Can millet share prices, which have been repurchased many times since June, recover from death?

category:Finance
 Can millet share prices, which have been repurchased many times since June, recover from death?


On June 3, the company announced that it had bought 11,029,400 shares of Class B shares in the open market at an average price of HK$9.0492 per share.

On June 4, the Company repurchased 11.1 million shares of Class B shares, involving about HK$99.9975 million.

On June 6, the Company repurchased 21.865 million Class B common shares at a cost of about HK$199.96 million, the third repurchase this week.

On June 10, Millet Group repurchased 5.2472 million shares of Class B shares at a repurchase price of HK$9.49 to HK$9.53, involving an amount of about HK$49.977 million.

For repurchase, millet group announces that share repurchase in the current situation can show the companys confidence in its business prospects and prospects, and ultimately benefit the company and create value for shareholders.

Millet Group said that the companys fundamental confidence comes from its Internet business model and the companys smartphone + AIoT dual-engine strategy. Share repurchase expressed confidence in the current and long-term business prospects.

Since last years landing in Hong Kong, the stock price of Millet Group has been in a downturn. Compared with last years HK$17 issue price, millets share price has dropped sharply. As of todays close, millet shares fell 2.15% to HK$9.54.

The millet groups quarterly report shows that in the first quarter of 2019, the company realized revenue of 43.757 billion yuan, an increase of 27.2% over the same period of last year, and adjusted net profit of 2.081 billion yuan, an increase of 22.4% over the same period of last year.

In 2019Q1, millets global smartphone shipments were about 310 million, down 6.3% year-on-year; in mainland China, about 88 million, down about 3% year-on-year; in earlier 2018Q4, millets smartphone divisions revenue was about 25.1 billion yuan, up 7% year-on-year, down 28.3% year-on-year. In the fourth quarter of last year, millets market share fell to 7.6%, lower than OPPOs 7.8%, and much lower than Huaweis 16.1%. Huasheng Securities gave Millet Group a neutral rating in mid-April. It believes that Millets current valuation is between hardware companies and Internet companies. For reasons such as the intensification of mobile phone market competition, the slowdown of Internet revenue growth and the lack of clear Internet profitability in IoT business, we believe that the current valuation system for millet reference should be closer to hardware companies. According to public statistics, the median EPE of CIGS 15 companies in the same industry (computer and peripheral equipment) in 2019 is 14.84 times, and the current valuation of millet company is about 14.98 times. Source: First Financial Responsibility Editor: Liu Song_NBJ9949

In 2019Q1, millets global smartphone shipments were about 310 million, down 6.3% year-on-year; in mainland China, about 88 million, down about 3% year-on-year; in earlier 2018Q4, millets smartphone divisions revenue was about 25.1 billion yuan, up 7% year-on-year, down 28.3% year-on-year.

In the fourth quarter of last year, millets market share fell to 7.6%, lower than OPPOs 7.8%, and much lower than Huaweis 16.1%.

Huasheng Securities gave Millet Group a neutral rating in mid-April. It believes that Millets current valuation is between hardware companies and Internet companies. For reasons such as the intensification of mobile phone market competition, the slowdown of Internet revenue growth and the lack of clear Internet profitability in IoT business, we believe that the current valuation system for millet reference should be closer to hardware companies.

According to public statistics, the median EPE of CIGS 15 companies in the same industry (computer and peripheral equipment) in 2019 is 14.84 times, and the current valuation of millet company is about 14.98 times.