Xinhua News Agency, May 16, Tianfeng Securities believes that the current valuation of cement stocks has fully reflected the pessimistic expectations of the market for future profits, but the trend of gradual improvement in supply and demand has been ignored. On the demand side, the market is more optimistic about the recovery of infrastructure, but the expectation for the real estate start-up side is still not high, and on the supply side, the market is worried that the share competition among enterprises will continue to intensify after the 2022 price war, but after the year, both ends of cement supply and demand show a positive development trend, fundamentals improvement is possible to exceed expectations, and profits in the second quarter are expected to show an upward inflection point. Cement stocks have risen significantly less than other building materials stocks since the low in the fourth quarter of 2022, and the current valuation is at a relative bottom.