After a month, the transaction volume of Shanghai and Shenzhen stock markets again exceeded trillion yuan today, and the northward capital also showed a net inflow trend today, and the market sentiment has warmed up.
Since the year of the tiger, the market has been affected by the external geopolitical conflict and crisis and the adjustment of the growth track before the year, and the trading sentiment has always fluctuated at a low level. Haitong Securities Company Limited(600837) said that under the previous continuous weak rebound and seesaw effect, the market trading volume failed to release, and the poor profit-making effect caused a decline under the superposition of multi-party concerns.
It said that at present, we still need to wait patiently and wait for the continued recovery of market sentiment. under the previous undervalued value and the continuous tracking of the steady growth sector, the oversold high boom growth stocks are currently cost-effective.
This has been the consensus of the organization at the beginning of the year of the tiger. Since the Spring Festival, the market trading style has indeed shown a low risk preference, and the popularity of undervalued assets remains high. the performance of funds in undervalued areas such as banking, real estate and coal is stable, which is better than that of last year’s popular tracks such as new energy, medicine and military industry. The above sectors are all located in the range of undervalued historical quantiles.
since the year of the tiger, which undervalued stocks have been “favored” by funds?
Before the festival, the wind of trading structure has begun to blow to the undervalued value.
Dongxing Securities Corporation Limited(601198) said that in terms of incremental funds, the median rate of return of equity funds decreased to 6.7% in 2021. We can’t “lie flat” to buy funds, and the growth rate of issued shares of public funds began to decline. The excess return rate of the fund is generally one quarter ahead of the issuance. Therefore, the pressure of the issuance decline in the first quarter of 2022 is obvious, and the incremental chip space is rapidly compressed. Institutions began to focus on the consensus of undervaluation. In terms of stock funds, public funds are also switching between high and low valuations, adding positions and laying out undervalued sectors.
since the year of the tiger, northbound funds have also increased their positions in undervalued assets. In the first week, they increased their holdings of China Merchants Bank Co.Ltd(600036) , Ping An Insurance (Group) Company Of China Ltd(601318) , China Tourism Group Duty Free Corporation Limited(601888) , Zijin Mining Group Company Limited(601899) , China Yangtze Power Co.Ltd(600900) , Industrial Bank Co.Ltd(601166) and so on.
The financial Associated Press sorted out that the price earnings ratio PE (TTM) was within 20, and the year of the tiger received the main capital and northward capital. At the same time, it increased its holdings of individual stocks of more than 100 million yuan.
Bank Of Communications Co.Ltd(601328) , Bank Of China Limited(601988) , Agricultural Bank Of China Limited(601288) ranked first with absolute undervaluation. The banking sector has declined recently, but the overall performance has increased since 2022, Huaan Securities Co.Ltd(600909) Liu Chao suggested that under the background of global liquidity contraction, the selection of individual stocks is still the main means to combat risks, and the allocation value of the banking sector is still prominent. For investors whose layout is undervalued, the policy plus microenterprises + personal loans + wealth management + asset quality is still the dimension of gold stock selection.
other stocks favored by funds are also no more than the “steady growth” main line industries recommended by the institution : non-ferrous metals, building materials, building decoration, public utilities, real estate, coal, steel, transportation, textile and clothing and environmental protection. Shenwan Hongyuan Group Co.Ltd(000166) it is suggested that in the first half of 2022, we should build a stock portfolio with undervalued value, high dividend and stable growth according to the above main line.
In addition, the above stocks show the characteristics of blue chips. Zhongtai Securities Co.Ltd(600918) believes that undervalued blue chips will also lead the market for a period of time. The current economic data in the first quarter exceeded expectations + the potential benefits of the comprehensive registration system, and the financial sector, steady growth and the end of the three-year pilot reform of state-owned enterprises are all focused on undervalued blue chips. Large and small votes may “attack and defend different positions” again.
For the popular growth track in the early stage, Soochow Securities Co.Ltd(601555) global strategy chief Chen Li said last week that growth stocks, including new energy, technology and digital economy, have expanded rapidly in the past two years and overdrawn some growth expectations, but they will also bring excess returns in the long run. It said that for the above popular tracks, we should also wait for the opportunity to underestimate the value. At present, the valuation of growth stocks has not fallen to a reasonable point. If electric vehicles are valued at 30x, CXO at 40x and digital economy at 40x, configuration can be considered.
