Today (May 23), the Shanghai and Shenzhen stock markets bottomed out and rebounded all day, and the trend of the Shanghai index was strong. The three major stock indexes opened high and went low in the morning, and then the main board fluctuated near the flat line, while the decline of the gem index was also significantly narrower than that in the morning.
In this regard, China Galaxy Securities Co.Ltd(601881) Securities pointed out that the current valuation of A-Shares is at the bottom of history, which will limit the space for a sharp decline in the market. The A-share market is still at the bottom of the valuation. With the force of policies, the A-share market will continue to be resilient and the valuation will be repaired upward.
At the same time, Central China Securities Co.Ltd(601375) also said that the worst moment of China’s economy has passed, and all parties are accelerating the introduction of incremental policies to promote economic recovery. Although there is uncertainty in the overseas market, the valuation advantage of the Chinese market is obvious, and the market is expected to continue to improve. It is suggested to pay attention to investment opportunities in policy driven areas, such as steady growth, price rise, consumption, science and technology, etc.
sector:
I. poxvirus prevention
Guotai Junan Securities Co.Ltd(601211) mentioned that monkeypox virus and smallpox virus belong to the genus orthopox virus, but the symptoms are lighter than smallpox and the interpersonal transmission is weak (R0 is expected to be between 0.6 ~ 1 or lower). Historically, monkeypox outbreaks mainly occurred in Africa. In the past, individual cases in Europe and the United States had a history of living in Africa or were infected by animals from Africa. The monkeypox epidemic involving more than 100 people in Europe and the United States is different in that except for early cases, there is no history of living in Africa, suggesting that interpersonal transmission may occur locally or in other countries. Preliminary data from Europe show that most cases are MSM At this stage, no adverse changes have been found in the virus itself, and the impact needs to be further observed.
Monkeypox is a self limiting disease. It is not infectious within the incubation period of 5-21 days, and the symptom period generally lasts for 2-3 weeks. At present, there is no specific treatment for monkeypox, but vaccines and drugs for smallpox may still be effective for monkeypox. The CDC of the United States recommends smallpox vaccine for post exposure prevention of monkeypox. At the same time, it is expected to effectively control the epidemic by combining the existing drugs such as cidofovir, brincidofovir, tercovir and vaccinia immunoglobulin.
Citic Securities Company Limited(600030) pointed out that recently, monkeypox cases have been confirmed in many countries in Europe, America and Australia, and a total of more than 100 cases have been confirmed. The epidemic is a rare monkeypox epidemic outside Africa, which has been warned by the who or has been spread in the community. The United States and Spain have purchased hundreds of millions of dollars worth of monkeypox vaccine as emergency reserves. At present, there is no specific drug for the treatment of monkeypox, and the only monkeypox vaccine approved by FDA is on the market. It is suggested to pay attention to Shanghai Zj Bio-Tech Co.Ltd(688317) (the company’s products include monkeypox virus nucleic acid assay kit) and Changchun Bcht Biotechnology Co(688276) (varicella vaccine is the main contributor to the company’s revenue at this stage. Varicella zoster virus belongs to herpesvirus family, monkeypox belongs to DNA virus of orthopoxviridae family, and the company’s varicella vaccine cannot prevent monkeypox; Changchun Bcht Biotechnology Co(688276) has four technical platforms, including DNA vaccine technology platform).
In addition, Dongguan Securities believes that many countries have found monkeypox cases, and there may be theme investment opportunities for short-term related testing reagent companies. In the medium and long term, we still need to return to fundamentals. It is suggested to pay attention to the high-quality stocks in the segments with good performance and sufficient growth potential or the high-quality leaders whose performance is expected to usher in an inflection point.
II. Complete vehicle
Huafu Securities said that the auto sector market is finally based on demand repair, and we are strategically optimistic. When the relative returns of the automobile sector are obvious, they are in the stage of “upward demand cycle, active inventory increase or passive inventory removal, making the profit cycle upward”. In the short term, after the policy expectation is implemented, the demand is expected to recover gradually; In the medium and long term, under the reform trend of electrification and intelligence, the rise trend of domestic vehicle manufacturers and parts manufacturers is obvious. We continue to be optimistic strategically and resolutely allocate on bargain hunting.
Dongguan Securities pointed out that with the gradual easing of the epidemic, Shanghai’s automobile industry has fully resumed work, driving the automobile industry chain to accelerate the resumption of work and production. It is expected to resume normal production in late May. Many ministries and commissions vigorously promote automobile consumption, and a new round of automobile to the countryside policy is expected to be introduced in the near future. Since May, Guangdong, Shenyang and other places have successively introduced policies and measures to promote automobile consumption, such as car purchase subsidies. As one of the key supporting industries for the country to achieve the expected goal of stable growth, the automobile industry will be supplemented by production and sales after the epidemic is alleviated, ushering in restorative growth.
In the early stage, the sector experienced a sharp correction after the impact of the epidemic, the market fully released pessimistic expectations, superimposed marginal improvement expectations, the valuation is expected to usher in repair and the configuration value is expected to reappear. It’s suggested to focus attention on: under the opportunity of industrial change, and the opportunity of industrial change, self owned vehicle brands with rising competitiveness under the opportunity of industrial change. Self owned vehicle brands: Hongda Xingye Co.Ltd(002002) Byd Company Limited(002594) , Foryou Corporation(002906) .
In addition, Orient Securities Company Limited(600958) mentioned that from the perspective of investment strategy, it is expected that after the epidemic is controlled, the industry demand will gradually improve, and the demand for medium and high-end passenger vehicles is expected to be relatively less affected, which is expected to recover before the demand for medium and low-end vehicles; With the decline of costs, the depreciation of RMB and the decline of shipping prices, we continue to be optimistic about Tesla industrial chain and export industrial chain parts companies, and some vehicle companies that underestimate the value. Suggestions and concerns include the following: the ‘ Jiangsu Xinquan Automotive Trim Co.Ltd(603179) \ , Saic Motor Corporation Limited(600104) etc.
one drawing summary:
