Abstract: Explain the reasons of buying HK stock China Merchants Bank and share my views.
Transaction detail
What I want to share with you today is the transaction I made on July 15. The details are as follows:
Bought stock
- China Merchants Bank (HK stock code: 3968)
- Quantity: 500 shares
- Bought price: HK$41.95
- Commission fee: HK$50.15
Image source: http://www.aastocks.com/en/stocks/quote/detailchart.aspx?symbol=03968
Reasons to buy 3968
Recently, a number of Chinese bank stocks have collectively dived. Among them, China Merchants Bank has fallen by a large portion. After a few days of decline, China Merchants Bank has fallen by about 15%. Today, I see that the bank stocks have begun to stop falling. I don’t know if this is near the bottom. But in any case, the current price has dropped by more than 26% compared to when I increased my position last year, which was about HK$57. I think it is definitely attractive to start buying this stock.
The reason for this round of Chinese bank decline is that a number of residential properties have been suspended building, and people have collectively cut off their mortgage payment. I think that the government will never allow this situation to continue to spread. I believe that this kind of policy-led atmosphere in the situation of the mainland China will not let it deteriorate beyond control. As for China Merchants Bank, I believe that its excellent management team will be able to solve the difficulties smoothly. I think the current share price will be very attractive after this crisis is over.
Comments and sharing
If you have any questions, please feel free to leave a message or comment below, I will reply you. Or if you find anything incorrect in the article, please let me know and learn from you. If you find it interesting or it may help you in any sense, please share with other people.
