A-share Stock Market Morning Express | Shaking and Differentiating! ChiNext Index Falls Nearly 2%, High Dividend Stocks Support the Market

On November 18, the A-share market opened slightly higher and then shook up, with the ChiNext Index falling more than 1%. As of 9:44, the Shanghai Composite Index rose by 0.06%, the Shenzhen Component Index fell by 1.32%, and the ChiNext Index fell by 1.90%. In terms of market performance, banking stocks rebounded, with Qingdao Rural Commercial Bank Corporation rising by over 6%. The graphite electrode concept saw a significant rise, and the concept of Shenzhen's state-owned enterprise reform was active. Real estate, coal, and power sectors led the gains, while software services, gaming, media, photovoltaic, and AI applications led the declines. In terms of main fund movements, funds favored real estate development, household appliance components, and joint-stock banks, while funds fled from software development, securities, and advertising marketing industries. Institutional Views Looking ahead, Minsheng Securities pointed out that the A-share market is returning from speculative trading to normalization. The recovery of the domestic economy weakens the market's expectation of policies, and helps the market return to the fundamentals. Galaxy Securities: Market is experiencing short-term healthy fluctuations, but sentiment remains According to China Galaxy Securities, the current valuation of the A-share market is at a historically moderate level. With both the implementation of existing policies and the introduction of a package of new policies, the economic fundamentals are showing signs of improvement. However, there is significant uncertainty in US-China policies following Trump's election. The A-share market is expected to experience oscillations in the future, with a focus on technology innovation themes based on self-controllable logic and the development of new quality productive forces and the continued bullishness of dividend sectors with strong hedging properties. Minsheng Securities: Style switching may occur Minsheng Securities stated that the A-share market is transitioning from speculative trading to normalization. The recovery of the domestic economy is reducing market speculations on policies and helping the market return to the fundamentals. Physical assets are still preferable, with optimism towards energy (crude oil, coal), non-ferrous metals (copper, aluminum, gold), and shipping (dry bulk, oil shipping). In terms of debt conversion, the financial sector (banks, insurance) and construction are advisable focusing areas; attention should also be given to the return of dividend assets, such as highways, railways, ports, and electricity; and trade conditions that benefit from China's enterprises going abroad, such as machinery equipment, general equipment, specialized equipment, and transport equipment. Guotai Junan: Focus on "hard technology" and SOE integration Guotai Junan Securities pointed out that since 2024, with the continuous refinement and implementation of the above policies, the heat of mergers and acquisitions of listed companies is beginning to rise. The current round of mergers and acquisitions is becoming more friendly in terms of institutional arrangements, but there is a clear tilt in the direction of mergers and acquisitions, focusing more on the integration of industrial chains upstream and downstream. Capital market services to promote "hard technology" innovation and the development of new quality productive forces are the intrinsic logic. High-quality state-owned assets reorganization in strategic emerging industries is expected to benefit from strengthening the resilience of the industrial chain supply chain and technological self-reliance, including semiconductors, information technology, aerospace, high-end equipment, and pharmaceuticals. In the fields of energy resources and public services, professional integration is expected to enhance the country's resource and energy security capabilities, and improve the core competitiveness of key industries and critical areas, such as new and old energy, backbone pipelines, and logistics ports. Hot Sectors 1. Active concept of Shenzhen state-owned enterprise reform The concept of Shenzhen's state-owned enterprise reform was active at the beginning of the session, with Shahe Industrial, Shenzhen Zhenye (Group), Shenzhen Seg, Shenzhen Urban Transport Planning Center, Eternal, Telling Telecommunication Holding, and others all showing strong gains. Comments: On November 16, the Shenzhen Municipal Party Committee's Financial Office stated that Shenzhen has drafted "Several Measures to Further Promote the Mergers and Reorganizations of Listed Companies and Industrial Enterprises in our City to Help the Integration of Science, Industry and Finance" (Draft for Solicitation of Opinions), and related formal documents will be issued after soliciting opinions. 2. Significant rise in the graphite electrode concept The concept of graphite electrodes rose significantly, with Grinm Advanced Materials, Guangxi Yuegui Guangye Holdings up for 8 consecutive days, NINGXINXINCAI30CM hitting the limit up, Chengdu Guibao Science & Technology, Shanghai Emperor of Cleaning Hi-Tech hitting the limit up, Shanghai XFH Technology, and ORIENTAL CARBON rising by over 5%. Comments: On November 15, the State Intellectual Property Office revealed that Huawei publicly disclosed the patent for silicon-based negative electrode materials, titled "Silicon-Based Negative Electrode Materials and Preparation Method thereof, Battery and Terminal." This patent mainly addresses the issue of low battery cycle performance due to excessive expansion effects of silicon-based materials, thus improving the cycle stability of the negative electrode. This article is reprinted from "Tencent Stock Selection", GMTEight Editor: Li Fo.