The policy of financial support for private enterprises continued to exert its strength, and the social financing credit data in June 5438+ 10 exceeded expectations.
Recently, the Central Office and the State Council issued "Several Opinions on Strengthening Financial Services for Private Enterprises", demanding to increase financial policy support for private enterprises, proposing to implement differentiated monetary and credit support policies and increase direct financing support; Focus on solving the problems of asymmetric information and insufficient credit in private enterprises; Improve the performance appraisal and incentive mechanism, and focus on unblocking the financing blocking points of private enterprises; Actively support private enterprises in financing bail-outs, focus on resolving liquidity risks, and speed up the liquidation of debts owed to private enterprises. Since the fourth quarter of 20 18, policy support has been continuously exerted to solve the problems of financing difficulties and high costs for private enterprises.
The credit data of social financing in June 5438+ 10 released by the central bank exceeded expectations, and the scale of social financing increased by 4.64 trillion yuan, an increase of 1.56 trillion yuan year-on-year. RMB loans increased by 3.23 trillion yuan, an increase of 328.4 billion yuan year-on-year, a record high in a single month. This is due to a series of liquidity release policies, such as the recent RRR interest rate cut.
The core factor of suppressing the environmental protection industry in the early stage is the problem of difficult and expensive financing. With the management continuously increasing the policy guidance of financial support for private enterprises, the funds are gradually relaxed, and the expectation of improving the financing environment of environmental protection industry is gradually enhanced. In addition, since the second half of 20 18, more than 10 listed environmental protection enterprises have been privatized into state-owned assets, which will also ease the financing difficulties for these enterprises and provide more development resources. The improvement of corporate financing will accelerate the progress of order execution and bring the expectation of warmer performance.
Subsequent financial investment in eco-environmental protection projects is expected to increase.
In 20 18, the growth rate of PPP management library slowed down and the stock was optimized. As one of the key points to make up the shortcomings, the environmental protection industry has just needed investment. By the end of 20 18, there were 827 eco-environmental protection projects in PPP management library, accounting for 9.6%, ranking third, with a total investment of 908 billion yuan, accounting for 6.9%, ranking fourth, and the landing rate was about 58%. There are nearly 380 billion eco-environmental protection projects in the preparation and procurement stage, and the financing pressure is great. In 20 19, a proactive fiscal policy is expected to enhance its effectiveness. In the past two months, the Minister of Finance has indicated that in 20 19, the Ministry of Finance will increase financial input for ecological protection and support pollution prevention and control. The director of the PPP Project Center of the Ministry of Finance also said that it plans to select a number of excellent PPP demonstration projects in the field of environmental protection, and the Ministry of Finance will set up special funds for environmental protection PPP projects to support local governments in solving problems such as insufficient capital for PPP projects.
Pay attention to the opportunity for the valuation of the environmental protection sector to rebound under the expectation of improving the financing environment.
Financial deleveraging and cleaning up PPP norms led to poor performance of the environmental protection sector in the past year, and the overall PE of the sector hit a record low. Since the fourth quarter of last year, the effect of the policy of wide money and wide credit is gradually emerging. The centralized impairment risk of goodwill and the performance risk of annual report are gradually digested by the market with the disclosure of performance forecast. Marginal improvement of financing environment, the order execution of environmental protection enterprises is expected to accelerate, and the performance will gradually pick up. The improvement of market risk appetite will help the industry valuation rebound.
It is suggested to pay attention to the PPP targets with sufficient orders and greater performance flexibility due to the improvement of financing environment: Bi Shuiyuan (300070), Bosch (300422) and Guozhen Environmental Protection (300388); As well as the targets of solid waste treatment and environmental monitoring with stable growth performance and good cash flow: Hanlan Environment (600323), Weiming Environmental Protection (603568), dongjiang environmental protection (002672) and Concentration Technology (300203).
Risk warning:
Policy implementation was lower than expected, industry financing improvement was lower than expected, and the economy went down.
(Article source: Dongguan Securities)