THE number of A-share listed companies in Shenzhen had reached 308 as of June 10, once again surpassing Shanghai, which recorded a total of 307 publicly traded companies, Shenzhen Economic Daily yesterday.
Since the beginning of this year, there have been 11 Shenzhen companies and only five Shanghai companies listed in the A-share market — the two stock exchanges on the Chinese mainland, the Shanghai Stock Exchange and the Shenzhen Stock Exchange.
The ox statue at the doorstep of the Shenzhen Stock Exchange in Futian District. Wang Haolan
So far, the number, market capitalization and net profit of Shenzhen’s listed companies have all exceeded those of Shanghai, ranking second only to Beijing.At the end of 2018, Shenzhen outnumbered Shanghai in terms of the number of A-share listed companies for the first time, but the lead only lasted for a short time.
As early as March 2018, the total market capitalization of Shenzhen’s A-share listed companies has surpassed that of Shanghai, gaining a firm foothold of the second-place rank in China.
Since 2016, the market capitalization of A-share listed companies in Shenzhen has grown faster than that of companies in Beijing and Shanghai. In 2019, the market capitalization of Shenzhen technology firms has increased by 52 percent.
At present, the market value of Shenzhen’s A-share listed companies has reached 7.39 trillion yuan (US$1 trillion), nearly 30 percent higher than that of Shanghai publicly traded firms.
Apart from market value, Shenzhen A-share listed companies also fare well in terms of revenue. From 2010 to 2019, the annual average growth rate of the operating revenue and net profit of Shenzhen’s A-share listed firms was 21.3 percent and 18.6 percent, respectively.
Moreover, in the most recent five years, the annual net profit growth rate of local A-share listed firms has remained higher than that of Beijing and Shanghai companies also traded on the A-share market.
Among the local A-share listed companies in Shenzhen, there are more than 200 private enterprises, accounting for nearly two-thirds of the total.
The top 10 Shenzhen companies with the most market value mainly engage in eight sectors: insurance, banking, securities, medicine, electronics, communication, real estate and transportation.