai Co., Ltd. (603098) closed at 15.04, down 6.00% with a trading volume of 216,000 shares, totaling 330 million yuan [2] - Town Hai Co., Ltd. (603637) closed at 12.57, down 4.63% with a trading volume of 252,300 shares, totaling 321 million yuan [2] Capital Flow - The professional engineering sector experienced a net outflow of 139 million yuan from institutional investors, while retail investors saw a net inflow of 120 million yuan [2] - The overall capital flow for key stocks showed: - Roman Co., Ltd. had a net inflow of 1.05 billion yuan from institutional investors, but a net outflow from retail investors [3] - Zhonghua Rock and Soil had a net inflow of 55.59 million yuan from institutional investors [3]