① According to incomplete statistics, in the first half of 2024, 48 A-share listed companies plan to exceed 400 million yuan (attached table); ② Tongwei shares ranked first with a maximum repurchase amount of 4 billion yuan; ③ 11 shares including SF Holdings announced their repurchase plans twice during the year (attached table).
Finance Association, June 30 (Editor Xuan Lin) The A-share buyback boom surged in the first half of 2024. According to incomplete statistics from the Financial Federation, including Jiu'an Medical, Gloria, Weir Shares, Yao Ming Kangde, Sany Heavy Industries, San'an Optoelectronics, SF Holdings, Dazu Laser, Artes, Hisense Vision, Longji Green Energy, Follett, Mingyang Intelligence, Juhe Materials, Lanqi Technology, Haitong Securities, Nanshan Aluminum, Yabao Pharmaceutical, Haiguang Information, Smart Biotech, Sany Heavy Energy, Sunwoda, Jucan Optoelectronics, China Micro Corporation, No. 9 Company, Shanshan Co., Ltd., Antu Biotech, Wanye Enterprise, BYD, Hangjin Technology, Forty-eight listed companies, including Huaqin Technology, 3D Co., Ltd., Kangenbei, Shandong Steel, and Xinlian Integration, announced their intention to repurchase shares with a maximum repurchase amount exceeding 400 million yuan. The details are shown below:
Among them, the first quarter (period from January 1 to March 31) includes Jiu'an Medical, Gloria, Weir Co., Ltd., Yao Ming Kangde, Sany Heavy Industries, San'an Optoelectronics, SF Holdings, Dazu Laser, Artes, Hisense Vision, Longji Green Energy, Follett, Mingyang Intelligence, Polymeric Materials, Lanqi Technology, Haitong Securities, Nanshan Aluminum, Yabao Pharmaceutical, Haiguang Information, Zhifei Biotech, Sany Heavy Energy, Sunwoda, Jucan Optoelectronics, China Micro Corporation, Jiushan Shan Co., Ltd., Antu Biotech, Wanye Enterprise, BYD, Hangjin Technology, Huaqin Technology, 3D Co., Ltd., Kangenbei, Shandong Steel, and Xinlian Thirty-five listed companies, including those, disclosed repurchase plans, and the maximum repurchase amount exceeded 400 million yuan. For details, see Financial Association's previous report “More than 1,000 A-share listed companies disclosed repurchase plans in the first quarter! The maximum repurchase amount of 35 shares is planned to exceed 400 million, and 4 listed companies including Dongfang Wealth plan to cancel more than 50 million shares”.
▌Tongwei Co., Ltd. plans to have the highest maximum repurchase amount Kanglong Chemical and others disclose cancellation-style repurchase plans including SF Holdings and other two-sale repurchase plans
Among the listed companies that have disclosed repurchase plans so far on April 1, silicon and battery leader Tongwei Co., Ltd., with a total market value of 86 billion yuan, has the highest maximum repurchase amount, reaching 4 billion yuan. Tongwei Co., Ltd. announced on April 29 that it plans to repurchase shares for 2 billion yuan to 4 billion yuan. The repurchase price will not exceed 36 yuan/share for employee stock ownership plans or equity incentives. According to the latest announcement, as of June 28, Tongwei Co., Ltd. had repurchased a total of 49.262 million shares, accounting for 1.09% of the company's total share capital, with a repurchase amount of 1,037 billion yuan. However, in the secondary market, the stock price of Tongwei shares is still falling, with the biggest cumulative decline of 68% since its all-time high in July 2022.
Zeng Duohong of Dongwu Securities and others said in a research report on May 24 that, benefiting from the advantages of quality and finished products, Tongwei's 2024Q1 shipment of 100,000 tons of silicon (equity of about 75,000 tons) remained flat. The company's silicon production capacity will expand to 80-1 million tons in 24-26, and N-type costs will be reduced to less than 40,000. The cost advantage has been further strengthened, and the leading position is stable. In terms of batteries, the company's 2024Q1 was affected by price fluctuations and P-type transformation, and shipped about 16 GW, of which TNC was about 7.9 GW. At the end of 2024Q1, the mass production efficiency of TNC batteries reached 23.26%. Non-silicon was reduced by 0.16 yuan/W, and efficiency and cost were significantly improved. It is expected that TNC battery production capacity will exceed 100GW by the end of '24, and the production capacity structure will remain leading. Based on increased competition in the industry, profits in the entire industry chain are under pressure, prices continue to bottom out, and Tongwei's profit forecast for 2024-2025 was lowered. Net profit in 2024 is expected to drop 76.92% year-on-year.
Tianhe Solar, an overall solution provider for optical storage systems, also in the photovoltaic industry, announced on June 25 that it plans to repurchase shares worth 1 billion yuan to 1.2 billion yuan to convert corporate bonds issued by the company that can be converted into shares. The repurchase price is no more than 31 yuan/share. In the secondary market, the biggest cumulative decline in Tianhe Solar's stock price since its all-time high in August 2022 has reached 80%. Han Chen of Southwest Securities and others said in the May 9 research report that Tianhe Solar lays out N-type silicon rods and slices upstream to improve vertically integrated production capacity and add N-type TopCon technology. The collaborative development of photovoltaic, distributed, scaffold, and energy storage businesses, and the integrated energy storage layout to build cost competitiveness, are expected to become a new growth point for the company.
Zhang Lei of Zheshang Securities and others said in the research report “2024: Photovoltaics in the New Mid-Term Strategy for the New Power Generation: Bounce the Clouds and Wait for the Dawn” research report released on June 26. Although the profitability of all segments of the main PV industry is currently under pressure, all links are already at the bottom of the price range. As terminal demand continues to be released and inventory levels continue to decline, the fundamentals of PV fundamentals are expected to stabilize, and the fundamental inflection point is expected to accelerate after supply and demand reach a new balance.
Yili Co., Ltd., a leading dairy product company with a total market capitalization of over 160 billion yuan, has the second highest repurchase amount, reaching 2 billion yuan. Yili Co., Ltd. announced on April 29 that it plans to repurchase shares for 1 billion yuan to 2 billion yuan. The repurchase price will not exceed 41.88 yuan/share. All of them will be cancelled and the registered capital of the company will be reduced. According to the latest repurchase progress announcement, as of June 12, Yili Co., Ltd. had repurchased 2.695 million shares, with a cumulative repurchase amount of 72.693 million yuan. Liu Peng of Great Wall Securities and others said in a research report on May 9 that Yili Co., Ltd. plans to achieve revenue of 130 billion yuan in 24 years, an estimated increase of 3.0% over the previous year, and plans to achieve a total profit of 14.7 billion yuan, with a steady target. Looking at the breakdown, liquid milk is expected to stabilize in the second half of the year. The milk powder and dairy products business is expected to benefit from the increased concentration of the baby powder industry and the development of the adult nutrition industry, while the cold drink business is expected to maintain rapid growth; on the profit side, the product structure is expected to improve while the cost dividend continues during the year. An increase in gross margin can be expected, while sales expenses are invested rationally, and overall profitability is expected to further improve.
Hengrui Pharmaceutical, an innovative drug leader with a total market value of nearly 250 billion yuan, announced on May 15 that it plans to repurchase shares for 600 million yuan to 1.2 billion yuan. The repurchase price will not exceed 67.38 yuan/share for employee stock ownership plans. According to the latest repurchase progress announcement, as of June 20, Hengrui Pharmaceutical had repurchased 370,000 shares, with a cumulative repurchase amount of 1,5453 million yuan.
Hengrui Pharmaceutical recently announced that it will license the GLP-1 product portfolio with independent intellectual property rights to Hercules of the United States for a fee. The company has obtained 19.9% of Hercules's shares and license fees for the GLP-1 product portfolio. Wu Yunfei of Orient Securities said in a May 20 research report that Hengrui Pharmaceutical has continued to have good news about granting external rights since '23. A total of 5 foreign licensing transactions have been reached in 23, totaling more than 4 billion US dollars. Intensive implementation of overseas licenses shows that the company's R&D strength is already globally competitive, new breakthroughs have been made in the quality and speed of innovative drug development, and the internationalization process will accelerate. In addition, Hengrui Pharmaceutical's innovative R&D pipeline layout is comprehensive. Subsequent products under development, such as GLP-1 and ADC, are expected to be approved for listing within the next 1-3 years, driving the company's new round of performance growth.
Beijing-Shanghai High Speed Rail, a leading railway passenger transport company with a total market value of over 260 billion yuan, announced on May 30 that it plans to repurchase shares for 1 billion yuan. The repurchase price will not exceed 5.87 yuan/share to cancel and reduce the company's registered capital. Luo Yali of Haitong International said in a May 8 research report that as a transportation corridor and economic bridge connecting the north and south, the Beijing-Shanghai High Speed Rail has gold line assets, which has built a good foundation for steady growth in performance. As the company's transportation business resumes and develops, combined with the strategy of “increasing revenue, saving expenses and reducing consumption”, gross margin is expected to increase steadily. Furthermore, the marketization of ticket prices will contribute flexibility to the main line business, and the continuous improvement of the high-speed rail network will contribute to the increase in cross-line business.
In addition, in addition to Yili Co., Ltd. and the Beijing-Shanghai High Speed Rail, according to incomplete statistics, A-share listed companies that have disclosed cancellation repurchase plans so far on April 1 include Kanglong Chemical, Langxin Group, Xishan Technology, Liqun Co., Ltd., Orchid Science and Technology, Glei, Xinzhoubang, Yixintang, Dahui, International Medicine, Jinlei Co., Ltd., Hailu Heavy Industries, Tianmao Group, *ST Longyu, Sichuan Meifeng, Tianchou Energy, Zhongnan Culture, Huaru Technology, Jialinjie, Guoli Co., Ltd., and Exploration Co., Ltd. Construction Research Institute, Titan Technology, *ST Weidi, and Fenghuo Electronics. See the picture below for details:
Notably, SF Holdings, a leading integrated logistics company with a total market capitalization of over 170 billion yuan, disclosed the repurchase plan twice in the first half of the year. Following the announcement on January 30 that it plans to repurchase shares of 500 million yuan to 1 billion yuan to cancel and reduce the registered capital, SF Express Holdings also issued an announcement on April 29 on the 2024 Phase 2 share repurchase plan. It plans to use 500 million yuan to 1 billion yuan to repurchase shares. The repurchase price will not exceed 53 yuan/share for future employee stock ownership plans or equity incentive plans. In addition to SF Holdings, according to incomplete statistics from the Financial Federation, in the first half of this year, 10 A-share listed companies, including Zhuoyi Information, Xinpeng, Yao Ming Kangde, Yubang Electric, Jingwei Hengrun, Reed Intelligence, Tianchuang Fashion, Happy Home, Ruo Yu Chen, and Pathfinder, revealed their repurchase plans twice. See the chart below for details:
