The IPO indicator reached a new high of 287.8 at the end of July, a 13.2 percent increase from June. Six stocks were added to the indicator, and five were removed, bringing the total to 113.
If the 107 equities included in both the June and July indicators, ninety- seven increased in price and ten fell. Banking sector stocks accounted for 50 percent of the increase in the indicator's market capitalization, while two telecom services stocks, China Communications Services (H share, 0552) and Guomai Technologies (A share, 002093), accounted for 40 percent of the decrease. China Coal (H share, 1898) contributed to 11.5 percent of the indicator's increase. The Industrial and Commercial Bank of China (ICBC; A share, 601398; H share, 1398), which went public last October, now has the largest market capitalization among all banks worldwide.
MethodologyA stock's float-adjusted market capitalization over time forms the basis for indicator calculations. Stock dividends, stock splits, special dividends, share consolidations, repurchases, spin-offs, and combination stock distributions may trigger adjustments to the indicator values. Only companies incorporated and domiciled in mainland China that go public on the Shanghai, Shenzhen, and Hong Kong stock exchanges are included. Companies are removed from the indicator after twelve months.
