Shanghai Airport this listed company is recognized as a good company, the stock price is also year after year to hit a new high, many ordinary investors also want to buy the stock, but because the stock price is too high, always out of reach, I am one of them, I have a certain study of Shanghai Airport, in the process of research, I also realized that this company is a good company, but due to the high stock price, I have never made up my mind to start.
In August 2019, the share price of Shanghai Airport reached more than 88 yuan per share, just when people thought that the stock price would continue to rush to the 100 yuan mark, the new crown epidemic began to spread around the world, under the influence of the epidemic, the stock price of Shanghai Airport began to continue to **, the stock price fell from 88 yuan per share to around 36 yuan per share in August 2021, and the stock price of Shanghai Airport ** increased by about 60% in two years.
Especially at the beginning of February 2021, after Shanghai Airport issued an announcement on the pre-loss of 2020 annual results, the stock price fell two times in a row, and the stock price fell directly from about 80 yuan per share to below 60 yuan.
In fact, the performance loss is very understandable. In the case of the epidemic, people's travel has been restricted, and the passenger flow of the airport has been greatly reduced.
When I saw the Shanghai Airport with the stock price **, I was secretly glad that I didn't buy this **, otherwise there would definitely be a sharp loss at this time. In the days that followed, I didn't pay any more attention to the stock price of Shanghai Airport.
Editor: In June 2021, a news about the reorganization of Shanghai Airport and Hongqiao Airport caught my attention.
One of the purposes of this reorganization is to solve the competition in the same industry, such as the business that Hongqiao Airport can do in the past, because there are restrictions, Shanghai Airport can not do it, and now this problem is solved through reorganization, which can greatly enhance the resource integration of the two airports, and the meaning behind it is not only to solve the competition in the same industry, break through the policy restrictions, but also to enhance the profitability of Shanghai Airport and Hongqiao Airport and the integration effect of each other.The news of the reorganization of Shanghai Airport has shifted my attention to the "Shanghai Airport".Due to the black swan event of the epidemic, the performance of Shanghai Airport has been greatly affected, and will face more uncertainties, such as cross-border duty-free, indoor duty-free, etc., this restructuring has brought about the diversification of the company's business, such as logistics business, domestic business, etc., compared with the past single overseas and duty-free business, the company's overall anti-risk ability has been greatly improved, which is still in uncertainty in the future Pudong Airport is a great benefit.
Some people see the restructuring news as good, some people see it as negative, during the suspension of trading, people are talking about the restructuring news, after the opening of the Shanghai airport's stock price, did not stop because of the restructuring news**, in August 2021, the share price of Shanghai Airport fell below 40 yuan, the lowest to 36 per share$6. From 80 yuan per share to 37 yuan per share, the stock price fell by 60%, if I was afraid to buy at 80 yuan per share because of the high stock price, then now Shanghai Airport is in trouble because of the epidemic, and the stock price is relative to 80, and the ** of 37 yuan can already be bought.
If you don't buy it at this time, you will regret it for a lifetime, the current performance of Shanghai Airport is not good, because of the epidemic, the main business of Shanghai Airport is roughly divided into two categories:
The first is the aviation business, which accounts for 42 percent of total revenue62％The most down-to-earth and fulfilling thing is the "advance receipt" in the financial data of Shanghai Airport, and the following data is the advance collection data in recent years:It is a business that is directly related to the airline. That is, the various fees paid by airlines and passenger planes for each flight at the airport. This increase is mainly related to the number of aircraft movements and passenger throughput. However, due to the control of the Civil Aviation Authority. Shanghai Airport does not have pricing power. Gross profit and net profit. higher than other listed airport companies. Part of the reason is that Shanghai Airport accounts for more than 50 outbound passengers, and according to the charging policy of the Civil Aviation Administration, the aviation business charges for the corresponding routes are higher than those for domestic consumption. So in terms of **, Shanghai Airport has an advantage.
The second is non-aeronautical business, which accounts for 57% of total revenue38％
It is the business of opening shops in various airports, renting shops, renting offices, renting counters, etc. Because the airport is a place with a lot of traffic. With the continuous increase in passenger throughput, that is, the continuous growth of passenger flow, it will drive the commercial development of the airport. Shops will become more and more expensive to rent, and the spending intensity of customers will also increase. Let's just look at the business as a percentage of operating income. The proportion of non-aeronautical business has increased from about 30 at the beginning. That's 5738％。From this, we can see that in fact, the income from flying aviation is.
In 2016, the advance payment of Shanghai Airport was 004.6 billion yuan;
In 2017, the advance payment of Shanghai Airport was 003.2 billion yuan;
In 2018, the advance payment of Shanghai Airport was 003.1 billion yuan;
In 2019, the advance payment at Shanghai Airport was 0$1.4 billion;
In 2020, the advance payment of Shanghai Airport is 1$3.2 billion;
In 2021, the advance payment at Shanghai Airport is 2600 million yuan.
In Buffett's investment philosophy, he always likes to see more and more amounts of advance receivables. Advance receivables are the payments received in advance from the party purchasing goods or services in accordance with the provisions of the purchase and sale contract, reflecting the future operating income of the enterprise.
More pre-receivables means that the company's sales are good, and the market has a greater demand for the company's goods. At the same time, as an interest-free short-term fund, the company's advance accounts receivable can be used free of charge before the enterprise delivers the goods, which can be regarded as borrowing other people's chickens to lay eggs.
Although Shanghai Airport has suffered a lot of losses in its aviation business during the epidemic, its advance collection has shown a continuous phenomenon, which reflects from the side that Shanghai Airport is still an excellent company, at present, due to the epidemic, temporarily encountered a series of difficulties, on the surface, the stock price has ** 60%, has been abandoned by many people, but from the perspective of advance receipts, it is still a very good company, this time should not be given it a blow, should use practical actions, Buy this one with your own real money**.
So I bought 20,000 shares of Shanghai Airport ** with all the money I could use at about 37 yuan per share at Shanghai Airport.
Warren Buffett once said:
Investors are not always rational, they are tormented by cyclical fears and greed.
The market is not always efficient, so those investors who are willing to research and learn will have a chance to beat the market.
Risk does not depend on **, but on economic value.
The best portfolios are those that emphasize large bets on high probability events, rather than those that place equal weight bets on a variety of possible probability events. ”
I feel that when I bought Shanghai Airport, I used all my funds to buy this troubled Shanghai Airport when all investors were irrational and the market was ineffective and everyone was selling Shanghai Airport.
After I bought, the stock price of Shanghai Airport began to gradually and slowly climb upward, and when the stock price reached 59 yuan per share in February 2022, I reduced my position and sold 10,000 shares, so that my cost dropped to below 20 yuan, at this time, I recovered 590,000 yuan of funds, and then the stock price of Shanghai Airport was temporarily *** I seized the opportunity, and when the stock price ** reached 46 yuan per share, I increased my position and bought 25,000 shares. At this time, I already hold 35,000 shares of Shanghai Airport, and the holding cost is about 30 yuan.
2022 has passed, one of the things that makes the people of the whole country happiest is that there is no longer the harassment of the new crown, in January 2023, the stock price of Shanghai Airport has been completely eliminated by the epidemic, and the stock price has risen rapidly, up to more than 63 yuan per share, this rapid phenomenon is like the reinstatement of the once degraded general manager, those who used to be cynical began to change his degree, thinking of this, when the stock price fell back to 60 yuan, sold 35,000 shares of **, with a total profit of more than 1 million yuan.