Risks of major shareholders reducing their holdings: Assessing investor confidence has a huge impact
Original title: The source of risk for major shareholders to reduce their holdings: Beijing Business Daily A shares continued to rise, and individual stocks were also rising.
However, several stocks with large gains recently released shareholder reduction plans, such as Jingfang Technology and Suzhou Gujing.
Investors should be more cautious about stocks that have fluctuated in gains and accompanied by major shareholder reductions.
The stock has surged, and it is reasonable for major shareholders to reduce their holdings, but it is a heavy blow to investor sentiment, especially for those companies that have shown a growing trend and are at a high level. The announcement of a major shareholder’s reduction is no different.On a sunny day, investors will make more analysis and speculation.
The most direct impact is the huge impact of investor confidence.
The reason why many strong stocks can be powerful is that investors’ enthusiasm for trading has risen in a certain period of time. Institutions, hot money, and small and medium-sized investors have collectively joined in, and drums and flowers have led to a high pace.
However, after the announcement of the major shareholder’s reduction of shares, various investment forces will inevitably diverge, especially for those bull stocks that have already gained a lot. Institutional investors usually choose to make a profit out of stable principles.This may disrupt the market’s hype and force the bull market to lose its 北京夜网 foundation for continued upward movement.
In fact, major shareholders will reduce their shareholdings within 6 months from the 15 trading days after the announcement. Correspondingly, after the announcement, major shareholders of listed companies will not immediately reduce their holdings, leaving a certain empty window for the market.period.
During this period, there may be funds to make the final profit settlement, resulting in a certain pressure on the company, which needs to attract investors’ attention.
It is also important to note that until major shareholders have not completed the reduction, there is almost no funds to pay attention to the target company again.
Many large shareholders ‘stocks are reduced. During the period when the large shareholders’ true holdings are relatively stable, some of them may decline slightly, but there are very few unusual rises. This is because there is no capital willing to give large shareholdersLift the sedan.
After all, if the major shareholders reduce their holdings, going to hype to raise a stock will mean paying more capital costs, and at any time, they will face the risk of being hit by the major shareholders’ reduction of shares.
In addition, major shareholders’ reductions in stock holdings may also be understood by investors as the company was not cheap.
Because if the major shareholders really believe that the listed company has investment value, the income can outperform the loan interest rate, and there is a need for funds, then the best strategy for the major shareholders is not to reduce their holdings, but to allocate equity mortgage loans, orObtaining funds directly from listed companies in the form of cash dividends can maximize their own returns. There may be many reasons for major shareholders to reduce their holdings, but one of the inevitable ones is that the major shareholders believe that they are already overvalued.
Of course, there is also an extreme situation, that is, stocks that have been expected to reduce their holdings by shareholders have risen against the market. This has indeed occurred, but such stock investors should preferably stay away. After all, unconventional operations are usually not ordinary.Among them, the fact that the suspected violation of laws and regulations cooperates with the large shareholders’ high price reductions will face great investment risks.
This column advises investors that for companies with major shareholder reduction plans, investors should be cautious regardless of whether the reduction has been completed. Unless there is a solid reason to believe that this stock is worth buying, investors should still do their bestChoose companies with relatively stable holdings of major shareholders for investment.
Beijing Commercial Daily commentator Zhou Kejing