Incident: As of December 29, the company's chairman, directors, and senior management have increased their holdings of the company by 505,000 shares, accounting for 0.1606% of the company's total shares.
Reviews:
The increase in stock holdings shows the strong confidence of the company's core personnel in future development. This time, Mr. Tang Changming, the company's core employee, chairman and general manager, increased his holdings by 205,000 shares; the core person on the majority shareholder side, Peng Lingjiang, director of the listed company, increased his holdings by 200,000 shares, and Anhua, director and deputy general manager, increased his holdings by a total of 505,000 shares, with a cumulative increase of 22.3 million yuan, and an average increase of 44.16 yuan. At the same time, the company promised not to reduce its holdings within 6 months after increasing its holdings. This increase in holdings reflects the strong confidence of the company's core managers in the future development of listed companies. Caixin Development has successively expanded new businesses such as contract energy and environmental protection, financial services, and business incubation this year, and is expected to build a large-scale comprehensive platform in the future.
After the sharp rise in stock prices, they kept their promise to increase their holdings, reflecting the corporate culture of establishing a business in Xinyi and sharing a shared corporate culture. Caixin Group has always adhered to the business philosophy of “building a business with faith, sharing wealth; following the trend and daring to be the first”, and adheres to the values of sharing and growing together. The company's core personnel chose to increase their holdings after disclosing the high turnover and sharp rise in stock prices, rather than choosing to increase their holdings earlier, which reflects the corporate culture of majority shareholders and listed companies that set up businesses in good faith, sharing and sharing, and highly reflects the attitude of shareholders and management that is highly responsible to investors. Caixin Group is strong and rich in resources, and its business spans many industries such as real estate, environmental protection, finance, and municipal administration. In the future, Caixin Development's strategic position as the sole platform for listed companies under the majority shareholders will continue to be strengthened. At the same time, it will also fully benefit from Caixin Group's extensive resource allocation and strong comprehensive strength.
Investment suggestions: The company's increased shareholding this time shows the strong confidence of the chairman and management in the company's development. The company has always adhered to the business philosophy of establishing a business in Xinyi; the majority shareholders of Caixin Development have obvious local competitive advantages, and rich resources and strong soft power will lead the company's continuous development. We are optimistic about the rapid development of the majority shareholders and their continued strong support for listed companies. The company's EPS for 2015, 2016, and 2017 is expected to be 0.37, 0.47, and 0.55 yuan respectively, and the corresponding PE is 123.0, 96.8, and 82.7 times, respectively, maintaining the “buy” rating.
Risk warning: future sales fall short of expectations.