on the evening of October 16, a number of listed companies issued a buyback plan or progress.

according to the statistics of surging news reporters, on the evening of October 16, a total of 10 central enterprises disclosed their buyback plans or plans to increase their holdings, including Baosteel (600019), COSCO (601919), Sinopec (600028), China Coal Energy (601898), China Railway Construction (601186), Three Gorges Energy (600905), China Resources Micro (688396), Hikvision (002415), China Electric Construction (601669), China Mobile (600941).

In addition, on October 16, a total of 16 companies disclosed buybacks, increased holdings, commitments not to reduce holdings and other real money to convey confidence in the development of the announcement, and actively maintain the market ecology.

Tianfeng Securities analyst Liu Chenming said that the significance of the buyback increase boom has two aspects: First, the buyback increase boom of listed companies is conducive to conveying positive sentiment to the market and demonstrating the market's confidence in economic recovery; Secondly, it is conducive to stabilizing stock prices and protecting the interests of investors.

3 central enterprises disclose repurchase plan or progress

On October 16, Baosteel released a buyback plan of over 100 million yuan, while COSCO and Sinopec disclosed the progress of the buyback plan.

Baosteel's disclosure announcement stated that the company intends to use its own funds of no more than 3 billion yuan to repurchase A shares through centralized bidding at a price of no more than 8.86 yuan per share. The number of repurchased shares is not less than 0.33 billion shares., No more than 0.5 billion shares, accounting for about 1.48-2.25 of the company's total share capital before the repurchase. The repurchase period shall not exceed 12 months from the date of consideration and approval of the share repurchase plan by the Board of Directors of the Company. The repurchased shares are used to implement the equity incentive plan in the future.

COSCO's disclosure announcement stated that the company disclosed the-share repurchase plan on August 29. Within 3 months from the date of approval by the board of directors, it intends to repurchase the company's A- share through centralized bidding transactions with its own funds. The shares are used to cancel and reduce the registered capital. The total number of repurchased shares is 30 million to 60 million shares, and the repurchase price does not exceed 12.29 yuan per share. Up to now, the company has repurchased 21.3393 million A shares, and the total amount paid is about 0.208 billion yuan.

Sinopec disclosed that the company issued a repurchase plan on August 27. In order to safeguard the company's value and shareholders' rights and interests, the company plans to repurchase no less than 0.8 billion yuan and no more than 1.5 billion yuan within 3 months from the date when the board of directors approves the repurchase plan. According to the upper limit of the repurchase price of 9.3 yuan per share, the number of shares to be repurchased is expected to be about 86.0215 million -0.161 billion shares, it accounts for about 0.07-0.13 of the total issued share capital of the company on the date of this announcement.

On October 16, 2023, Sinopec repurchased more than 5 million A- share shares through a centralized bidding transaction, with a repurchase amount of 29.2541 million million yuan. Since the company first implemented this round of A- share repurchase on September 21, 2023, the company has repurchased 44.7 million A- share shares, accounting for 0.04 of the company's total share capital, and the total amount paid is about 0.267 billion yuan.

Analysts pointed out that share buybacks are equivalent to cash dividends and are an important way to reward shareholders and help improve the valuation of listed companies. On the one hand, compared with cash dividends, share repurchase can improve the valuation level of listed companies to a certain extent by reducing the company's share capital, increasing earnings per share and return on net assets. On the other hand, share repurchase can send a signal to the market that the share price of listed companies is undervalued, enhance investor confidence, and form a strong support for the current valuation level.

7 central enterprises disclose plans or progress to increase their holdings

On the same day, five central enterprises, including China Coal Energy and China Railway Construction, issued plans to increase their holdings, while two central enterprises, China Power Construction and China Mobile, disclosed the progress of their plans.

China Coal Energy Disclosure Announcement stated that the company has received a notice from the controlling shareholder China Coal Group that China Coal Group intends to increase its holdings of the company's A shares by means of centralized bidding and block trading within 12 months from the date of disclosure of the announcement. The increase in holdings does not exceed 50 million shares.

China Railway Construction Disclosure Announcement stated that the company has received a notice from the controlling shareholder China Railway Construction Group Co., Ltd. that China Railway Construction Group intends to increase its holdings of the company's A- share shareholders within 6 months from the date of disclosure of this announcement. Less than 0.1 of the company's total issued share capital before the increase, no more than 0.25 of the company's total issued share capital before the increase, and the total increase in holdings does not exceed 0.3 billion yuan. The increase does not set a price range, the source of funds for China Railway Construction Group's own funds and self-financing.

Three Gorges Energy Disclosure Announcement stated that the controlling shareholder Three Gorges Group plans to increase its holdings of the company's shares in the next 12 months, with an increase of 0.3 billion -0.6 billion yuan, and the increase price does not exceed 6 yuan per share. The source of funds is Three Gorges Group's own funds.

China Resources Micro disclosure announcement stated that the company's actual controller, China Resources Co., Ltd., based on its confidence in the company's future development and recognition of the company's long-term investment value, plans to within 12 months from the date of disclosure of the announcement, through centralized bidding, block transactions, etc., the company's controlling shareholder CRH(Microelectronics)Limited (China Resources Group (Microelectronics) Co., Ltd.) or other wholly-owned subsidiaries of China Resources will increase their holdings of the company's shares, with a total increase of not less than 0.1 billion yuan.

Hikvision disclosed that based on its confidence in the company's future sustainable and stable development and recognition of long-term investment value, the controlling shareholder CLP Haikang Group Co., Ltd. plans to increase its holdings of the company's A shares within 6 months from the date of this announcement. The total increase in holdings will not be less than RMB 0.2 billion, not more than RMB 0.3 billion, and the proposed increase price will not be higher than RMB 40 per share (inclusive), according to the stock price fluctuations and the overall trend of the capital market, Hikvision will implement the plan to increase its holdings at the right time.

China Power Construction Disclosure Announcement stated that the company disclosed the company's controlling shareholder Power Construction Group's plan to increase its holdings on September 27. It plans to increase its holdings of the company's A shares through the methods permitted by the Shanghai Stock Exchange system within 6 months from the date of disclosure of the announcement. The cumulative increase in holdings shall not be less than 1% of the total share capital, not more than 2% of the total share capital, and the total increase in holdings shall not exceed 2.4 billion yuan. Up to now, the Power Construction Group has accumulated 0.155 billion A shares of the company through centralized bidding transactions, accounting for about 0.90 of the company's total share capital.

China Mobile disclosed that China Mobile Group, the actual controller of the company, plans to increase its holdings of A shares of the company from January 21, 2022 to December 31, 2022, with a cumulative increase of not less than 3 billion yuan and not more than 5 billion yuan. On November 30, 2022, China Mobile Group extended the implementation period of the increase plan to December 31, 2023. Up to now, China Mobile Group has accumulated 26.2584 million A- shares of the company through the trading system of the Shanghai Stock Exchange, accounting for about 0.123 of the company's total issued shares and 2.909 of the company's total issued A- shares. The amount is about 1.514 billion yuan, which has exceeded 50% of the lower limit of the increase plan.

13 Science and Technology Innovation Board Companies Announce Repurchase Increase

In addition to listed companies of central enterprises, a number of high-quality companies with real money to convey confidence in development have emerged.

On October 16, a total of 20 companies disclosed positive announcements such as buybacks, increased holdings, commitments not to reduce holdings, and operating data, actively maintaining the market ecology. Among them, 13 companies issued announcements related to repurchase holdings, 3 companies' shareholders voluntarily promised not to reduce their holdings, and 4 companies voluntarily disclosed operating data or other positive operating information.

among them, jingke energy (688223), a sci-tech 50 company with a market value of nearly 100 billion yuan, bought back 0.3 billion yuan in less than a month. Another sci-tech 50 company, Huada Zhizao (688114), released a repurchase plan after one year of listing, with the maximum repurchase amount reaching 0.5 billion yuan. Hanchuan Intelligence (688022) released the repurchase implementation results and new repurchase proposals on the same day at the end of September, A new round of repurchase program was carried out after the completion of the previous repurchase at the repurchase cap amount, and the proposed repurchase amount increased by 66.7 year-on-year.

since July, the buyback wave of the board has been repeated. a total of 77 companies have proposed or issued buyback plans. the maximum amount of buyback to be proposed is 8.47 billion yuan, and the cumulative buyback amount is 1.98 billion yuan. during this period, the buyback progress has been released nearly 400 times in total. Among them, there are 18 Kechuang 50 companies, with a maximum repurchase amount of 4.55 billion yuan and a cumulative repurchase amount of 1.38 billion yuan. The implementation intensity and speed are significantly ahead of those of non-Kechuang 50 companies, with obvious "head goose" effect. There are 16 Kechuang 100 companies, with a ceiling of 2.12 billion yuan for the proposed repurchase amount. Recently, they have continuously increased their repurchase efforts and become an indispensable backbone.

Tianfeng Securities analyst Liu Chenming said that the significance of the buyback increase boom has two aspects: First, the buyback increase boom of listed companies is conducive to conveying positive sentiment to the market and demonstrating the market's confidence in economic recovery; Secondly, it is conducive to stabilizing stock prices and protecting the interests of investors. As a kind of market value management behavior, large-scale repurchase increase has played a certain role in stabilizing the stock price and preventing the company's stock price from being too low and deviating from the actual value of the company by releasing positive signals to the secondary market.