In early trading today, the opening of A-Shares was under pressure, the Shanghai Stock Index fluctuated slightly, the gem index callback, Contemporary Amperex Technology Co.Limited(300750) , Shenzhen Mindray Bio-Medical Electronics Co.Ltd(300760) , Aier Eye Hospital Group Co.Ltd(300015) all fell.
On the disk, coal, chemical fertilizers and pesticides, agriculture, oil and gas sectors strengthened, and the real estate sector bottomed out and rebounded; Adjustment of semiconductor, cro and vaccine sectors. In addition, with the disclosure of performance forecasts, the market of the first quarterly report is getting better and better, and the stocks with high performance growth are sought after by funds.
As of midday closing, the Shanghai composite index reported 319930 points, up 0.12%; The Shenzhen Component Index fell 0.17% and the gem index fell 1.03%. In terms of capital, the half day net inflow of funds from the north is 186 million yuan.
agricultural sector continues to be strong
This morning, agricultural stocks continued to rise sharply, and chemical fertilizer, pesticide, aquaculture and other sectors strengthened one after another. As of midday closing, Joyvio Food Co.Ltd(300268) , Yuehai feed, Shenzhen Kingsino Technology Co.Ltd(002548) , Xinjiang Guannong Fruit & Antler Co.Ltd(600251) , etc. rose by the limit.
Ranking of early gains in agriculture, forestry, animal husbandry and fishery
In terms of news, the Ministry of agriculture and rural areas and the National Rural Revitalization Bureau jointly issued the guidelines for social capital investment in agriculture and rural areas (2022). The guidelines propose to encourage social capital to invest in key industries and fields such as modern planting and breeding industry, modern seed industry, rural people enriching industry, Shenzhen Agricultural Products Group Co.Ltd(000061) processing and circulation industry, new rural service industry, agricultural and rural green development, agricultural science and technology innovation, agricultural and rural talent training, agricultural and rural infrastructure construction, digital village and Jiangsu Nonghua Intelligent Agriculture Technology Co.Ltd(000816) construction, agricultural entrepreneurship and innovation, rural human settlement environment renovation, and agricultural foreign cooperation.
Guotai Junan Securities Co.Ltd(601211) said that the Shenzhen Agricultural Products Group Co.Ltd(000061) price index hit a record high and the subsequent probability fluctuated at a high level. Observe the price drive of Shenzhen Agricultural Products Group Co.Ltd(000061) and there is a good correlation between its price index and oil price.
China International Capital Corporation Limited(601995) believes that the cost factor plays a stronger role in promoting grain prices than the basic price support in this price rise. Therefore, looking ahead, if the rise of crude oil price is blocked, the room for Shenzhen Agricultural Products Group Co.Ltd(000061) price rise may be limited. In the context of global low inventory and supply recovery less than expected, the focus of Shenzhen Agricultural Products Group Co.Ltd(000061) price may rise significantly for a period of time.
resource sector rebound
coal and oil led the rise
In early trading today, resource sectors such as coal, oil and gas led the market. As of midday closing, Shanghai Datun Energy Resources Co.Ltd(600508) harvest sanlianban, Shanxi Blue Flame Holding Company Limited(000968) and Renzhi shares rose by the limit.
Gf Securities Co.Ltd(000776) said that since this year, the fundamentals of Chinese coal enterprises have exceeded expectations, and the increase of international coal prices is more obvious. The supply increment outside China is limited, and the downstream demand is resilient. Leading coal enterprises with flexible profits have obvious advantages of high dividend. The policy of power coal long-term association was implemented, and the enterprise profit was established at the “medium and high” level. The rise in share price mainly comes from the increase in profit, and the valuation is still low. Coal prices are expected to remain high, profits show high elasticity, and continue to be optimistic about the improvement of sector valuation.
Guosheng Securities said that at present, the disclosure period of the annual report and the first quarterly report has come. Under the high coal price, the performance of relevant companies has increased significantly. Under the background of the annual decline of capital expenditure in the industry, the dividend proportion is expected to increase, and the sector is expected to usher in a “double-click”. China will still be based on the basic national conditions dominated by coal, and traditional energy will not withdraw too soon. Under the background of limited room for tapping the potential of new production capacity and stock, the central rise of coal price will contribute to the stable release of performance and valuation repair of coal enterprises. Stick to core assets and be optimistic about the valuation and repair of high long-term association and high score red coal enterprises.
first quarterly report is getting better
Yesterday, Zhejiang Jindun Fans Co.Ltd(300411) released a performance forecast. It is estimated that the net profit in the first quarter of 2022 will be 28 million yuan to 32 million yuan, with a year-on-year increase of 1213.5% to 1401.1%. As of the afternoon of April 19, Zhejiang Jindun Fans Co.Ltd(300411) rose 19.14%.
Joyvio Food Co.Ltd(300268) , with outstanding performance, also drove the stock price up. On April 18, Joyvio Food Co.Ltd(300268) disclosed the first quarterly report of 2022. During the reporting period, the company achieved an operating revenue of 1.223 billion yuan, a year-on-year increase of 6.16%; The net profit attributable to the parent company was 110 million yuan, with a year-on-year increase of 170.48%, turning losses into profits. As of the afternoon of April 19, Joyvio Food Co.Ltd(300268) rose by 20% with strong limit.
Everbright Securities Company Limited(601788) strategy team believes that the first quarterly report may become a watershed in the market. The market may have a relatively positive performance in April. On the one hand, quarterly results are still the supporting factor of the market, on the other hand, policies and other factors will also promote the repair of risk appetite.
Wall Street legend Peter Lynch summed up 13 stock selection criteria, one of which is “insiders are buying their own company’s shares”. “There is no secret message that can show the possibility of a successful investment in a stock better than that the insiders of a company are buying their own shares,” he said
In the long run, A-Shares also apply this standard. According to the reporter’s statistics, since this year, 15 state-owned enterprise shares have been intensively increased by senior executives.
Previously, there were many companies with increased holdings by actual controllers, whose share price performance was not satisfactory, and even there was a strange circle of increasing holdings and falling. For this phenomenon, professionals believe that the reasons for the increase of major shareholders are very complex, such as the “protection” demands of stakeholders such as equity pledge and pledged loans, rather than optimistic about the future development of the company.
On the contrary, professional managers buy their own stocks out of their own pocket, hoping to make use of the information advantage of “insiders” to earn excess returns that exceed market expectations. Unless there is a deep and complex relationship, or some kind of “coercion”, they must think that the company’s value is seriously underestimated by the market and increase their holdings.
state owned enterprise executives holding more reference value
Since the beginning of this year, the Shanghai and Shenzhen stock markets have seen a continuous downward trend, with individual stocks falling sharply, and thousands of stocks have halved since last year’s high. Data show that during the year, nearly 1100 companies disclosed the progress of reducing their holdings, with a reduction amount of more than 130 billion yuan; At the same time, only more than 300 companies disclosed the progress of increasing their holdings, with an increase of less than 28 billion yuan.
In the torrent of shareholding reduction of many listed companies, the executives of these listed companies took out real gold and silver to increase their holdings against the trend based on their confidence in the future development prospects of the company and their reasonable judgment of the value of the company.
interviewed experts believe that generally speaking, the main income of senior executives of state-owned enterprises comes from wages and do not care much about the performance of stock prices.
If they suddenly increase their holdings of their own company’s shares, it is likely to imply the company’s future benefits, such as substantial growth in performance, significant progress in new business or M & A, so they have more reference value for investment
historically, there are not a few cases in which the stock price rose sharply under the stimulus of subsequent favorable conditions after the executives of state-owned enterprises increased their holdings significantly
Sinochem International Corporation(600500) disclosed the first quarterly report of 2021 and the annual report of 2020 on April 30, 2021. Liu Hongsheng, the general manager, and Qin Jinke, the chief financial officer, spent 1.1 million yuan on the secondary market and increased their holdings of 190000 shares. Subsequently, five executives, including the deputy general manager and the Secretary of the board of directors, continued to increase their holdings. As of May 17, all executives bought up to 3.8634 million yuan in half a month.
Just after the increase of senior executives’ holdings, the company’s share price rose all the way, doubled in just five months, and senior executives made a lot of money.
After combing the relevant events after Sinochem International Corporation(600500) was increased by senior executives, the reporter found that after the brief difficulties of the epidemic in 2020, the company ushered in restructuring and substantial growth in performance. Executives clearly know this. The following two things fully reflect the “superiority” of information as a senior executive.
One is a series of major asset restructuring events of the company and its controlling shareholders. On May 8 last year, Sinochem Group, the parent company of Sinochem International Corporation(600500) . After the reorganization, Sinochem has become the largest chemical enterprise in the world. As of the announcement date of July 15 last year, the company’s major asset restructuring has been implemented. Previously, the company purchased 39.88% equity of Yangnong group held by Syngenta group by paying 7.597 billion yuan in cash, and Yangnong group sold Jiangsu Yangnong Chemical Co.Ltd(600486) 3617% shares directly held by it to Syngenta group for 10.222 billion yuan.
Another is about performance. At the performance presentation meeting held on May 18 last year, general manager Liu Hongsheng said, “the restructured Sinochem has been given the mission of building a world-class chemical enterprise, and the goal of Sinochem International Corporation(600500) should be revised accordingly, so as to build a world-class material platform on the basis of building a science and technology driven innovative fine chemical enterprise strategy.”
Chief financial officer Qin Jinke revealed the latest situation of ” Jiangsu Lianyungang Port Co.Ltd(601008) circular economy industrial park under construction”, and pointed out that “in 2020, affected by the epidemic, the company’s profit decreased by 35%, but with the improvement of performance since the third quarter, the company’s revenue scale is still growing, and the increase of market share of the chemical industry has also made up for the decline in the price of some products.”
Subsequently, the company achieved significant growth in the first half of 2021, the first three quarters and the whole year. The main reason is that the company seized the opportunity of the industry boom cycle and achieved a significant increase in profitability through diversified operation measures.
Another example is Poly Developments And Holdings Group Co.Ltd(600048) the announcement on January 29 this year disclosed that Liu Ping, the newly appointed chairman of the board of directors, led the senior management team in August last year and completed the shareholding increase plan of 8.5 million yuan against the trend. In 2021, the senior management of real estate enterprises disclosed the selling and reduction of holdings, which is rare in the industry. Based on the purchase cost of about 12 yuan / share, the current floating profit is more than 60%.
15 companies obtained centralized shareholding increase of senior executives
Since this year, 15 shares of state-owned enterprises have been intensively increased by senior executives.
In terms of the increase amount, Xu Chundong, the Jiangsu Zhongsheng Gaoke Environmental Co.Ltd(002778) director, increased the number of shares of the company by 1.7 million shares from January 25 to March 22 this year at a cost of about 30 million yuan, ranking first in the increase amount. The Changchun High And New Technology Industries (Group) Inc(000661) continuous decline in the limit, known as “northeast yaomao”, ushered in an increase in the holdings of 10 executives, including the chairman, with a cumulative increase of 163033 million yuan, ranking second, with an average cost of about 184 yuan.
In terms of the number of executives who increased their holdings, the number of executives who increased their holdings of Changchun High And New Technology Industries (Group) Inc(000661) , China Building Material Test & Certification Group Co.Ltd(603060) , Shenghe Resources Holding Co.Ltd(600392) and Shenghe Resources Holding Co.Ltd(600392) were 10, 8 and 6 respectively, ranking in the top three.
China Building Material Test & Certification Group Co.Ltd(603060) based on the confidence in the company’s sustainable and stable development in the future and the recognition of the company’s value, the eight directors, supervisors and senior executives headed by the chairman of the board of directors have continuously increased their holdings by 1.1594 million yuan this year, with a purchase cost of about 16.26 yuan per share. At present, the price has fallen to less than 14 yuan, and there has been a floating loss of 15%.
The company is the leader in the testing of building materials of China Construction Engineering Group. Its revenue increased rapidly in 2021 and its performance in the fourth quarter reached a record high Citic Securities Company Limited(600030) believes that in the future, with the continuous promotion of the company’s “cross regional and cross field” strategy, the endogenous extension will continue to promote the growth of the company, the implementation of equity incentive will improve the enthusiasm and move forward to the leader of comprehensive inspection and testing.
Another example is Shenghe Resources Holding Co.Ltd(600392) in mid March, six executives including the chairman of the board of directors bought shares of the company one after another, with a total cost of 1.69 million yuan, and the average purchase cost is about 16.7 yuan / share, which is flat at present.
The actual controller of the company is the Ministry of finance, which is a world-class R & D and production enterprise of rare earth and related products. The performance forecast of the first quarter report in 2022 shows that affected by the rapid development of downstream industries such as new energy vehicles, wind power, energy conservation and environmental protection, the overall market demand for major rare earth products is improving, and the increase of product prices is greatly affected. The operating performance of the company has increased significantly compared with the same period last year. The company’s performance in 2021 also increased significantly.
