--- title: "What Does Moutai's Stock Price Breaking 600 Mean?" description: "Moutai's stock price broke through 600 yuan, exciting investors, with brokerages predicting further gains to 800 yuan, implying a market cap exceeding one trillion. The stock hit a record high of 613 yuan, driven by strong Q3 earnings, and the market sees this as a boost for value investing." author: "New Distribution" publisher: "New Distribution" email: "zhaobo258@gmail.com" telephone: "+8615854817671" published: "2017-10-27" language: "en" canonical: "https://xinjignxiao.com/en/articles/what-does-moutai-s-stock-price-breaking-600-mean-68dcae75/" markdown: "https://xinjignxiao.com/en/articles/what-does-moutai-s-stock-price-breaking-600-mean-68dcae75.md" original_source: "https://mp.weixin.qq.com/s/Yh2NNCi_9stLshqPzAmf6w" translation: "https://xinjignxiao.com/zh/articles/%E8%8C%85%E5%8F%B0%E8%82%A1%E4%BB%B7%E7%AA%81%E7%A0%B4600%E6%84%8F%E5%91%B3%E7%9D%80%E4%BB%80%E4%B9%88-68dcae75.md" attribution: "New Distribution — https://xinjignxiao.com/en/articles/what-does-moutai-s-stock-price-breaking-600-mean-68dcae75/" usage_policy: "https://xinjignxiao.com/ai-policy.txt" --- # What Does Moutai's Stock Price Breaking 600 Mean? > Moutai's stock price broke through 600 yuan, exciting investors, with brokerages predicting further gains to 800 yuan, implying a market cap exceeding one trillion. The stock hit a record high of 613 yuan, driven by strong Q3 earnings, and the market sees this as a boost for value investing. Moutai's stock price broke through 600 yuan, and everyone is excited. Brokerages think it will break 800 yuan, corresponding to a market value exceeding one trillion. The masses think that if they had tens of thousands of shares of Moutai, they would be the best. **Refreshing A-share Stock Price Record** 613 yuan! Guizhou Moutai (600519.SH) hit a new intraday high on Thursday, refreshing the highest stock price record in A-shares. This is also the first time an A-share stock has broken through the 600 yuan integer level, giving Guizhou Moutai a very special position in the history of China's stock market! The reason for the stock price breaking through 600 yuan after four consecutive days of adjustment is undoubtedly Guizhou Moutai's better-than-expected Q3 report. Data shows that Guizhou Moutai achieved net profit of 19.98 billion yuan in the first three quarters of this year, a year-on-year increase of 60.31%; operating revenue of 42.45 billion yuan, a year-on-year increase of 59.4%; and earnings per share reached an astonishing 15.91 yuan! With the significant growth in performance, relevant institutions have also raised their target prices for Moutai. CICC gave the highest target of 845 yuan, and most institutions' target prices have exceeded 600 yuan. This also caused Moutai's stock price to jump at the opening on Thursday, hitting a new high of 613 yuan during trading! Congratulations to investors holding Moutai. If you bought at the bottom of 30.62 yuan on November 2008, the stock price has now reached 20 times that. The masses say that if you had bought 300,000 yuan of Moutai 9 years ago, you would now have 6 million yuan! Affected by this, the Shanghai and Shenzhen markets once again showed a "Beautiful 50" trend on Thursday. Blue-chip stocks with performance, represented by liquor, railway infrastructure, etc., were clearly favored by funds. With large net capital inflows, stock prices also rose significantly, driving the Shanghai Composite Index to stand firmly above the 3400 integer level, hitting a new high for the year! In fact, if it weren't for the collective pullback of bank stocks, the Shanghai Composite Index would have risen even more on Thursday. For market professionals, the significance of Moutai's stock price breakthrough at this time may be more far-reaching. > On the one hand, this further opens up the upside space for A-share stock prices, making the value investment market that has lasted for more than a year likely to develop further; > > On the other hand, it has significantly boosted market sentiment, as reflected in the rapid increase in trading volume to over 500 billion yuan. For today's sharp rise in stock price, netizens also sent congratulatory messages: **Moutai is really going to fly! Earning 73 million a day in the first three quarters** According to the 2017 Q3 performance report released by Guizhou Moutai, net profit in the third quarter was 8.73 billion yuan, a year-on-year increase of 138.4%. Basic earnings per share were 15.91 yuan, a year-on-year increase of 60.31%. Regarding the increase in revenue, Guizhou Moutai stated that it was mainly due to increased sales volume in the period. In the third quarter, Moutai liquor supply increased significantly to about 11,000 tons. From a profitability perspective, Moutai's cash-generating ability also puts many listed companies to shame. Based on Moutai's net profit of 19.983 billion yuan in the first three quarters, it earns about 73 million yuan per day on average. Moutai's stock price has risen 83.28% this year, and the latest market value of Guizhou Moutai has reached 753.7 billion yuan, ranking 8th in A-shares, surpassing Sinopec's market value of 684.1 billion yuan. The market value has increased by about 340.4 billion yuan this year, equivalent to the market value of Midea Group. As of yesterday, only 19 listed companies in A-shares had a market value exceeding 300 billion yuan. **Brokerages see up to 845 yuan** After the Q3 performance significantly exceeded expectations, various institutions have raised their target prices for Guizhou Moutai. Analysts said that the ban on alcohol consumption did not materially affect wholesale prices, and Moutai successfully passed the stress test; next, they are optimistic about the potential of high-end Chinese liquor consumption, and Moutai's price increase trend is expected to continue. According to Bloomberg data, Guizhou Moutai has 27 buy ratings and 2 hold ratings; the 12-month target price is 631.99 yuan. Specifically, CICC even set a target price of 845 yuan, Shenwan Hongyuan raised its target to 750 yuan, Huatai Securities raised its target range to 676.25-730.35 yuan, and HSBC analysts raised their target from 566 yuan to 720 yuan. However, interestingly, despite the stock price "fever" not subsiding, some investment institutions are gradually withdrawing. A reporter sorted out the shareholding changes of the top ten shareholders disclosed in its Q3 report and found that China Securities Finance Corporation has been reducing its holdings in Guizhou Moutai since Q2 2016. At the end of March 2016, it held nearly 2.96%, and as of September 30 this year, it had dropped to 1.56%, with a reduction of 5.15 million shares in Q3 this year. E Fund Management (Hong Kong) seat, Oppenheimer Fund, GIC PRIVATE LIMITED, etc., also made small reductions, reducing 132,000 shares, 1.26 million shares, and 274,000 shares respectively in Q3. In addition, Taikang Life Insurance withdrew from the top ten shareholders. Qu Shiyin, director of the institutional business department of Haitong Securities Shanghai Branch, analyzed to Yicai reporters that this is a position adjustment behavior by institutions. The performance of the liquor leader is indeed impressive, but it has accumulated nearly double the increase since the beginning of the year. Therefore, from the perspective of many institutions, first, they want to lock in profits, and second, they hope to find better sectors with catch-up potential in Q4. In the future, there is still uncertainty after all. High-end liquor is an optional consumer product, and can even be said to be conspicuous consumption. **2017 (3rd) FMCG + Internet Conference** will be held in Chongqing in November 2017. The conference will closely focus on the theme of "New Forces, New Ecology", inviting domestic **1000+ distributors, 500+ brand owners, 200+ B2B platform founders, 100+ investment and financing institutions** to jointly explore a new chapter of cross-border integration! Click the link below to review the highlights of the first and second FMCG + Internet conferences: [2016 "FMCG + Internet" Summit Forum]() -END- --- ## Copyright and AI use This article is sourced from New Distribution. Search, quotation, summarization, and model training are permitted, but every use must credit New Distribution and retain the canonical source URL. Contact: zhaobo258@gmail.com · +86 158 5481 7671