Broken Clouds Again Shrouded Small Cap &Nbsp; Some Funds Were Carefully Searched.

In the first half of 7, there was a brief period.

Speculation of new shares suddenly cooled

In September 9, 2011, Mongolia issued a small and medium-sized board listing, the first day closing price fell 11.92% compared with the issue price, breaking the three quarter of this year since the first day of the new stock market unbeaten myth.

By the end of September 16th, Mr Meng has fallen by 9.09%.

In September 16th, the heat exchange on the gem of the gem was also broken on the first day of listing, and fell 1.3% on the first day.

Statistics show that from July 1st to September 16th, a total of 54 new shares traded on the market, except for Meng Fu Li and Longhua heat pfer, the rest of the IPO went up on the first day and even more than 100% on the first day of IPO.

Flush statistics, from July 1st to August 31 days, a total of 45 new shares listed pactions, of which 40 are small and medium-sized board, gem new shares.

The 45 new listings performed well on the first day and the average increase was 60.61% on the first day.

Among them, the first 7 days of the month of the first half of the month, which were released in Dongbao in the first half of the month, were more than 100%, and the first day rose by more than 100%. The first day rose by more than 80%, such as Yi Mi Kang, Bai Li Lian, ai Kang technology and Hainan Jerry. In addition, 20 new shares listed on the first day rose 50% to 80%.

China Securities Journal reporter found in a number of securities business department, many shareholders have no concern about the two tier market, and turn a lot of money to fight new.

Since the three quarter, the success rate of cash subscription for 18 new shares has been less than 0.5%.

Data show that since the end of 8, the success rate of new shares has plummeted, and Hal's success rate in September 9th was only 0.2526%, the lowest success rate since the two quarter.

The successful rate of Oriental Seiko released in August 31st was only 0.3133%, and the success rate of new Lai Ying CAI and Aboriginal chemistry in September 6th was 0.3349% and 0.3242% respectively.

Insiders pointed out that after experiencing the two quarter of the tide, the IPO price earnings ratio has declined, making the three quarter of the new heating up.

However, with the recent stir up of new shares, the subsequent IPO price earnings ratio is substantially larger.

WIND statistics show that in August 30th, the small and new board shares of the small and medium sized shares listed in the first tier diluted earnings per share reached 57.38 times. In September 16th, the initial gem diluted shares and the Longhua heat pmission first diluted price earnings ratio also reached 55 times. In September 6th, the initial joint-stock ratio of the listed company's gem was 51.76 times.

On the whole, 8 new listings in the 14 new shares listed since August 20th have exceeded 50 times earnings, accounting for more than half of the total.

The previous July and August earnings ratios were 35 and 39 times respectively.

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High valuation is still a worry.

From August 1st to now, the number of small and medium-sized plates has dropped from 5878.68 points to 5409.37 points, or 7.98%.

Just from from September 1st to 16th, the small and medium-sized board index fell by 4.68%, and the growth enterprise board accounted for a total decline of 5.06%.

Since September, a total of 504 small and medium-sized board stocks have fallen, accounting for 82.35%, of which 55 stocks have fallen by more than 10%.

In the gem, 238 stocks fell, accounting for 90%, Xintian technology and precision forging technology fell more than 20%, and 46 stocks fell more than 10%.

In September, the first time the new shares broke out, the main business was massager, similar to its fate. Some of the listed companies with low technology content such as Yao Ji poker and sang Le Jin were also "abandoned" by the market.

In September 16th, the closing price of Yao's poker was 24.38 yuan, compared with the opening price of 33.33 yuan on the first day of listing, which has dropped by 27%, and is approaching the issue price of 21 yuan. In September 13th, sang Le Jin set a new low of 20.50 yuan in the intraday Market, which closed at 20.66 yuan on the same day, down 26.21% from the opening price of the stock market.

Analysis of the industry, in the current global economic recovery prospects cloudy, domestic policy is expected to be confusing, the first to bear the brunt of the product is low tech leisure and entertainment stocks.

For the current overall valuation of small and medium-sized boards, the investment community is also divided.

Some brokerage analysts pointed out that the overall price earnings ratio of the small and medium sized boards is 32 times, and that of the gem is 43 times, which is 50 times that of the beginning of this year and 60 times that of the beginning of this year.

However, in the context of declining market share, the valuation level of the SME board and gem is still higher than that of the Shanghai and Shenzhen 300 stock market by 180%.

In addition, this year's interim report shows that the profit growth of small and medium sized boards and GEM companies has not shown a high growth rate, even lower than that of the main board.

Lack of growth leads to high valuation or difficult support.

However, some fund analysts believe that cash flow is the outstanding advantage of small and medium-sized listed companies. Over the past two years, small and medium sized companies and GEM companies have received large sums of capital because of their high price earnings ratio.

Abundant funds have enabled SMEs to resist the negative impact of austerity policies and economic downturn.

Some funds are carefully searched.

After the continuous decline of small and medium cap stocks, the recent small and medium-sized board hit a new low of 5270.92 points during the year. Institutional funds began to cautiously enter the market and buy some small cap stocks with excellent performance and better growth prospects.

In September 15th, the two institutions appeared on the list of rankings shares, which occupied the first and fourth place in the buying list respectively, and the purchase amount was 103 million yuan and 8 million 90 thousand yuan respectively, accounting for 22.7% of the turnover of that day.

According to a brokerage analysis report, the RANSE stock is a well-known high-end women's clothing brand enterprise in China. In the 2008-2010 years, Ranchi's ranking of high-end women's clothing market has steadily increased, reaching 3.1% in 2010 and third in the country.

Three dimensional projects and Ou Feiguang's top five buying seats also appeared in institutions.

In September 15th, the two institutions occupied the first and third seats of the three dimensional engineering purchase list respectively, and the purchase amount was 4 million 450 thousand yuan and 2 million 80 thousand yuan respectively. Ou Feiguang's second and third seats on that day's list were also institutional seats, with the sum of 3 million 840 thousand yuan and 3 million 570 thousand yuan respectively.

How to choose the bottom stock?

Some analysts suggest that we should pay attention to the selection of new industries. Even if policy control is not loose, emerging industries will be more able to get policy support and financial support, such as lithium batteries, photovoltaic, environmental protection, high-end equipment, biomedicine, and new generation of information technology.

In particular, small cap stocks with high certainty and good performance growth trend.

For some traditional industry stocks to raise risk awareness, the current round of economic adjustment may trigger a reshuffle of traditional industries. Most of the small and medium sized board and GEM stocks in traditional industries will not get high growth.

In addition, some small stocks and GEM stocks that are highly valued by the market, and those whose earnings are not good enough should be resolutely avoided.