Agricultural Bank A-share price range confirmed analysts said it could be moderately hit by new

Every reporter Yu Xi from Beijing yesterday (June 28) evening, the Shanghai Web site announced the "Agricultural Bank of China Co., Ltd. Initial public offering of a shares preliminary inquiry results and issue price Interval Bulletin", ABC A-share price range of 2.52 yuan/~2.68 yuan/shares (including the upper and lower limits). The announcement indicated that during the preliminary inquiry period, a total of 91 inquiry objects managed 244 placing objects to participate in the preliminary quotation.　　Among them, the provision of effective quotations (refers to the declared price is not less than the lower limit of the distribution price interval of 2.52 yuan/shares) of the placing of 214, corresponding to the number of subscriptions and 59.5058 billion shares.　　ABC will release the "Investment Risk Special Bulletin", "under the net release announcement" and "the Internet funds to purchase the publication announcement" on July 1. Pricing lower than market expectations there is an analysis that AgBank is expected to issue 2.68 yuan per share, and the 2.52 yuan/shares ~2.68 yuan/share price range is lower than the previous market expectations and the main underwriter's valuation range.　　Previously, AgBank's H-share price range was set at HK $2.88 to HK $3.48, corresponding to the 2010 dynamic market net rate of 1.55 times times ~1.79 times.　　As the last listed large state-owned commercial bank, the scarcity of the investment value of ABC is indisputable, but the market and investors to the Agricultural bank's acceptance degree, finally is reflected in ABC's pricing. "This price is not high, it is reasonable." "A brokerage analyst in the south said to the daily economic news after learning ABC's a-share pricing range.　　Pan, vice president of AgBank, also said in a preliminary roadshow that he hoped AgBank's IPO would replicate ICBC's story, allowing AgBank's pricing to satisfy both investors and AgBank.　　The Agricultural bank if the 2.68 yuan/share ceiling price issue, corresponding to the 2010 dynamic market net rate of about 1.6 times times, and ICBC and CCB average annual market net rate is more than 1.8 times times, AgBank's valuation relative to ICBC and CCB has more than 10% discount, and the market is expected to launch a new round of agricultural Bank of the bottom rebound rally. Double protection Break ABC pricing is a game process from beginning to end, and the temptation of buyers and sellers never stops. In the early stage of the roadshow, the underwriters sang more and gave a price above 3.0 yuan/share. But the buyer is constantly singing empty, and that AgBank's asset quality and profitability is not enough to support the high market net distribution.　　In response, the market speculation on the issue price also experienced a sharp fluctuation from 1.9 to 3.5 yuan, coincidentally, the most likely 2.68 yuan is the arithmetic mean of the two. Analysts at a brokerage in the South said that if the price was priced at 2.68 yuan, the net rate of AgBank's release was not particularly high, leaving room for the subsequent rise in share prices.　　A beijing-based brokerage banking analyst also believes that the price of about 2.7 yuan is a positive for bank stocks, and the room for pricing will reassure investors about the possible break in the IPO. In fact, apart from the space reserved for pricing, AgBank's "green shoe" mechanism has also added double insurance to the stability of the stock market.　　The purpose of "green shoes" is to prevent the share price of the IPO from falling down to the initial offer or below, to enhance the confidence of investors participating in the first-order market, and to achieve a smooth transition from primary market to level two market. Analyst: Can be moderately new in the pricing has been basically determined in the circumstances, whether to participate in the new Agricultural Bank has become a real problem facing investors. Analysts at one of the South's brokers suggested that investors should participate moderately, "in the long run, it would be better to take part in AgBank's new deal than to buy bonds."　　"she said. In fact, apart from the future growth of AgBank's share price, it is more appropriate to buy ABC than to deposit it. According to AgBank's previously released prospectus, its dividend policy in the second half of this year and in 2011 and 2012 did not assign cash dividends to shareholders in accordance with the 35%~50% of the audited current period net profit. In the same way, according to the earnings forecasts disclosed by the prospectus, AgBank's forecast net profit for 2010 will not be less than 82.91 billion yuan. According to the above dividend distribution policy, AgBank's 2010-year dividend will be no less than 14.5 billion yuan.　　So if the issue price is 2.6 yuan, AgBank's annual IPO yield of 2010 will be as high as 5.9%, much higher than the one-year deposit rate of 2.25%. On the growth side, the analysis points out that in the next few years AgBank will gradually release the share reform dividend, including the reduction of credit cost, the increase of the loan-to-deposit ratio, the improvement of asset quality and the decline of the cost-income ratio, which is also expected to reflect the profitability of ABC in the next few years.