Jinwu Financial News | China Special estimates that central enterprises bucked the market. China Alcoa International (02068) surged 18.64%, CGN Mining (01164) rose 3.26%, and Sinochem Fertilizer (00297), China Tongshi (01763), and CITIC (00267) all rose more than 2%.
According to the Guosheng Securities Research Report, in the medium term, with the intensive introduction of steady growth policies, the economic recovery process is expected to accelerate. Incremental capital may return to the rebound phase, and the level of attention can be increased simultaneously. At the same time, after the registration system is fully implemented, its survival of the fittest mechanism will help the market style to become “blue-chip”. The Shanghai index will not be absent and will only get deeper. Currently, it is recommended to maintain a balanced allocation of value slightly greater than growth. Operationally, it is still necessary to control overall positions before the market is effective. Central enterprises with excellent “Chinese” performance are expected to become the main driving force for a fresh rebound in the market.
The CITIC Construction Investment Research Report points out that central enterprises are leaders in stabilizing the economy and stabilizing the capital market. Market value management is included in the performance assessment of central enterprise leaders. It is an important step for central enterprises to attract capital markets following the “one profit and five rate”, and is expected to start a new round of market conditions. This requires timely transmission of confidence and stable expectations through market-based holdings growth and repurchases, increasing cash dividends, and better returns to investors. At the same time, the central bank downgraded it by 0.5 percentage points to provide the market with long-term liquidity of 1 trillion yuan. Under the catalyst of multiple policies, it is recommended to focus on the new round of “mid-term special valuation” opportunities, and strategically focus on ideas such as dividends, stock repurchases, mergers, acquisitions, and restructuring.