How to analyze a listed company?

1, the main business should be clear and simple. As we all know, most listed companies are keen to engage in concepts and rub hot spots. Sometimes a company actually integrates more than a dozen concepts, so this company is obviously involved in blowing bubbles, because even the main business is not clear. Just like the previous Duolun shares, Duolun shares have become the peak, but in fact Duolun shares hardly involve the peak business, which is totally a concept hype. So try to choose a company with simple and clear business.

2. Unique competitive advantage: If a company has unique technology or exclusive resources, it can also be regarded as a competitive advantage. For example, Huawei, a company with core technology, definitely has capital potential. Unique advantages, that is to say, others don't have them or a few people have them. The formula like Maotai is unique; The formula of Yunnan Baiyao is also very unique. Yantai wanhua's products have great technical barriers, which only a few companies in the world can master, so they can generate high profits.

3. Monopoly ability: It is best for listed companies to have a monopoly position in a certain industry. At least in this industry, the profits it generates should have a unique ability. For example, in 20 16, this market generated10 billion sales or his family accounted for half. It is also worth noting that some public utilities are also monopolistic, such as tobacco, but they have no independent pricing power, so it is another matter.

4. Industry leader status: This is very simple, that is, the market share is one of the best, and the status is the leader of the industry and the dictator of industry standards. It doesn't matter if you don't have monopoly technology, but as long as you have enough market share, it is difficult for others to beat you.

5. Excellent brand effect: It is best for the company to have a strong brand appeal, but this brand effect is not completely blown out by advertisements, but the excellent reputation given by consumers, such as Laoganma and Gree. In addition, excellent brand effect will also keep your product price high, and the profit will naturally be considerable.

6. Sustained profitability: Sustained profitability is very important. Can't make money this year, lose money next year. This shows that the business operation is unstable, the income source is unstable and the competitiveness is not good. The return on net assets should be above 15%, and the earnings per share should be at least above 1. Profits should rise steadily, and there will still be sustained profitability in the foreseeable future.

7. The financial situation should be healthy: an excellent enterprise must have a relatively low debt ratio, which must be below 50%. In addition, it must have sufficient cash flow. At least, the cash flow generated in the course of operation cannot be negative. And at least 60% of the profits generated are earned through the main business.

8. Growth: Growth is a vague word, because there is no uniform standard to judge the future growth of a company. Generally speaking, a compound annual growth rate of more than 25% in net profit for more than three consecutive years is excellent.