Chen Jie, fund manager of Fuguo Fund: A-share market is undergoing the transformation from "stock economy" to "new model"

Chen Jie, General Manager of the Equity Research Department of Fuguo Fund, stated at the 12th Fuguo Forum that the A-share market is undergoing a transformation from "stock-based economy" to "new model". The profit growth rate in the first quarter of 2025 has turned positive, ending a continuous four-year downward cycle. The profit recovery cycle under the "new model" has already started. The core drivers of this reversal include: a replenishment cycle triggered by low industry inventories, listed companies being prepared for battle, and the recovery of the real estate chain driven by a rebound in second-hand housing. He emphasized that the bottom of ROE has significantly risen under the "new model".