China Stocks: China United, Haitong, Hisense, Tongrentang
The Shanghai Composite Index (SHCOMP), which tracks the bigger of China’s stock exchanges, fell 0.7 percent to 2,168.64, capping a 0.8 percent decline this week. The CSI 300 Index (SHSZ300) declined 1.1 percent to 2,398.46.
Property stocks: China Vanke Co. (000002) (000002 CH), the nation’s biggest listed property developer, fell 1.5 percent to 9.30 yuan. Poly Real Estate Group Co. (600048 CH), the second largest, retreated 1.8 percent to 11.35 yuan. China Merchants Property Development Co. (000024 CH), the third largest, slid 3 percent to 23.72 yuan.
China won’t relax property controls and ordered local governments that have relaxed housing policies to “strictly implement” them to prevent a rebound in prices, the Xinhua News Agency reported yesterday, citing a government circular.
Beijing Tongrentang Co. (600085) (600085 CH), a manufacturer of retailer of traditional Chinese medicine, gained 4.2 percent to 18.57 yuan. Tongrentang plans to increase its number of overseas stores to 100 by 2015 from 69 now, the Xinhua News Agency reported yesterday, citing a company forum.
China United Network Communications Ltd. (600050) (600050 CH), which controls the nation’s second-largest cell phone operator, climbed 4.5 percent to 3.74 yuan, the biggest gain since Oct. 24. Its Hong Kong-listed unit China Unicom (Hong Kong) Ltd. (762 HK) said it added 3.03 million users for its third-generation service last month. That’s about 7.8 percent more than the estimate by Deutsche Bank AG.
Chongqing Three Gorges Water Conservancy and Electric Power Co. (600116 CH) rose 2.7 percent to 11.87 yuan, gaining for a fourth day. First-half profit jumped 713 percent from a year earlier, the company said in a statement yesterday.
Haitong Securities Co. (600837) (600837 CH), the country’s second- largest listed brokerage by market value, slid 1.3 percent to 9.92 yuan. First-half profit may have dropped 9.4 percent from a year earlier, Haitong said in a statement yesterday.
Hisense Electric Co. (600060) (600060 CH), China’s biggest manufacturer of flat-panel televisions, tumbled 5.3 percent to 9.03 yuan, its lowest close since Jan. 16. The company’s earnings per share estimate for this year was lowered by 7.6 percent to 1.22 yuan and for 2013 by 6.3 percent to 1.32 yuan, Hu Yali, an analyst at Citic Securities Co., wrote in a note today. An 11 percent increase in first-half profit is lower than the estimate by the brokerage and the market consensus as price competition and increased panel costs hurt profitability, according to the note.
--Zhang Shidong. Editor: Allen Wan
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