[dissecting the market]
Yesterday's market adjustment was waiting for Bu Lincoln to speak, and after the speech landed, US stocks rebounded sharply overnight, and US stocks even more frantically pulled up, rising more than 10 per cent, of which BABA rose by more than 13 per cent and Baidu, Inc. by more than 12 per cent. Under the transmission, the related stocks of Hong Kong stocks also rose by a similar margin. The Hang Seng Index basically rose in one step, with high shocks throughout the day.
Just from the emotional understanding of the rise of Chinese stocks is biased, the improvement of fundamentals is the real essence. For example, BABA (09988), internal business optimization adjustment has achieved results, Amoy vegetables, ele.me and other business losses are expected to gradually narrow. Aliyun, on the other hand, has achieved annual profits for the first time compared with the same period last year, and has expanded its business overseas, making it the only cloud service provider that can compete globally.
The slowing down of the game among big countries brings opportunities to the varieties that were suppressed in the early stage, the most obvious being the CXO varieties, such as Pharmaron Beijing Co., Ltd.* (03759), Wuxi Biologics (02269), Pharmaron Beijing Co., Ltd.* (03759) and so on.
The current policy is actually mainly focused on stimulating consumption and exports, therefore, the direction of funds is mainly going in this direction, cars are obviously the main variety of consumption, and funds in the direction of new energy vehicles continue to be sought after, mainly car-building new forces XPeng Inc. (09868), Li Auto Inc. (02015), etc., leading Byd Company Limited (01211) is also taking the upward channel, follow-up catalysis mainly depends on the landing of relevant positive policies.
Cathay Pacific Airways (00293), which commented on other consumer stocks yesterday, rose well today, as well as inter-city travel (00780), Helens (09868) and so on. Export e-commerce group (06988), textile Shenzhou International Group (02313).
Shandong Xinhua Pharmaceutical (00719), which continues to track, continues to rise steadily, and investors are waiting for further clarity of the news.
[plate focus]
As of Tuesday eastern time, the national average price of a gallon of gasoline reached $4.59, 51% higher than a year ago, according to the American Automobile Association. This is a level that conventional gasoline prices have never reached in history. In California, gasoline prices in the United States may even exceed $6 a gallon, according to the American Automobile Association. At the same time, U. S. gasoline stocks are falling further. U.S. auto fuel stocks fell by 4.22 million barrels last week, the lowest level since 2013, according to a report by the American Petroleum Institute (API).
In addition, Putin offered to use grain exports in exchange for Western deregulation, but the White House refused. This means that the tension in oil will continue and the upward trend in oil prices will be strengthened.
In the A-share market, China National Offshore Oil (600938.SH) rose strongly today to a new high since its listing, a landmark event that means that institutions are extremely bullish on the future. Related varieties of Hong Kong stocks include CNOOC Limited (00883), Petrochina (00857) and China Oilfield Service (02883).
[comments on changing stocks]
1. New Oriental Education & Technology Group online (01797): policy blessing stands on the tuyere.
The employment situation this year is very grim. One of the priorities of the meeting on stabilizing the economy on May 25 is to ensure employment, put stable growth in a more prominent position, and strive to protect the main body of the market to protect employment and people's livelihood. efforts will be made to ensure reasonable economic growth and a decline in the unemployment rate in the second quarter, so as to keep the economy running within a reasonable range. In addition, it is pointed out that it is necessary to work creatively, tap their own policy potential according to local conditions, help the main body of the market to bail out, stabilize and expand posts, and other policies can be carried out.
Comments: education and training was suppressed by the policy in the past, the trend has been poor, the country proposed to expand employment, education and training this area can be seen to find a grasp, vigorously promote training and education is conducive to re-employment. The company announced its return to the college student business in September last year. In the first nine months of fiscal year 2022, New Oriental Education & Technology Group's key business, overseas exam preparation and study abroad consulting business, increased by 15% compared with the same period last year, while the domestic exam preparation business for adults and college students increased by 59% compared with the same period last year. The direction of business adjustment is in line with national policy. On the capital side, on May 25th, southward funds increased their holdings of 334000 shares of New Oriental Education & Technology Group online for three consecutive days. As of the close of the day, Hong Kong Stock Exchange held a total of 186.359 million shares of New Oriental Education & Technology Group online, accounting for 18.62% of the outstanding shares.
2. Intercity travel (00780): Dragon Boat Festival and summer vacation help restore travel demand
According to the consumption trend forecast for Dragon Boat Festival travel released on the same trip, big data showed that the average air ticket price during the Dragon Boat Festival holiday rose 28% compared with the Labour Day holiday. Peripheral travel and intra-provincial travel are still the main choices for people to travel during the Dragon Boat Festival, and the popularity of rural residential tourism on this platform has increased by 78% month-on-month. From a sub-regional point of view, with the epidemic situation in Shanghai under control, the tourism market of the Yangtze River Delta urban agglomeration shows obvious signs of recovery. The heat of Suzhou, Changzhou, Jiaxing, Hangzhou, Wuxi, Ningbo, Zhoushan and other surrounding cities all increased by more than 50% compared with the May Day holiday.
Comments: Shanghai will relax the city closure in June, and it is believed that the upcoming auspicious lunch Festival and summer vacation will help restore travel demand. With the Dragon Boat Festival approaching, the popularity of travel, family visits and other travel gradually warmed up. The same trip offers Dragon Boat Festival travel booking in advance, with hotels enjoying up to 40% discount. In order to better help users choose suitable products, the same trip not only provides users with many preferential activities such as 90% discount on travel, 90% discount on tickets, and advance booking of nearby hotels, but also carefully selects the products of different theme tours, so that users can save worry, effort and money. The upcoming Dragon Boat Festival and summer vacation will help restore travel demand, and the company continues to be ahead of the OTA industry after the outbreak.
3. Leheng Group (06988): southward funds continue to increase their holdings and overseas e-commerce is developing rapidly.
On May 25th, southward funds increased their holdings of 5.537 million shares of Le Hang Group for the fifth consecutive day. As of the close of the day, Hong Kong shares held a total of 176.9352 million shares, accounting for 8.11% of the outstanding shares.
Comments: overseas e-commerce business is an important part of the long-term development strategy of Le Hang Group. The business has been in preparation since early 2021 and has taken the lead in completing model validation and revenue breakthroughs in the industry in the fourth quarter of 2021, with revenue of HK $148 million for that quarter. On the basis of maintaining its first-mover advantage, Lexing Group continues to expand its business scale. In the first quarter of 2022, its overseas e-commerce business achieved sales revenue of HK $512 million, an increase of 245.97% over the previous month; and sales volume of 420400 units, an increase of 290.55% over the previous quarter. According to the announcement, the overseas e-commerce business of Le Hang Group mainly revolves around the content flow recommended by a well-known overseas short video new media platform based on interests, and implements cooperation resources through independent e-commerce supply chains and infrastructure, such as supply, customs clearance, warehousing, logistics, payment, etc., as well as e-commerce independent platform developed by Le Hang Group to build business closed loop. In addition, the state's preferential policies for cross-border e-commerce are also important catalysts.