Category: Money tips Release Date: 2006-04-12
High-quality small-cap stock market is always my first choice of investment, the investment is not only small-cap stocks will allow me to make money every year to enjoy the benefits, you can also enjoy it because of the expansion of equity to bring the dual benefits. Combined with stock market to give it a reasonable PE of 30 times larger, so that can actually bring us surprises, coupled with small-cap stocks in the market is good, easy to attract speculative capital speculation, the most likely ran out of a "dark horse . "
Over the past practical experience tells me that small-cap stocks has brought me the greatest percentage of the money.
At present, I have decided to increase investment in small-cap stocks the proportion of the total amount of money the ultimate goal of 20% or more. However, the small-cap blue chip stocks as opposed to some much larger risk of large-cap stocks, to choose what kind of small-cap stocks is my problem, I chose small-cap stocks, although there is speculation of factors, but also must not gamble on them. I chose some of the profitability of strong, profitable small-cap blue-chip stocks with high certainty of its earnings growth in the next three years, should choose a compound annual growth above 15% of the businesses, products, market wide, zero inventory.
For this line of thought, in the past two years, I chose the Yunnanbaiyao, Ma Ying-long, extremely heavy medicine, Lijiang tour, Huangshan B shares were combined. More than small-cap stocks has given me a good income, I have recently bought a small amount of Rebecca (600439.SH).
Last week I went to Henan Province, Xuchang City, Rebecca field research. I learned from Rebecca, Xuchang City in the past 100 years has formed a national distribution center for wigs, but also the world's production base wig, a total of more than 100 manufacturing wig business. Rebecca is currently the world's largest wig products manufacturers. Their production of wigs products in short supply, inventory is zero.
As the black human hair is long not long, black women, if it is long hair, they must use the wig. And a wig (real hair done), using only a half-cycle, you can say it is fast moving consumer goods. Now they target a major consumer of black women in the United States. Moreover, the current African, European market is growing rapidly, Rebecca workers work 12 hours a day, can not fully meet the demand.
Technically, Rebecca said they mastered the world's most advanced production technology wig did not find a strong commercial competitor. And because labor costs low, a company's competitiveness is very strong. Chat with the staff, they feel money is relatively "easy easy", and for the next five-year compound growth 20% confidence.
The first quarter of this year, Rebecca product sales almost doubled in the second quarter will be better. Rebecca's products over the past three years, gross margins are very stable, the company said that they have a higher product pricing, gross margins were 20%, and net capital gains rate is nearly 15%.
I would choose an appropriate increase in investment ratio Rebecca, of course, I will continue to follow in the future of the company's operating and financial situation and make a decision.
