China Evergrande Group spent a total of four days from rumored to have broken the capital chain, shorted by hedge funds, and released sales data to show that the stock price rebounded sharply.

Today, Evergrande has become the "prettiest boy" in Hong Kong stocks. As of press time, China Evergrande Group has soared by more than 20%. Behind the surge, it has something to do with Evergrande's "strong support" from JPMorgan Chase & Co, Lyon, Deutsche Bank and other major international investment banks.

What happened to Evergrande?

Let's get this straight:

On the afternoon of September 24, some articles about Evergrande's restructuring went viral on different platforms. Evergrande has been pushed to the forefront of the storm. Two or three hours later, Evergrande refuted the rumors on its website and on the Hong Kong Stock Exchange, saying that the documents circulated online were rumors and that Hong Kong documents and screenshots were fabricated and defamed.

However, capital markets are not buying it. On the 25th, real estate-related plates were plummeted, real estate stocks plummeted, and a number of decoration stocks fell to the limit. China Evergrande Group, China Evergrande New Energy Vehicle stocks and Evergrande-related bonds are the phenomenon of double killing of stocks and debt.

On the evening of the 25th, Evergrande once again pointed out that China Evergrande Group was maliciously shorted by foreign institutions and released the latest sales data.

Just won the "support" of six major investment banks.

At a time when Evergrande was pushed to the forefront of public opinion, just now, JPMorgan Chase & Co, Deutsche Bank, Lyon, Galaxy Lianchang Securities, Huatai, DBS Bank and other top international investment banks issued announcements to "support".

Among themDeutsche Bank"Evergrande's huge high-quality land reserves and strong execution will ensure that it achieves its 800 billion internal control sales target, and it is expected that at least half of the 130 billion battles will continue to cooperate, and this adjustment will bring a good opportunity to increase its holdings," he said. "

JPMorgan Chase & CoIt said the market had overreacted to the rumors and Evergrande was expected to reach a consensus with strategic investors. Given the market reaction, Evergrande's bond valuations are extremely attractive.

Galaxy LianchangEvergrande's bright sales and operations, coupled with the spin-off of property and cars, have helped ease concerns about its liquidity and default risk, with a target price of HK $20.6, with a potential increase of about 50 per cent, according to a research report.

Galaxy Lianchang expects Evergrande sales to continue to maintain strong growth.The whole year is expected to exceed 800 billion.The cash flow is further strengthened; the listing of both property and cars will significantly reduce the net debt ratio by 50 percentage points; in addition, with the significant reduction in land purchases, Evergrande's net debt is expected to fall below 100% in 2021.

DBS BankAccording to the analysis of the release report, Evergrande's sales will reach 700 billion yuan in 2020, with a payback rate of 90%, that is, about 630 billion yuan for the whole year. DBS believes that the sharp correction in Evergrande's share price a few days ago is mainly due to short selling. Evergrande's strong sales, coupled with the potential for renegotiation between Evergrande and strategic investors, will trigger short covering and a rebound in share prices.

LeonWhile fake news may raise concerns about liquidity, possible restructuring delays will have a limited impact on cash flow, according to the study.

Lyon said that Evergrande has developed relevant debt reduction plans, coupled with various equity financing in property management, automotive and other businesses, it is believed that the company has a strong ability to deleverage and will do even better than the market expected. Share price volatility provides a good buying opportunity for investors, reiterating Evergrande's buy rating with a target price of HK $23.

September twenty _ seventhDeutsche BankIssue a report on the latest operating situation announced by Evergrande. In its report, Deutsche Bank said Evergrande had begun to rein in land reserve spending in the second half of the year. Overall, we believe that Evergrande 2021 and 2022 dollar bonds have been overrevised, this is an opportunity to increase holdings.

HuataiIt is also believed that Evergrande has a strong sales and rebate performance, and it is predicted that the split listing of cars and properties is expected to bring 50 billion cash flow, and the financial situation will be further protected.

A few days ago, he just revealed his family background.

Interestingly, at a time when the stock price plummeted a few days ago, the "family background" of Heng Dalian was revealed a few days ago.

On the evening of September 25, Evergrande issued an announcement on core operating data, giving "reassurance" to the market.

The announcement shows that Evergrande achieved a substantial increase in sales and rebates during the year, and achieved remarkable results in reducing liabilities. The specific information is as follows:

Interest-bearing liabilities decreased by 53.4 billion yuan in half a year. As of Sept. 24, Evergrande's interest-bearing liabilities were down 53.4 billion from the end of March, financing costs were down 2.24 percent, and loans due after Sept. 25 were repaid ahead of schedule, totaling 43.5 billion.

It sold 504.9 billion yuan and returned 452.1 billion yuan during the year. As of September 24, Evergrande's sales were 504.9 billion, up 11.4% from the same period last year, and the sales rebate was 452.1 billion, up 51.3% from the same period last year.

Gold nine silver ten target sales of 200 billion. Evergrande is now offering national real estate concessions, and plans to achieve a total of 200 billion yuan in sales in September and October, if achieved smoothly, it is expected to achieve the annual sales target of 650 billion in advance.

In addition, the announcement shows that in the 24 years since its establishment, Evergrande has borrowed a total of 20523 loans, and there has never been any late payment of interest or late repayment of principal. In addition, Evergrande's cash flow is good, with a cash balance of 204.6 billion yuan as of the end of June. In addition, there are a total of 866 projects under construction throughout the country, all of which are under construction normally.