Jinwu Financial News | Coal stocks generally rose. As of press release, Mongolian Energy (00276) rose 5.41%, Mongolian coking coal (00975) rose 3.34%, Yankuang Energy (01171) rose 2.32%, China's Qinfa (00866) rose 1.75%, and Yi Dazong (01733) rose 1.73%.
According to Guotai Junan Research, the supply-side of the coal industry is less flexible in the future. Long-term tight balance between supply and demand, stronger predictability of profits, ultra-long-term operating assets, and a gradual increase in the sector's dividend rate, the restructuring of the valuation of a “stable high-dividend” asset such as coal is probably just beginning. Recommendation: 1. High-quality leader with high profit stability and predictability of profit; 2. Recommended integrated coal and electricity; 3. Recommended Changxie Coking Coal; 4. Recommended state-owned enterprises that improve quality and efficiency; 5. Recommended high dividends.