Conjectures about factors stimulating stock prices have recently seen a sharp rise in Nanjing Port. We visited listed companies and had discussions with relevant company personnel. The company also issued an announcement without significant information at the same time. We infer that the main reason for the recent rise in the company's stock price is: 1. The restructuring of the group company and the continuous fermentation of news introducing strategic investors. 2. Recently, a listed company in Nanjing was backed up, causing the stock price to double, giving the market unlimited room for imagination. However, there are similarities between Nanjing Port and the company: it is located in Nanjing, the main business is not prominent, and the profit level is low. Rumors of shell sales have been rumored before. It's easy to get financial attention. The reform of the Nanjing Port Authority is imperative, and the biggest obstacle comes from personnel placement issues. From the port authority level, there are about 15,000 registered employees plus retirees and internally displaced persons. Of these, there are only 7-8,000 employees on the job. There is serious overstaffing, and they are too old, which has become the most important factor dragging down the Port Authority's profits. It was also an important reason for the Port Authority's losses in 2008. If the personnel placement problem is solved, then the most important problem in the restructuring of the Port Authority will be solved. The personnel placement issue is also the main reason why the Port Authority began restructuring in the fourth quarter of '07 and still cannot be completed. Looking at it now, the decision on the restructuring of the Port Authority is in the hands of the Nanjing Municipal Government. The original intention of the Nanjing Municipal Government in initiating the restructuring of the Port Authority was undoubtedly to hope that the Nanjing Port (Group) would establish a modern enterprise system, improve profitability and management levels, become an important guiding force for the development of Nanjing's local economy, and strengthen Nanjing Port's pivotal position among ports along the Yangtze River. However, as an old state-owned enterprise, the Port Authority has had an overstaffing problem for a long time. To solve this problem, it is necessary to have extraordinary courage, perseverance, and extraordinary measures. We judge that without solving this problem, it will be difficult to achieve the goal of bringing in strategic investors. Of course, the restructuring of the Port Authority also has other problems, such as divestment of non-operating assets, such as jobs in hospitals, schools, management positions, asset revaluation, etc., but they are much easier to solve than personnel placement. If a strategic investor is introduced as a shareholder parallel to the Nanjing Municipal State-owned Assets Administration Commission, the restructuring is most thorough, but the difficulty is still a personnel placement issue. A large number of redundant workers need to be accepted by relevant parties other than the Port Authority, so it is also very difficult. The less resistant method could be to restructure the Port Authority into a port group, but restructure its operating port assets into a company and introduce strategic investors with this company as the main body. The port group can control this company and take responsibility for divestment of redundant workers through profit dividends or holding some non-port operating assets. This kind of restructuring has relatively little resistance and is more feasible. At the same time, it can satisfy the original purpose of the restructuring: improving the efficiency of operation and management, improving the status of the port, etc. The introduction of strategic investors in the restructuring process of the Port Authority is also basically certain: it is conducive to improving the company's management level, supporting the company's business, consolidating and enhancing the status of Nanjing Port as an inland waterway hub port, and is in line with the original purpose of the restructuring. Strategic investors circulating in the market include SIPG Group and COSCO Group. In order to establish a shipping center, one of the strategies of the SIPG Group is the riverside strategy. By holding and participating in the riverside wharf, it cultivates supply to the port, increases the supply of goods, and incorporates the ports along the river into the strategic chain of its shipping center. However, in the battle for control of the port along the river in Jiangsu, SIPG had little success other than participating in a 25% stake in the Nanjing Longtan Container Terminal. We speculate that the main reason is that compared to the upstream port's container business development is lagging behind, the container business development at Jiangsu's riverside port is relatively mature, the operating conditions are good, and the management level is high. They don't want port control to be sidelined, and eventually become a pure feed port. From the perspective of the SIPG Group, the focus of its participation in or control of various riverside terminals is the container business. The SIPG does not have much interest in other businesses at these ports. This also contradicts the goal of local governments to comprehensively develop port business, so the probability of success is low. From the perspective of various local ports, the entry of the SIPG Group is more beneficial to the SIPG Group, but it brings less benefit to local ports. Therefore, relatively speaking, we are more optimistic about Nanjing Port introducing COSCO Group. In recent years, partnerships between ports and shippers have become a trend in the industry. The two are highly complementary: ports can use shippers to bring in supplies, which is conducive to the growth of port business volume, and shippers can obtain stable handling services. COSCO Group recently made significant gains at Jiangsu's riverside ports: in addition to Nanjing, it also has joint container terminals in Zhangjiagang and Yangzhou. It is undeniable that whether it is COSCO Group or SIPG, the two companies place more importance on container business. However, in addition to container transportation business, COSCO Group also has dry bulk and oil transportation business, which may also bring other business cooperation opportunities to Nanjing Port. Furthermore, the status of COSCO Group as a central enterprise is also highly valued by the Nanjing Municipal Government. Therefore, we believe that as far as introducing strategic investors is concerned, COSCO Group is more suitable for Nanjing Port. However, if the restructured Nanjing Port introduces multiple strategic investors, it may include both the COSCO Group and the SIPG Group. Just like both companies are currently participating in the Longtan Container Terminal. As far as the current main business of listed companies is concerned, whether it is group restructuring or the introduction of strategic investors, it has little effect on the current performance of listed companies: the crude oil business in the company's main business has been impacted by pipelines, and decline is inevitable, and no matter who enters, it cannot be recovered. The container business has good prospects for future development, but both SIPG Group and COSCO Group already hold shares in Longtan Container Terminal Company. After strategic investors came in, they had little driving effect, and more growth came from natural growth. The return on investment enjoyed by the company should also grow naturally. What we can think of that is more beneficial to listed companies is that the profitability of the Port Group's assets has increased after restructuring and introducing strategic investors, and in the future, these assets will be injected into listed companies, thereby increasing the performance of listed companies. However, judging from now on, it is too early to make such a judgment. For the Nanjing Municipal Government, which is the ultimate controller, the Port Authority is currently in the process of restructuring and introducing strategic investors. It is unlikely that they will rashly sell the shell resources of Nanjing Port at this time: first, listed companies can still maintain profits, and there are no concerns about delisting. Second, if the port is to drive the local economy, it is extremely important to preserve financing channels in the securities market, and rashly selling shell resources is not a wise move. However, the decision to sell shell resources of a listed company lies with its actual controller - the local government. Through company research alone, we cannot completely rule out the possibility of selling shell resources. Analysis of the operating conditions of listed companies Since Sinopec's riverside crude oil pipeline was put into operation, the company's crude oil business has been severely impacted. The crude oil business volume has declined from nearly 20 million tons during the peak period to 4.46 million tons in 2008. However, in this case, the crude oil business is still the company's main commodity, with revenue of 76 million yuan in 2008, accounting for 57% of the company's main business revenue. Currently, the company's crude oil business is Haijiangjiang crude oil. According to our understanding, the company's current crude oil business may be further impacted. After solving some technical problems, the future Ningbo-Shanghai-Nanjing pipeline may increase crude oil delivery volume, leading to a further decline in the company's crude oil business. The company's refined oil products and liquid chemical business is relatively stable. As a result, the company's main business may shrink further in the future. In 2008, due to high management expenses, it accounted for 32% of the main business revenue, causing the company's main business to be at a marginal profit level. The company's net profit in 2008 was 1.09 million yuan, including an investment income of 7.5 million yuan, accounting for 62% of net profit. Meanwhile, the investment income from the Longtan container terminal was 10.58 million yuan, accounting for 88% of the company's net profit. The company's main business has seriously shrunk. In the future, it is expected that the company's profit will still mainly depend on the investment income of the Longtan Container Terminal. In the first five months of '09, Nanjing Port's container throughput was 460,000 TEU, a year-on-year decrease of 6.2%. The company's investment income from container companies is expected to decline in 2009. Considering that business will resume in the second half of the year, we expect the company's earnings per share to be around 0.05 yuan in 2009. In 10 years, profits are expected to increase slightly as investment returns increase. Investment proposals have little impact on the performance of listed companies because the company's stock price fluctuations are mainly conceptual speculation. We are not giving investment ratings to companies at this time. Investors with low risk tolerance are not recommended to rashly enter. There may be benefits in the short term, but the risk of stock price fluctuations is greater, and it is more difficult to operate.