The major Chinese stocks ended the year on something of a positive note, with seventeen of the twenty ending the day up. As the year comes to an end, the low trading level of Chinese stocks has been garnering year-end/year-ahead commentary, with several making Chinese stocks a tip for 2014, with the South China Morning Post headline declaring “Optimism running high for Chinese shares next year“. There was also the approach of the 2000 barrier, which, as we’ve seen, is a customary sign for stocks to start rising. Certainly Chinese stocks have low P/E ratios and can seem attractive on that basis, but the concern is that reforming SOEs will diminish their economic privileges, thus cutting into margins. If they can use their predominant position in the Chinese economy to adapt and improve, as happened with some British utilities following privatisation in the 1980s, such as British Telecom and BP, then they would be worth holding. It will be a rocky road, though, and no-one can tell which will adapt successfully to a more competitive landscape.
The best performers on the day were Ping An Insurance (+1.94%), China Railway Construction (+1.73%) and Sinopec (+1.35%). Only China Mobile, on underwhelming Apple sales figures, and Dongfeng Motor fell on the day, by -0.31% and -0.82% respectively.
The Shanghai Composite Index rose 18.45 points (+0.88%) to finish the year at 2,115.98. The WSJ named Shanghai “Asia’s worst performer in 2013“.
|Name||Price||Change||Mkt cap||52wk high||52wk low||EPS||P/E|
|China Construction Bank||4.13||+0.04 (0.98%)||1.03B||5.19||3.8||CN¥0.85||4.88|
|Agricultural Bank||2.47||+0.01 (0.41%)||802,241.48M||3.28||2.38||CN¥0.50||4.92|
|Bank of China||2.62||+0.01 (0.38%)||731,368.99M||3.26||2.48||CN¥0.53||4.93|
|China Mobile||80.25*||-0.25 (-0.31%)||1.61B||91.8||74.9||HK$8.17||9.82|
|Noble Group||1.07||0.00 (0.47%)||7,090.97M||1.27||0.785||SGD0.04||29.49|
|China State Construction||3.14||+0.04 (1.29%)||94,200.00M||4.18||2.9||CN¥0.62||5.1|
|China Railway Construction||4.7||+0.08 (1.73%)||57,986.44M||6.49||3.95||CN¥0.84||5.58|
|China Railway Group||2.67||+0.02 (0.75%)||56,870.73M||3.41||2.3||CN¥0.44||6.09|
|SAIC Motor||14.14||+0.15 (1.07%)||155,901.52M||19||11.83||CN¥2.05||6.89|
|China Life Insurance||15.14||+0.16 (1.07%)||427,927.64M||22.7||12.88||CN¥0.97||15.66|
|Dongfeng Motor||12.08*||-0.10 (-0.82%)||104,082.73M||13.28||9.48||HK$1.37||8.8|
|China Shenhua||15.83||+0.04 (0.25%)||314,852.69M||25.7||15.36||CN¥2.25||7.03|
|Ping An Insurance||41.6||+0.79 (1.94%)||329,311.50M||53.27||31.69||CN¥3.45||12.06|
|China Telecom||3.92*||0.00 (0.00%)||317,254.89M||4.46||3.48||HK$0.26||15.22|
|China Communications Construction||4.03||+0.01 (0.25%)||65,184.19M||5.79||3.8||CN¥0.81||4.98|
|Bank of Communications||3.84||+0.04 (1.05%)||285,168.86M||5.68||3.65||CN¥0.84||4.56|