Can Zhonghong retreat to the lowest price and ultra-low-priced stock in the history of A-shares?

In the A-share market, low-priced stocks, especially ultra-low-priced stocks, are often more favored by market investors. In fact, investors can view the number of shareholders of listed companies in the A-share market. We can find that stocks with very low prices tend to aggregate a large number of shareholders, even if the quality of listed companies is not good, and there is a risk of delisting. The position of low-priced stocks in the minds of A-share investors is still difficult to shake.

Recently, as the recent retreat consolidation period, and the official resumption of trading, Zhonghong retreat, but during the delisting period, it has created a record low in stock prices, and this price level has become the lowest price in the history of the A-share market. As of the close of November 26, Zhonghong’s share price continued to be placed above the daily limit, and the stock price was only 0.36 yuan per share.

Specifically, since Zhonghong retired into the delisting period, the price showed a trend of continuous daily limit. After the seventh daily limit, on November 26, Zhonghong returned to the trend of the daily limit, ending at the close. The volume of transactions can be greatly expanded to 216 million yuan. However, it is worth mentioning that as a listed company with a huge risk of delisting, its shareholder number has remained active. As of September 30 this year, the number of shareholders of Zhonghong has reached 274.498 million, while the listed companies with stock prices below 2 yuan generally have a large number of shareholders.

As the first listed company to delist from the market, Zhonghong retreat will actually set off the depreciation of the face value of the A-share market when it is finally delisted by the exchange. Perhaps, the opening of the face value delisting may change the low-priced stocks in the past A-share market to stick to investment thinking.

Talking about the low-priced stocks in the A-share market, especially the ultra-low-priced stocks, as the A-share market environment continues to weaken, the number of low-priced stocks continues to expand. Among them, as of the close of November 26, there were 1 stock in the A-share market below 1 yuan, and 29 stocks below the 2 yuan price. As for the stock price below 3 yuan, there are 173 stocks. For these 173 stocks below $3, we can call them ultra-low-priced stocks.

However, for these low-priced listed companies, their own texture is uneven, some belong to the ST type, some belong to the large-cap stock type, some belong to the traditional industry type, and some belong to the continuous loss type. However, for the stock price, it is a barometer of the operating status of the listed company, and the stock price continues to be irrational, and entering the ranks of ultra-low-priced stocks actually means more or less the status of the listed company itself. Does not have too many advantages.

If the A-share market has set off a wave of depreciation, and the stock market has a further bottoming trend, there may be a large denomination risk for ultra-low-priced stocks that are currently at prices below US$2.

However, from the number of shareholders of A-share low-priced listed companies, it can be found that investors in the A-share market are still keen on the investment of low-priced stocks, especially ultra-low-priced stocks. The main reason is that the stock prices are low enough. It gives investors a feeling of security enough; the other is that such ultra-low-priced stocks often experience the previous oversold trend, and investors will always expect the subsequent rebound to be good, which will easily give investors a larger Expected return on investment. In addition, it is inseparable from the myth of the crow to change the phoenix, many investors still have the investment mentality of a rich overnight.

Perhaps, for this investment logic, there should be a process of gradual change, and the attitude towards low-priced stocks in the A-share market needs to be treated differently. Specifically, for listed companies whose stock prices are very close to the par value, they need to be cautiously avoided. For listed companies that have sustained losses or even suspension of listing risk expectations, they still need to be cautiously avoided. For such listed companies, it is often easy. The risk of delisting from denomination is not only the crisis of face value delisting, but also the risk of delisting of listed company stocks due to its poor financial situation.

In fact, it is indeed controversial for the delisting period of the A-share market. Rather than letting investors get a chance to sell last, it is better to accelerate the decline of stocks due to the delisting period, and in the process, ordinary investors can hardly sell stocks from the word limit. When investors can sell stocks, they are often in a state of extremely low prices. It can be seen that before the listed company is about to face the trading suspension, especially before the listed company is about to enter the delisting period, investors need to hedge in time to prevent the stock market from shrinking during the delisting period. pressure.

However, to take a step back, in addition to some listed companies that have been forced to withdraw from the market due to major illegal violations, other types of delisting listed companies may be listed in the three-board market when they are delisted from the exchange. Although the liquidity of the three-board market is very poor and the activity is very low, but for the enterprises whose prices have been extremely depressed during the delisting period, after coming to the three-board market, as long as the texture is not very bad, the price level will not be zero. . As for the delisting enterprises that have their own strength and strong financial turnaround expectations, there may be expectations for re-listing in the future.

However, after the depreciation of the face value of Zhonghong, the investment strategy of low-priced stocks in the A-share market, especially ultra-low-priced stocks, does need to be actively changed. It is not that the stock price is low, it is equivalent to safety, and the stock market is not dead. The myth expectations of the crows becoming phoenix may also be gradually broken in the future market environment.

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