Last month’s “Bull Stock” Aba Chemicals Corporation(300261) (300261. SZ) suffered a “blow in the head” after the resumption of trading after the Spring Festival, falling 20cm for two consecutive days It rebounded slightly in the late trading on February 8 and closed at 18.00 yuan / share, down 17.66% on the same day.
Before the resumption of trading, from November 1, 2021 to January 14, 2022, Aba Chemicals Corporation(300261) stock price rose from more than 5 yuan to above 27 yuan. The reason for the sharp rise in the share price is that there is news in the market that the pharmaceutical intermediate carbonic anhydride developed and produced by the company can be used in the production of Pfizer covid-19 oral medicine. According to the suspension verification results, Aba Chemicals Corporation(300261) said that the company had no business contact and cooperation with Pfizer.
A market analyst told the associated press that the stock price of Aba Chemicals Corporation(300261) suffered a heavy fall after the festival. First, on the news side, the company continuously clarified that it had no business contact and cooperation with Pfizer. The market returned to rationality and made up for the stock price hyped in the early stage; Secondly, in terms of performance, although the company predicted the growth of net profit, it mainly benefited from the general boost of the demand for chemical products. Compared with the same industry, the growth rate did not have an advantage and did not exceed the previous market expectations.
Clarify the relationship between Pfizer {123567}
Before the Spring Festival, Aba Chemicals Corporation(300261) shares were suspended for verification twice. The trading of the company was suspended on December 29, 2021 and January 17, 2022 due to serious abnormal fluctuations in share price. Aba Chemicals Corporation(300261) also mentioned in the announcement that from November 1, 2021 to January 28, 2022, the cumulative increase of the company’s stock price was about 432.55%, which was significantly higher than the change degree of the company’s fundamentals and did not match the company’s current fundamentals.
In this regard, some market analysts told the associated press that the stock price of Aba Chemicals Corporation(300261) in the early period was highly sought after, mainly because it was stained with the “Pfizer concept”. On November 4, 2021, Aba Chemicals Corporation(300261) announced on the official website that the commercial mass production of the pharmaceutical intermediate carbonic anhydride developed and produced was smooth, and the current monthly production scale has reached 20 tons. Relevant research results show that carbonic anhydride and its derivatives can be used to synthesize Pfizer covid-19 oral drug parovid from the process flow. So the funds took turns to relay hype and Aba Chemicals Corporation(300261) opened the soaring mode.
Due to the sharp fluctuation of stock price, which attracted the intervention of regulators, the Shenzhen Stock Exchange issued several attention letters. On February 7, Aba Chemicals Corporation(300261) disclosed the suspension verification results, which showed that the company had previously stated in the reply to the attention letter that “carone anhydride and its derivatives can be used to synthesize Pfizer covid-19 oral drug palovide from the process flow”, in which carone anhydride and its derivatives refer to compounds rather than products produced by the company, It cannot be determined that the carbonic anhydride and its derivatives produced by the company can be used to synthesize Pfizer covid-19 oral drug.
Aba Chemicals Corporation(300261) also clarified the rumors of cooperation with Pfizer. It said that the company has no business contact and cooperation with Pfizer, has not signed a cooperation agreement with Pfizer, has not supplied Carlin anhydride products to Pfizer, Pfizer has not provided the company with any quality standards for the procurement of covid-19 oral front-end raw materials, and the company’s customers refuse to provide the end use of Carlin anhydride and its derivatives.
Interestingly, Aba Chemicals Corporation(300261) said in reply to the letter of concern of Shenzhen stock exchange that “there is no motivation to rub covid-19 drug hot spots”. However, the company has a criminal record of “rubbing” covid-19 hot spots. On September 9, 2020, Aba Chemicals Corporation(300261) announced that it had received the decision on administrative punishment issued by the CSRC due to the illegal disclosure of misleading statements and other information. The CSRC found that Aba Chemicals Corporation(300261) not only falsely increased the income of covid-19 related pharmaceutical intermediates by 106 million yuan, but also the luxurious customer lineup is fictitious.
abandoned by institutional reduction
Who is behind the hype Aba Chemicals Corporation(300261) ? From November 15, 2021 to January 14, 2022, Aba Chemicals Corporation(300261) has been listed on the dragon and tiger list for 9 times, with a purchase amount of 13.2 billion yuan and a sale amount of 12.7 billion yuan. Among them, the second business department of China stock market news securities Lhasa Tuanjie road was listed five times, and the second business department of China stock market news securities Lhasa East Ring Road and the business part of Sinolink Securities Co.Ltd(600109) Meihua Road, Pudong New Area, Shanghai were listed two times respectively.
On February 8, Aba Chemicals Corporation(300261) was also listed as one of the top five securities whose daily closing price fell by 15% due to price rise and fall restrictions. Many powerful business departments appeared on the list. Among them, the second business department of China stock market news securities Lhasa Tuanjie road led the net purchase. The seat bought 34.9131 million yuan and sold 17.5344 million yuan, The net purchase amount was 17.3787 million yuan.
In addition, before the suspension of Aba Chemicals Corporation(300261) , the Shaanxi Branch of the well-known hot money “Fang Xinxia” bought a total of 166 million yuan for two consecutive days. According to this estimation, the floating loss of seats under “Fang Xinxia” exceeded 50 million yuan on the 2nd day after the resumption of trading. After the setback of this transaction, on February 8, “Fang Xinxia” quickly chose to flee, China Industrial Securities Co.Ltd(601377) Shaanxi Branch bought 236600 yuan of seats, sold 113 million yuan, and the net purchase amount was – 113 million yuan.
It should be noted that at the beginning of last year, investment institutions such as Central Huijin Asset Management Co., Ltd., China Citic Bank Corporation Limited(601998) trust products and Aijian Trust held Aba Chemicals Corporation(300261) , but later, funds, trusts and other institutions disappeared from the list of the company’s top ten circulating shareholders. According to the third quarterly report of 2021, Aba Chemicals Corporation(300261) among the top ten shareholders, except Beijing YABEN Technology Co., Ltd., others are replaced by natural persons.
no significant increase in profit
In recent years, Aba Chemicals Corporation(300261) performance fluctuates frequently, and the profitability has not improved significantly. From 2018 to 2020, the company achieved operating revenue of 1.806 billion yuan, 1.664 billion yuan and 2.003 billion yuan respectively, with year-on-year changes of 49.5%, – 7.82% and 20.36%. The net profit attributable to the parent company was 161 million yuan, 82 million yuan and 161 million yuan, with year-on-year changes of 119.52%, – 49.17% and 97.22%.
According to the performance forecast disclosed on Aba Chemicals Corporation(300261) on January 28, it is estimated that the net profit attributable to the parent company in 2021 will reach 180 million yuan to 200 million yuan, with a year-on-year increase of 11.79% to 24.21%, deducting 142 million yuan to 162 million yuan of non net profit, with a year-on-year increase of – 1.54% to 12.33%.
In addition, the company’s non recurring profit and loss in 2021 was about 38 million yuan, mainly from changes in fair value.
In this regard, the above market analysts told the financial associated press that the revenue and net profit of Aba Chemicals Corporation(300261) in 2021 increased year-on-year, mainly due to the boost of market demand and the increase of chemical product prices. At the same time, the production category and scale of pesticide intermediates and pharmaceutical intermediates of the company have been expanded. The research reports issued in the middle of 2021 predicted the company’s profit growth rate of about 17%, and the performance forecast did not exceed the previous expectation.
However, the person also said that since Aba Chemicals Corporation(300261) signed a contract worth 2 billion yuan for customized pesticide intermediates with fumeishi company in the United States within three years, the performance is expected to remain relatively stable in the first quarter of 2022.
In addition, according to the announcement of resumption of trading, Aba Chemicals Corporation(300261) the sales revenue of carbonic anhydride and its derivatives in 2021 was 27.073 million yuan, accounting for about 1% to 2% of the company’s total operating revenue in 2021, accounting for a relatively small proportion, which is not expected to have a significant impact on the company’s performance in 2021. As of December 31, 2021, the total amount of orders on hand for carbonic anhydride and its derivatives was 63.5408 million yuan.
The financial Associated Press reporter noted that as of February 8, Aba Chemicals Corporation(300261) closed at 18.00 yuan / share after falling sharply for two consecutive days, and the dynamic P / E ratio still reached 91.63 times. According to the forecast data of listed chemical companies, the average p / E of listed companies was 245.27%, compared with that of 2021.27%. Aba Chemicals Corporation(300261) when the performance growth rate is significantly lower than that of Companies in the same industry, the valuation level is significantly higher than that of Companies in the same industry.
