After the end of the annual reporting season, ST stocks (including St shares and * St shares, the same below) began a new round of decline, and the decline accelerated, including * ST Poly, * ST Ba'an, * ST Yinjiang.ChinesepokerMany stocks have even halved in nearly 5 trading days.
Market data show that the Wande ST sector index has fallen about 9 per cent since May and has fallen more than 30 per cent so far this year. The index had fallen for two consecutive years in 2022 and 2023.
Chen Jianhua, a strategist at Yintai Securities, said in an interview with the Securities Times that the current domestic capital market continues to deepen reform, and a series of institutional arrangements accelerate the formation of a normal delisting pattern that should be withdrawn and cleared in a timely manner, reducing the value of "shell" resources and aggravating the adjustment pressure faced by the ST plate.
ST stocks have accelerated their decline since May.
Since May, ST stocks in the A-share market have begun a new round of decline. In just five trading days, the Wande ST index has fallen every day, down about 9 per cent during that period.
More than 130 ST stocks have fallen since May, accounting for about 3 per cent of the current total of ST stocks, with 49 ST stocks down more than 20 per cent over the period, according to Wind. Among them, stocks such as * ST Poly, * ST Ba'an and * ST Yinjiang have fallen particularly hard, falling more than 50 per cent in just a few days.
For example, * ST Insurance fell again by 18% on May 10.Chinesepoker.18%, the stock fell 19% in the previous four trading days.Chinesepoker.23%, 19.05%, 20.59% and 18.52%, down 65.38% since May this year. In addition, the stock also fell by its "20cm" limit on April 30, falling more than 70 per cent in the past six trading days.
* the recent accelerated decline of ST Insurance is affected by a number of factors. According to the data, * ST's previous securities are referred to as Baolixin, and the company's stock trading has been implemented since April 29th this year as "delisting risk warning" and "its"ChinesepokerHe is a risk warning. According to the financial data disclosed by the company not long ago, the company achieved operating income of 136 million yuan in 2023, down 28.68 percent from the same period last year, realizing a net profit of-188 million yuan belonging to the owner of the parent company, with losses for three consecutive fiscal years. In addition, as of May 10, the company's stock closing price was less than 1 yuan for 16 consecutive trading days, and even if it rose by the limit for the next 4 trading days, it would hit the trading delisting target because the share price was lower than 1 yuan for 20 consecutive trading days.
* ST Baan has also fallen sharply in recent days, with a cumulative decline of 59.02% in just five trading days since May, including a number of trading days where "20cm" fell to the limit. The company's stock trading was delisted risk warning because the company's 2023 financial statements were issued by Asia-Pacific (Group) accounting firm (special general partnership) with an audit report that could not express its opinion. At the same time, as the company's net profits attributable to shareholders of listed companies and net profits after deducting non-recurring profits and losses in the most recent fiscal years of 2021, 2022 and 2023 are all negative, Asia-Pacific (Group) Accounting firm (Special General Partnership) has issued an audit report on the company's 2023 financial statements that involves significant uncertainties related to sustainability. The company's stock trading is subject to other risk warnings. The beginning date of the implementation of "delisting risk warning" and "other risk warning" for the company's shares is May 6, 2024.
* ST Yinjiang has also fallen sharply since the beginning of May, falling sharply for five consecutive trading days, with a cumulative decline of 58.45%. However, not long ago in late April, the stock was on an upward trend.
* ST Yinjiang has also been in troubled times recently. the company's securities were previously referred to as Yinjiang Technology. Due to the 2023 audit report issued by the accounting firm, the company's shares have been delisted since May 6, 2024. In addition, according to the company announcement, the company received a written letter from the controlling shareholder Yinjiang Science and Technology Group Co., Ltd. (hereinafter referred to as "Yinjiang Science and Technology Group") on May 9, 2024. It was learned that about 78.1114 million shares held by Yinjiang Science and Technology Group had been judicially frozen on May 8, 2024.
In addition, * ST has fallen more than 40 per cent since May. According to the announcement data, as the company's audited net assets at the end of 2023 are negative, the Shenzhen Stock Exchange has implemented a delisting risk warning for the company's stock trading. In addition, as the net profit of the company before and after deducting non-recurring profits and losses in the last three fiscal years is negative, and the audit report of the most recent year shows that there is uncertainty about the company's sustainable operating ability, the Shenzhen Stock Exchange implements other risk warnings on its stock trading. The beginning date for the company's shares to be delisted risk warning and other risk warnings is May 6, 2024. According to the financial data disclosed by the company, the company achieved operating income of 341 million yuan in 2023, down 48.18 percent from the same period last year, and the net profit of shareholders belonging to listed companies was about 275 million yuan.
More than 90% of ST stocks fell during the year, of which more than 50 shares have halved.
According to Wind data, the reporter found that many ST stocks fell more astonishingly during the year.
Statistics show that of the more than 170 ST stocks, 163showed a decline during the year, accounting for more than 90% of the decline. Of these, as many as 57 shares halved during the year, of which * ST Myson, * ST Yue Bo, * ST Poly, and * ST have even fallen by more than 80 per cent during their heyday.
Most of the companies with the biggest declines of ST stocks during the year did not perform well, such as a sharp decline in revenue and profits, or even large or continuous losses, under great operating pressure. In addition, many companies have been issued non-standard audit opinions by accountants.
In addition, the reporter found that among the ST stocks whose share prices halved during the year, there were relatively many stocks in architectural decoration, electronics, pharmaceutical biology, integration, communications and other industries.
Chen Jianhua, a strategist at Yintai Securities, said in an interview with the Securities Times that on April 12, the State Council issued "some opinions on strengthening Supervision, preventing risks and promoting the High-quality Development of the Capital Market," which clearly requires strengthening the supervision of delisting and proposing further stringent standards for compulsory delisting. On the same day, the Securities Regulatory Commission issued opinions on the strict implementation of the delisting system. The Shanghai, Shenzhen and North Stock Exchange has also revised the stock listing rules to further improve the four categories of compulsory delisting indicators: financial, major illegal, normative and trading. The revised listing rules have greatly reduced the standards for major illegal delisting of financial fraud, at the same time, three new normative delisting cases have been added, the financial delisting indicators have been tightened, the market value delisting indicators of A-share companies on the main board have been raised, and "should be withdrawn as much as possible" has been more accurately realized. Under the strict new delisting rules, the ST sector continues to face clearing pressure. Since May, with the disclosure of the annual report, a number of A-share listed companies have been implemented risk warnings due to performance, corporate governance and other reasons, leading to a new round of decline in the ST sector.
Chen Jianhua believes that at present, the domestic capital market continues to deepen reform, and a series of institutional arrangements accelerate the formation of a normal delisting pattern that should be withdrawn and cleared in a timely manner, reducing the value of "shell" resources and aggravating the adjustment pressure faced by the ST plate.