What does stock ST mean? Under what circumstances will it appear?
ST is not difficult to understand. It is the abbreviation of special treatment, which refers to the policy of Shanghai and Shenzhen Stock Exchanges to warn the stocks of listed companies with abnormal financial or other conditions. Adding a letter "ST" before the stock name, commonly known as wearing a hat, warns investors to invest in such stocks carefully.
If a company continues to lose money for three years, it will be replaced by "*ST", which means that individual stocks are likely to be delisted. Be careful of such stocks. In addition to wearing a hat, this listed company has to undergo a one-year inspection, during which the listed company needs to control the daily price rise and fall within 5%.
How to take off the hat of stock ST
If the listed company's annual status returns to normal during the inspection period, the financial anomalies indicated by the audit results have been eliminated, the company's net profit is still positive after deducting non-recurring gains and losses, and the company is still operating normally, the company may apply to the exchange for cancellation of special treatment. The so-called "uncapping" is the ST mark in front of the stock name, which was revoked after approval.
Under normal circumstances, there will be a wave of rising prices after taking off the hat. We might as well pay attention to such stocks and make a little money.
What should I do with ST's stock?
If your stock unfortunately becomes an ST stock, you should focus on the 5-day moving average and then set a stop loss below the 5-day moving average. If the stock price falls below the 5-day moving average, it is necessary to clear the position in time to avoid the continuous limit quilt cover. In addition, it is not recommended for investors to open ST-subject stocks, because the daily rise and fall of this type of stocks are limited to less than 5% on each trading day, and its operation is relatively difficult. It is still difficult to grasp the investment rhythm. Therefore, we must do enough investigation and understanding in advance before choosing an investment. Only in this way can we benefit.