Our reporter Zhang Roaming reports from Beijing.
On March 2, Bank of Xi'an (600928SH) announced that during February 26 and 29, 2024, two vice presidents of the bank used their own funds to trade 290,500 A shares of Bank of Xi'an on the Shanghai **Stock Exchange through centralized bidding.
Prior to this, a number of banks also issued announcements on shareholders or executives to increase their holdings.
After the Spring Festival, during the eight consecutive days of the Shanghai Composite Index, bank stocks took the lead in leading the rise, and recently, some bank stocks entered the adjustment stage. Industry insiders believe that the increase in holdings by bank shareholders and management will help stabilize market sentiment. The banking sector is expected to resonate with the positive increase in shareholder and executive holdings, which will help boost market confidence and stabilize stock prices.
Shareholders and executives frequently "protect the disk".
In addition to the Bank of Xi'an, on February 20, the Bank of Ningbo (002142SZ) disclosed that the shareholder Youngor (600177SH) recently increased its holdings of Bank of Ningbo by 42670934 shares; On February 22, Bank of Suzhou (002966SZ) disclosed that the shareholder Suzhou International Development Group increased its holdings of 81.4 million shares of the bank's A shares, with an increase ratio of 222%；On February 29, Bank of Lanzhou (001227SZ) disclosed that as of the date of the announcement, the bank's current directors, senior managers, some supervisors and other management personnel have increased their holdings of 544,300 shares of the bank through centralized bidding through the Shenzhen ** exchange trading system with their own funds, accounting for 00096%, with a total increase of 142940,000 yuan.
Talking about the reasons for the recent increase in bank shares by senior executives and shareholders, China Everbright Bank (601818SH) Zhou Maohua, a macro researcher at the financial market department, told the "China Business Daily" reporter that there are different reasons for different reasons, after successive adjustments, the stock prices of some companies trigger relevant terms, and shareholders and executives enter the market to increase their holdings; Bank executives, as insiders, also reflect their optimism about the stock price outlook to a certain extent.
Bank of Xi'an said in the announcement that in order to practice the "investor-oriented" development concept of listed companies, safeguard the interests of Bank of Xi'an and all shareholders, and based on the confidence in the bank's future development prospects and recognition of growth value, Bank of Xi'an actively encourages directors, supervisors, senior managers and middle managers to increase their holdings of the company's shares with their own funds.
According to the announcement of Bank of Xi'an, since 2024, based on the confidence in the future development prospects of Bank of Xi'an and the recognition of growth value, some directors, supervisors and senior managers of the bank and more than 40 middle-level managers have successively increased their holdings of the bank through the secondary market with their own funds, with a total increase of more than 2 million shares, with a cumulative increase of nearly 7 million yuan.
Increased holdings by bank shareholders and management helped stabilize market sentiment. As the market becomes more optimistic about the prospects for economic recovery, the banking sector has solid fundamentals and low valuations, which is expected to resonate with the positive increase in shareholder and executive holdings, which will help boost market confidence and stabilize stock prices. Zhou Maohua said.
Bank valuations are repaired** optimistic
As of March 4**, only 1 of the 42 A-share listed banks closed in the positive and 38 banks closed in the negative.
Zhou Maohua believes that the current overall stock price of the banking sector is sluggish, on the one hand, in recent years, China's macro economy has encountered complex internal and external environmental impacts, and bank profits have been dragged down to a certain extent; On the other hand, the increased volatility of the capital market has also had an impact on the sector and the market. In addition, bank stocks are more inclined to long-term value investors due to their large size, stable growth, and relatively weak stock price elasticity.
Regarding the trend of the bank's stock price in the next step, Everbright ** (601788SH) financial industry research team believes that since late January 2024, the regulator has continued to release signals of active capital markets, enhance market confidence through Huijin's increase in holdings and RRR cuts, and promote the return of the capital market to a reasonable valuation level. Looking ahead, there is still room for further stimulus measures until the macro economy stabilizes and improves, and the CSI 300 will still play the role of an index "stabilizer". Considering that the market value of bank stocks in the CSI 300 is 12%, ranking first among all industry sectors, the banking sector may be the first to benefit.
Zhou Maohua said that in recent years, the banking sector has withstood the impact of complex internal and external economic environments, the operation of the banking sector has remained stable, the internal governance has been accelerated and improved, the asset-liability structure has been continuously optimized, and the bank's risk control and operation quality have been steadily improved. The domestic economy showed a good recovery trend, and the continuous improvement of corporate operating conditions was good for the asset quality and profitability of banks. Banks, which are one of the cyclical sectors, are expected to benefit; Market sentiment continues to pick up, and the market is optimistic about the recovery of bank valuations due to the characteristics of the banking sector as a whole, such as long-term adjustment, low valuation, and high dividend yields.
Editor: Zhu Ziyun Proofreader: Yan Jingning).