Category: Money tips Release Date: 2006-05-03
Experience tells us that deciding the rise and fall in cash flow, while the profit is only the results of this series of the process. How, then, from a cash flow analysis of listed companies on the texture of the bad? In this issue, we have invited senior members of the securities sector, Mr. Zhang Hongji introduce cash flow analysis.
Haidian District, Beijing shareholders Miss Chang: What is cash flow?
Zhang remember: Cash flow refers to the enterprises within a certain period of time, the amount of cash inflows and outflows, such as businesses selling products, providing services, sale of fixed assets, to borrow from banks and listing will be made in cash, the formation of cash flows; purchase of raw materials, payment of wages, Construction of fixed assets, foreign investment, debt repayment and so on need to pay in cash, creating the cash outflow. Therefore, enterprises can be divided into operating cash flow, cash flow, cash flow from investing activities, financing activities, cash flow generated by the three main sections.
Cash flow information can be intuitively that business situation, whether funds shortage, the size of corporate solvency, so as to investors, creditors, and corporate managers provide very useful information.
Beijing Fengtai District, Zhao investors: how to use the cash flow analysis?
Zhang Q: There is a saying in the stock market is called "pocket for an" In fact, the same business, products sold, and not everything is all right, only the sales money to return the company has truly earned profits in hand. We often see many reports on the performance of listed companies has been very good, but suddenly one day, announced a loss, and this loss put the past few years, both losses into profits. In addition to operational issues, to a large extent is the company's former profit inaccurate result.
Therefore, cash flow analysis when the performance of listed companies, investors can grasp a principle that in the past two years, the total profit and operating cash flow should correspond to the total amount, so as to explain the company's profit is real.
I am a financial analysis of listed companies often pay more attention to operating cash flow, because as a company, the product is its underlying profitability, as investment and financing cash flows generated only as an indicator to examine its ability to repay debts, It flows into the outflow is not a normal state. Specific analysis, investors can focus operating cash flow than the inflows and outflows, such as an enterprise operating cash outflow was 10 million, while operating cash flow is 12 million, this suggests that business is spent on each of the product out of a money , will be with 1.2 yuan in cash flow is a normal situation, and vice versa shows companies赔本赚吆?
