There is a situation that has never happened this week. I don’t know if you have noticed it? That is, when the stock index fell sharply, the listed companies actually took the initiative to disclose the monthly report. This is considered by the market as the result of window guidance. The management does not want to see the continuous decline of the market. It is to tell investors in another way that there are not one or two stocks with value investment in a shares, but many.
Therefore, we can see that after Kweichow Moutai Co.Ltd(600519) on Monday, Yonghui Superstores Co.Ltd(601933) and Semiconductor Manufacturing International Corporation(688981) on Tuesday, the cumulative number of listed companies that intensively disclose the first monthly operating data in history exceeds 20. The author notes that these companies that take the lead in disclosing the monthly report belong to the performance growth stocks determined by the fundamentals, such as Shanxi Xinghuacun Fen Wine Factory Co.Ltd(600809) , Tongwei Co.Ltd(600438) , Zhangzhou Pientzehuang Pharmaceutical Co.Ltd(600436) , Wuxi Apptec Co.Ltd(603259) , Guangzhou Tinci Materials Technology Co.Ltd(002709) , National Silicon Industry Group Co.Ltd(688126) and Jiangsu King’S Luck Brewery Joint-Stock Co.Ltd(603369) . This is a clear signal to protect the market, indicating that the management will not allow the irrational continuous decline of a shares. After all, the sharp decline in the peripheral market is quite different from the market environment of a shares. The valuation level of A-Shares is not high, and the performance of many enterprises is really good, so it is unreasonable to smash the market emotionally.
According to the agency report: from the perspective of valuation, all A-Shares have a high cost performance after undergoing significant adjustment this week, whether from the static valuation level or the risk premium level calculated by 10-year Treasury bonds. From the perspective of Cape, as of March 8, China had the cheapest value stocks in the world. Investors only need to eliminate the bias formed in the downward price cycle and will find “gold everywhere”.
In fact, previous brokerage reports have shown that A-Shares do not have the basis to fall sharply to the previous low. The unexpected decline this week is entirely caused by geographical tensions and is not sustainable and long-term. Meanwhile, as the economy is expected to pick up in the second half of the year, the profit data of listed companies are gradually improving.
With performance support, how can the stock price fall disorderly! This can not help but remind me of the article published in financial investment news on February 12. At that time, some people thought that Contemporary Amperex Technology Co.Limited(300750) although the recent decline was large, its performance was excellent, and it was just around the corner to return to a high level and reach a new high. The author holds different views and gives examples of two Cosco Shipping Holdings Co.Ltd(601919) and Zhejiang Orient Gene Biotech Co.Ltd(688298) , whose fundamental performance is better than “ningwang”. The two companies are excellent in terms of gross operating income, net profit, gross profit margin, earnings per share, dynamic P / E ratio, P / B ratio, total market value scale and other indicators, but the share price is far less than “ningwang”. At that time, Zhejiang Orient Gene Biotech Co.Ltd(688298) share price was 199 yuan, and its highest price rose to 328.98 yuan on Friday, an increase of more than 50% Cosco Shipping Holdings Co.Ltd(601919) was not so lucky. At that time, the stock price was 17.07 yuan and the closing price on Friday was 16.94 yuan. Obviously, Cosco Shipping Holdings Co.Ltd(601919) performance is still disappointing.
On Thursday, Cosco Shipping Holdings Co.Ltd(601919) released the performance express. In 2021, the company achieved an operating revenue of 333694 billion yuan, a year-on-year increase of 94.85%; The net profit attributable to shareholders of listed companies was 89.296 billion yuan, a year-on-year increase of 799.52%; The basic earnings per share is 5.59 yuan, and its price earnings ratio is only 2.8 times.
Cosco Shipping Holdings Co.Ltd(601919) since its listing, it has had both highs and lows. Its predecessor is COSCO, which is mainly engaged in dry bulk cargo. Dry bulk goods are cyclical goods that are vulnerable to fluctuations in the world economy, such as iron ore and coal mines. Dry bulk cargo business has the characteristics of low entry threshold, hot second-hand ship market and fierce competition, which is prone to the problem of excess capacity. As for the right to speak, the buyers in the dry bulk cargo transportation market are large dry bulk cargo owners such as coal and iron ore. even shipping companies such as COSCO, which has the largest dry bulk cargo transportation capacity in the world, do not have the right to price. Cosco Shipping Holdings Co.Ltd(601919) did not embark on a smooth path of development until the dry bulk cargo business left a few years ago.
Now Cosco Shipping Holdings Co.Ltd(601919) is mainly engaged in container and wharf business. The characteristic of container business is that the buyers are very scattered, mostly local shippers, while the seller is a container liner company that controls most of the transportation capacity, and the industrial voice is concentrated on the seller; On the other hand, container transportation has a very high entry threshold, which requires the layout of routes and the signing of berthing contracts with ports. The advantages of head enterprises are difficult to be replaced. Even when it is difficult to find a box during the epidemic, some well-known logistics companies charter their own transportation, which can not pose a threat to Cosco Shipping Holdings Co.Ltd(601919) ; Moreover, the container business is diverse and has the attribute of natural ironing cycle. As for the wharf business, as long as international trade exists, it is only a matter of making more and less. Therefore, Cosco Shipping Holdings Co.Ltd(601919) from its listing in 2007 to 2020, the accumulated net profit attributable to the parent company is 20.686 billion yuan. According to Thursday’s performance express, Cosco Shipping Holdings Co.Ltd(601919) last year alone was 3.3 times more than the sum of profits in the past 14 years.
At present, three major alliances have been formed in the world’s centralized transportation market: 2m Alliance (composed of Maersk and Mediterranean Shipping); Ocean Alliance (composed of Cosco Shipping Holdings Co.Ltd(601919) , France Dafei, EVA shipping and OOCL); The Alliance (composed of Herbert, Ocean network shipping, HMM and Yangming shipping). As the business scale of Cosco Shipping Holdings Co.Ltd(601919) is in the third or fourth place, it has greatly improved its voice. These nine container transportation companies have controlled 80% of the global container transportation market, accounting for 95% of the market of East-West routes and cross The Pacific Securities Co.Ltd(601099) routes. China has the final say that the price of Cosco Shipping Holdings Co.Ltd(601919) will be almost as low as that of the Chinese ocean. From this point of view, it has monopoly profits. Of course, Cosco Shipping Holdings Co.Ltd(601919) is not approved of this statement, because they still have competitors in the world. The fact is that it is really difficult for shipping prices to return to the level before the epidemic.
The author believes that the most valuable and weighty sentence in Thursday’s performance express is: since 2022, the main ports in Europe and the United States have been congested continuously, and the freight rates of main routes have been stable. The company has actively taken effective measures to fully ensure global transportation services. The export flights of East-West trunk lines have remained full load, the production and operation are normal, and the financial situation is good. This objective description is a call to the market, with a huge amount of information, which is worth pondering by value investors. Although Cosco Shipping Holdings Co.Ltd(601919) did not publish the monthly report like the above-mentioned enterprises, if calculated at full load, the company can still absorb about 250 million gold every day, and the performance of this year is still worth looking forward to.
