Will the loss be ST for two consecutive years?

Losses for two consecutive years may not necessarily be St. According to the new rules for delisting, listed companies whose net profit losses and operating income are lower than 1 100 million yuan will be ST (the requirement of two-year losses has been cancelled). If its net profit has suffered losses for two consecutive years and its operating income is less than 1 100 million yuan, it will be directly delisted and its resumption of listing will be cancelled.

It should be noted that the fluctuation range of ST shares is limited to 5%, because the risk of ST shares is relatively large, so the fluctuation range is smaller than other stocks, and the fluctuation range of ST shares in GEM is limited to 20%. Generally, investors are not advised to operate ST shares.

ST stock refers to the stock trading of listed companies in Shanghai and Shenzhen Stock Exchanges that deal with abnormal financial conditions or other situations. ST means "special treatment".

If ST is added to the stock name, it is a warning to the market, indicating that the stock has investment risks. If you add *ST, it means that the stock has the risk of delisting.

The so-called "abnormal financial situation" refers to the following situations:

(1) The audit results of the last two fiscal years show that the net profit is negative.

(2) The audit results of the latest fiscal year show that the shareholders' equity is lower than the registered capital. In other words, if a listed company loses money for two consecutive years or its net assets per share are lower than the par value of the stock, it should be treated specially.

(3) A certified public accountant has issued an audit report on the property report of the most recent fiscal year, which cannot express opinions or negative opinions.

(4) The audited shareholders' rights and interests in the latest fiscal year, after deducting the part that has not been confirmed by certified public accountants and relevant departments, is less than the registered capital.

(5) The latest audited financial report adjusted the profit of the previous year, resulting in losses for two consecutive fiscal years.

(6) It is determined by the Exchange or the China Securities Regulatory Commission that its financial situation is abnormal.

Classification of ST stocks:

(1)*ST refers to the company's losses for three consecutive years, with early warning for delisting.

(2)ST refers to the company's losses for two consecutive years and special treatment.

(3)S*ST indicates that the company has suffered losses for three consecutive years, and the delisting warning+share reform has not been completed.

(4)SST refers to the company's operating losses for two consecutive years, special treatment+unfinished share reform.

(5)S indicates that the share reform has not been completed.

What are the investment risks?

Speculators of ST shares, some people know that their shares will be suspended once the annual loss is announced, and some people don't. For those who know the risks but still need to invest, the risk of suspending listing is not serious, because they have made enough mental preparations. But for junior investors who don't understand the suspension of listing, once Man Cang is stranded, it's no longer fun.

Therefore, for many new investors, the loss of ST shares for three consecutive years is extremely lethal. Because China's ST shares often don't fall wildly before delisting, many investors don't know that their shares will be delisted. In addition, the vast majority of investors use the remote trading system, and the communication between investors is difficult to care about each other. Investors should pay more attention to the risk of suspension of listing of st shares.

In fact, it is absolutely necessary for the exchange to give risk warnings to all trading accounts, requiring investors to sign the risk disclosure before trading ST shares, so as to prevent sudden risks, which is a kind of protection for new investors.

Some investors who are prepared to spend some money on ST shares can find their favorite companies to buy in the risk. That is, take out some funds that can be regarded as abandonment, buy ST shares that will almost certainly be suspended from listing, and hold them for a long time, waiting for the return of the reorganization king. For this kind of investors, we must pay attention to the proportion of investment funds should not be too high, otherwise the investment risk is too concentrated, which may bring disaster to ourselves.