The Financial Services Association reported on January 30 that yesterday, the market fluctuated and adjusted throughout the day. The GEM index fell more than 3% to a new adjusted low, and the Shanghai index rushed back to 2,900 points. The turnover of the Shanghai and Shenzhen markets was 805.2 billion yuan, down 23.5 billion from the previous trading day. By the close, the Shanghai Index was down 0.92%, the Shenzhen Index was down 2.06%, and the GEM Index was down 3.49%. Northbound Capital sold a net sale of 592 million dollars throughout the day. US stocks opened higher and the three major indices collectively closed higher. The NASDAQ rose 1.12%, continuing to hit a new high since January 2022; the S&P 500 index rose 0.76%, and the Dow rose 0.59%.

At today's brokerage morning meeting, CICC believes that it is concerned about opportunities to increase the localization rate of medical devices; CITIC Construction Investment pointed out that the future of the cross-border e-commerce industry has great potential; and Guotai Junan said that it is concerned about undervalued consumption of blue-chip stocks.

CICC: Focus on overseas exports of medical devices and opportunities to increase the localization rate

CICC believes that it is recommended to focus on overseas exports and opportunities to increase the localization rate. Domestic health policy reforms usually start with pharmaceuticals, then consumables, and then test. The main investment ideas in the innovative pharmaceutical sector in the past few years can provide some forward-looking guidance for subsequent investment in other sectors. The rise in domestically produced innovative drugs in high-grade hospitals and the introduction of innovative drugs mentioned repeatedly in the next few years may indicate that in the next few years, the localization rate of high-grade hospitals will increase and exports of excellent products are expected to accelerate in the next few years. Combined with uncertain global economic growth expectations, whether in China or the “Belt and Road countries,” high-quality and inexpensive Chinese manufacturing may be more cost-effective. We believe this represents an opportunity to increase the localization rate in the domestic market and speed up exports overseas.

Guotai Junan: Focus on undervalued consumer blue-chip stocks

Guotai Junan believes that consumer blue-chip stocks have experienced continuous adjustments, and some high-quality individual stocks are already clearly in a state of excessive decline, showing typical “undervalization+high dividend characteristics. Defensive attributes and investment value are prominent. If the macroeconomy recovers beyond expectations in 2024, consumer blue chip stocks are expected to double hit the Davis market. Key recommendations: undervalued high-score dividend labels.

CITIC Construction Investment: Cross-border e-commerce industry has great potential in the future

CITIC Construction Investment said that the cross-border e-commerce industry: the industry has entered a new stage of experience cycle and is strongly supported by national policies. Affected by the epidemic, demand and costs of cross-border e-commerce experienced large fluctuations in 20-22. Overseas demand experienced a cycle of “rapid growth and inventory removal”. The cost side was affected by high shipping prices and advertising costs, and the decline in profits in the 20-22 industry led to the liquidation of some enterprises. Beginning in '23, the cross-border e-commerce industry gradually entered the “right track”. On the one hand, as overseas demand grew with the recovery of platforms such as Amazon after the “inventory removal” stage ended, and the industry's logistics and advertising costs gradually returned to a relatively moderate level, profits in the cross-border e-commerce industry were gradually released under the catalyst of demand growth and cost stability; on the other hand, after the industry experienced a cycle, many companies coped with the overseas market environment by changing their previous business strategies or adopting new models. For example, Saiwei reduced inventory risk by reducing overseas warehouse preparation, and Temu adopted a brand new model. The fully managed e-commerce model, the “pre-supply chain” model adopted by Dajian Cloud Warehouse, etc.; in addition, the cross-border e-commerce industry has received strong support from national policies. In terms of breadth, the cross-border e-commerce demonstration zone has spread to 31 provinces across the country. In depth, there is policy support from various aspects such as overseas warehouses, import and export, and tax refunds. Currently, the country's excellent cross-border e-commerce demonstration zones such as Guangshen and Zhejiang already have a large industrial scale. We believe that the cross-border e-commerce industry has great potential in the future, and fields such as the platform side, supply chain, and logistics side will further prosper.