Track the latest trends of north-south directional funds.
On July 26, northbound funds net sold 34.9 billion yuan of A-shares, net sold for the fourth consecutive day. Among them, the net sales of Shanghai Stock Connect was 44.3 billion yuan, and the net purchase of Shenzhen Stock Connect was 94.67 million yuan.
Among the top ten traded stocks, Kweichow Moutai, Naura Technology Group, and Contemporary Amperex Technology were net sold 0.53 billion yuan, 0.258 billion yuan and 0.213 billion yuan respectively.
Gree Electric Appliances, Midea Group, and Haier Smarthome were respectively net purchased 0.52 billion yuan, 0.443 billion yuan, and 0.187 billion yuan.
Today, southbound funds net purchased 8.773 billion Hong Kong dollars for Hong Kong stocks. Among them, Hong Kong Stock Connect(SH) net purchased 4.881 billion Hong Kong dollars, and Hong Kong Stock Connect(SZ) net purchased 3.892 billion Hong Kong dollars.
Net purchases of Tracker Fund of Hong Kong 6.01 billion, Hang Seng H-Share Index ETF 1.248 billion, CSOP Hang Seng Tech Index ETF 1.039 billion, Tencent 0.528 billion, and East Buy 0.18 billion; Net sales of China Mobile 0.904 billion, and China Construction Bank Corporation 0.716 billion.
Individual Stocks Concerned: China Mobile: On the news front, Goldman Sachs issued a research report stating that the company's management maintained its expectations for stable growth in revenue and profit in 2024. Due to increased R&D and marketing expenses for enterprise business (cloud, artificial intelligence, industrial internet, etc.), EBITDA profit margin continued to show a downward trend, but the slowdown in depreciation costs helped support the trend of stable net profit margin. The management believes that the dividend payout ratio can be increased from 71% to the target of 75% in 2026. Goldman Sachs believes that stable business growth and steady capital expenditures should help China Mobile gradually increase its dividends. Chinahongqiao:
Kweichow Moutai: An Everbright research report pointed out that with the feedback from the leading shareholder's meeting, the industry is expected to develop in a benign manner, and growth quality is more concerned by liquor companies. Although the recovery of demand still needs time, the leading liquor companies still maintain a relatively stable market order. Combined with the approaching interim reporting period, some liquor companies still have a high degree of performance realization and operational quality, and valuation is expected to gradually stabilize.
Gree Electric Appliances, Midea Group, and Haier Smarthome: On the news front, the NDRC and Ministry of Finance issued a notice on "several measures to support large-scale equipment updates and old-for-new replacements of consumer goods", proposing to coordinate the arrangement of about RMB 300 billion of ultra-long-term special national debt funds to support large-scale equipment updating and old-for-new replacements of consumer goods.
CICC stated that there are two changes worth noting in this fiscal boost. First, compared with similar support measures in the past, the central finance has increased its share of the proportion of support. Second, ultra-long-term special national debt not only supports investment (equipment updates), but also supports consumption (old-for-new replacements of consumer goods). The policy boost effect of automobiles and home appliances is the focus of attention.
Materials of the companies of North Water
Tencent: On the news front, recently, the attention was aroused by 'the volume of WeChat has expanded 575 times in 11 years'. In January 2011, when version 1.0 was released, the WeChat Android APK installation package was only 457KB, but 11 years later today, its installation package has reached 257MB, which has surpassed many PC software and expanded 575 times. Some netizens said that although it is called 'WeChat', it occupies the storage space of the mobile phone like a giant. Even if you change to a 1TB phone, the proportion of WeChat's storage space will still rise with it. Therefore, some netizens jokingly call WeChat 'Giant Message'.
East Buy: On the news front, yesterday, Dongfangzhixuan announced the resignation of Dong Yuhui. On the afternoon of July 26th, East Buy held an online shareholder communication meeting. Yu Minhong responded to questions such as whether Dong Yuhui resigned due to insufficient treatment, and why he wanted to distribute the remaining profit of 0.14 billion yuan to Dong Yuhui and others. He said that New Oriental will not participate in the same competition with Yuhui in the future.
China Mobile: CICC released a research report stating that the high dividend style that has led the way since the beginning of the year has recently experienced an obvious correction, once again sparking discussions in the market about whether the high dividend factor has 'extinguished'. We believe that the recent correction in the seemingly high dividend sector may not necessarily be attributed to the dividend factor itself, but more to industry factors; after experiencing a large rise, the high dividend factor is temporarily cautious due to some retracements caused by rotation, and we suggest caution when the dividend yield is less than 4% (less than 5% for Hong Kong stocks); when screening for high dividends, it is necessary to focus on profitability and dividend ability, rather than simply high or low dividend yields, therefore, targets with stable profitability and strong follow-up dividend capability may provide better layout opportunities in recent fluctuations.
China Construction Bank Corporation: HSBC Research released a research report stating that major mainland banks have recently lowered deposit interest rates, which is surprising. Although the interest rate of demand deposits is already at a low level, there is still room for downward adjustments, and the adjustment range of fixed-term deposit interest rates of 2 to 5 years even exceeds the downward adjustment range of LPR. Therefore, the expected transfer of deposit costs brought about by the LPR may be raised from the originally expected 25% to nearly 50% to 100%.