legendary trader

Chapter 766 767 Miracle Company
"Laomi's infrastructure is not good."

After Zhang Quan left, Chen Fan said to Zheng Xiaopang.

"Yeah, who would have thought that the mighty Midi would have such a fragile domestic infrastructure and still use decades-old thermal power units."

Zheng Xiaopang also shook his head and said.

"By the way, are you interested in An Ran?"

Suddenly Zheng Xiaopang asked Chen Fan again, before Zhang Quan left, Chen Fan asked him to collect information on Enron Energy, and he wanted to read it.

Chen Fan hastily denied, "No, I just want to know who is the shareholder of this company and why it is so awesome."

"Enron's shareholders must be a large consortium of big capital. Can ordinary people turn the company into the largest energy company in the United States? Or a huge energy empire spanning oil, natural gas, electricity and new energy."

Zheng Xiaopang looked determined, "The background is definitely not simple."

"It's almost time, go to the trading room."

Chen Fan said to Zheng Xiaopang.

"How to operate tonight?"

Zheng Xiaopang asked casually. Knowing about the mess in the country of America, it seems that the impact of this incident is not small. I don't know if Chen Fan will modify the operation plan.

"We still do it according to the plan. Qualcomm has no choice but to launch it. It must be pulled today. No matter how the market goes, we will raise the stock price."

Chen Fan walked out while talking, and went directly to the trading room.

As expected, the rice stock market opened lower tonight. After the news broke out on Monday, only investors near California in the United States knew the situation best. After two days of fermentation, the media had a more thorough understanding of the incident, so the reports were more thorough deep.

The economy is developing too fast, and infrastructure such as electricity is no longer enough. The lack of electricity is certain, but I don’t know how much impact it will have on the economy. However, the news must be bad for technology stocks, because at this time, quite a few technology companies in the United States are located in California area.

The Nasdaq opened at 4589.52 points, 21 points lower. The opening prices of Qualcomm and Oracle Software were 63.88 yuan and 38.94 yuan respectively, both of which fell more or less.

A few minutes later, the rice stock market opened, and the three major indexes of the rice stock market fell across the board. The impact of the California blackout is still simmering.

Presumably, the fastest growing sector of the American economy is high-tech companies, and a large number of these companies are concentrated in California. Now local production and life are affected by the lack of electricity, and it is understandable to cause some panic in the market.

The economic correlation is also getting stronger and stronger. Although only a certain place is affected, the products do satisfy the whole rice market. Whether it is the electronic components or products produced, it directly leads to the fact that factories in other regions may not be able to start work or business due to insufficient materials. The decline in market sales is an impact on the U.S. economy.

The California power outage has turned into a major disaster for the economic development of the United States, but the latest news is that the US federal government and state governments have contacted several neighboring state capitals to urgently dispatch power supply to California.

Of course, amidst the overall decline in the entire rice stock market, a sector has popped up extremely conspicuously.

Yes, this is when the stock prices of companies in the power industry such as Enron Energy, New Generation Energy, and Southern Company of the United States began to soar.

Now the media has revealed that the ex-factory electricity prices of power companies have skyrocketed, and reporters have discovered that although these power companies have not publicly stopped them, they are still intentionally or unintentionally delaying the work of increasing power supply to the California area.

Obviously, it is clear to everyone what shady deeds are hidden behind this.

You know, from Monday to today, the stock price of Enron Energy has risen from 52 yuan to over 60 yuan. In stark contrast, the Nasdaq fell below 4500 points and quickly approached the previous low of 4450 again. point.

The rapid reversal of the current situation makes the market a little unacceptable. Last week, the index fell by more than 600 points for three consecutive days, and then rebounded halfway back to close to 4800 points in the next two days. However, the market returned to the previous low point again in a blink of an eye. The market just had a rally, and it was all over.

Qualcomm's stock price did not fall as the market fell below 4500 points. After the stock price fell to around 63.5 yuan, it began to rebound, while Oracle software continued to fall.

Now Chen Fan is a bit confused. The California power outage seems to continue to affect the market operation. Didn't you see that the Nasdaq is not far from the previous low?

If the impact continues, it will be difficult to leave the stocks with huge value in his hands, but fortunately, even if it bottoms out again, in Chen Fan's eyes, the Nasdaq still shines, and there is still room for growth.

Now that the Qualcomm is pulled up, the selling price above is a bit big. Although it can’t be said that there is a lot of pressure, it feels that the plate is much heavier when it is pulled up than before. Selling orders, the stock price began to trade sideways below 64 yuan, waiting for an opportunity to pull up.

When the Nasdaq fell below 4470 points, the market's downward trend was finally reversed, and the market's volatile downward trend was broken. At this point, which is very close to the previous low point, a batch of buy orders finally began to emerge in the market to support the market.

Same as last time, this time the buy orders are mainly concentrated on high-quality technology stocks. Oracle Software once fell to around 38 yuan in the intraday session, but there were a large number of buy orders here to support the stock price. The 38-meter mark was not broken.

With the retreat of selling orders, the stock price began to rebound under the support of continuous buying orders, and the stock price rose rapidly, approaching 39 yuan in a short period of time.

This kind of performance naturally fell into the eyes of Zheng Xiaopang and Chen Fan. They knew that the main force of the market seemed to be making moves, because after the Oracle software purchase order appeared, Miruan, Yahu and other stocks appeared successively on the disk. , began to push up the stock price.

The blue chip stocks once again attracted funds to buy when the index was close to the previous low point, so that the Nasdaq index finally stopped falling and rebounded after falling to 4467.53 points.

The same trend has allowed market sentiment to recover quickly in a very short period of time.

In fact, in the rice stock market, in a market that pays more attention to the return on investment, these stocks that have been listed for many years and have experienced countless market tests are more likely to gain the trust of the market.

When the market sentiment is sluggish, the main force of the market launches this sector to promote it, which not only makes it easier to gain market recognition, but also makes a huge contribution to the stability of the index.

In the other two major markets, a large number of industrial stocks, pharmaceutical stocks and other stocks have also begun to rebound. These stocks are companies that have been little affected by the California power outage, or basically unaffected. Mostly due to the impact of market sentiment, the market's willingness to buy in the short term has weakened. When the market rebounds, it is easier for such stocks to get rid of the decline.

As the overall market rebounded, sentiment began to recover rapidly. Just now, I was still worried about whether the market was really over and the market was about to hit a new low. However, the market rose in a blink of an eye, and the Nasdaq quickly approached 4500 points.

It should be said that the rising trend of rice stocks in recent years, the Nasdaq market has only performed extremely well, and it is often the leader of the player. In fact, the Dow and the S & P index have also shown a sharp upward trend, but the increase has not The Nasdaq is huge.

Now the entire rice stock market has been affected by unexpected events, leading to this downward trend, and when the market re-enters buying, the market sentiment recovers. Naturally, today's huge drop has become the first hurdle to be overcome.

At this time, the performance of Oracle Software among the many rebounding stocks was highlighted. Not only was it the first to rebound, but after the start, it did not appear to be hesitant to rise like other stocks. However, when the market index also stabilized and rebounded, Oracle Software once again exploded and went up, quickly breaking through 39 yuan and rushing to 39 yuan.

In the subsequent trading hours, as more and more stocks joined the rebound camp, the index also rose and continued to rise.

The rebound trend continued until the close, and finally the Nasdaq closed at 4711.68 points, up 101 points, or 2.21%.

The closing price of Qualcomm was 67.31 yuan, up 3.86%. Because of the surge in market sentiment, the willingness of off-market funds to buy increased, so the trading volume for the whole day also surged to 1.81 million yuan.

Oracle Software performed well in the market before and after the market stabilized, but its legs were still weak when it hit 40 yuan. Maybe the dealer was a little afraid of the pressure above 40 yuan.

During the continuous rebound of the Nasdaq, the stock price of Oracle Software remained below 40 yuan. Even though it rose several times during the session, the stock price did not break through 40 yuan. This repeated trend continued until the end of the day. It breaks just in time.

Ten minutes before the final close, the share price of Oracle Software finally broke through 10 yuan, and finally closed at 40 yuan, an increase of 40.34%, and the transaction value continued to enlarge to 3.28 million yuan.

However, Xiaoye did not find an opportunity to make a move today. It is because Oracle Software’s share price stayed above 40 yuan for too short a time, and it was close to the closing time.

On Wednesday afternoon, Chen Fan and Zheng Xiaopang drank tea leisurely in the tea room, and looked through the information about Enron Energy Company compiled by Zhang Quanxian. Although it was not comprehensive enough, at least Chen Fan could get a general understanding of the company's situation.

Enron was founded 70 years ago as a natural gas distribution company, sort of a utility, and has since grown through multiple acquisitions and mergers.

But the company name did emerge after a merger initiated more than a decade ago between United Northern and Houston Natural Gas.

But now it has become a power plant with assets of 340 billion yuan, and also deals in daily necessities such as paper, coal and chemicals.

The company's subsidiary Enron Gas Pipeline Group controls a 32000-mile gas pipeline in the United States and provides consulting, construction and other services related to energy transmission.

Enron has about 2 employees in the United States and around the world. It is one of the largest electric, natural gas, and telecommunications companies in the world. Last year, it disclosed a turnover close to 1 billion U.S. dollars. Opportunity to exceed this number.

However, combined with the stock market, Enron now has a total share capital of 7.25 million shares, and its stock price has risen to 65 million yuan, with a dynamic price-earnings ratio of 62 times.

However, Chen Fan is concerned about the changes in the data in recent years. Enron's annual revenue was only 5 billion US dollars five years ago. billion, an increase of more than 133%, and an annualized growth rate of more than 900%.

However, for the traditional energy industry, an annualized growth rate of more than 3% is already very high, and Enron's performance is outstanding.

Among the Fortune Global 500 companies selected by the American Fortune magazine the year before last, Enron was only ranked 179th, but last year its ranking has risen to 86th, because the company's revenue has grown too fast.

If it continues to grow at the current speed, Enron's ranking in the latest ranking of the world's top 500 companies this year will obviously make another big leap.

When Chen Fan saw this, he unconsciously felt unreal in his mind.

Maybe it's because this company is a company from the United States. Its main business is also natural gas and electricity, and no products directly enter Chen Fan's life. So quickly, I can't help but have doubts.

However, facing the report audited by Arthur Andersen, one of the top five international accounting firms, Chen Fan had to believe that there are miracles in this world.

However, what Chen Fan paid more attention to was the main shareholders of Enron Company. Unlike what Chen Fan expected, he couldn’t find the name of the American conglomerate that he was familiar with among the shareholders of Enron Company. After carefully looking through the information, Chen Fan had a general understanding of Enron Company. shareholder structure.

Enron's original name was Northern Natural Gas Company, a joint venture established by North American Electric Light Company, Lone Star Natural Gas Company, and United Electric Light Railroad Company. However, the equity was diluted after listing, and these legal shareholders gradually withdrew from the company.

Now the company's largest shareholder is one of the company's founders. The current chairman, Kenneth Lay, worked at the Northern Gas Company and later became the chairman of the United Northern Company. At present, the company's top management has obtained varying amounts of company stocks through incentives , especially in recent years, the company's performance has grown wildly, not only because of the skyrocketing stock price, but also because the current management team has gained a lot of money.

It can be said that Enron Company is a company with a very dispersed shareholding. It has nothing to do with Chen Fan's thought that the company has a strong background at first. However, the end of the information still caught Chen Fan's attention. It was an unconfirmed report.

According to these reports, Chen Fan roughly found the reason why Enron dared to manipulate electricity prices unscrupulously. The company was involved in multiple allegations of bribery, and its targets of bribery included not only the top officials of the US government, but also the governments where its business expanded.

In short, although Enron has been awarded "Most Innovative Company in America" ​​and "Best Employer in Mi 100" by "Fortune" magazine for many years, the company's image has actually been damaged.

(End of this chapter)