Many experts on the stock market teach people to identify whether a listed company is a good company. They all give comprehensive advice, starting from the need for a low price-to-earnings ratio, high net assets per share, high earnings per share, high gross profit margin, cash flow There are many other numerical indicators such as capital reserve fund, retained earnings per share , inventory turnover rate and so on. Are the experts right? Quite right! For veterans who have been immersed in the stock market for many years, most of them understand it; but for novices who have just entered the market, most people are still confused if they want to understand and use it. There are thousands of A-share listed companies. How much time do you have to analyze and understand them?
A true message can be conveyed in one sentence, but a false message can be conveyed in thousands of books. Based on my nearly 20 years of experience in the stock market, I can tell you that you don’t need to look at so many financial indicators. It’s not very useful if you look at those indicators. If they want to fake it, they will make it look very good to you. Didn’t you see that in the stock market, companies often pre-disclose their annual reports, and sometimes they pre-announce profits, and then two months later, corrects performance, causing huge losses. A typical example is OFILM and cross-border pass , the difference in number is two to three billion. I bought shares of a company like this and lost money to the point of vomiting blood.
Many retail investors don’t have that much time to study the stock market. They listen to the recommendations of friends or experts. When they buy stocks, they only invest in the medium and long term, blindly holding on to it. If you buy so-called blue chip stocks at a high price when entering the market, and you don't know how to stop losses once they fall, it will cause huge losses. Jiangsu Cable had a maximum price of 70 yuan in 2015. It only offered 3 shares for 10 yuan once, but now it is only 3.2 yuan. The most famous mass grave, PetroChina , had a highest price of 48.62 yuan in 2007, a lowest price of 4.04 yuan, and the current price is 5.3 yuan. The long and continuous decline, falling to your death. Do you still dare to take the medium and long term without knowing anything?
The stock market is full of crises, so how do you avoid being caught in a trap and choose a good mid- to long-term stock? I will open F10 and go directly to the column of dividend financing. If a company performs very well, but only transfers bonus shares every year and rarely pays dividends, it does not rule out that its financial situation is fine, but its capital reserve fund is high, and the company may not necessarily make money. Be cautious in the medium and long term. If a company pays generous dividends every year, pure money (such as Huabao Shares); or it distributes money and also gives away shares (such as Jiayou International), its finances are relatively real and reliable. Only when a company really makes money can it distribute real money, right?
Let’s take a look at the dividends of Huabao Shares in recent years:
Let’s look at the dividends of Jiayou International:
Companies with similar high dividends or dividends and bonus shares include: China Shenhua , Conch Cement , Jidan Biotechnology , Weixing Shares , China National Heavy Duty Truck , Zhou Dasheng , Shuanghui Development , By-Health , etc., are all relatively real and reliable financial companies. There are still some such companies in A-shares. You can find them by yourself according to this method.
first of all declares that I only say that based on this, we can judge that the financials of these companies are relatively real and reliable, but it does not mean that we can buy them at any time. Other issues will be discussed separately. If you all agree, I hope you can correct me and learn from each other.
