Sunac China suspended trading in April 1. What effect will this have?

Sunac's performance is poor. As soon as the financial report came out, the stock price fell, and it was certain to replenish the collateral. Sunac does not have enough asset collateral. If the real estate enterprise can't produce the audit report before April 30, the stock will continue to be suspended until the report comes out. If the trading is suspended only because of the financial statements, the resumption of trading will be faster. If the debt defaults and the financial statements are postponed, it may take two to three years, or the suspension is permanent.

Let's start with the conclusion that all real estate companies whose (real) debt ratio exceeds 100% have zero intrinsic value. The market value of Sunac dropped from more than 200 billion Hong Kong dollars at its peak in 2020 to only 22.2 billion Hong Kong dollars now, less than one tenth of its original value. However, as mentioned above, 20 billion seems cheap, but for a company with zero intrinsic value, the market value of 20 billion is still extremely expensive. Therefore, friends who want to copy the bottom, please think twice.

As of the close of the whole day on March 29th, Sunac China's short-selling amount was HK$ 284 million, which was 65,438+029.15% higher than that of the previous trading day and 65,438+02.82% lower than the average short-selling amount of HK$ 326 million in the last 20 trading days. The short-selling ratio reached 9. 14%, which was 9.99 percentage points lower than the average of 19. 13% in the last 20 trading days. Among the short-selling stocks and ETFs in the Hong Kong market, the short-selling amount ranks 12, accounting for 1.06% of the total short-selling market. Looking at Sunac's operating cash flow, it is inevitable to follow in Evergrande's footsteps!