Institutions look at the market: a huge introduction to the instrumentation industry

With the implementation of a series of national key projects, the instrumentation industry, which has been neglected, has received increasing attention and support from the government. In addition, during the “Eleventh Five-Year Plan” period, China will continue to implement and restart key projects. These projects will bring huge business opportunities to instrumentation, and policy support will directly benefit the instrumentation. Since the instrumentation industry has not received the attention it deserves in the past, the performance of related companies is not satisfactory. When investigating the value of listed companies, they will focus on the demand of their main products and their downstream industries, and focus on the future growth potential.

 And we learned from the Shanghai Instrument and Meter Industry Association that it is expected to promote the cluster of Shanghai instrumentation companies under the guidance of the association at the end of 2007, thus establishing a good core driving force for the large instrumentation industry. Under the general direction of Shanghai's priority development of advanced manufacturing and modern service industries, instrumentation has ushered in a great opportunity for development. As a link between government and business, the association will make full use of this opportunity to serve the revival of the instrumentation industry. At present, Shanghai Instrument and Meter Industry Association has 127 members, of which private enterprises account for 91%. At the same time, most private enterprises have a single product and cannot meet the requirements of “small quantities and multiple varieties”. However, the market for instrumentation is growing, and products from all walks of life are required. To this end, in 2007, the association will conduct industrial clusters for some private enterprises, forming a close and flexible professional division of labor and cooperation, and achieve scale production.

From the perspective of the first instrumentation industry index, the instrumentation industry is ahead of the Shanghai Composite Index, both in terms of the increase rate and the cumulative turnover rate. The main reason is the power instrumentation.

The overall increase in stocks has contributed a lot to the industry index, but due to the low weight, it has contributed little to the Shanghai Composite Index. Judging from the sharp rise in the stocks of power instruments and meters, the main funds have been heavily involved in the instrumentation industry, and other sub-sectors are likely to become the target of new capital heavy positions. According to the tracking and monitoring of the open information of the instrumentation industry, we found that many institutions have intervened, and the degree of brokerage involvement is significantly higher than other industries. It can be found that with the intervention of powerful institutions, the instrumentation industry is increasingly favored by the market, and some stocks with huge market demand and high-speed growth are expected to strengthen.

In the secondary market, the instrument and instrument sector rose strongly in the early stage, followed by the market correction, and recently regained its upward momentum, indicating investors' confidence in the future development of the industry. With the acceleration of national infrastructure and policy support, the instrument and instrument sector will accelerate, and investors can focus on growth stocks.