On August 11, the share price of CSCI fell by more than 7%, but its total market value still exceeded 400 billion yuan, reaching 421.163 billion yuan, surpassing CITIC Securities (404.737 billion yuan) and becoming the new market leader of the securities industry.
However, according to the target price given to CSCI by the institutions in the past year, the highest price is only 37.39 yuan / share. Even for the valuation of CSCI, Huajin securities has issued a sell-b rating report, because it believes that the profitability of CSCI is difficult to support the current valuation in the long term.
On August 10, the closing price of A-share of the company was 59.27 yuan / share, with a P / E ratio of 58.47 times, higher than the average p / E ratio of 46.93 times of its securities industry; its P / B ratio was 9.68 times, higher than the average p / E ratio of its securities industry of 2.57 times.
At the same time, at present, CSCI has a fixed increase plan of no more than 13 billion yuan, which will be used to supplement the companys capital and working capital after deducting the issuance expenses, so as to expand the business scale and enhance the companys market competitiveness and anti risk ability. Tang zipei, an analyst at Orient Securities, believes that after years of development, China CITIC has successfully ranked among the top 10 in the industry, and has continued to maintain high growth. The companys asset light model and high leverage operation make the companys roe top the top camp.
Source of this article: Yang Qian, editor in charge of Securities Daily_ NF4425