On February 8, China Mobile A shares officially “took off their shoes”. However, different from market speculation, China Mobile after “taking off its shoes” not only did not have a “break”, but ushered in a sharp rise, and the share price of H shares hit a new high in more than one year. China Telecom Corporation Limited(601728) , China United Network Communications Limited(600050) followed.
After China Mobile’s listing, it was escorted by the “green shoes” mechanism (over allotment option) to stabilize the stock price, but this mechanism expired on February 7.
Analysts pointed out that 5g has brought huge imagination to the development of operators such as China Mobile. China Mobile is currently in a state of undervalued and high dividend yield, with stable performance. It is recommended to continue to pay attention to the opportunities of the sector.
China Mobile soared
On February 8, China Mobile once rose more than 7% in the session. As of the closing, China Mobile rose 5.42% to 61.30 yuan, with a total market value of 1.3 trillion yuan. H shares rose more than 2% to HK $57.35, and the share price hit a new high in more than a year. Since 2022, China Mobile’s H-share price has increased by more than 20%.
China Telecom Corporation Limited(601728) , China United Network Communications Limited(600050) followed. As of the closing, the shares of China Telecom Corporation Limited(601728) , China United Network Communications Limited(600050) rose 1.90% and 4.26% respectively.
According to the performance forecast previously released by China Mobile, the company is expected to achieve revenue of about 844.9 billion yuan to 852.6 billion yuan in 2021, with a year-on-year increase of about 10% – 11%; The net profit attributable to the parent company was about 114.3-116.5 billion yuan, with a year-on-year increase of about 6% – 8%; Deducting non net profit of about 107.3 billion yuan to 109.3 billion yuan, with a year-on-year increase of about 5-7%.
By the end of January 2022, a total of 2547 A-share listed companies will announce the performance forecast for 2021. From the indicator of the upper limit of predicted net profit, China Mobile exceeds Petrochina Company Limited(601857) , Cosco Shipping Holdings Co.Ltd(601919) , China Petroleum & Chemical Corporation(600028) , Kweichow Moutai Co.Ltd(600519) , China Shenhua Energy Company Limited(601088) , Contemporary Amperex Technology Co.Limited(300750) and other companies. Some investors joked: “making 300 million yuan a day is indeed the most profitable company in a shares.”
recently welcomed a number of institutions to conduct research
On July 21, China Mobile received more than 6012 research organizations.
From the research content released by the company, institutional people asked questions from multiple angles affecting the development and performance of the company. Among them, in the question of “whether it will adopt M & A to make up for the shortcomings in relevant fields in order to realize the transformation of information services”, the company replied that the company will give full play to the advantages of sufficient cash flow and realize the investment philosophy of value creation, industry investment coordination and ecological construction around the upstream and downstream of the company’s industrial chain by means of equity investment. At present, the company’s investment focuses on 5g and chbn related fields, including digital content, ICT, security services, etc.
In terms of functional innovation of SIM card in the future, the company points out that at present, there are mainly four aspects to innovate and try. First, to meet the needs of diversified terminals, the company continues to launch the business of one card and multiple terminals, for example, when used on multiple terminals such as pad and mobile phone, the same mobile phone number can be used for combined payment, etc; The second is mobile authentication. Through mobile authentication based on SIM card, it can realize the login of APP without entering password and other functions, and can quickly and safely realize the authentication of individual customers; Third, regional integration function. For example, in the Yangtze River Delta, SIM card can be used to take bus and subway; Fourth, explore the application innovation of digital identity and digital currency, deeply cultivate the field of security authentication, and launch SIM shield and security gateway products.
How does the trend of deduce
How will China Mobile ah share price deduce in the future?
A number of institutions interviewed believe that 5g has brought huge imagination to the development of operators such as China Mobile. China Mobile is currently in a state of undervalued value and high dividend yield. At the same time, its performance is stable. It is suggested to continue to pay attention to the opportunities of the sector.
The underwriter of China Mobile China International Capital Corporation Limited(601995) gave the initial rating that China Mobile A shares outperformed the market.
According to the Zheshang Securities Co.Ltd(601878) Research Report, the valuations of Hong Kong stocks China Mobile, China Telecom Corporation Limited(601728) , China United Network Communications Limited(600050) Pb were 0.69 times, 0.48 times and 0.30 times respectively, significantly lower than 1.13 times, 0.69 times and 0.68 times of the five-year historical center, and 1.59 times lower than the global comparable level. With multiple catalysts such as repurchase, equity incentive and equity diversification reform, the valuation of operators is expected to improve.
Everbright Securities Company Limited(601788) believes that the improvement trend of operating business performance in the later stage is verified quarterly, which is expected to drive the opportunity of comprehensive value revaluation of the sector and maintain the “buy” rating of Hong Kong stock China Mobile.
