December 1 news, the phosphorus chemical sector picked up in the afternoon, as of press release, Xinhua shares rose more than 7%, Hubei Yihua, Lubei Chemical, Jinxin rose.
On the news side, East Asia Qianhai Securities said that the traditional phosphorus chemical industry is a cyclical industry, the degree of prosperity has a certain periodicity. While lithium iron phosphate will maintain high growth driven by the growth of new energy vehicles and energy storage demand, thus prolonging the prosperity time of the phosphorus chemical industry. On the other hand, the valuation of the new energy materials track is high, which promotes the valuation of the phosphorus chemical industry. The median valuation of phosphorus chemical enterprises is only 20.6 times, while that of new energy materials enterprises is about 62.1 times. After traditional phosphorus chemical enterprises cut into the new energy materials track, it can not only increase the profitability of enterprises, but also improve the valuation level, so as to get more recognition from the capital market. It is suggested that we should pay attention to the high-quality phosphorus chemical enterprises with phosphate rock resources, such as Hubei Yihua, Yuntianhua, Xingfa Group, Xin Yangfeng and so on.