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What Are ST Shares? What Kind Of Stock Will Be ST?

2011/7/21 13:43:00 61

What kind of stock will be ST?

Is the net asset per share less than the face value of the stock?

It is the abbreviation of English Special Treatment, meaning "special treatment".

The policy is targeted at listed companies with abnormal financial status or other conditions.

In April 22, 1998, the Shanghai and Shenzhen Stock Exchange announced that special treatment (Special treatment) would be conducted on the stock pactions of listed companies with abnormal financial status or other situations, and referred to as "ST" before the abbreviation.

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

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

(2) the audit results of the latest accounting year show that its shareholders

Equity

Below registered capital.

That is to say, if a listed company loses money for two consecutive years or the net assets per share is lower than the face value of the stock, it must be dealt with in a special way.

(3) a certified public accountant has issued an audit report that fails to express his opinion or negative opinion on the property report of the latest accounting year.

(4) the audited stockholders' rights and interests in the last accounting year are deducted from the registered accountants and the departments concerned do not confirm that they are lower than the registered capital.

(5) the most recent audited financial report for the previous year.

profit

The adjustment resulted in a loss for two consecutive fiscal years.

(6) the financial situation is identified as abnormal by the exchange or the China Securities Regulatory Commission.

Another "abnormal situation" refers to natural disasters, major accidents, and so on, which lead to the termination of production and business activities, and the company may involve litigation involving possible compensation exceeding the company's net assets.

During the special handling of stock pactions of listed companies, their stock pactions should follow the following rules: (1) the limit of stock quotations is 5%; (2) the stock names are changed to the original stock names before adding "ST", such as "ST steel pipes"; (3) the interim reports of listed companies must be audited.

The restriction on the daily fluctuation of ST shares was 5%, which also inhibited the deliberate speculation of investors.

Investors should be treated differently in particular stocks.

Some ST shares are mainly operating losses, so in the short term it is very difficult to turn losses into profits through strengthening management. Some ST shares are caused by special reasons, or some ST shares are being restructured.