what happened? Buffett reduced his holdings of BYD for the third time, cashing out nearly 1.3 billion! Domestic institutions vigorously increase their holdings

　　(Original title: What happened? Buffett reduced his holdings of BYD for the third time, and has cashed out nearly 1.3 billion! Domestic institutions have vigorously increased their holdings, and the leading cost performance is outstanding)

　　According to the Hong Kong Stock Exchange, Buffett's Berkshire Hathaway sold 3.297 million BYD H shares at a price of HK$169.87 on November 1, reducing its shareholding ratio to 17.92%.

This is the third reduction in holdings, with a cumulative cash out of 1.4 billion Hong Kong dollars (about 1.288 billion yuan).

　　While Buffett reduced his holdings, BYD's performance was still outstanding, and its development momentum has entered the "fast lane".

On November 3, the Passenger Association announced the wholesale sales of new energy by major manufacturers in October. The data shows that in October this year, the wholesale volume of BYD's new energy passenger vehicles reached 217,500 units, an increase of 144.7% over the same period last year. First, nearly three times the sales of Tesla in China (71,700 vehicles), which came in second.

　　At the same time when Buffett reduced his holdings of BYD, both private equity institutions and public funds chose to increase their holdings of BYD, and were still firmly optimistic about domestic new energy vehicles.

In BYD's recent three quarterly reports, domestic tens of billions of private equity Gao Yi assets appeared in BYD's top ten tradable shareholders, with a reference market value of 1.9 billion yuan at the end of the period.

At the same time, the new energy vehicle ETF (515030), the largest and most liquid new energy vehicle industry-themed ETF on the market, also chose to increase its position in BYD in the third quarter.

Buffett cuts BYD H shares for the third time

　　Since the third quarter of this year, Buffett has reduced his holdings of BYD all the way.

Beginning in August, Berkshire Hathaway started its reduction in BYD, selling 1.33 million BYD shares on August 24 at an average selling price of HK$277.1016, cashing out HK$369 million.

　　Then on September 1, Berkshire Hathaway sold 1.716 million BYD shares, with an average reduction price of HK$262.7243 per share, cashing out over HK$450 million.

After the two reductions, Berkshire Hathaway's shareholding in BYD's H shares fell from 20.49% to 18.87%.

　　With the third reduction on November 1, the shareholding ratio dropped to 17.92%, and Berkshire Hathaway's cumulative cash-out amount was close to HK$1.4 billion.

Industry insiders believe that the ongoing reduction of Berkshire Hathaway's holdings is a normal adjustment under the influence of the continuous disturbance of the Fed's strong expectation of interest rate hikes and the pressure of exchange rate depreciation.

　　However, according to the analysis of the major asset allocation team of the domestic private equity firm Mingshi Partners Fund, the current market is already in a clear bottom area, and the probability of a rebound in the market is extremely high.

BYD's sales show an overwhelming advantage, and domestic institutional investors are increasing their holdings

　　Since the beginning of this year, BYD's performance has remained outstanding.

On November 3, data released by the Passenger Federation showed that in October this year, BYD's new energy passenger car wholesale volume reached 217,500 units, a year-on-year increase of 144.7%, ranking first with an overwhelming advantage, almost Tesla. Three times the sales in China (71,700 units).

　　The impact of Buffett's reduction is fading.

On November 4, the closing price of BYD A shares was 280.2 yuan, up 12.22 yuan, or 4.56%; on the same day, BYD H shares closed at 197 Hong Kong dollars, up 9.6 Hong Kong dollars, or 5.12%.

In a week, the value of BYD's A-share market rose by about 117.3 billion yuan, and BYD's H-share market rose by 91.1 billion Hong Kong dollars.

Not only BYD is rising, but the entire new energy and new energy vehicle sectors are generally rising. China's new energy vehicles are accelerating their deployment in the global market, and the global share of leading companies is increasing. At the same time, the entire industry chain continues to expand globally.

　　At the time when Buffett reduced his holdings of BYD, both private equity institutions and public funds chose to increase their holdings of BYD, and were still firmly optimistic about domestic new energy vehicles.

In BYD's recent three quarterly reports, the top ten tradable shareholders appeared in Gao Yi Assets. Gao Yi Xiaofeng, managed by Deng Xiaofeng, bought 7.54 million shares of BYD in the third quarter, with a reference market value of 1.9 billion yuan at the end of the period, becoming the No. 8 major tradable shareholders.

　　According to Choice data, as of the end of the third quarter of 2022, a total of 634 funds held BYD A shares, holding a total of 131 million shares, accounting for 7.24% of tradable shares (including locked shares), and many funds slightly increased their positions in BYD .

Among them, the new energy vehicle ETF (515030), the largest and most liquid new energy vehicle industry-themed ETF on the market, will add 22,100 BYD A shares in the third quarter of 2022, and the latest holdings are 3,418,500 shares.

From the perspective of the proportion of market value of holdings, BYD's shareholding ratio reached 9.23%, second only to the Ningde era.

At present, the valuation of the CSI New Energy Vehicle Index tracked by the ETF is 29.06 times, the lowest valuation level in the past three years.

China's new energy vehicles enter the fast lane, with more opportunities than risks in the future

　　"The new energy vehicle sector has undergone a major adjustment in about 3 months, showing a serious deviation from the fundamentals." Yin Bin, an analyst at Huaxin Securities, said that since the beginning of this year, the sales of new energy vehicles have continued to rise, constantly exceeding market expectations, reflecting the fundamentals. Resilience.

Affected by the pessimism of the market, the current sector valuation has been at the bottom of the historical range, and some leading companies are in a state of serious oversold.

"We believe that the short-term sector may still be in the stage of bottom shock and momentum, and the cost-effectiveness of multi-segment leaders is outstanding, reflecting better medium- and long-term layout opportunities."

　　Regarding the large-scale purchase of BYD, Gao Yi Asset Deng Xiaofeng said in an article in August that since last year, the biggest change observed in the new energy vehicle industry is that the demand side has increased significantly.

This year, it is obvious that the development of China's new energy vehicle industry is unstoppable and has entered the "fast lane".

Through positioning in the high-end market segment, the new car-making power company has accurately found the target consumers and achieved breakthroughs in product pricing; more independent brands have won consumers' attention through the introduction of mid-to-low-end pure electric models. favor.

China has begun to realize a comprehensive and systematic replacement of traditional fuel vehicles.

The development and changes in the vehicle field will be an important turning point for the new energy vehicle industry in 2022.

　　Gathering Capital believes that the current relative price-earnings ratio quantile of stocks and bonds (since 2008) has fallen to the position of 8%. Similar stages in history are only in the outbreak of the epidemic in early 2016 and March 2020.

The current position of the stock market actually reflects more pessimistic expectations. Once the expected margin improves in the future, it will bring positive stimulus to the market.

It is not appropriate to continue to be pessimistic in this position, as there are more opportunities than risks in the future.

Jumping out of the emotions, it's now a very suitable hitting zone.

(Broker China)