Eight new shares will be applied for this week, and the total number of shares issued is expected to exceed 400 million shares. Among them, BeiGene, Ltd., which was issued on Thursday, attracts people's attention. After the A-share offering, it will become a listed company listed in US stocks, Hong Kong stocks and A-shares.

　　The new stock market picks up

Since the first day of technology listing broke on October 22, the market frequently appeared the phenomenon of breaking on the first day of listing. As a result, investors are cautious about playing Xinduo, and there is even a "wave of abandonment".

However, among the new shares listed since November, only one new stock in Xindian Software broke on the first day, and Hualan shares and Zhengguang shares broke on the first day in the first day, and the phenomenon of new shares breaking in late October has decreased sharply in recent days.

In addition, the new share market has performed strongly since November. The data show that new stocks have risen an average of 99.78% since November, nearly double the average of 55.71% in October.

The average first-day increase of the seven new shares listed last week was 159.40%. Among them, Haili Wind Power's single-sign profit exceeded 50, 000 yuan, and Science and Technology Innovation Board's new shares Yunlu shares made a single-sign profit of 42500 yuan, which is a "meat signature" that has not been seen for a long time in the new stock market recently.

Under the warming of the new stock market, the new army gradually returned to the market, and the number of new share applicants rebounded nearly 500000 compared with the beginning of the month.

The data show that the average number of valid subscribers on gem rebounded to 13.68 million last week, compared with 13.21 million in the first two weeks of November, while the average number of valid subscribers on Kechuang last week rebounded to 5.54 million, compared with 5.07 million in the first two weeks of November.

In addition, in the early stage, due to the breaking of new shares, the proportion of abandoned new shares once exceeded 2%, setting a new high in several years. The recent abandonment rate has also returned to a relatively normal level, with the abandonment rate of some new shares falling below 0.1 per cent.

　　The first biotechnology company listed in three places

According to the IPO arrangement, there are a total of eight new shares applied for in Shanghai and Shenzhen stock markets this week (November 29th to December 3rd), including four for Science and Technology Innovation Board, three for gem and one for the main board of the Shanghai Stock Exchange.

Among the above applications for new shares, BeiGene, Ltd., which was issued on Thursday, attracted a lot of attention. It is reported that BeiGene, Ltd. will also become the first biotech company to be listed in "A+H+N" after listing in US stocks in 2016, Hong Kong stocks in 2018 and A-share market.

BeiGene, Ltd. plans to issue 115 million shares to the public. Before the over-allotment right is exercised, the issuance volume accounts for 8.62% of the total number of shares issued as of October 31 this year and the total number of shares to be issued this time. If the over-allotment right is exercised in full, the total number of shares issued will be expanded to 132 million shares.

BeiGene, Ltd. plans to raise 20 billion yuan for Science and Technology Innovation Board's listing. According to this calculation, BeiGene, Ltd. 's offering price may exceed 100 yuan, and its total market value may exceed 200 billion yuan. Since the beginning of this year, a total of 10 new shares have been issued at a price of more than 100 yuan, of which 4 have made a profit of more than 100000 yuan.

In addition, BeiGene, Ltd. also introduced a "green shoe" mechanism, which will help stabilize its share price performance at the initial stage of its listing. What is more worth mentioning is that BeiGene, Ltd. 's US stock has long been the largest position in Hillhouse; in the Hong Kong stock market, "Hillhouse" is also a heavy position in BeiGene, Ltd..

Industry insiders believe that BeiGene, Ltd. 's return is a milestone for both the pharmaceutical industry and the domestic capital market.

　　Other highlights of new stocks

In addition, Dongxin's net profit in the first three quarters of this year grew by more than nine times compared with the same period last year; Dizhe Pharmaceuticals is a typical example of globally competitive innovative pharmaceutical companies, focusing on the research and development of innovation-targeted drugs; these stocks are also worthy of attention.

Zeyu Intelligence: mainly engaged in power information business, including power consulting and design, system integration, engineering construction and operation and maintenance.

Its IPO price-to-earnings ratio is 42.32 times, while the industry price-to-earnings ratio is 58.68 times. It is comprehensively judged that the risk of breaking is small, and the probability of breaking is about 10%.

Psychic shares: mainly engaged in solar photovoltaic module junction box and other accessories and other product research and development, production and sales.

Its IPO price-to-earnings ratio is 49.67 times, and its industry price-to-earnings ratio is 49.44 times. It is comprehensively judged that the risk of breaking is small, and the probability of breaking is about 10%.

Jialian Technology: mainly engaged in the R & D, production and sales of high-end plastic products and biodegradable products.

Its IPO price-to-earnings ratio is 41.35 times, while the industry price-to-earnings ratio is 27.44 times, with an excess of 50.69%. It is comprehensively judged that the risk of breaking is relatively high, and the probability of breaking is about 50%.

Dongxin shares: mainly engaged in small and medium capacity general-purpose memory chip research and development, design and sales, its industry price-to-earnings ratio of 48.5 times.

Dizhe Pharmaceutical: mainly engaged in the excavation of new targets and mechanism verification, with the help of the company's own transformation scientific research capability and technical platform to explore the relationship between the clinical characteristics of the disease and the possible abnormal driving gene and protein structure. its industry price-to-earnings ratio is 37.63 times.

Mengtian Home: mainly engaged in the design, R & D, production and sales of customized wooden furniture such as wooden doors, wallboards, cabinets, etc.

Its IPO price-to-earnings ratio is 22.99 times, and the industry price-to-earnings ratio is 27.31 times. It is comprehensively judged that the risk of breaking is small, and the probability of breaking is about 10%.

Jiahe Meikang: mainly engaged in medical information software development and industrialization, its industry price-to-earnings ratio of 59.08 times.

　　How to beat the new effectively?

However, due to the impact of the first day of breaking sentiment of new stocks in the market since October, there are still many investors with lingering fear, so how to hit the new effectively?

On the one hand, the valuation and pricing level of new shares. After the adjustment of the inquiry system, the market pricing of new shares tends to be rational. The level of the IPO price not only determines the success of the IPO, but also related to the fundamental interests of the participants.

From the recent breaking of new shares, Rong Mei shares, Zhongke Weizhi, Chengda biology and other relative valuation ratio is higher, the IPO price-to-earnings ratio is higher than the disclosed industry price-earnings ratio.

Therefore, it can be concluded that high valuation is one of the reasons leading to the breaking of new shares.

When investors consider whether to participate in a new stock, the first thing to consider is whether the pricing of the new stock is reasonable.

On the other hand, the new shares in the industry and its growth. The profits of the main board, gem and Science and Technology Innovation Board narrowed, the performance growth rate of the industry where the broken shares were issued slowed down, and the three-quarter reports of enterprises were lower than expected.

Judging from the performance so far this year, the operating revenue of Zhongzi Technology fell 54.61% and 63.75% in the first half of this year and the third quarter compared with the same period last year, and the net profit belonging to the parent company decreased by 81.76% and 89.29% respectively, so Zhongzi Technology will break on the first day.

Finally, there is market sentiment. Since the breakout of science and technology, a number of new stocks have also broken, and some stocks are affected by market sentiment. With the recent recovery of market sentiment, the breaking of new shares in the market will also be less affected by market sentiment.

Overall, the IPO market is unlikely to continue to break, nor will it always yield high returns. For investors, it is most important to understand the company's own good growth compared to following the trend of innovation and abandonment.