Guo Guangchang has repeatedly stressed that Fosun International's share price is seriously undervalued. however

In this way, Guo Guangchang must feel wronged and strive to create value for shareholders. The five-year compound growth rate of net profit per share is 265,438+0%. Even if there is no 20 times P/E ratio, there should be 15 times P/E ratio, right?

Fosun international's fundamentals are not strong, and the market cannot help but know. The "integration of all information" we mentioned above,

In the eleven years since Fosun International went public, it has raised funds from minority shareholders through the status of a listed company for five times. The first IPO raised HK$ 654.38+0.27 billion, the second convertible bond issued in the second half of 2065.438+03 raised HK$ 3.875 billion, and the third rights issue raised HK$ 4.889 billion in 2065.438+04, of which the minority shareholders contributed HK$ 720 million and the fourth time raised HK$ 206.543 billion. The raised funds were HK$ 9.3 billion, and the raised funds in the second half of 2011600 million, including HK$ 3 billion provided by minority shareholders.

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At present, the major shareholder of Fosun International holds 0.7% of the total share capital of 765,438+,and the minor shareholder of Fosun International holds 28.3%, including the management.

The 29 billion Hong Kong dollars invested by minority shareholders in several times, if calculated according to the annualized income of 10%, the total principal and interest due in the past eleven years is 55.8 billion Hong Kong dollars, and the annual dividend to minority shareholders is also calculated according to the annualized income of 10%, which should be 4.5 billion Hong Kong dollars so far, so the market value held by minority shareholders so far should be 51300 million Hong Kong dollars, corresponding to equity.

(Note that if 20 17 does not increase, the nine-year compound rate of return since listing will be negative. )

1,

Convertible bonds were converted into shares of HK$ 65,438+00 in 4.5 years, and dividends have been paid five times since their issuance, reaching HK$ 65,438+0.05 (including the final dividend of HK$ 0.35 in 2065,438+07). At present, the stock price is HK$ 65,438+07.02, and the five-year return rate is over 80%.

2,

The rights issue price is HK$ 9.76 per share. Since the rights issue, four dividends have been distributed, totaling HK$ 0.9. At present, the stock price is HK$ 65,438+07.02, with a four-year return rate of over 65,438+000% and a compound annual return rate of about 20%. However, it should be noted that Guo Guangchang, the major shareholder, subscribed for shares of listed companies for the first time since listing, and the subscription amount of major shareholders exceeded 70% of the total rights issue.

The rights issue price is HK$ 65,438+RMB 03.42 per share. Since the rights issue, three dividends have been paid, totaling HK$ 0.73. The rights issue is less than three years, and the total yield is over 34%.

. This rights issue is the second time that Guo Guangchang, the major shareholder, has subscribed for shares of listed companies since listing. Note that before the rights issue in 20 15 years, the maximum dividend per share did not exceed HK$ 0. 17, which was the same as the dividend per share in the first year of listing, and it was lower than HK$ 0. 17 in several years. After the rights issue in 20 15 years, the dividends for three consecutive years were 0. 17, 0.2 1 and 0.35 respectively.

Among the minority shareholders, who else not only didn't make a penny, but also lost money? 2065438+May 2005, Fosun International issued 465 million additional shares to a few investors at the issue price of HK$ 20 per share, and these shareholders have lost HK$ 2.25 per share so far.

If it is assumed that the minority shareholders in the secondary market are a whole, then

Loss of principal or time of other minority shareholders (annualized income is less than 10%). Perhaps, you can choose to buy Fosun International, which has been making money for most of the time since 2008.

The key factor causing Fosun International's low valuation is its frequent and skillful equity financing skills. Since Fosun International went public for eleven years, it has frequently asked shareholders for money, but rarely paid dividends and repurchased shares. This behavior is called

For example, in 20 13, Fosun International issued convertible bonds at the share price of HK$ 10, and from the end of 20 15 to the first half of 20 17, Fosun International's share price was between HK$ 9- 12 most of the time. If Guo Guangchang really considers the interests of shareholders, it should continue to buy back its shares, unless the share price. Especially after 2065438+May 2007, Ironshore has been delivered, the company's debt ratio has been greatly reduced, and its cash position is sufficient. However, the company repurchased more than 30 million shares only in 20 17.

Without the authorization of the big boss, how can you answer such an important question casually, but you dare not ask the big boss for authorization? Maybe this is a criticism.

Perhaps Guo Guangchang (pretending) thinks that the market has not realized the value of Fosun International, and when the market realizes the value of Fosun International, many investors will definitely cry and regret, which is unrealistic.

At present, the price-earnings ratio of Fosun International's share price corresponding to 20 17 is less than 10, and the dividend yield is 2%. With such a low price-earnings ratio and dividend yield, there is no reason why the board of directors should not implement large-scale repurchase.

Fosun International does not implement large-scale repurchase for three reasons:

1, which can be used.

2. There are compliance risks.

3. Now the capital cost is high.

In addition, there is another hidden reason, not to mention, that is, the shareholding ratio of the public is too low.

The above four reasons are all excuses.

1, the company's repurchase at such a low price is beneficial to all shareholders. Whoever likes to use it has never promised to buy back below a certain amount.

2. Does the company have any significant inside information to disclose? The board knows better than anyone. If there is a repurchase on the day when the CSRC passes the reorganization of Yuyuan Garden, it can also give a reasonable explanation to the Hong Kong Securities Regulatory Commission and the Hong Kong Stock Exchange.

3. Netease has just launched a new 1 billion dollar repurchase plan after it launched the 1 7. Fosun International's overseas funds may be a little tight, but this does not affect the company's repurchase by exchanging domestic funds for foreign currencies. As the company disclosed that the debt ratio was less than 50%, it indicated that the company was generally cash-rich. In addition, with the rise of Tsingtao Brewery's share price, cash can also be obtained by mortgaging the equity of Qingdao die-cutting machine. Can it be said that the company will never be in debt and will never be able to buy back?

4. Since the listing of Fosun International, the minimum public shareholding ratio is 265,438+0%. According to the listing rules, the minimum public shareholding ratio of Fosun International is 15%, and there is still room for repurchase of nearly1300 million shares.

Let's take Tencent as an example to explain. Tencent's dividend yield is very low and it has never been repurchased. Why can Tencent get dozens of times the price-earnings ratio only by good fundamentals?

First of all, Tencent paid great attention to the valuation level when it went public. Liu Chiping, CEO of Tencent, suggested that the founder team should not set the market value too high at once in order to communicate with the market in the future.

Secondly, apart from IPO, Tencent has never conducted equity financing in the past 20 years, that is, it is no longer "old-fashioned".

Third, Tencent's shareholding structure is very healthy. Tencent is not an AB stock structure. Its major shareholder, South Africa MIH, holds 30% of Tencent's shares, which is not absolute, and the founder holds less than 10%. A healthy ownership structure gives investors in the secondary market the opportunity to obtain effective seats on the board of directors.

The above three key points, Tencent and Fosun International are just the opposite, which also shows that it is unrealistic for Guo Guangchang to say that "the market has not realized the value of Fosun International". What's the truth? The fact is that professional investors have long hacked Fosun International!

For a company with a high P/E ratio, it is understandable that the dividend yield is too low, because the company has tried its best to give back to investors, and investors are willing to give the company a higher valuation level. But the dividend yield of excellent companies with low P/E ratio is less than 2%.

Not only will the company not buy back shares to give back to shareholders, but it will always look for opportunities to issue additional shares or rights issues to ask shareholders for money.

Compared with other companies that seriously make the company bigger and stronger and repay shareholders, Fosun International is more like a company that makes it bigger and stronger by asking shareholders for funds. Fosun International was born and listed with this purpose. If listing is not for financing, then why listing? Guo Guangchang may be puzzled by the behavior of some companies. For example, Netease announced a repurchase plan of $65.438+0 billion in 2065.438+07 and 2065.438+08, and the total amount of the two repurchase plans reached $2 billion, accounting for about 654.38+0 of the company's market value. If Guo Guangchang is asked to do this multiple-choice question, he may leave the $2 billion in the company, or he may choose to pay dividends. After all, in the case of not selling shares, the stock price rise only allows small investors to make money, and dividends can let him get cash himself.

Fosun International's operations in the capital market, such as the delisting of Fosun Property in Hong Kong stocks and the restructuring plan of Yuyuan shares, have been criticized by investors, which has further damaged Fosun International's poor financial brand. I won't go into details.