Demand for the hottest machinery stocks is expecte

Machinery stocks: demand is expected to pick up in the second half of the year

Guide: most deformation units now adopt single-chip 24 bit ultra-low noise analog-to-digital converters, and the growth of concrete machinery and forklifts has been maintained. The payment for excavation machinery is 0.77 euros/kg, and the price of excavation machinery and other products has fallen year-on-year. According to our tracking data, excavator sales in June fell by 12.9% year-on-year, but domestic leaders such as Sany and Liugong still had positive growth of 29.5% and 17.7% year-on-year respectively. The sales volume of construction machinery shows a pattern of differentiation according to products. Although

concrete machinery and forklifts maintained growth, while excavators and other products fell year-on-year. According to our tracking data, excavator sales in June fell by 12.9% year-on-year, but domestic leaders such as Sany and Liugong still had positive growth of 29.5% and 17.7% year-on-year respectively. The sales volume of construction machinery shows a pattern of differentiation according to products. Although the industry fell as a whole, there are still bright spots in detail: the sales volume of foreign excavator manufacturers fell sharply, but the sales volume of domestic manufacturers still increased year-on-year; The export of loaders and bulldozers increased significantly, reducing the sales pressure caused by the decline in domestic demand. In addition, driven by water conservancy construction and affordable housing construction, the demand for construction machinery is expected to pick up in the second half of the year

water conservancy construction has become the focus of the policy of "finding poor lubrication conditions in the 12th Five Year Plan", and earth moving machinery has benefited significantly. The central water conservancy work conference was held in Beijing from July 8 to 9. The meeting set the main goal of accelerating the reform and development of water conservancy in China, and strive to fundamentally reverse the obvious lag in water conservancy construction through five to ten years of efforts. We predict that the investment in water conservancy will reach 4trillion yuan in the next ten years, with an annual average of 400billion yuan. Tianliang's water conservancy infrastructure will open a new development path for related industries

we believe that the importance of water conservancy construction to keep China's poly amino acids at the international advanced level has been raised to an unprecedented height. It is an area that will be supported by national policies and capital investment during the "12th Five Year Plan" period and for a longer time in the future. Relevant enterprises will inevitably attract huge development prospects. In addition to water conservancy infrastructure and other industries, construction machinery, especially the earth moving machinery, will significantly benefit from the massive construction of water conservancy. It is suggested to pay attention to listed companies such as Sany Heavy Industry and Liugong, whose excavator and loader businesses account for a relatively high proportion

ten million affordable housing to maintain real estate investment, it is recommended to pay attention to concrete machinery. In 2010, China invested 5.9 million affordable housing units and completed 3.7 million units. In 2011, China's goal of affordable housing and housing renovation in shanty towns reached 10million units, an increase of 70%. During the 12th Five Year Plan period, the state plans to build 36million new affordable housing units, and the coverage rate of affordable housing will reach 20%. The rapid growth of affordable housing development will effectively smooth the impact of the decline in commercial housing investment on construction machinery. We believe that a large number of affordable housing starts in the second half of the year will be an important factor driving the demand for construction machinery. Tower cranes, concrete pump trucks and other products are highly related to real estate development and benefit significantly. They are expected to outperform the average growth rate of construction machinery in the second half of the year. The growth of Sany Heavy Industry and Zoomlion Heavy Industry, which account for the highest proportion of corresponding products, is relatively determined, and it is recommended to focus on them