At one o'clock in the afternoon, the stock price of Henglong opened at 23.2 Hong Kong Dollar.
Compared with the closing price of 24.6 on the previous trading day, it fell by a full 1.4 yuan, a drop of more than 5.5%.
On Time-sharing Chart, the opening line seems to have been pushed down by someone.
Chen Xi is doing due diligence at Yunnan, and Zhang Qingxue is staring at the board in the office.
She looked at the number and frowned slightly, but said nothing.
Zhao Chen stood in front of the window, also looking at the screen.
23.2.
He knew who did this.
Those brokerages.
They still have Short Position in their hands that has not been finished.
Shen Jue's previous agreement to liquidate the 35 million shares helped them solve part of the problem, but Short Position had to deal with the rest by himself.
At that time, the stock price was pushed to over 30 yuan by market sentiment, and they could not close the position at all - it would go up as soon as they bought it, and they would lose more when it went up.
The only opportunity is to create panic, drive the stock price down, and secretly receive goods at a low level.
The news of Yunnan Agriculture's investment gave them a perfect breakthrough.
Su Wantang stood next to Zhao Chen and asked softly, "Why did it fall so much?"
Zhao Chen said, "Someone is smashing the market."
Su Wantang was stunned for a moment. "Who?"
Zhao Chen said, "It's still the same group of people. Short Position is not done yet, so we will take this opportunity to lower the price so that we can get it back at a low price."
Su Wantang is a little worried. "Will it fall more?"
Zhao Chen shook his head. "No."
He looked at the screen. "They dare not hit it too hard. If they hit it too hard, others will rush to pick up the goods before them, and their work will be in vain."
Zhang Qingxue's voice came from behind. "Xiao Chen, the price of 23.2 is actually not low.
Based on Henglong's current net assets and profitability, this valuation is no longer underestimated."
Zhao Chen nodded. "Yes. If it weren't for the previous wave of Short Squeeze, the stock price would not have reached above 30. Now it has fallen back to 23, which is a reasonable range."
Zhang Qingxue asked, "Then how high do you think they can raise the stock price?"
Zhao Chen thought for a while, "About 20. No matter how low it is, they won't be able to take it back."
He turned around. "Don't worry about them. Let them smash. The lower they hit, the more people will take over."
Zhang Qingxue nodded and said no more.
But, the impact of the stock price drop is far more than that?
Henglong Strategy bought shares in Yunnan Agriculture Group, and the stock price plummeted.
The two pieces of news were quickly linked together by the media.
<Securities Daily>: "Henglong fell 5.5% after resumption of trading, the market voted with its feet"
"Henglong Group's stock price plummeted after trading resumed today, closing down more than 5%.
Market analysis believes that investors have doubts about Henglong's cross-border investment in the Live Pigs breeding industry.
The lessons learned by Eagle Agriculture and Animal Husbandry are still fresh in our minds, and Henglong bucked the trend and entered the market at this time, causing market concerns."
<Daily Economic News>: "390 million to buy 20% of the shares, Henglong is this investment worth it?"
"After Yunnan Agriculture Group IPO was rejected, its valuation shrank significantly.
Henglong acquired 20% of the shares at a valuation of less than 2 billion. The price is indeed cheap.
But cheap does not mean valuable. Live Pigs The breeding industry is at the bottom of the cycle, and no one knows when it will reverse.
Henglong enters the game at this time, is he buying the bottom or catching a flying knife?"
Sina Finance: "Stockholders vote with their feet, Henglong cross-border pig farming is questioned"
"Henglong's stock price plummeted after the resumption of trading today, and the market expressed its attitude in the most direct way.
Judging from Stock Bar's comments, most investors are not convinced of this investment.
Some people joked that Zhao Chen had just emerged from the tiger's den and entered the wolf's den, while others questioned, 'Why not use the money to repurchase Henglong's own shares?'"
However, there has been a quarrel on Snowball, the position of the stock investors.
User "From 5 to 20":
"It's 23.2! Who is selling?"
User "Old Leek Root":
"Who else could it be? Those Short Sellers guys. Taking advantage of the bad news, they smashed the market and closed their positions at a low price."
User "Value Discoverer":
"The price of 23.2 is actually not high. Henglong's net assets are there, and they can't go down much."
User "Chase Rises Kill Dips for Life":
"You are too optimistic. The market is obviously not optimistic about Yunnan Agriculture's investment. The stock price will still fall."
User "Patience Pays Off":
"If you are not optimistic, you are not optimistic. The stock price has fallen, just like Add Position."
User "Valuation Hunter":
"Have you ever thought about a question? If the Short Positions in the hands of those Short Sellerss are not finished, they will definitely continue to smash them.
But they don't dare to hit them too hard, because if they hit them too hard, others will get away. So I guess around 22 is the limit."
User "Pig Cycle Hunter":
"22? That's not low. Henglong It was only 5 yuan before."
User "From 5 to 20":
"That was before. The Henglong now is different from before."
User "Old Leek Root":
"What's the difference? Isn't it still the same Henglong?"
User "Patience Pays Off":
"The debt ratio has dropped, we have more cash, and we still have Haoyu's projects in hand. Fundamentals is ten times stronger than last year. Don't you want to see Financial Report's?"
The debate continues.
But one thing is clear to everyone - Henglong's Fundamentals is indeed much better than a year ago.
The stock price fell, it was just emotions.
Emotions come and go quickly.
All afternoon, Zhao Chen stayed in the office, thinking about future investment opportunities.
He stood in front of the window and looked at the darkening sky outside the window.
The phone vibrated. It was a message from Chen Xi from Yunnan:
"Zhao Zong, due diligence has begun. Yunnan Agriculture's accounts are cleaner than expected. The cash flow problem is mainly caused by bank loan withdrawals."
Zhao Chen replied, "Okay. Keep watching."
He put down his phone and looked out the window.
The stock price fell to 23.2, and he wasn't worried at all. Those brokers were smashing the market, and he knew it.
But those who smashed the market will eventually buy to close their positions. When they buy, the stock price will naturally come back.
Su Wantang came over and stood beside him. "What are you thinking about?"
Zhao Chen said, "I'm thinking about what other projects Strategic Investment Yunnan Agriculture can invest in in the future."
Su Wantang asked, "Don't you want to invest in Bubble Mary?"
Zhao Chen said, "Bubble Mary's current size is not as big as Yunnan Agriculture Group's, so it doesn't cost much."
He held her hand. "Henglong now has plenty of cash, there is no need to let the money lie in the bank."
Su Wantang leaned on his shoulder. "Then have you thought about it?"
Zhao Chen thought for a while, "We have an idea. Let's discuss it together after Yunnan Agriculture Group's matter is implemented."
He knows that his greatest advantage is rebirth.
He has more information advantages than others, and he knows what will happen in the future.
And these are also his best weapons.
Shen Jue The last phone call made him feel a little worried.
Wall Street's group of people are not easy to deal with. If given the chance, they will definitely eat them up.
Therefore, he wants to create a business empire large enough for himself in China to support his global ambitions.