Category: Money Tips Date: 2006-03-19
Although the three quarterly drifting away, but the market continues to have an immense impact. In our view, three quarterly, although reflecting the third quarter operating information, but listed companies are ongoing, so these trends in management information revealed is actually sustainable. In other words, this information will advance the company's fourth quarter, telling investors in the coming year as well as businesses. Therefore, it must determine the ability of investors like to read three quarterly business information, hoping to find business highlights in order to dig out the future investment.
3 Quarterly Bulletin revealed that the development prospects of These operators are not simply refer to earnings per share highlights the amount of financial indicators is healthy, because these messages reflect the listed companies operating in the third quarter data is the past. Financial indicators such as excessive growth in receivables, the financial situation appears not very healthy, but by the fourth quarter or next year, through the efforts of operators have become health; another example, earnings per share, in the third quarter may be high However, due to the fourth quarter is the low season, and therefore can not speculate as full-year results. Therefore, they are focused on operating conditions in the third quarter reflect the company's information should not be the focus of attention.
Thus, the three quarterly information is require dynamic grasp, and grasp the focus can be placed three quarterly to reflect the company's future operating status information. For example, in construction growth trends as well as what is the corresponding item, and then combine development of the industry characteristics of these projects, we can initially infer a listed company in the fourth quarter or next year's performance of growth capacity; Another example is the improvement in gross profit margins in a continuing nature , what causes the increase in gross margin, if it is because the company has a strong cost control, product pricing, or have a strong ability, or both, then the stock should be focused.
Growth of the core around looking for "bright spots" in Our purpose is not to find the current earnings per share "giants", but to search for future earnings per share "giants." Concrete can be seen from two perspectives. First, the sustainability of high growth mainly depends on changes in the company's gross margins as well as accepting orders situation. This information can be obtained in the three quarterly in the corresponding data, or the company's management can also be inferred in the discussion section related information, but can also increase the ratio from the ring to find such stocks. For instance Offshore Oil Engineering ring than in the growth and the fourth quarter over the years are the golden season of settlement projects, so the unit in 2005, high-growth have been identified. In addition, three quarterly clear that the company's completed projects and the company started the project to ensure the sustainability of high growth, we can assume that the company's net profit in 2006 is still expected in the high-growth state.
Second, although the fundamentals of the company in general, but because of new products or expansion of production scale and other factors, can contribute in the future period of rapid growth. If the three quarterly revealing the above information, basically you can infer the future potential of such shares of individual stocks. The former is mainly reflected in the three quarterly reports and other data in the construction, the latter is mainly reflected in the company's management discussion segment. For example the Tibetan medicine in three quarterly said the company focus on a new drug - a new live elements of the promotional efforts, now the new live elements have been put into production, has entered into more than 100 top three hospitals.
To focus on three types of "bright spots" in stock We recommend investors to focus on three types of "bright spots" shares. First, the profitability of leading products began to expand, and product market space is relatively large stocks. If G Humanwell shown in the three quarterly gross margin of the company leading products have been improved, taking into account the leading products in the market capacity, may be inferred that the company's current main business has entered the health track, is currently 12 times seemed to underestimate the dynamic price-earnings ratio a. There are stocks like Phoenix optics, Xingxincailiao, Angel yeast.
Second, the company's industrial structure are maturing stocks. Example, the three Ordos Quarterly shows that investment in Inner Mongolia Electric Power Metallurgy Co., Ltd. to Report the end of the project in an orderly fashion, a Taiwan-owned power plant project has been 330,000 kilowatts generating unit went into operation, 20 ferrosilicon furnace all put into production, coal Silicon Power High-tech Environment-friendly economic projects progressing smoothly. This means that the company had opened up outside the cashmere products to a new dominant business, the company's rapid growth is expected to strongly. Similar to the stocks are still Meili, Chengxing shares, Yueyang Paper and so on. In addition, those production capacity and market capacity to expand significantly larger company, its net profit is expected to follow growth in scale, such as the G Wolong, Northern entrepreneurial and other firms.
Third, seasonal factors, the more obvious results of individual stocks, especially those in the fourth quarter, main business revenue and net profit will significantly increase both individual stocks. Such as rocket stocks leading products, due to the special nature of the fourth quarter of calendar year net profit will be a sharp increase in the first three quarters of 2004 net profit 77.18 million yuan, but in 2004 full year net profit was 139.38 million yuan . In contrast the first three quarters of 2005, the company's net profit of 105.95 million yuan, then the sharp increase in net profit this year is very worth the wait. There are stocks like CNOOC Engineering, space science and technology.
