During this period of time, Fang Hong was living a small life. If nothing goes wrong, the "mask incident" will come in almost two months. Later, because of this incident, the global capital market will usher in a super flash.
collapse.
Against the background of this general trend, it is absolutely impossible for the SGX market to stay away from the situation. Even since the bull market has been going on since the opening of the market in 2016, it will usher in an unprecedented collective exodus.
Under this situation, a sharp decline is inevitable, and every stock market must bear it together.
However, Fang Hong also wants to take advantage of this historical opportunity to achieve what he wants to do. First of all, this plunge is also a good time window to sell out and change hands. The profit capital accumulated over the years will definitely escape.
They left, changed hands, and let new funds come on board to take over, laying a bottom for the subsequent NSE 50 index to break through 10,000 points and move up to 20,000 points.
Through this time window, we can also reduce the impact of Xingyu Technology and Matrix Quantum, the two "big and small kings" heavyweight stocks in the SGX market, on the index. In order to stabilize the subsequent plunge, these stocks must be removed from the secondary market on a large scale.
The repurchased shares will be cancelled.
The operation of repurchasing stocks can actually be understood as a "slimming" operation for the company's market value. When holders exit on a large scale, they need massive liquidity to support it. If there are not enough funds to take over, and the holdings inside
If some people withdraw on a large scale and sell at any cost, the stock price will definitely plummet.
At this time, Xingyu Technology came out to buy back shares to provide liquidity to the secondary market and allow previous investors to withdraw with their capital and profits. This was reflected in the huge trading volume on the market, but the stock price did not plummet.
For example, the current total equity ratio of Xingyu Technology is 275.355 billion shares, and the stock price is 68.24 yuan. Assuming that there are currently a large number of holders who are ready to cash out and leave the market, there are 75.355 billion shares. If such a large amount is withdrawn, the stock price will normally be
Hit him in the waist, cut him in the waist again, and then cut him in half again.
But if the company spends money to repurchase 75.355 billion shares and cancel them at this time, the stock price will still remain at 68.24 yuan. For the sellers, they will withdraw with profits, and the holders will not be affected. If you believe
If this company will continue to rise in the future, then continue to hold it. Otherwise, sell it at this time.
At this time, the company's total share capital dropped to 200 billion shares, and the stock price remained unchanged at 68.24 yuan. Then the corresponding total market value dropped from 18.79 trillion to 13.648 trillion, and the company's market value also achieved slimming down, thereby reducing
Impact on the SGX 50 Index.
But at the same time, investors who still hold the same number of company shares and the same market value will have their equity proportion increased by the same proportion, which means their voting rights have increased.
For example, the proportion of the company's equity held by the 20 billion shares previously held was 7.26%. After the repurchase and cancellation of 75.355 billion shares, the proportion of the company's equity held by the 20 billion shares increased from 7.26% to 10%.
Neither Xingyu Technology nor Matrix Quantum, including all Xingxing subsidiaries listed on the SGX, has not paid a dividend so far.
Because there are no rigid requirements for dividend distribution in the SGX market, according to the description of the market, dividend distribution is a voluntary act by listed companies. Whether a company pays dividends mainly depends on the company's financial status and business strategy, rather than external legal or regulatory requirements.
In fact, from a dialectical point of view, when a company decides to start paying dividends, it is telling investors that the company's upward momentum has come to an end, it cannot become bigger, and it is unlikely to expand in the future, so it should stick to its basics.
How much money is made from the market will be divided among the shareholders.
If the company can still maintain a strong upward momentum, it should reinvest the profits earned in expanding reproduction instead of dividing the money earned. This will ultimately reflect the expansion of the company's total assets, which will be reflected if it is a listed company.
to the rise in stock prices.
For these listed companies in Qunxing, Fang Hong will not let them carry out dividend operations. If a company really earns too much and the company's cash reserves are too large to be spent, it will not pay dividends. Instead, it will pay dividends by taking out funds.
The company's shares are repurchased from the secondary market and cancelled, thereby rewarding shareholders and investors by driving up the stock price.
If shareholders or investors want cash flow, then you can just go to the secondary market to sell stocks and cash out. This will actually make more money than dividends. After all, the dividends for small shareholders will not actually get as much money as large shareholders.
.
But if the dividend funds are used to repurchase stocks and the stock price rises by 20 or 30 points, and the holders sell some of their stocks to cash out, the amount will be much greater than the amount of cash dividends.
Unless all shareholders sell to cash out when the company repurchases shares, the stock price will definitely rise.
But in fact, the situation must be that some people cash out and some choose to continue to hold. It is impossible for all people to sell or hold at the same time.
Therefore, repurchase operations generally promote stock price increases.
Fang Hong prevents Qunxing listed companies from paying cash dividends in order to use these funds to provide liquidity to the capital market, support the company's own market value, and also have an overall stabilizing effect on the SGX market.
When a company uses money to repurchase its own stocks, it's up to investors to decide whether they should continue to hold on or sell and cash out while there is ample liquidity.
If it is a direct cash dividend, and the money reaches the accounts of all investors, they may not all use it to buy the company's stocks again.
When the market plummets, investors are even less likely to buy stocks. Instead, they will sell the stocks they already hold, further pushing the market down. Especially when the market plummets, companies themselves use money to carry out large-scale
Looking back, this is self-evident in stabilizing and supporting the market.
This chapter is not over yet, please click on the next page to continue reading! The company's stock repurchase operation is equivalent to using the money originally intended to be distributed as dividends to all shareholders to be used by the company to repurchase its own stocks, which is equivalent to letting all shareholders in disguise
Everyone has bought the company's stocks, and the money from dividends is reflected in the increase in stock prices and the growth in the market value of the holders. At this time, the holders are allowed to decide whether to sell or not.
Selling some stocks is equivalent to cashing out dividends, and you will be safe.
Continuing to hold without selling is tantamount to reinvesting dividends, gaming for greater returns in the future, and at the same time bearing corresponding risks.
If the stock price continues to rise in the future, you will be able to earn more. If the stock price falls in the future, it will be equivalent to losing the dividend money. The choice is given to investors, so no matter the profit or loss, it is the investors themselves, and no one can blame them.
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…
However, in the SGX market at this moment, the call auction has ended, and the SGX 50 index opened lower today, because Xingyu Technology opened lower -1.56% today. After the market opened at 9 o'clock, Xingyu Technology opened lower and moved lower.
Because several of the company's market makers were suppressing the market, and the profit-making funds inside saw this trend and felt it was not as good as expected, so they began to cash in their profits.
The decline of Xingyu Technology also drove the New Securities 50 Index to open lower and move lower.
Today is the day when the second batch of vehicle reservations starts. The whole market is paying close attention to this. Fang Hong will create a short-term good news for the market at this time. If the second batch of pre-ordered vehicles exceeds expectations today, it will be good news. If it is not as good as expected, it will be good news.
It is expected that this will be a negative, and the previous increase of 25% will have to fall back.
All in all, no matter what happens today, Xingyu Technology will fall back rather than rise.
The entire market and the cycling circle are all staring at the time point of 10 a.m., because the second batch of reservations will be opened at 10 o'clock sharp.
As time passes and 10 a.m. is getting closer and closer, car owners and consumers from all over the country, as well as some "scalpers" are gearing up to pre-order. The two cars N3 and U3 are in the second-hand trading market.
The premium rate is so high that the emergence of "scalpers" is inevitable.
Finally, the time came to 10 o'clock in the morning, and the reservation for the second batch of 100,000 vehicles of Xingyu Technology SCN-3 and SCU-3 was officially opened!
