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. The ability of monopoly operation:
It is best for a listed company to have a monopoly position in a certain industry, at least in this industry, the profits it generates should have its own ability. For example, in 20 16, this market generated10 billion sales or his family accounted for half.
4. Industry leader position:
This is very simple, that is, the market share is one of the best, and the position is the leader of the industry and the dictator of the industry standard. 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 a company to have a strong brand appeal, but this brand effect is not entirely blown out by advertisements, but the excellent reputation given by consumers, such as Laoganma and Gree.
6. Sustained profitability:
It's important to keep making profits. If you can't make money this year, you will lose money next year, which means 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.
Extended data:
Investment refers to the economic behavior that a specific economic entity invests a sufficient amount of funds or physical currency equivalents in a certain field within a certain period of time in order to obtain income or capital appreciation in the foreseeable future. It can be divided into physical investment, capital investment and securities investment. The former is to use money to invest in enterprises and obtain certain profits through production and business activities, while the latter is to use money to buy stocks and corporate bonds issued by enterprises and indirectly participate in the profit distribution of enterprises.
Investment is a form of innovation and entrepreneurship project incubation, and it is an economic activity to promote the development of project industrialization complex with capital.
References:
Baidu encyclopedia-investment