Since January 1, 2015, the China Concept Equity Index has risen 393.56%, outperforming the S&P 500, with a relative return of 313.16%.
1. Review of the performance of the concept stock market during the week
1. Overall performance of China Concept Stocks Equal Weight Index
Since January 1, 2015, the China Concept Equity Index has risen by 393.56%, outperforming the S&P 500, with a relative return of 313.16%.
Note: The constituent stocks of the China Concept Stocks Equal Weight Index include 52 companies that have constructed a portfolio of equal weight China concept stocks, and select China concept stocks with a market value of more than 1 billion US dollars (excluding multiple listed state-owned enterprises), and adjust it every six months.
Since this year (2021), the annualized return of the China Concept Stock Index has reached 320.93%, and the monthly return rate is 12.31%.
Popular Chinese concept stocks generally rose, Alibaba (BABA.N) fell 1.85%, JD.com (JD.O) fell 6.55%, Baidu (BIDU.O) fell 7.01%, and Bilibili (BILI.O) Down 14.85%, Pinduoduo (PDD.O) fell 3.60%, NetEase (NTES.O) fell 1.52%, Futu Holdings (FUTU.O) fell 0.48%, and education industry New Oriental (EDU.N) fell 0.95%, Good Future (TAL.N) rose 1.16%.
2. China concept stocks rose TOP10
1) $Acoustic Network (API.US)$: Acoustic Network’s weekly increase reached 21.8%. The main driving force came from the announcement of Acoustic Network to acquire Huanxin. Huanxin has been deeply involved in instant messaging and has a leading position in the industry. The horizontal strategic expansion of Shengwang will form a deep integration solution of “RTC+IM”. The synergy of the two companies may bring excess returns to shareholders. The acquisition is expected to be completed in the first quarter of 2021.
2) $ Baozun e-commerce-SW (09991.HK) $: Baozun e-commerce rose 17.79% this week. This week, Baozun E-commerce announced that it would subscribe for 649,300 new Class B shares of IClick at a subscription price of US$17.2 million; and to acquire 2,471,400 ADS shares from existing shareholders of Iclick at a subscription price of US$32.8 million and a lock-up period of 180 days.
After the completion of the transaction, Baozun E-commerce will own 4% of the total equity issued by iClick and 10% of the total voting rights. The two parties have reached a strategic cooperation framework agreement.
The strategic cooperation framework agreement states that the two parties will jointly build a private domain traffic platform within the Tencent e-commerce ecosystem; the cooperation method will use Baozun e-commerce to provide online operations and infrastructure services, and iClick to provide SaaS IT and system solutions The model of the program is completed. The market believes that Baozun e-commerce will use small programs and video accounts as the driving force to promote its own profitability.
3) $Lexin (LX.US)$: Lexin rose by 17.73% this week. On Tuesday, Lexin launched a strategy conference to launch three major products under the new consumption strategy: Yuehui, Maiya, and Leka, competing for a new consumer market of RMB 40 trillion.
Formerly TencentThe department’s leading Internet finance company: Lexin, currently has a loan balance of 76 billion yuan, a year-on-year increase of 26%. After bidding farewell to its orange wealth management P2P business, Lexin’s management hopes to embrace the loan assistance business and switch to a pure technology operation service model. After the transformation, the company will face a completely different competitive environment and channel market. If the transformation is successful, Lexin is expected to usher in new possibilities.
3. China concept stocks fell TOP10
1) $Burning Stone Medicine (BNR.US)$: Burning Stone Medicine has a weekly decline of 17.55%. The biotechnology sector performed strongly last week, and this week’s market value has dropped due to the sentiment of the broader market.
Second, key industry company news
1. Baidu is rumored to plan a second listing in Hong Kong as early as March
On January 7, 2021, Bloomberg cited sources familiar with the matter that $Baidu (BIDU.US) plans to conduct a secondary listing on the Hong Kong Stock Exchange as soon as the first half of this year, and may sell about 5% to 9 % Of equity. On January 20, reports confirmed that Baidu’s secondary listing in Hong Kong had been officially launched, and Goldman Sachs and CITIC were determined to be their listing sponsor teams, and they planned to formally submit listing applications in Hong Kong after the Spring Festival.
On the evening of January 22, Baidu officially announced that it will hold a special shareholders meeting at No. 10 Shangdi Shijie, Haidian District, Beijing on the morning of March 1. At this special general meeting of shareholders, Baidu will submit a proposal to change the company’s legal share capital, that is, a 1:80 split (1 share is split into 80 shares) for consideration and voting by the special general meeting of shareholders. The market estimated that the behavior was to pave the way for listing in Hong Kong and lower the entry threshold for Hong Kong investors.
2. TSMC will give priority to the production of automotive chips, and is said to consider raising the price by up to 15%
The crisis of chip shortage has intensified. Global car companies are forced to reduce production, and chip prices are unstoppable. Global chip production giant TSMC has also reported that it will increase the price of automotive chips.interest.
Some media pointed out that Taiwanese chip foundries such as TSMC (TSM.US)$ are considering increasing chip prices. The price increase is mainly for automotive chips, with an increase of up to 15%, and it will be implemented as soon as late February this year. TSMC, UMC and other companies have inquired about price increases from customers of automotive chip manufacturers such as NXP in the Netherlands and Renesas Electronics in Japan.
The media pointed out that Taiwanese manufacturers are considering substantial price increases mainly due to the severe shortage of automotive chips and the appreciation of the New Taiwan dollar. The governments of Germany, the United States and Japan have all requested the Taiwan authorities to increase production due to chip shortages. The New Taiwan dollar has risen about 5% against the US dollar over the past year.
3. Xiaopeng Motors: plans to launch Xiaopeng’s third car this year, which is not affected by the shortage of chips
Tuesday (January 26), Xiaopeng Automobile (XPEV.US)$ president Gu Hongdi said in an interview with the media that he plans to launch the third car of Xiaopeng this year and deliver it in the fourth quarter at the earliest. It is understood that the company is also upgrading the operating system of the P7 sedan. The new operating system has more than 40 new functions and more than 200 improvements to existing functions, including a new “high-speed autonomous navigation driving function” for highway automatic driving.
In addition, Gu Hong also said that Xiaopeng noticed the shortage of chips, but was not affected. It also pointed out that most of the competition lies on the technical side, not the original equipment manufacturer.
4. BOSS direct recruitment plans to go public in the US this year
According to reports, the Internet recruitment platform “BOSS Direct Employment” will officially go public in the United States this year. Goldman Sachs and UBS have been selected as co-lead underwriters to arrange IPOs for it. The fundraising scale is expected to be approximately US$300 million . As early as July 2019, on the occasion of the 5th anniversary of BOSS Direct Appointment, BOSS Direct Appointment founder and CEO Zhao Peng revealed that “the company is preparing for an IPO”, but at that time the final listing location and specific timetable have not yet been determined.
5. MINISO: The total number of orders for Chaowan products in 2020 will increase by more than tens of times over the same period last year
Recently, the new retail platform $MINSO.US (MNSO.US)$ (released 2020 consumption big data, the data shows that the total number of orders for MINISO’s trendy products in 2020 has increased year-on-year compared to 2019 More than dozens of times.
According to the introduction, MINISO has joined hands with well-known IP and original designers at home and abroad to create a series of trendy products for sale in stores and online channels. Products such as My Melody tea party series, Mickey series and Qbee-Jungle series are among the top sellers in the store.
Relevant data shows that since its establishment, MINISO has reached in-depth cooperation with more than 17 internationally renowned IPs, including Disney, Marvel, Warner Bros’ Cat and Mouse,