Fangzheng Securities: the situation of coal oversupply is expected to be reversed.

Fangzheng Securities research report stated that the current tightening of supply in the coal industry has become an investment theme. The situation where coal supply exceeds demand is expected to be reversed, with policies continuing to tighten production capacity on the supply side in 2026. It is also possible to anticipate restrictions on imported coal in the future. China Shenhua and China Coal Energy, which have a high proportion of long-term contracts, have strong earnings stability. If coal prices remain high, undervalued targets such as Yanzhou Coal Mining and China Coal Energy may also see valuation recovery.