For the overvalued sector, the market adjustment in 2022 is earlier than that in 2021. In the first week of the new year, the high valuation sectors such as new energy, which have been in the limelight in the past few years, were hit hard, and the previously falling undervalued sectors such as real estate and household appliances showed eye-catching performance. In the view of insiders, the adjustment of short-term rise is due. Under the background of steady growth, undervalued real estate infrastructure and other sectors are expected to usher in opportunities. With the switching of high and low values, the market will usher in rebalancing.
From the market performance in the past week, among the 31 Shenwan industries, 13 industries rose, of which real estate, home appliances, architectural decoration, petroleum and petrochemical and banking led, of which the real estate and home appliance industries rose by more than 4%. On the decline list, electrical equipment, national defense and military industry, public utilities, beauty care, non-ferrous metals, electronics and other industries fell more, of which the electrical equipment industry fell as much as 8.31% and the military industry fell as much as 7.47%. From the performance of leading stocks, Contemporary Amperex Technology Co.Limited(300750) has performed poorly recently, with an adjustment range of more than 20% in the past month, and the adjustment range of Eve Energy Co.Ltd(300014) is as high as about 30%.
“Last year, it began to fall after the long Spring Festival holiday. Unexpectedly, the people who sold this year began to run.” A private equity fund manager in Shanghai said with a wry smile. The military stocks that made him a lot of profits last year were “hammered” after the beginning of the year. Fortunately, he focuses on long-term opportunities, but short-term market fluctuations will inevitably affect his mood. In his opinion, after the market adjustment, the next trend will be healthier.
In contrast to the adjustment of the new energy sector, the performance of real estate, household appliances and other sectors was eye-catching. The rising logic of these undervalued sectors is simple, mainly cheap. When the market has fully reflected the pessimistic expectations of the industry, investors who want to sell have basically sold. “When the short side has basically no chips, even if there is a small positive, it will become a force to push the stock price upward.” A private equity fund manager in South China analyzed.
For the next market trend, Liu Xiaolong, founder of juming investment, said that the current valuation of the A-share market is reasonable and expensive. Next, it mainly focuses on high-profile industries such as military industry and electric vehicles, as well as midstream traditional industries such as home appliances, building materials, machinery and infrastructure that underwent adjustment last year.
(source: Shanghai Securities News)
