Research On The Problems And Countermeasures Of Stock Breaking Of JRXC

In order to encourage the high-quality development of scientific and technological innovation enterprises,China has set up the science and technology innovation board,and carried out the pilot registration system in the board.For the purpose of successful IPO Financing,enterprises often issue stocks under the price,and breaking is one of the few phenomena in the capital market.From the perspective of corporate financing,the long-term break of stock price means the failure of IPO pricing,which is not conducive to the future development of the enterprise;from the perspective of maximizing the interests of shareholders,the break will bring huge losses to shareholders,and the long-term break will lead to the long-term loss of shareholders’ interests.If the breakdowns of enterprises on the science and technology innovation board occur one after another,it will have a negative impact on the science and technology innovation board and even the whole capital market.Therefore,breaking as an urgent problem has an important impact on the future development of enterprises.As of March 2021,27 enterprises of science and technology innovation board have broken down.Therefore,it is of practical significance to study the breakout of listed enterprises on the science and technology innovation board.The JRXC company studied in this paper was listed on the science and technology innovation board on November 5,2019,but on the next day of listing,the stock price of the company fell below the issue price and was in a state of breaking for a long time.The breakout problem originates from the fact that the enterprise has too high expectation of the future operating situation,but the actual operating performance has not reached the expected operating situation.Therefore,when studying the breakout problem,this paper makes a comparative analysis of the expected situation in the company’s prospectus and the actual operating situation in the annual report,which is also one of the innovations of this paper.Firstly,this paper reviews the relevant literature in the field of investment value,pricing efficiency and breaking,as well as the stock valuation theory,information asymmetry theory and value investment theory.Based on the existing literature and theory,it is found that the investment value plays a decisive role in the stock price,and the financial performance and financial status of enterprises are important factors to identify the investment value.Breaking is also related to the issue price,information disclosure,underwriter ability,investor sentiment and other factors.Secondly,this paper finds that the breakout of jrxc is mainly affected by the internal and external causes.The internal causes are: the issue price and P / E ratio are too high;The profit forecast needs to be improved;The financial situation is not good,which is inconsistent with the good expectation in the prospectus;There are some defects in the quality of information disclosure.The external causes are: the ability of sponsor and underwriter is not good;There are many negative news in enterprises;The content of scientific and technological innovation in chemical industry is low;Investors tend to be rational.Finally,in view of the above problems,this paper puts forward the following suggestions: optimize the corporate governance structure,improve business performance,improve the quality of information disclosure,so as to improve the stock price and end the breaking state as soon as possible.In order to promote the development of science and technology innovation board,this paper also puts forward corresponding suggestions for underwriters and sponsors,public media and investors,in order to provide some reference for the breaking enterprises of science and technology innovation board or the enterprises that will be listed on science and technology innovation board in the future.