[Today's Guide]
○ Military and civil integration listed as national strategy to strengthen country and army
○ Policies supporting second-hand vehicles trading to break market breakthroughs
○Tong Oil Tools to fully control Yongchen Petroleum, Jielong Industry to raise RMB 800mln to expand lottery
○ Baofeng Tech. to buy game, film firms, Intelligent Equipment and others propose high share conversion and dividend
[SSN Focus]
○ Military and civil integration listed as national strategy to strengthen country and army
------
The Political Bureau of the CPC Central Committee convened a meeting on March 25 and deliberated and passed the Opinions on the Integration of Economic and National Defence Construction, which listed the military and civil integration as a national strategy. The meeting requires accelerating the establishment of national and local authorities on military and civil integration, preparing the 13th Five-year Plan on the integration of economic and national defence construction and establishing the legal guarantee system on military and civil integration.
Comment: It set the fundamental path for the integration of economic and national defence construction as well as the direction for strengthening the country and army. It breaks the dual military and civil system and consolidates social resources. Research reports of institutes pointed out that UAVs and maritime equipment are expected to see breakthroughs first. Loncin Motor Co., Ltd. (603766.SH) and CNLIGHT Co., Ltd. (002076.SZ) are actively developing UAVs business. In terms of military and civil transformation, Huatai Securities Co., Ltd. (601688.SH) focuses on Beidou Navigation System and is rosy about Beijing BDStar Navigation Co., Ltd. (002151.SZ) and Chengdu CORPRO Technology Co., Ltd. (300101.SZ) and other companies with advantages in technology, products and market.
[SSN Selection]
○ Chinese Premier Li Keqiang made important instructions on the upgrading of power grid in rural areas on March 25, saying that power grid enterprises increasing capital input.
○ China Securities Regulatory Commission (CSRC) spokesperson indicated on March 25 that the Board of Strategic Emerging Industries is unnecessary to be listed in the 13th Five-year Plan and the reports on the "black list" of delisting are untrue.
○ The CSRC approved the IPO applications of seven companies. Statistics show that 7.59 percent equities of Zhejiang Dehong Automotive Electronic ＆ Electrical Co., Ltd. were held by Shenzhen Capital Group Co., Ltd., a company held by the public.
○ China Internet Banking Association organized by the People's Bank of China, the CSRC, China Banking Regulatory Commission (CBRC) and the China Insurance Regulatory Commission (CIRC) was established on March 25 in Shanghai, marking the first year of compliance in the industry.
○ Shanghai and Shenzhen introduced new policies on controlling the property market, which launches new restrictions on the housing purchase and credit policies.
○ Tencent Holdings Limited (00700.HK) announced on March 25 that it would initiate the "Teng'ai Medical Care" strategy to build a connector between the medical industry and the Internet.
TOP
[Industry Information]
○ Policies supporting second-hand vehicles trading to break market breakthroughs
------
The General Office of the State Council released the Certain Opinions on Facilitating the Trading of Second-hand Vehicles, proposing local governments not to set restrictions on the moving of second-hand vehicles. Those have implemented restrictions on the moving of second-hand vehicles have to cancel by the end of May. It also requires further optimizing taxation policies on second-hand vehicles trading, increasing financial supports, lowering credit threshold, streamlining credit policies and lowering the proportion of loans for second-hand vehicles.
Comment: The number of second-hand and new vehicles in developed countries is generally above 1.5:1. Based on the proportion, the trading of second-hand vehicles in China will exceed 36 million, while it is less than 10 million in 2015. The implementation of the above policies will further break the bottlenecks in the development of the second-hand vehicle market. Among listed companies, Wuhu Yaxia Automobile Corporation (002607.SZ) contributes 60 percent in the establishment of an e-commerce platform for second-hand vehicles and is developing second-hand vehicles financing and the Internet plus drivers training schools. China Grand Automotive Services Co., Ltd. (600297.SH) is cooperating with Alibaba Group Holding Limited (NYSE: BABA) in second-hand vehicle businesses.
○ Internet drama hits screen again, bullish factors to facilitate industrial development
------
South Korean media reported that the number of paid members of iQiyi.com, a video website in China, surged by 50 percent thanks to the playing of the Descendants of the Sun, a South Korean Internet drama exclusively shown on the website. It brought an income of about 190 million yuan in members' fees. The Chinese side said that although the audience can watch it for free from last week, Chinese fans applies for the VIP qualification for their enthusiasm on it.
Comment: The wave of Internet drama is caused by various factors. Firstly, the Broadband China strategy provides hardware supports to the broadcasting of Internet dramas. Secondly, free Internet dramas have fostered huge audience. Thirdly, the new generation of netizens are more willing to pay. The trend is likely to maintain in the long term. Among listed companies, Zhejiang Huace Film ＆ TV Co., Ltd. (300133.SZ) holds the equities of NEW, the manufacturer of the Descendants of the Sun through a subsidiary. Jiangsu Lugang Science and Technology Co., Ltd. (601599.SH) completed a private placement recently and the proceeds will invested in Internet drama programs.
○ Artificial intelligence wave initiates, industrial plan under preparation
------
Sun Wei, deputy head of the high-tech industry department at the National Development and Reform Commission (NDRC) indicated at the IT leaders summit on March 27 that the NDRC and other relevant ministries are preparing the Plan on the Implementation of the Three-year Action on Internet plus Artificial Intelligence to improve the intelligent level in the national economic and social development and give play to the leading role of the artificial intelligence technological innovation.
Comment: Institutes believe that the wave of the artificial intelligence has initiated and is expected to be a focus on the development of the domestic IT industry in the following 10 or more years. With further breakthroughs in the technology, the intelligentialization in general use will be achieved. Among listed companies, Anhui Jiangnan Chemical Industry Co., Ltd. (002226.SZ) holds equities of Beijing Guangnian, a company engaged in relevant businesses in artificial intelligence. A subsidiary of Ningbo Cixing Co., Ltd. (300307.SZ) owns technical advantages in model recognition, deep learning and other AI industries.
TOP
[Announcement Interpretation]
○ Tong Oil Tools to fully control Yongchen Petroleum
------
Tong Oil Tools Co., Ltd. (300164.SZ) proposes to issue 28.32 million shares to individual shareholders of Yongchen Petroleum through private placement and pay 29.40 million yuan in cash to Rosefinch Investment to acquire 55 percent equities of Yongchen Petroleum with a total of 231 million yuan to fully control it. The company also plans to raise a supporting fund of 50 million yuan. The shares to be issued through private placement is placed at 7.12 yaun per share. Based on the commitment on performance, the net profit of Yongchen Petroleum for 2015 to 2018 will be 41.89 million yuan, 42.87 million yuan, 44.37 million yuan and 45.97 million yuan, respectively.
○ Jielong Industry to raise RMB 800mln to expand lottery
------
Shanghai Jielong Industry Group Corporation Limited (600836.SH) proposes to raise 800 million yuan by issuing 60 million shares through private placement to purchase all equities of Shanghai Eternal Industry and its subsidiaries and pay loans. Eternal Industrial Group is engaged in the printing and sales of commercial invoice. It promised that its net profit in 2016 and 2017 should be no less than 65 million yuan and 70 million yuan. The listed company said that it will expand its lottery business with the help of Eternal Industrial. Its annual net profit reported a growth of 24 percent. It proposed proposes a 10-for-10 conversion of capital surplus into shares combined with 0.2 yuan dividend for every 10 shares.
TOP
○ Baofeng Tech. to buy game, film firms for RMB 3.1bln.
------
Beijing Baofeng Technology Co., Ltd. (300431.SZ) proposes to acquire 100 percent equities of Gump Technology Co., Ltd., 60 equities in Jiangsu Straw Bear Film Co., Ltd., and 100 equities in Shenzhen Livedong Technology for 3.1 billion yuan among which 932 million yuan will be paid in cash and the remainder will be paid by issuing 39.19 million shares to the counterparts at 55.46 yuan per share through private placement. Meanwhile, the company will raise 3 billion supporting funds. The shareholders of Straw Bear Film include famous stars Liu Xiaofeng, Liu Shishi and Zhao Liyin. Straw Bear Film has reached long-term cooperation intentions with Wu Qilong and Zhao Liyin.
Gump Technology is mainly engaged in the publishing and operation of mobile network games in overseas. Straw Bear Film is mainly engaged in the production and distribution of quality TV shows. Livedong Technology is mainly engaged in the R＆D and operation of mobile network games. It promised that the accumulative net profit of the above-mentioned underlying assets from 2016 to 2018 should not be less than 956 million yuan.
○ Shanghai Construction to introduce employment shareholding through private placement
------
Shanghai Construction Group Co., Ltd. (600170.SH) proposes to raise 1,325 million yuan by issuing 297 million shares at 4.46 yuan per share via the company's core employment shareholding plan to repay bank loan. The company reported a 4 percent growth in net profits according to its annual report and proposes a 2-for-10 conversion of capital surplus into shares combined with 1.5 yuan dividend for every 10 shares.
○ Sinochem International to buy Halcyon, to become world's largest natural rubber supplier
------
Sinochem International Singapore Co., Ltd., a wholly-owned subsidiary of Sinochem International Corporation (600500.SH), proposes to acquire 30.07 percent stake in Halcyon Agri Corp., a Singapore-listed natural rubber company, in cash, and will trigger a compulsive tender offer. Later, Halcyon will issue shares through private placement to swap with rubber producer GMG Global, thus to acquire most equities in GMG. Finally, Halcyon will acquire all natural rubber assets and business of Sinochem International Corporation, except GMG. After the deal, Sinochem International Corporation will hold no less than 60 percent equities of Halcyon. Sinochem International Corporation will become the world's largest natural rubber supplier after it consolidates Halcyon and integrates its financial statement.
[Financial Statement]
○ Intelligent Equipment and others propose high share conversion and dividend
------
Greatoo Intelligent Equipment Inc. (002031.SZ) terminated planning share issuing to purchase assets. Its actual controller proposes a 16-for-10 conversion of capital surplus into shares combined with 4 shares and 1 yuan dividend for every 10 shares in its annual report. Do-Fluoride Chemicals Co., Ltd. (002407.SZ) reported a 828 percent growth in net profit according to its annual report and proposes a 15-for-10 conversion of capital surplus into shares combined with 1.5 yuan dividend for every 10 shares. Guangzhou Wondfo Biotech Co., Ltd. (300482.SZ) reported a 27 percent growth in net profit according to its annual report and proposes a 10-for-10 conversion of capital surplus into shares. B-soft Co., Ltd. (300451.SZ) reported a 4 percent growth in net profit according to its annual report and proposes a 20-for-10 conversion of capital surplus into shares combined with 1.5 yuan dividend for every 10 shares. Its first-quarter profit forecasts to decline 80 to 100 percent.
Midea Group Co., Ltd. (000333.SZ) reported a 21 percent growth in net profit according to its annual report and proposes a 5-for-10 conversion of capital surplus into shares combined with 12 yuan dividend for every 10 shares. China Pacific Insurance (Group) Co.,Ltd. (601601.SH) reported a 60 percent growth in net profit according to its annual report and proposes 1 yuan dividend for every 10 shares. Xiamen Faratronic Co., Ltd. (600563.SH) reported a 7 percent growth in net profit according to its annual report and proposes a 10 yuan dividend for every 10 shares.
Wuliangye Yibin Co., Ltd. (000858.SZ) reported a 6 percent growth in net profit according to its annual report and proposes 8 yuan dividend for every 10 shares.
○ Misho Ecology ＆ Landscape and others forecast growth in Q1
------
Jiangsu Misho Ecology ＆ Landscape Co., Ltd. (300495.SZ) forecasts a growth of 220 to 270 percent in the first quarter mainly due to the successful progress in its undertaking and implementing of engineering projects. It reported a 3 percent growth in net profit according to its annual report and proposes a 20-for-10 conversion of capital surplus into shares combined with 5.8 yuan dividend for every 10 shares. Shandong Xingmin Wheel Co., Ltd. (002355.SZ) forecasts a growth of 80 to 120 percent in the first quarter mainly due to its integration of the financial statement of its subsidiary WuHan Intest Electronic Technology Co., Ltd. Sichuan Tianqi Lithium Industries Inc. (002466.SZ) forecasts a growth of 819 to 866 percent in the first quarter mainly due to the increasing sales and prices of its lithium battery products.
[Weekly Review]
○Pain point, itchy point and hotspot in stock market
------
News happens every day and each has a different impact. Some news can prick readers and stir the stock market. Some make people fell itchy and cause the stock market to rise to the peak. Other insignificant news may only have limited impacts.
Pain point and itchy point are two popular words in the marketing field. Pain point refers to the pain suffered by users in its basic demands; while itchy point refers to users' expectation to meet their further needs. Most news does not directly impact company's fundamental. Their influence to the stock market depends on whether can it trigger people's pain point or itchy point. For example, when the illegal vaccine accident just happened, most readers took it simple as a quality problem. Companies engaged in cold chain, including Aucma Company Limited (600336.SH), opened only slightly higher last Monday. Last Tuesday when a report on illegal vaccine was reposted many times on the Internet, pictures of babies who are suffering serious sequela seemingly cased by adverse effects from vaccine prick a large number of young parents. Vaccine safety has certainly become a large pain point threatening children's health. Aucma surged to the daily limit of 10 percent that day.
If the pain point affecting the stock market usually comes from live and safety, the itchy point is usually dominated by new technology. Virtual reality can bring better recreation immerse experience. So it is highly anticipated by many players as soon as it emerges. Its applications, such as virtual fitting and virtual furnishing affect, are all much favored by enterprise users. The automatic parking function in vehicles have relieved much burdens on drivers. If driving could be more automatic in the future and people do not have to expand energy in traffic jam, it will greatly promote to emancipate productive forces. It's no wonder at any movement in the virtual reality and automatic driving sectors, the stock market will react immediately.
TOP
○ Military and civil integration listed as national strategy to strengthen country and army
○ Policies supporting second-hand vehicles trading to break market breakthroughs
○Tong Oil Tools to fully control Yongchen Petroleum, Jielong Industry to raise RMB 800mln to expand lottery
○ Baofeng Tech. to buy game, film firms, Intelligent Equipment and others propose high share conversion and dividend
[SSN Focus]
○ Military and civil integration listed as national strategy to strengthen country and army
------
The Political Bureau of the CPC Central Committee convened a meeting on March 25 and deliberated and passed the Opinions on the Integration of Economic and National Defence Construction, which listed the military and civil integration as a national strategy. The meeting requires accelerating the establishment of national and local authorities on military and civil integration, preparing the 13th Five-year Plan on the integration of economic and national defence construction and establishing the legal guarantee system on military and civil integration.
Comment: It set the fundamental path for the integration of economic and national defence construction as well as the direction for strengthening the country and army. It breaks the dual military and civil system and consolidates social resources. Research reports of institutes pointed out that UAVs and maritime equipment are expected to see breakthroughs first. Loncin Motor Co., Ltd. (603766.SH) and CNLIGHT Co., Ltd. (002076.SZ) are actively developing UAVs business. In terms of military and civil transformation, Huatai Securities Co., Ltd. (601688.SH) focuses on Beidou Navigation System and is rosy about Beijing BDStar Navigation Co., Ltd. (002151.SZ) and Chengdu CORPRO Technology Co., Ltd. (300101.SZ) and other companies with advantages in technology, products and market.
[SSN Selection]
○ Chinese Premier Li Keqiang made important instructions on the upgrading of power grid in rural areas on March 25, saying that power grid enterprises increasing capital input.
○ China Securities Regulatory Commission (CSRC) spokesperson indicated on March 25 that the Board of Strategic Emerging Industries is unnecessary to be listed in the 13th Five-year Plan and the reports on the "black list" of delisting are untrue.
○ The CSRC approved the IPO applications of seven companies. Statistics show that 7.59 percent equities of Zhejiang Dehong Automotive Electronic ＆ Electrical Co., Ltd. were held by Shenzhen Capital Group Co., Ltd., a company held by the public.
○ China Internet Banking Association organized by the People's Bank of China, the CSRC, China Banking Regulatory Commission (CBRC) and the China Insurance Regulatory Commission (CIRC) was established on March 25 in Shanghai, marking the first year of compliance in the industry.
○ Shanghai and Shenzhen introduced new policies on controlling the property market, which launches new restrictions on the housing purchase and credit policies.
○ Tencent Holdings Limited (00700.HK) announced on March 25 that it would initiate the "Teng'ai Medical Care" strategy to build a connector between the medical industry and the Internet.
TOP
[Industry Information]
○ Policies supporting second-hand vehicles trading to break market breakthroughs
------
The General Office of the State Council released the Certain Opinions on Facilitating the Trading of Second-hand Vehicles, proposing local governments not to set restrictions on the moving of second-hand vehicles. Those have implemented restrictions on the moving of second-hand vehicles have to cancel by the end of May. It also requires further optimizing taxation policies on second-hand vehicles trading, increasing financial supports, lowering credit threshold, streamlining credit policies and lowering the proportion of loans for second-hand vehicles.
Comment: The number of second-hand and new vehicles in developed countries is generally above 1.5:1. Based on the proportion, the trading of second-hand vehicles in China will exceed 36 million, while it is less than 10 million in 2015. The implementation of the above policies will further break the bottlenecks in the development of the second-hand vehicle market. Among listed companies, Wuhu Yaxia Automobile Corporation (002607.SZ) contributes 60 percent in the establishment of an e-commerce platform for second-hand vehicles and is developing second-hand vehicles financing and the Internet plus drivers training schools. China Grand Automotive Services Co., Ltd. (600297.SH) is cooperating with Alibaba Group Holding Limited (NYSE: BABA) in second-hand vehicle businesses.
○ Internet drama hits screen again, bullish factors to facilitate industrial development
------
South Korean media reported that the number of paid members of iQiyi.com, a video website in China, surged by 50 percent thanks to the playing of the Descendants of the Sun, a South Korean Internet drama exclusively shown on the website. It brought an income of about 190 million yuan in members' fees. The Chinese side said that although the audience can watch it for free from last week, Chinese fans applies for the VIP qualification for their enthusiasm on it.
Comment: The wave of Internet drama is caused by various factors. Firstly, the Broadband China strategy provides hardware supports to the broadcasting of Internet dramas. Secondly, free Internet dramas have fostered huge audience. Thirdly, the new generation of netizens are more willing to pay. The trend is likely to maintain in the long term. Among listed companies, Zhejiang Huace Film ＆ TV Co., Ltd. (300133.SZ) holds the equities of NEW, the manufacturer of the Descendants of the Sun through a subsidiary. Jiangsu Lugang Science and Technology Co., Ltd. (601599.SH) completed a private placement recently and the proceeds will invested in Internet drama programs.
○ Artificial intelligence wave initiates, industrial plan under preparation
------
Sun Wei, deputy head of the high-tech industry department at the National Development and Reform Commission (NDRC) indicated at the IT leaders summit on March 27 that the NDRC and other relevant ministries are preparing the Plan on the Implementation of the Three-year Action on Internet plus Artificial Intelligence to improve the intelligent level in the national economic and social development and give play to the leading role of the artificial intelligence technological innovation.
Comment: Institutes believe that the wave of the artificial intelligence has initiated and is expected to be a focus on the development of the domestic IT industry in the following 10 or more years. With further breakthroughs in the technology, the intelligentialization in general use will be achieved. Among listed companies, Anhui Jiangnan Chemical Industry Co., Ltd. (002226.SZ) holds equities of Beijing Guangnian, a company engaged in relevant businesses in artificial intelligence. A subsidiary of Ningbo Cixing Co., Ltd. (300307.SZ) owns technical advantages in model recognition, deep learning and other AI industries.
TOP
[Announcement Interpretation]
○ Tong Oil Tools to fully control Yongchen Petroleum
------
Tong Oil Tools Co., Ltd. (300164.SZ) proposes to issue 28.32 million shares to individual shareholders of Yongchen Petroleum through private placement and pay 29.40 million yuan in cash to Rosefinch Investment to acquire 55 percent equities of Yongchen Petroleum with a total of 231 million yuan to fully control it. The company also plans to raise a supporting fund of 50 million yuan. The shares to be issued through private placement is placed at 7.12 yaun per share. Based on the commitment on performance, the net profit of Yongchen Petroleum for 2015 to 2018 will be 41.89 million yuan, 42.87 million yuan, 44.37 million yuan and 45.97 million yuan, respectively.
○ Jielong Industry to raise RMB 800mln to expand lottery
------
Shanghai Jielong Industry Group Corporation Limited (600836.SH) proposes to raise 800 million yuan by issuing 60 million shares through private placement to purchase all equities of Shanghai Eternal Industry and its subsidiaries and pay loans. Eternal Industrial Group is engaged in the printing and sales of commercial invoice. It promised that its net profit in 2016 and 2017 should be no less than 65 million yuan and 70 million yuan. The listed company said that it will expand its lottery business with the help of Eternal Industrial. Its annual net profit reported a growth of 24 percent. It proposed proposes a 10-for-10 conversion of capital surplus into shares combined with 0.2 yuan dividend for every 10 shares.
TOP
○ Baofeng Tech. to buy game, film firms for RMB 3.1bln.
------
Beijing Baofeng Technology Co., Ltd. (300431.SZ) proposes to acquire 100 percent equities of Gump Technology Co., Ltd., 60 equities in Jiangsu Straw Bear Film Co., Ltd., and 100 equities in Shenzhen Livedong Technology for 3.1 billion yuan among which 932 million yuan will be paid in cash and the remainder will be paid by issuing 39.19 million shares to the counterparts at 55.46 yuan per share through private placement. Meanwhile, the company will raise 3 billion supporting funds. The shareholders of Straw Bear Film include famous stars Liu Xiaofeng, Liu Shishi and Zhao Liyin. Straw Bear Film has reached long-term cooperation intentions with Wu Qilong and Zhao Liyin.
Gump Technology is mainly engaged in the publishing and operation of mobile network games in overseas. Straw Bear Film is mainly engaged in the production and distribution of quality TV shows. Livedong Technology is mainly engaged in the R＆D and operation of mobile network games. It promised that the accumulative net profit of the above-mentioned underlying assets from 2016 to 2018 should not be less than 956 million yuan.
○ Shanghai Construction to introduce employment shareholding through private placement
------
Shanghai Construction Group Co., Ltd. (600170.SH) proposes to raise 1,325 million yuan by issuing 297 million shares at 4.46 yuan per share via the company's core employment shareholding plan to repay bank loan. The company reported a 4 percent growth in net profits according to its annual report and proposes a 2-for-10 conversion of capital surplus into shares combined with 1.5 yuan dividend for every 10 shares.
○ Sinochem International to buy Halcyon, to become world's largest natural rubber supplier
------
Sinochem International Singapore Co., Ltd., a wholly-owned subsidiary of Sinochem International Corporation (600500.SH), proposes to acquire 30.07 percent stake in Halcyon Agri Corp., a Singapore-listed natural rubber company, in cash, and will trigger a compulsive tender offer. Later, Halcyon will issue shares through private placement to swap with rubber producer GMG Global, thus to acquire most equities in GMG. Finally, Halcyon will acquire all natural rubber assets and business of Sinochem International Corporation, except GMG. After the deal, Sinochem International Corporation will hold no less than 60 percent equities of Halcyon. Sinochem International Corporation will become the world's largest natural rubber supplier after it consolidates Halcyon and integrates its financial statement.
[Financial Statement]
○ Intelligent Equipment and others propose high share conversion and dividend
------
Greatoo Intelligent Equipment Inc. (002031.SZ) terminated planning share issuing to purchase assets. Its actual controller proposes a 16-for-10 conversion of capital surplus into shares combined with 4 shares and 1 yuan dividend for every 10 shares in its annual report. Do-Fluoride Chemicals Co., Ltd. (002407.SZ) reported a 828 percent growth in net profit according to its annual report and proposes a 15-for-10 conversion of capital surplus into shares combined with 1.5 yuan dividend for every 10 shares. Guangzhou Wondfo Biotech Co., Ltd. (300482.SZ) reported a 27 percent growth in net profit according to its annual report and proposes a 10-for-10 conversion of capital surplus into shares. B-soft Co., Ltd. (300451.SZ) reported a 4 percent growth in net profit according to its annual report and proposes a 20-for-10 conversion of capital surplus into shares combined with 1.5 yuan dividend for every 10 shares. Its first-quarter profit forecasts to decline 80 to 100 percent.
Midea Group Co., Ltd. (000333.SZ) reported a 21 percent growth in net profit according to its annual report and proposes a 5-for-10 conversion of capital surplus into shares combined with 12 yuan dividend for every 10 shares. China Pacific Insurance (Group) Co.,Ltd. (601601.SH) reported a 60 percent growth in net profit according to its annual report and proposes 1 yuan dividend for every 10 shares. Xiamen Faratronic Co., Ltd. (600563.SH) reported a 7 percent growth in net profit according to its annual report and proposes a 10 yuan dividend for every 10 shares.
Wuliangye Yibin Co., Ltd. (000858.SZ) reported a 6 percent growth in net profit according to its annual report and proposes 8 yuan dividend for every 10 shares.
○ Misho Ecology ＆ Landscape and others forecast growth in Q1
------
Jiangsu Misho Ecology ＆ Landscape Co., Ltd. (300495.SZ) forecasts a growth of 220 to 270 percent in the first quarter mainly due to the successful progress in its undertaking and implementing of engineering projects. It reported a 3 percent growth in net profit according to its annual report and proposes a 20-for-10 conversion of capital surplus into shares combined with 5.8 yuan dividend for every 10 shares. Shandong Xingmin Wheel Co., Ltd. (002355.SZ) forecasts a growth of 80 to 120 percent in the first quarter mainly due to its integration of the financial statement of its subsidiary WuHan Intest Electronic Technology Co., Ltd. Sichuan Tianqi Lithium Industries Inc. (002466.SZ) forecasts a growth of 819 to 866 percent in the first quarter mainly due to the increasing sales and prices of its lithium battery products.
[Weekly Review]
○Pain point, itchy point and hotspot in stock market
------
News happens every day and each has a different impact. Some news can prick readers and stir the stock market. Some make people fell itchy and cause the stock market to rise to the peak. Other insignificant news may only have limited impacts.
Pain point and itchy point are two popular words in the marketing field. Pain point refers to the pain suffered by users in its basic demands; while itchy point refers to users' expectation to meet their further needs. Most news does not directly impact company's fundamental. Their influence to the stock market depends on whether can it trigger people's pain point or itchy point. For example, when the illegal vaccine accident just happened, most readers took it simple as a quality problem. Companies engaged in cold chain, including Aucma Company Limited (600336.SH), opened only slightly higher last Monday. Last Tuesday when a report on illegal vaccine was reposted many times on the Internet, pictures of babies who are suffering serious sequela seemingly cased by adverse effects from vaccine prick a large number of young parents. Vaccine safety has certainly become a large pain point threatening children's health. Aucma surged to the daily limit of 10 percent that day.
If the pain point affecting the stock market usually comes from live and safety, the itchy point is usually dominated by new technology. Virtual reality can bring better recreation immerse experience. So it is highly anticipated by many players as soon as it emerges. Its applications, such as virtual fitting and virtual furnishing affect, are all much favored by enterprise users. The automatic parking function in vehicles have relieved much burdens on drivers. If driving could be more automatic in the future and people do not have to expand energy in traffic jam, it will greatly promote to emancipate productive forces. It's no wonder at any movement in the virtual reality and automatic driving sectors, the stock market will react immediately.
TOP
Latest comments