Affected by malicious shorting, the stock price of China Evergrande (03333) changed on September 25. Evergrande quickly responded to this and clarified the rumor and revealed a number of strong indicators, which can be seen that the company is operating steadily and financially healthy. The move was well received by J.P. Morgan.

J.P. Morgan said that the market reacted excessively to the rumor and it is expected that Evergrande will reach a consensus with strategic investors. Considering the market reaction, the current valuation of Evergrande bonds is extremely attractive.

In addition to the strong support of J.P. Morgan Chase, several industry insiders recently said that Evergrande is expected to further reduce corporate leverage with its steady operating conditions and continued strength in diverse businesses such as automobiles and properties. Currently, Evergrande's stock price has been adjusted, which is a good opportunity for investors to take advantage of the low price to absorb it.