The inflection point appears Angang and Hualing Dragon Head

Steel stocks, which were among the hardest hit in the first quarter of the four quarter last year, are rebounding from the trough.　　Real estate, the auto industry, the rebound in demand for steel, and the recent Development and Reform Commission to meet the deadline to eliminate backward capacity, but also for the steel industry's recovery blowing policy warm wind. "Policy will lead the steel industry recovery process, the relevant supporting policies will be introduced, is a long-term positive support." In Baosteel, Wisco, Angang and other domestic three major steel enterprises, I am most optimistic about Angang, because Angang iron ore mainly from Angang group, the cost advantage is more obvious; In addition, hualing steel in steel stocks also has a more obvious competitive advantage.　　Yuan Securities analyst Suli said.　　Reporter statistics, iron and steel stocks in the plate, Anshan iron and steel shares in the year since the rise of about 50%, in the middle of the position. In front of the main production of construction steel than major companies, such as wine and steel hongxing, long power shares.　　To wine steel hongxing For example, the company was stimulated by the overall listing and other factors, as at May 14, the closing price of 10.26 yuan, compared with the lowest 3.63 yuan in early November last year, has risen 182%, compared with the 4.65 yuan at the beginning of this year, has also risen 120%. However, a senior investor expects, although the wine steel hongxing, long power shares and so on is likely to remain strong recently, but because its market net rate is twice times near, the risk has been big, chasing the rise is not very appropriate.　　and Angang iron and steel shares, such as Hua Ling, there are potential for replenishment.　　The second half of Angang's performance was bullish in the first quarter of this year, Anshan Iron and steel shares profit of 0.001 yuan per share, which mainly benefited from the decline in the stock price. Ping An securities and steel industry senior analyst Nie Shouxin analysis, although compared with the entire steel industry losses, the company's first quarter performance is better, but the subdivision, the company's main business is not profitable. Last year, among the three major steel companies, Angang set the most adequate inventory impairment, the first quarter of this year's inventory impairment is negative (-1.572 billion yuan), indicating that the last period of the part of the proposed reduction is to be washed back, the part of the increase in earnings per share of 0.22 yuan.　　However, the company expects its interim results to fall by 100% to 150% per cent, at a loss of 0.41 yuan a share. The estimated losses in the first half of Angang's shares were mainly related to the company's iron ore pricing system. The company's iron ore pricing system is to refer to the last six months of iron ore imports to the shore of the customs average price, on this basis discount 5%, and in six months to maintain stability. Because of the particularity of the pricing method, the iron ore cost of Angang stock, which is based on the customs average price, will undoubtedly be under obvious pressure during the declining period of ore prices. However, after the price of iron ore continues to slump, it is expected that the first half of this year iron ore customs import prices will have a more obvious decline.　　Therefore, the cost of Angang will be greatly improved in the second half. In addition, in addition to the second half of the iron ore cost decline in the positive, Angang shares new project Bayuquan steel project full load production will also bring the company production expansion. As a result, while the company will lose money in the first half of the year, many institutions still look to the futurePerformance growth, heavy warehouse holdings.　　As of the end of the first quarter of this year, the Great Wall brand excellent tinea huaxing industrial industry fine tinea investment Morgan China Advantage, southern ingredients, such as four funds respectively holding the company 33.69 million shares, 29.58 million shares, 28.85 million shares, 22.76 million shares.　　Hualing is suitable for medium and long term to hold the same as Angang, Hualing Steel is also favored by many institutions.　　In the first quarter of this year, Societe Generale trend, Huaxia dividend, Taida Holland Banking fine tinea national Social Security 104 combination, big into life cycle 2020 and many other funds are in a substantial increase in the stock. The expert evaluates that hualing steel is a more enterprising company, as a joint venture, Hualing Steel Holdings 33.9%, the largest shareholder, Mittal holds 33%, as the second largest shareholder. At present, the company in the new round for the first two major shareholders of the directional issuance, the completion of the China-Ling Steel Group will increase the shareholding to 36.9%, Mittal shares will increase to 36%.　　Mr Mittal's advanced technology is an important driver of Valin's iron and steel upgrading. Huatai Securities researcher Mike Nash that the future development of iron and steel companies will shift from the main production capacity expansion to optimize the product structure upgrade, increase the proportion of value-added products, energy saving and other direction. and capacity expansion will be mainly mergers and acquisitions, rather than simply a new production line. In the process of optimizing and upgrading the product structure of domestic iron and steel enterprises, hualing Steel has already walked in the front. The steel industry from 2010 to 2011 is expected to enter a long cycle of the recovery phase, it is the company's 4.5 million tons of hot rolling projects, 1.2 million tons of heavy and heavy board projects, automotive boards, electrical steel production lines, such as capacity concentration release phase, the company's performance is expected to rapidly improve.