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This week (July 29-August 2), the three major A-share indices rose and fell. As of Friday's close, the Shanghai Composite Index rose 0.5%, the Shenzhen Component Index fell 0.51%, and the ChiNext Index fell 1.28%.

What is impressive is that on July 31, A-shares did rise dizzily. However, after a big positive line, the market did not wait for the long-awaited "thousands of troops", but instead ushered in a continuous shrinking volume. The experience card of the one-day tour of the A-share bull market is over!

Commercial aerospace concept is hot, Tengda Technology has been on the rise for 10 consecutive days

iFinD data shows that the top ten listed companies with the highest increase in stock price this week are Xiangxue Pharmaceutical, Shanzi Hi-Tech, Tenda Technology, Aerospace Morning Light, Beiba Media, ST Lingda, Shenzhen Konka A, Hehua Group, Zhongjing Technology, and Zongshen Power.

After the concept of autonomous driving “died down”, other sectors of the A-share market finally saw a sharp rebound. On July 31, when the index rebounded, the securities sector and the robot concept resonated with the index and strengthened. In terms of other hot spots, the commercial aerospace concept remained strong, and the early leaders of the low-altitude economy also strengthened.

Xiangxue Pharmaceutical (300147.SZ) ranked first in the list of gainers, with a cumulative increase of 73.25% this week. The rise of Xiangxue Pharmaceutical was mainly driven by both company and industry factors. With the support of relevant measures of the National Medical Products Administration and the Shanghai Municipal People's Government, the development of innovative drug research and development and the biopharmaceutical industry have been strongly promoted. The National Medical Products Administration has approved the "Pilot Work Plan for Optimizing the Review and Approval of Clinical Trials of Innovative Drugs", and Shanghai has also proposed to continue to increase support for the development of innovative drugs.

It is understood that Xiangxue Pharmaceutical's main business is the research, development, production and sales of modern Chinese medicine and Chinese medicine slices, as well as medical devices, a small amount of Western medicine products and pharmaceutical distribution business. The company has formed a full industrial chain including Chinese medicinal material planting, Chinese medicine slice production, Chinese patent medicine manufacturing and pharmaceutical distribution. In addition, the company's TCR-T cell therapy product TAEST16001's clinical phase II trial is progressing smoothly, and future progress may also have an impact on the stock trend.

The second on the list of gainers is Shanzi Hi-Tech (000981.SZ), which has accumulated a 63.95% increase this week. It is worth noting that Shanzi Hi-Tech was the stock with the largest decline last week, but this week it appeared in the second place on the list of individual stock gainers. The rise of the stock is also driven by many factors. First, there is the repurchase + increase in holdings. Shanzi Hi-Tech issued an announcement on July 27 that it plans to repurchase the company's shares for 600 million to 1 billion yuan. The chairman of the company and the companies controlled by him plan to increase their holdings by 10 million shares of the company; secondly, the company sent a letter of assistance to Zhejiang Merchants Asset Management, applying for a financing plan of no more than 1 billion yuan, and the two parties have signed a cooperation agreement.

In addition, as of the close of July 26, Shanzi Hi-Tech's stock price closed at 0.86 yuan per share, which has been below the 1 yuan red line for three consecutive trading days. On July 28, Shanzi Hi-Tech's WeChat account released a "Letter to All Shareholders", stating that the company's actual controller and chairman has applied to the board of directors to stop paying his personal salary until the stock price returns to above 1.6 yuan per share.

Ranked third on the list of gains is Tengda Technology (001379.SZ), which has risen 61.06% this week. The company's main business is the research, development, production and sales of stainless steel fastener products. In 2023, the company achieved revenue of 1.735 billion yuan, a year-on-year decrease of 20.68%; net profit attributable to the parent was 85.6068 million yuan, a year-on-year decrease of 36.55%. In the first quarter of 2024, the company achieved revenue of 412 million yuan, a year-on-year decrease of 3.58%; net profit attributable to the parent was 17.4871 million yuan, a year-on-year decrease of 42.5%. These data all show that the company is facing relatively great operating pressure.

However, in the context of the recent hot speculation of concepts, Tengda Technology is regarded as a commercial aerospace concept stock and is sought after by funds. Recent data from the Dragon and Tiger List shows that many well-known hot money investors, including Ningbo Sangtian Road, Xihu International Trade, Siming South Road, Chen Xiaoqun, and Yu Ge, have successively bought the stock, helping its stock price to "soar to the sky."

Tenda Technology clearly stated in its risk warning announcement that the company does not directly supply commercial aerospace customers. Although the company's main stainless steel fasteners are widely used, they are not directly linked to commercial aerospace. The market's irrational pursuit of the company's stock price lacks solid fundamental support.

It is worth noting that many ST stocks and low-priced stocks appeared on the list of gainers this week, including Shanzi Hi-Tech, ST Lingda, *ST Jiyao, Zotye Automobile, etc. The share prices of most of these stocks are around 1 yuan, indicating that some companies are actively saving themselves in order to avoid delisting at par value.

Many previous hot stocks have been adjusted

The top ten companies with the largest declines this week are UGREEN Technology, Kanglongda, Zecheng Electronics, *ST Weichuang, ST Solectron, Liju Thermal Energy, Feiliks, Yanao Technology, Haiyin Technology, and Quectel.

UGREEN Technology (301606.SZ) ranked first in the list of decliners this week, with a cumulative decline of 27.86% this week. After a surge of 114.76% on the first day of listing, UGREEN Technology ushered in a volatile downward trend. It is understood that UGREEN Technology is the first consumer electronics brand to go public overseas in the past three years. From 2021 to 2023, the revenue share of UGREEN Technology's transmission products has declined, but it is still the company's largest category. Products include docking stations, hubs, network cards, network data cables, etc.

Although the consumer electronics market in which UGREEN Technology operates has huge potential, the technological iteration of consumer electronics products has slowed down in recent years, the demand in major markets has been insufficient, and the overall growth rate of industry demand has also slowed down. In the future, if the global consumer electronics market demand continues to decline, coupled with increasingly fierce market competition, the company may also face the risk of declining performance.

The second largest decliner this week is Kanglongda (603665.SH), which has fallen 24.97% this week. Kanglongda's bizarre plunge has left the market a little confused. On July 31, against the backdrop of a general rise in the Shanghai and Shenzhen stock markets, Kanglongda's stock price suddenly plummeted to the limit without any warning. In response, Kanglongda said that the company's recent production and operations have remained normal.

Lanfu Finance noted that Kanglongda also experienced consecutive limit-down trends at the end of 2020 and the beginning of January 2021. However, after a sharp drop, Kanglongda will then go out of a wave of upward trend, which is quite dramatic.

The third largest loser this week is Zecheng Electronics (837821.BJ), which has fallen 24.55% this week. Zecheng Electronics is mainly engaged in the research and development, production and sales of customized intelligent control module products based on flexible applications. It currently has three basic businesses: intelligent module, electronic assembly and circuit board, forming a unique business layout in the industry.

The stock started to rise on June 28 and rose by 197.08% as of July 24, nearly doubling in less than a month. However, after a period of hype, Zecheng Electronics still saw adjustments, and there is no sign of stopping the decline yet.

In addition to Zecheng Electronics, other previously popular stocks such as Feilida, Railway, and Shaoyang Hydraulics have all experienced substantial adjustments this week due to their excessive short-term gains. Investors should remain cautious.