Playing new is no longer risk-free! After two years, the first day of the new stock break broke, the market people: or accidental, but a good thing

After nearly two years, the A-share market broke on the first day of the listing of new stocks.

On Friday, the new stocks on the Science and Technology Innovation Board broke out from the first day of the listing of science and technology. Market data show that Zhongzi Technology broke at the opening of the day, and then the stock price continued to decline, falling to the lowest to 58.88 yuan / share, a decline of nearly 17%. As of the close, it still fell 6.87% at 66.03 yuan / share. The share price ran below the issue price (70.9 yuan) throughout the day.

For the winner of the new stock, if it sells at the lowest price on Friday morning, a loss of nearly 6,000 yuan will be lost.

Some experts believe that the break of new stocks may be accidental in the current market environment, but it is not a bad thing. In addition, market participants generally believe that the break of new shares is a normal market phenomenon, and the market will adjust itself.

After nearly two years, the first day of the listing of new stocks has broken again

On October 22, the new stocks on the Science and Technology Innovation Board were listed and traded by Zi Technology, but the stock broke at the opening and ran below the issue price throughout the day. The data shows that this is the phenomenon of the first day of listing in the A-share market again after nearly two years, and the last time is traced back to the break of Jianlong Micro-Nano on December 4, 2019. In addition, the lowest price in the first day of the session of Zhongzi Technology fell by 16.95% compared with the issue price, and the breakout range was the largest since the implementation of credit subscription for new shares.

The break of Zhongzi Technology was somewhat sudden. According to the prospectus, the company is a high-tech enterprise focusing on the research and development, production and sales of environmental protection catalysts, and is one of the few major domestic manufacturers in the field of tail gas treatment catalysts for mobile pollution sources (motor vehicles, non-road machinery, ships, etc.) in China, and actively explores the application of its technology in the field of new energy such as hydrogen fuel cell electrocatalysts. In the first three quarters of this year, the company's revenue and profit have declined year-on-year, and it is expected that operating income will decline by 57.48% to 53.03% year-on-year, and net profit attributable to shareholders of the parent company is expected to decline by 75.33% to 70.40% year-on-year. Overall, however, there is no major problem with the company's fundamentals.

Gui Haoming, chief market expert of Shenwan Hongyuan, said in an interview with the Securities Times reporter that there are not many new stocks in the history of the A-share market that broke on the first day, and there are not many sci-tech boards. Recently, the market sentiment is not very sufficient, the pace of new stock issuance is relatively fast, and the accident of breaking is relatively large.

Statistics show that since the implementation of credit subscription for new stocks, including China Self-Technology, only 3 stock prices have broken on the first day.

In addition, even if the new stock breaks on the first day, it has no indicative significance, which does not mean that the subsequent performance is not good. For example, after the break of Jianlong Micro-Nano on the first day, the follow-up not only did not fall further, but continued to rise after a period of rest, and the current stock price has risen nearly 4 times compared with the issue price. However, Zheshang Bank continued to decline after the first day of the break, until more than half a year later, there was a sharp rise, but the stock price has not exceeded the issue price.

How to rationally view the break of new stocks?

For the first day of the new stock breakage phenomenon, Senior investment banker Wang Jiyue warned that do not think that playing new is a lottery ticket with no risk returns, playing new is also risky, and it is optimistic to buy again.

Gui Haoming also believed in an interview with reporters that this kind of break is not a bad thing, the mature capital market itself has risen and fallen, and new stocks, like old stocks, should not be because they are new stocks. He believes that the primary and secondary markets should be integrated, and the number of broken stocks in overseas mature markets can account for 30%, or even higher.

Gui Haoming believes that the break is also the result of the real reflection of the pricing function of the capital market and the increase in the degree of marketization. At present, the new stocks in the market are undefeated, and it is not normal to hit the new ones like winning the lottery.

Gui Haoming believes that the current pricing model may not be very scientific, which in turn inspires investment banks to inquire and price new stocks more objectively and rationally. For investors in the secondary market, new stocks should also be treated more objectively and rationally, so that investors can recognize that there may also be risks.

Wang Jiyue believes that the market itself will adjust, has been making money before, and is expected to make high-point quotations, so the quotation is optimistic; after the break appears, the quotation will be cautious, and the new IPO company will press the issue price. For the new stock market, Wang Jiyue said that it is unlikely to continue to break, nor will it always have high returns.