The market value of 3 stocks exceeds 100 billion, namely Sany Heavy Industry, Shuanghui Development and China Unicom. The price-earnings ratios of 10 stocks are all in single digits, including Seazen Holdings, Sunshine City, Zhongnan Construction, Qilianshan and Evergreen, with the lowest price-earnings ratios. For Xincheng Holdings, it is only 5.6 times. In terms of secondary market performance, 8 of the 51 stocks mentioned above have doubled their gains in the middle age, namely Honglu Steel Structure, Superstar Technology, Jiangshan Oppein, etc. There are other high quality stocks at low valuations:
1. Bowei Alloy
Net profit growth rate = 10.97%, low valuation 0.57, earnings per share 0.69. Main business: R&D, production and sales of high-performance and high-precision non-ferrous alloy materials, production and sales of solar cells and components, and operation of solar power plants.
2. Dieffenbachia
Net profit growth rate = 20.34% year-on-year, low valuation 0.58, earnings per share 1.76. Main business: Production and sale of Portland cement clinker and Portland cement
3 Longi Holdings
Net profit growth rate = 106.4%, low valuation 0.46, earnings per share 1.73. Main business: R&D, production and sales of monocrystalline silicon rods, silicon wafers, cells and components, as well as investment and development of photovoltaic power plants, etc.
4. Wuliangye
Net profit growth rate = 30.02% year-on-year, low valuation 0.53, earnings per share 4.8. Main business: production and sales of "Wuliangye" and its liquor series
5. Shede Liquor Industry
Net profit growth rate = 48.61%, low valuation 0.53, earnings per share 1.51. . Main activity: design, production and sale of alcoholic productss
6. JA Solar Technology
Net profit growth rate = 74.09% year-on-year, low valuation 0.48, earnings per share 1.08. Main business: R&D, production and sales of silicon wafers, solar cells and solar cell modules, as well as photovoltaic businesses such as the development, construction and operation of solar photovoltaic power plants.
7. Topstar
Net profit growth rate = 8.58%, low valuation 0.44, earnings per share 2.04. Main Business: Providing comprehensive industrial automation solutions and related equipment
Is it better to have a low or high valuation?
1. Low valuation stocks refer to stocks whose stock price is below the overall market P/E ratio or whose industry P/E ratio is undervalued and expected to be higher than the current stock price , or whose earnings per share are relativevely high but the share price is relatively low. A stock that deviates from its valuation and falls below its valuation.
2. Highly valued stocks mean that their price-to-earnings ratio and price-to-book ratio are relatively high and the stock price is higher than its assumed value. When this happens, the stock is usually heavily hyped, causing its price to deviate from its value, making the bubble larger and the risk higher.
3. A low valuation is preferable. When the valuation is low, you have less time to buy stocks for maximum returns. Even if you buy stocks with low valuations, you won't lose money at all, but if you hold them for a long time, the returns will be very generous and, compared to stocks with high valuations, the risk of stocks with low valuations dim valuationwill increase significantly as the holding period increases.
4. Generally speaking, it is better to have a low market valuation than a high market valuation. Although low valuation cannot reduce investment risks, the benefits are obvious once the holding period is extended, and the most serious losses currently occur when the holding period is long and the valuation is high.
The constant increase in solar energy is currently a good thing.
The quality of the fixed increase is determined by market institutions. Today it is only a 3-5% lower shock, allowing those who are afraid to go down and those who want to go up. As for whether the market will increase, it will increase. Considering the projects of the institutions today, we can only watch but we cannot do anything. The probability of lowering the limit willit be less than 1%. At present, the volume of solar energy is less than 40 billion, with billions of transactions per day. It is still early for this private placement to be implemented. The actual price of the private placement will only be determined when the private placement is implemented in approx. six months at the earliest. Even if there is some pressure on the private placement news, it will only affect one person, two days, how to go afterwards or how to go.
In addition, the fixed increase alone is not a negative thing, but considering the operation of capital in the secondary market, there is pressure on the stock price at the rise. After all, the funds definitely want to buy it. at a lower price. The power sector is also the sector with the best bullish disposition and highest capital involvement among all sectors. Therefore, if the market recovers tomorrow,there is no doubt that the offensive sector will take the lead in the recovery. is not a waste of alcohol, and solar energy is superimposed on photovoltaics.
In addition, private placement is a non-public issuance of shares to a small number of qualified investors. This is a very important financing method for listed companies. Compared to other methods, it has many advantages, in particular. like only You need to find less than 10 investors to start, the fixed increase price can get a larger discount to the current stock price, and the underwriting fees are lower, etc. Evaluate the value of the project to the company, compare the benefits of the project with the company's previous benefits, whether they are better or worse, and whether the profitability is high based on the financing amount. If the estimated profits are good and the quality/price ratio is high, it is a good thing.
Finally, private placement is therefore a double-edged sword for small and medium-sized investors in related companies, and it is possible to increase or lower the limit. Whether the price of the private placement being lower than the share price is a good or bad thing, it depends mainly on the use of the funds raised by the private placement, the possibility of actually increasing the profitability per share of the listed company after the private placement. additional issues are implemented and whether the interests of small and medium shareholders are harmed during the additional issue. If a listed company injects or replaces substandard assets through a private placement and this becomes the primary form used by major shareholders to dump the listed company or transfer profits to related parties, it will a major problem.