Changjiang Materials (001296.SZ) Hot Stock Analysis: Driven by Green Casting Material Advantages and Downstream Demand Growth

Changjiang Materials (001296.SZ) has outstanding stock price performance, with a year-to-date return of 82.17% and a 1-year return of 77.26%, far exceeding the Shanghai Composite Index’s increase of 15.46% [1]. This performance reflects the market’s high recognition of the company’s development prospects.

The company mainly engages in foundry materials such as silica sand, precoated sand, and sand cores, as well as waste sand recycling technology and equipment [0]. As a leading domestic supplier of foundry sand and green inorganic casting materials, its downstream customers cover fast-growing industries such as new energy vehicles, motorcycles, high-speed railways, agricultural machinery, and construction machinery [0].

Benefiting from the rapid development of downstream industries such as new energy vehicles and high-speed railways, the demand for the company’s products maintains strong growth [0]. The trends of green steel and low-carbon manufacturing bring structural opportunities to the industry; the global green steel market is expected to grow by 101.23% to USD 130.258 billion by 2032 [2].

The company’s CCITEK series of green inorganic casting materials include binders, sand, molds, core-making systems, etc., which have significant technological advantages in the field of green casting materials [0], helping customers achieve low-carbon production.

China’s carbon neutrality goal promotes the green transformation of the steel industry; by 2030, at least 15% of steel production needs to adopt green processes [3]. The combination of green electricity and low-carbon steel can help the automotive industry reduce emissions by 87% [3], further driving the demand for green casting materials.

With its technological advantages and the dividends of industry trends, the company is expected to continue to benefit from downstream demand growth and policy support, maintaining a good development momentum.