我们预计2019 - 2020年铁路投资将至少保持稳定。  我们重申铁路设备行业的增持评级。我们认为该行业受益于铁路投资上升和铁路改革加速带来的需求增长的机会。 中国中车(1766.HK)仍是我们首选的铁路设备股。我们重申对该股2019年盈利增长前景的正面看法，预计其核心铁路业务收入增速将回升，同时利润率将进一步扩张，从而推动其2019年盈利加快增长。

Key Charts…………………………………………………………………………………………….3

Sector Outlook…………………………………………………………………….5

Railway FAI to reach no less than Rmb800bn in 2019E…………………………….………………..5

Railway investment cycle shifting to late-cycle railway equipment……………………………6

Asset securitization expected to help ease railway funding difficulty...………………………8

Rising urbanization will continue to drive urban transit network investment growth…………..9

Stock picks……………………………………………..10

CRRC remains our top pick…………………………….……..10

Company Briefs……………………………………………12

CRRC (1766.HK) ………………………………………13

CRRC Times Electric (3898.HK) ………………………………………………………18

CRSC (3969.HK) ………………………………………………………………………23

Guangshen Railway (525.HK) …………………………………………………………28