Market review:
From January 10, 2022 to the closing on January 14, 2022, the non bank financial sector fell by 3.11%, the CSI 300 index fell by 2.42%, and the non bank financial sector underperformed the CSI 300 index by 0.69pct. From the perspective of sector ranking, compared with other sectors, it ranks 20th among the 28 sectors of Shenwan. From the perspective of Pb valuation, the non bank financial industry decreased to 1.46 times.
The weekly increases and decreases of sub sectors were Securities – 3.00%, insurance – 3.69% and diversified finance 0.00%.
The top five stock price increases were Central China Securities Co.Ltd(601375) , Guosheng Financial Holding Inc(002670) , Chinalin Securities Co.Ltd(002945) , Shenwan Hongyuan Group Co.Ltd(000166) , Northeast Securities Co.Ltd(000686) .
The last five stock price declines were Guolian Securities Co.Ltd(601456) , Gf Securities Co.Ltd(000776) , Xiangcai Co.Ltd(600095) , Harbin Hatou Investment Co.Ltd(600864) , Guangzhou Yuexiu Financial Holdings Group Co.Ltd(000987) .
Talk every Monday:
28 billion into the largest allotment financing in the history of securities companies
On January 13, Citic Securities Company Limited(600030) announced the issuance announcement of share allotment. The total amount of funds raised by share allotment did not exceed 28 billion yuan, which was the largest share allotment financing in the history of the securities industry. Among them, the amount of funds raised by A-share allotment shall not exceed RMB 23.065 billion, and the total amount of funds raised by H-share shall not exceed RMB 4.935 billion. The price of A-Shares is 14.43 yuan / share and that of H shares is 17.67 Hong Kong dollars / share; Ah shares are allotted 1.5 shares for every 10 shares.
From the perspective of fund-raising purposes, capital intermediary business accounts for the vast majority. Citic Securities Company Limited(600030) the net funds raised from the allotment are intended to be used to develop capital intermediary business (no more than 19 billion yuan), increase investment in subsidiaries (no more than 5 billion yuan), strengthen information system construction (no more than 3 billion yuan) and supplement other working capital.
Citic Securities Company Limited(600030) has established a strong competitive advantage in capital intermediary business. The company’s capital intermediary business scale is in a leading position in the industry, and innovative capital intermediary businesses such as income swap and equity derivatives have become an important business growth point of the company.
Capital intermediary business is a capital consuming business, and its business scale and profitability depend on relatively stable long-term capital supply. Citic Securities Company Limited(600030) it is planned to increase the investment in capital intermediary business through the share allotment to better meet the requirements of various risk control indicators and ensure the reasonable growth of the scale of capital intermediary business.
Stock allotment is an important basic force for securities companies to become bigger and stronger. Under the background of the capital market reform rapidly promoted by the registration system, it is increasingly common for securities companies to take the way of allotment as a means of fund-raising. Since 2021, a total of 7 securities companies have announced their share allotment plans. Among them, Soochow Securities Co.Ltd(601555) , Hongta Securities Co.Ltd(601236) and Huaan Securities Co.Ltd(600909) have completed the allotment, raising a total of 20.006 billion yuan.
Citic Securities Company Limited(600030) the net profit in 2021 hit a record high
On January 12, 2022, Citic Securities Company Limited(600030) announced the first 2021 annual performance express of listed securities companies. Among them, in 2021, the operating revenue was 76.57 billion yuan, a year-on-year increase of 40.80%, and the net profit attributable to the shareholders of the parent company was 22.979 billion yuan, a year-on-year increase of 54.2%, a record high.
The revenue and net profit attributable to the parent company of Citic Securities Company Limited(600030) have increased steadily in recent years, and the growth rate of net profit in 2021 is more than 50%.
In 2021, its investment banking, asset management and other businesses increased. Among them, the amount and number of Citic Securities Company Limited(600030) A-share IPOs in 2021 were 84.956 billion yuan and 68 respectively, ranking first in the industry. In the first half of last year, the company’s asset management business generated a revenue of 6.36 billion yuan, a year-on-year increase of 55.88%.
Investment strategy and key recommendations: we believe that the securities sector will show a shock upward trend. Citic Securities Company Limited(600030) performance increased, and the allotment helped the development of heavy asset business. With the expectation of comprehensive registration system, the business volume and efficiency are expected to be improved in 2022. We recommend investors to pay attention to the wealth management transformation targets such as China stock market news and Orient Securities Company Limited(600958) and the head coupon trademarks such as Citic Securities Company Limited(600030) and Gf Securities Co.Ltd(000776) .
Risk warning: the risk of strengthening capital market supervision; The risk of intensified market competition; The epidemic control was less than expected.
