Blue chip refers to the most valuable stocks in the stock market, that is, those stocks with large market value, stable dividends and long-term investment value. However, there are differences between the blue-chip stocks in the A-share market and those in the world. Because the dividend mechanism of A shares is not perfect enough, many investors regard blue chips as the basis for earning the difference. Blue chips can be divided into: first-line blue chips, second-line blue chips, blue chips with excellent performance, large-scale blue chips and so on. The following is the difference between blue-chip stocks and white-horse stocks collected by Bian Xiao _202 1 What is a blue-chip stock? I hope I can help you.
Differences between blue-chip stocks and white-horse stocks;
1, market size difference. Blue-chip stocks have a good market image and a high industry leading position. White horse stocks have high distribution ability and can give investors stable and generous returns. This kind of company has higher earnings per share, higher return on net assets and higher net assets per share, but compared with blue chips, the company with white horse shares is smaller.
2. Income difference. Blue-chip stocks have strong liquidity, stable income and more dividends; Although white horse shares have higher dividend-paying ability, they are weaker than blue-chip stocks, but they have the characteristics of high growth and low risk. Blue-chip stocks are characterized by high public recognition. Compared with white horse stocks, blue-chip stocks are traded more frequently and actively.
The above is the introduction of "what does blue chip mean?" I hope I can help you. It should be noted that the requirements for stock investment are relatively high. If you don't have a relatively basic knowledge of stock trading, it is recommended not to enter the market easily, otherwise you are likely to lose money. Reminder: The stock market is risky, so you need to be cautious when investing.
What is a blue chip?
In the stock market, blue-chip stocks refer to traditional industrial stocks and financial stocks with long-term stable growth and large scale. Blue-chip stocks can also be said to be the most valuable stocks in the market, with large market value, stable dividends, stable stock price trend, good market image and great power in the market.
There are many blue chips, which are divided into: first-line blue chips, second-line blue chips, excellent blue chips, large-scale blue chips and China blue chips; There are also blue chip funds. However, the blue chips in the A-share market include Bank of China, Industrial and Commercial Bank of China, Huaxia Bank, China Merchants Bank, China Construction, Kweichow Moutai and Gree Electric.
Through the above introduction, I believe everyone has a clear understanding of what blue chips are! Bian Xiao also helped everyone sort out the common blue chips in the A-share market, hoping to provide some help to investors in need. Today, Bian Xiao will introduce you here. Warm reminder, stock trading is risky, so you need to be cautious when entering the market.
What's the difference between red chips and blue chips?
In some places, blue chips are also regarded as blue chips. But there are still differences:
1. Blue chip generally refers to the large performance of listed companies, and blue chip generally refers to the good performance of listed companies, but the scale is not necessarily large.
2. The listed companies corresponding to blue-chip stocks are generally traditional industrial stocks and financial stocks with large scale and long-term stable growth. When the industry is depressed, these companies have strong ability to resist risks. Blue-chip stocks mainly refer to stocks of companies with outstanding performance, and companies have certain room for growth.
Compared with blue-chip stocks, blue-chip stocks are larger, more risk-resistant and more stable.
red chip stocks
The concept of red chips was born in the Hong Kong stock market in the early 1990s.
At that time, some foreigners called China "Red China", and those Chinese mainland concept stocks registered overseas and listed in Hongkong were called red chips.
At that time, it was difficult for mainland companies to go public in Hong Kong. Some China companies acquired small and medium-sized listed companies in Hong Kong, and gradually formed red chips after the transformation.
In "A-share, B-share and H-share type disassembly", we mentioned B-share and H-share.
In addition to B shares and H shares, red chips are an important channel for mainland enterprises to enter the international capital market to raise funds. Over the years, the rise and development of red chips has also promoted the growth of Hong Kong stock market.
Definition of red chips:
Refers to the shares of listed companies registered overseas and listed in Hongkong, but whose main business is in Chinese mainland. More common are Chinese listed companies and listed companies whose main business is in Chinese mainland.
If red chips are to meet three conditions, one is to be listed in Hong Kong, the other is to be registered overseas, and the third is to be mainly engaged in the mainland.
In "A-share, B-share and H-share type dismantling", we also mentioned China enterprise stock-H-share.
Refers to a class of stocks registered in the mainland and listed on the Hong Kong Stock Exchange.
Both H shares and red chips are listed in Hong Kong, but there is a fundamental difference:
Red chips are registered overseas and managed by Hong Kong companies or overseas companies; H shares are registered in the Mainland and managed by Chinese mainland companies.
From the investment point of view, there are some differences between red chips and H shares:
1. Red chips can be listed and circulated, while some state-owned H shares cannot be listed and circulated;
2. When issuing new shares in the future, red chips may have greater flexibility, while the risk of issuing H shares may be higher and the time may be relatively long;
3. The stock options held by the red-chip management may be the same as those of overseas companies, and the management can enjoy all the rights and interests of all stock options; However, the management of H shares does not really own the stock options of listed companies, even if they do have simulated stock options.
4. Red chip companies do not need to meet the legal procedures and conditions in the Mainland when issuing bonds such as convertible bonds, while H shares need to meet the legal procedures and conditions in the Mainland and be approved by relevant state departments.
Generally speaking, blue chip is a kind of stock aimed at the global market, and red chip is a kind of stock listed in Hong Kong.
The former refers to the company's growth and high-quality listed company targets, while the latter mainly refers to the high-quality and high-growth listed company targets.
Investors who are unwilling to take too much risk can choose some blue chips for long-term investment. But in a bear market, we should pay attention to the prevention of risks.
In addition to blue chips and red chips, there are also red stocks, white stocks, preferred stocks and common stocks, which we will talk about in detail in the following contents. Welcome to continue to pay attention.