A-shares Volatile; Fin., Auto Stocks Up.

Ten listed companies have seen a nearly 10% drop in the number of shareholders over the past month.

Shenzhen Huaqiang: Risk of Overheated Market Sentiment

Last night, Shenzhen Huaqiang issued a "Notice on Abnormal Fluctuations in Stock Trading and Serious Abnormal Fluctuations and Risk Warning." The company warned in the announcement that the short-term increase in the company's stock price has been significant, deviating markedly from the market trend, indicating a risk of overheated market sentiment. However, there have been no significant changes in the company's fundamentals, nor are there any significant undisclosed information. The company has issued announcements of abnormal stock trading fluctuations for several consecutive days, and investors are advised to pay attention to the risks of secondary market trading, make rational decisions, and invest cautiously.

Data from the website of the China Securities Index Co., Ltd. shows that as of September 4, the company's static price-to-earnings (P/E) ratio was 76.85 times, and the price-to-book (P/B) ratio was 5.03 times; the static P/E ratio for the "wholesale industry" category, to which the company belongs according to the China Association of Enterprises, was 16.86 times, and the P/B ratio was 1.29 times, indicating that the company's valuation has significantly deviated from the industry average.

Advertisement

Data shows that since August 15, Shenzhen Huaqiang has been continuously hitting the daily limit, with 14 out of the last 15 trading days reaching the upper limit, accumulating a 294.26% increase, making it the stock with the highest cumulative increase in the A-share market recently, far exceeding the 112.45% increase of the second-ranked Koson Technology.

Post-market data shows that the main participants in Shenzhen Huaqiang's trading are small and medium investors, with their trading share exceeding 60% from August 23 to September 4, while institutional and Shenzhen-Hong Kong Stock Connect investors accounted for 4.07% and 1%, respectively. During this period, institutions net sold 114 million yuan, and Shenzhen-Hong Kong Stock Connect investors net bought 57.56 million yuan.

The significant increase in Shenzhen Huaqiang's stock price is mainly due to the Huawei HiSilicon concept. The company previously stated on the investor interaction platform that it is one of the main authorized agents of HiSilicon and will participate in the HiSilicon All-Connect Conference. Moreover, to promote HiSilicon's products, the company will invite customers to participate in the conference. The company's agency of Huawei HiSilicon's products covers smart vision, smart media, display interaction, MCU, analog, intelligent perception, short-range IoT, wide-area IoT, mobile and wearable devices, and smart home fields.

More than 10% drop in shareholder count for 10 stocks

According to the Securities Times · Data Treasure statistics, 434 stocks have announced the latest shareholder count as of August 31. Compared to previous periods, 67 stocks have seen a continuous decrease in shareholder count for more than three periods, with Longji Machinery, Shunfa Hengye, ST Zhongtai, and Guangwei Composite Materials showing a continuous decrease for more than 10 periods.

Looking at the continuous decrease period, Longji Machinery has the longest consecutive decrease, with a continuous reduction for 15 periods since April of this year, with the latest shareholder count at 39,500, a cumulative decrease of 24.74%, and the stock has slightly decreased by 0.51% since August.Shunfa Hengye followed closely, with a consecutive decline in the number of shareholders for 14 periods, with the latest number of shareholders at 30,100, a cumulative decrease of 12.92%, and the stock has accumulated a decline of 7.53% since August.

Comparing the latest shareholder count (as of August 31, 2024) with that of three periods ago (as of July 31, 2024), the number of shareholders of 10 listed companies has decreased by nearly 10% in the past month, with Nanjing Julong and Chaoji Shares leading the decline with more than 15% reduction.

Nanjing Julong's latest number of shareholders is 14,600, a decrease of 15.57% from 17,300 as of July 31. The company recently stated during investor research that it is currently planning to expand the production of modified plastics, with the construction of the production base in Anhui Chahewan progressing orderly, which can form an annual production capacity of 50,000 tons of high-performance modified plastics, and 30 tons of carbon fiber reinforced resin-based composite material structural parts and components production and assembly capacity.

Chaoji Shares' latest number of shareholders is 10,800, a decrease of 15.13% from 12,800 as of July 31. The company, which has a commercial aerospace concept, recently stated on the investor interaction platform that the commercial aerospace business is progressing as planned, with some products expected to be delivered to customers in the second half of the year, and the benefits of the commercial aerospace rocket body structure parts related business will gradually be released next year.

In terms of performance, statistics show that among the 67 stocks with a continuous decline in the number of shareholders for three periods or more, 30 stocks achieved year-on-year growth in net profit attributable to the mother company in the first half of the year, with Yiduoli, Yidong Electronics, Jiejie Microelectronics, and Degete showing an increase of more than 100%. In addition, ST Tianbang and O-Film Imaging turned losses into profits, 9 stocks reduced their loss margins, and the overall proportion of good news exceeded 60%.

Yiduoli's year-on-year increase in net profit attributable to the mother company is the highest, with a net profit of 420 million yuan in the first half of the year, a year-on-year increase of 464.1%. The company recently announced a contract for technology development cooperation, agreeing with Fornia to cooperate in developing "a new Bacillus subtilis production strain platform project for commercial enzyme production and an innovative medium-temperature alpha-amylase project". The company stated that this cooperation is beneficial for improving the fermentation level of the company's enzymatic preparations, reducing product production costs, and enhancing the market competitiveness of the company's enzymatic preparations in the aforementioned fields.