Tiger tiger! In the year of the tiger, the banking sector continued to rise. Today (February 8), financial stocks, including banking stocks, once again became the mainstay of the market, driving the Shanghai Composite Index to turn red. From the news side, yesterday, a number of banks issued an announcement to trigger the starting conditions of measures to stabilize stock prices.
On February 8, the Shenwan bank index rose by 1.42%. It has risen by 4.63% in the two trading days since the opening of the year of the tiger. Since the opening of the year of 2022, it has increased by more than 7%, ranking first in 31 Shenwan industries.
Insiders said that looking forward to the first quarter of 2022, the gradual implementation of the steady growth policy is expected to support the fundamentals of banks. At present, the static valuation level of the sector is still at a historical low, the safety margin is sufficient, and the valuation of the sector can be repaired continuously
several banks announced “support”
On February 7, China Zheshang Bank Co.Ltd(601916) , Chongqing Rural Commercial Bank Co.Ltd(601077) , Bank Of Chongqing Co.Ltd(601963) issued an announcement on stabilizing the stock price.
According to the China Zheshang Bank Co.Ltd(601916) and Bank Of Chongqing Co.Ltd(601963) announcements, from January 4 to February 7, the closing price of A-share shares of the two banks has been lower than the net assets per share for 20 consecutive trading days, reaching the starting conditions for triggering measures to stabilize the stock price. The two banks will formulate measures to stabilize share prices within 10 trading days after February 7.
Chongqing Rural Commercial Bank Co.Ltd(601077) announced the conditions for triggering the measures to stabilize the stock price (the stock broke the net from January 4 to February 7) and also issued the plan to stabilize the stock price.
According to the plan, nine directors and senior executives of the bank plan to increase their holdings of shares, and the chairman, President and vice president are all on the list. The above nine directors and senior executives will increase their A-share shares of the bank with their own funds that do not exceed 15% of their after tax salary from the bank in the previous year. The increase plan does not set a price range, and the increase plan will be actually implemented after the release of the first quarter report of the bank in 2022.
Chongqing Rural Commercial Bank Co.Ltd(601077) said that the purpose of the increase is to actively stabilize the bank’s share price based on confidence in the bank’s future development prospects and recognition of the bank’s growth value. From historical experience, triggering the starting conditions of measures to stabilize the stock price, the increase of bank executives’ holdings of real gold and silver will have a positive impact on relevant bank stocks
northward funds actively increase positions
Trigger the starting conditions for the measures to stabilize the stock price, which means that the valuation of bank shares is low. Under the background that most of the performance growth in 2021 exceeded 20%, undervalued bank stocks also regained their favor of funds, and institutions are optimistic about their valuation repair market.
It is worth mentioning that northbound capital, known as smart capital, continued to increase its positions in bank stocks.
According to wind data, as of February 7, according to the statistics of monthly frequency (the most recent month), the net purchase of Shenwan bank sector by northbound funds was 15.639 billion yuan, ranking first in Shenwan industry. Among them, on the day of February 7, the funds from northbound capital to buy the banking sector amounted to 1.264 billion yuan, and the net inflow of sector funds ranked second in the whole market.
In addition, the main funds are also actively raising. According to wind data, as of February 8, in the past 1, 3, 5 and 20 days, the main net inflow of the banking sector (Shenwan industry 2021) was 2.164 billion yuan, 2.641 billion yuan, 2.716 billion yuan and 9.95 billion yuan respectively, ranking first among the 31 Shenwan industries.
In fact, with the help of funds, the performance of the banking sector in January has been good. In January this year, the Shenwan bank index rose by 2.33%, ranking first among 31 Shenwan level industries, becoming the only industry to achieve positive returns. Since the beginning of the year, the Shenwan bank index has increased by 7.06%, still ranking first
the spring market is expected to continue
Looking forward to the future, the institution believes that the market of bank stocks is expected to continue.
Galaxy Securities believes that the leading performance of the banking sector mainly benefits from the catalytic performance of the 2021 annual report exceeding expectations and the increase of market risk aversion, and the subsequent spring market is expected to continue. At present, the valuation of the banking sector has a good safety margin, and the allocation value of the sector is increasing.
Everbright Securities Company Limited(601788) said that under the background of the continuous promotion of various stable growth policies, the market is looking forward to “wide credit”. The basic mask of the bank itself has good support. At this stage, the valuation and institutional position ratio are still relatively low. It is expected that bank stocks will still perform well after the Spring Festival.
However, intra sector differentiation or can not be avoided. Wanlian Securities said that in the medium and long term, the internal differentiation of the banking sector will continue. It is suggested to pay attention to the banks whose proportion of intermediate business income continues to increase and the banks whose fundamentals continue to improve.
