The recommendation institution has not only recommended stocks, but also participated in underwriting and follow-up investment. Now the research reports that are widely read have also come out. Do you eat more fish or do you have another plan?
Recently, Citic Securities Company Limited(600030) released a research report on "the most expensive new share in history" Hemai shares. According to the research report, the share price of Hemai shares can reach 1000 yuan. Citic Securities Company Limited(600030) is the lead underwriter of Hemai shares, underwriting 363 million yuan of abandoned new shares, in addition to a follow-up investment of 112 million yuan. Such cases also include China Mobile, Citic Securities Company Limited(600030) , China International Capital Corporation Limited(601995) both sponsor and underwrite, and recently released the read more research report.
According to the relevant provisions of China Securities Association, the sponsor and lead underwriter of IPO shall not release relevant reports within 40 days after the issuance price is determined. The above cases have exceeded the 40 day silence period. Whether there are other silent period provisions for underwriting and follow-up investment, some respondents said that the above provisions are still applicable. However, if the proportion of listed companies held by securities companies or their holding subsidiaries reaches more than 1%, the research report needs to be specially noted.
respondents believe that the stocks underwritten by investment banks themselves should be allowed to be covered by research reports after the quiet period. There are many star projects in large investment banks. If you don't give up the research report, what does the research institute rely on to eat? The stock price is determined by market forces, and a research report can't change anything. Investors should not rely too much on research reports.
sponsor + follow-up investment + underwriting, but also sing more
Recently, Citic Securities Company Limited(600030) released a research report entitled "Hemei shares: Micro inverse nova, great potential". According to the research report, Hemai Co., Ltd. is deeply engaged in the field of component power electronics. It is a leading manufacturer of micro inverters in the world. Its products have the advantages of cost, applicability, performance and reliability, outstanding cost performance competitiveness, and continues to expand its sales network and customer base, with rapid business growth. The company accelerated the production expansion of micro inverter and DTU, improved technical strength and profitability, promoted the industrialization of energy storage inverter and other businesses, and strengthened the synergy of industrial chain.
According to the research report, the EPS of the company from 2021 to 2023 is expected to be 4.93 yuan / 12.47 yuan / 22.50 yuan respectively, with a target price of 1000 yuan (corresponding to 80 times PE in 2022), covering for the first time and giving the company a "buy" rating.
It is reported that Citic Securities Company Limited(600030) is the main underwriter of the IPO of Hemai shares, and spent 363 million yuan to underwrite 650000 shares of Hemai shares. In addition, it also conducted follow-up investment through its subsidiaries, with an allocation amount of 112 million yuan. Citic Securities Company Limited(600030) invested a total of 475 million yuan in Hemai shares.
In addition to Hemai shares, there is China Mobile in a similar situation.
Recently, Citic Securities Company Limited(600030) also released the Research Report "how to see China Mobile" α》。 According to the report, China Mobile is the leading global operator, with the world's largest communication network, and the number of mobile and broadband users ranks first in the world. China Mobile is a high-quality core asset with both technology and consumption attributes. With the reconstruction of growth logic in the 5g era, it has great configuration value. China Mobile A shares and Hong Kong shares were given 1.3 times and 1.0 times Pb in 2022, respectively, corresponding to the target price of 75 yuan and 70 Hong Kong dollars, maintaining the "buy" rating.
China International Capital Corporation Limited(601995) also released the Research Report "China Mobile (600941. SH) / China Mobile (0941. HK): chbn multi wheel drive, leading operators and leading the high-quality development of the industry" at the same time. The report said that for the first time, China Mobile (600941) was rated as outperforming the industry, with a target price of 81.00 yuan.
what needs special attention here is that Citic Securities Company Limited(600030) , China International Capital Corporation Limited(601995) are both CO sponsors and lead underwriters of China Mobile. Together with other underwriters, the two underwritten a total of more than 700 million yuan of new shares abandoned by China Mobile.
Research Report silent period or to be refined
Some market investors believe that there may be non-compliance with the above-mentioned acts of recommendation, underwriting, follow-up investment and publishing more research reports. Chinese journalists from securities companies also conducted multi-party understanding and interviews.
There are some relevant provisions in the code of practice for publishing securities research reports implemented by China Securities Association in June 2020.
Article 24 of the code of practice states that when issuing securities research reports, operating institutions shall establish and improve the information separation wall system in accordance with the relevant provisions of the Interim Provisions on the issuance of securities research reports and the guidelines on the information separation wall of securities companies, and follow the arrangement of silent period.
A recommendation institution or lead underwriter acting as the issuer's initial public offering of shares shall not publish a securities research report related to the issuer within 40 days from the date of determining and announcing the issue price.
The Chinese reporter of the securities firm learned that the silence period set up by Citic Securities Company Limited(600030) for this purpose is also 40 days. Citic Securities Company Limited(600030) is set from the date of the first disclosure of the issuer's guidance progress on the website of the recommendation institution or the website of the securities regulatory bureau where the issuer is registered to 40 days after pricing.
That is, there is a 40 day silent period. The pricing announcement date of Hemei was December 9 last year, and the release date of Citic Securities Company Limited(600030) Hemei bullish report was February 8, with an interval of two months.
China Mobile's pricing announcement date was December 21 last year. The Citic Securities Company Limited(600030) and China International Capital Corporation Limited(601995) reports were released on February 8 this year, with an interval of nearly 50 days.
However, the Chinese reporter of securities companies also noted that the above provisions are for the sponsor or lead underwriter of IPO. In the case that the recommendation institution has both follow-up investment and underwriting, is the silent period unified with this or otherwise stipulated?
People from several research institutes told Chinese reporters of securities companies that it is not clear at present.
Some researchers also said that underwriting includes underwriting and consignment. Therefore, for the underwritten shares, the silence period should comply with the above 40 day provisions. In case of follow-up investment, the provisions that relevant securities research reports shall not be published within 40 days from the date of determining and announcing the issuance price shall still apply.
"However, for listed companies with a shareholding ratio of more than 1% of the securities firm or its holding subsidiaries, if the securities firm publishes the Research Report of the listed company, it needs to specify in the research report that the shareholding ratio is more than 1%. However, this provision has nothing to do with the silent period." A researcher told the Chinese reporter of the securities company.
Many research institutes have also announced their own arrangements for the silent period, but the Chinese reporter of the securities firm has not found any statements related to investment or underwriting.
However, a person from a Research Institute of medium-sized securities companies told a Chinese reporter of securities companies: "the research report needs to be subject to compliance audit before being distributed. Whether the research business or researchers are in a silent period is one of the important contents of the compliance audit of the research report, and the research report without OECD compliance audit is prohibited from being distributed".
investment should not rely too much on Research Report
"The stocks underwritten by securities companies themselves should be allowed to be covered by the research report after the quiet period. There are many star projects in large investment banks. If they don't give up the research report, what else can the research institute rely on?" Some securities traders believe that.
Some interviewees told Chinese reporters of securities companies that the research report has basic normative requirements, but is not responsible for the rise and fall of stocks. There are bullish research reports and bearish research reports in the market. But ultimately, the power of the market can not be changed by a research report.
"Investors should rely too much on the information of real silver investment institutions, but they should not rely too much on the information of real gold investment institutions." The person said.
