Follow up comments
On January 13, 2022, the Shanghai Composite Index closed at 3555.26 points, down 1.17%; The Shenzhen Component Index closed at 14138.34 points, down 1.96%. The Chongqing composite index, which we focus on, closed at 3774.94 points, down 1.47%; Sichuan composite index closed at 9293.48 points, down 3.16%. The top three stocks of Listed Companies in Sichuan and Chongqing are: Skyworth Digital Co.Ltd(000810) (000810, 10.04%), Sichuan Jinshi Technology Co.Ltd(002951) (002951, 10.02%), Sichuan Hebang Biotechnology Co.Ltd(603077) (603077, 7.14%). The 42 companies we focused on fell by an average of 1.92%, of which the top three stocks were: Sichuan Tianyi Comheart Telecom Co.Ltd(300504) (300504, 4.71%), Xinhua Winshare Publishing And Media Co.Ltd(601811) (601811, 3.17%), Sichuan Languang Development Co.Ltd(600466) (600466, 2.79%). By industry, the top three sectors in Sichuan and Chongqing are light industry manufacturing (+ 2.63%), household appliances (+ 1.10%) and transportation (+ 0.14%). According to the data of the National Bureau of statistics, in December 2021, the consumer price (CPI) of Sichuan residents increased by 1.0% year-on-year, 1.0 percentage points lower than that of the previous month. Among them, the urban rose by 1.2% and the rural rose by 0.8%; Food prices fell by 3.9% and non food prices rose by 2.3%; Consumer goods prices rose 0.6% and service prices rose 1.7%. Specifically, it is mainly due to the decline in the prices of fresh vegetables and pork. With the recovery of vegetable supply and the end of pork curing in winter, the prices of fresh vegetables and pork decreased by 10.3% and 2.0% month on month in December. In addition, the prices of clothing, daily necessities and services, education, culture and entertainment, and medical care increased slightly month on month. The rise in terminal prices will help relevant enterprises alleviate the pressure of rising costs and expand profit space. The overall decline of CPI will help end consumer repair. The Spring Festival Spring consumption season will promote the consumption of Sichuan and Chongqing areas to remain active. Baijiu, dairy products, condiments and other consumer companies have strong certainty in the first quarter.
Industry dynamics
Chongqing Municipal Commission of health and Health announced the “14th five year plan” for health and health development in Chongqing, proposing that by 2025, 100 tertiary hospitals will be built in the city, and all municipal hospitals will be built into tertiary first-class hospitals, focusing on supporting the establishment of tertiary hospitals in districts and counties lacking high-quality medical resources such as Dadukou, Tongnan, Chengkou, Youyang and Xiushan, About 10 class III class A hospitals were added. (China News Network)
Company dynamics
Chengdu Guibao Science & Technology Co.Ltd(300019) (603077): the annual performance forecast for 2021 is issued. It is estimated that the net profit attributable to the shareholders of the listed company will be RMB 252-292 million in 2021, with a year-on-year increase of 25% – 45%.
Bingyang Technology (836675): issued the 2022 equity incentive plan (Draft). The number of restricted shares to be granted to incentive objects is 1.7 million, accounting for 0.99% of the total share capital of the company. Among them, the number of shares granted for the first time was 1458000, accounting for 0.85% of the total share capital of the company; The reserved number is 242000 shares, accounting for 0.14% of the total share capital of the company.
Risk tips: economic recovery is lower than expected, covid-19 outbreak risk, raw material price fluctuation risk.
