Bull stocks first look at whether the industry background conforms to the national strategy and the national economic trend. For example, whether the development prospect of the industry in which the company is located is broad or not determines the prerequisite for its sustainable growth, rather than imaginary. The trend of Growth Enterprise Market in the first half of the year is due to various enterprises in emerging industries, such as information, high-tech electronics, energy conservation and environmental protection, Internet and biomedicine. Many small and medium-sized enterprises represent the future economic and consumption development direction of China, covering many industries and having great choices.
This is especially true for long-term companies. It is helpful to predict the company's performance and have a better grasp of the future by trying to track in real time and making clear the changing trend of products and industries. Finally, let me talk about the margin of safety. The optimistic company's share price may be unreasonable for a while, and sometimes even the dynamic PE reaches more than 70% and 80%. However, Mr. Market's mood swings provide investors with two or three buying opportunities every year. China's current growth stocks can't apply the PE valuation of mature markets in Europe and America, otherwise it is very likely that big bull stocks will slip away. If we can see that the average annual growth rate of enterprises is above 30% in the next two to three years through industry growth rate, enterprise barriers and moat, investors can calculate the dynamic P/E ratio by themselves, and if the market is given a reasonable valuation in stages, for example, the dynamic PE in that year is below 40, it may be a good opportunity to buy (provided that the growth rate in the next two to three years is reasonable).
It depends on whether the company has a clear profit model. The superior profit model inherently determines whether the company can achieve higher return on assets and higher return on products. A large part of the income gap between industries is determined by nature. The returns of pharmaceutical, environmental protection and high-tech companies can easily be higher than those of catering and textile. Investment must find companies with high-yield advantages. Therefore, we put forward the policy of 30% gross profit margin as much as possible to boost the company's morale and correctly allocate the use direction of funds. Investors can usually learn all kinds of news through daily public news reports and close contact with shareholders' meetings. Through comprehensive analysis, we can draw the conclusion that although small and micro companies are not well-known and have little information, they can generally capture the development and operation of the company and the daily words and deeds of company leaders or executives. Summing up the above three points, enterprises with relatively good texture have entered the line of sight. Next, we need to consider whether the competitive advantage of the company's industry is obvious and whether the moat is wide to prevent competitors from breaking in. In addition, if the company's leading products or services have pricing power, it is the most obvious sign. Excellent products are one of the core competitive advantages of enterprises, and competitive advantages are also manifested in many financial indicators such as product gross profit margin and market share. In addition, it is ultimately important to look at the company's direct competitors. If the competition in the industry is fierce and the products are updated quickly, it is difficult to maintain the dominant position for a long time. If it is a minority oligopoly, and the market scale of its sub-sectors is not large, the general competition is not too fierce, and it is easier to maintain growth and income, that is, the ability to encourage consumers to buy the product repeatedly is the most important. After careful research and decision-making before investment, the future development expectation of enterprises always needs constant attention. Although it is the key to learn to find high-growth stocks with low risk and high certainty from many high-risk stocks, high predictability only means that the company's performance can maintain steady growth as much as possible in the future and its market share advantage is obvious. However, there are many unstable factors in the development process, such as industry, policy and team. Especially for a high-speed company.
Look for outstanding enterprises in the above listed companies.
If the direction of the industry and the profitability of the enterprise are prerequisites, then the hard condition depends on whether there are excellent management teams, especially senior managers, who must be excellent and put the interests of shareholders first, because they are crucial to the success or failure of the enterprise and its sustainable development. We should not only have professional industry management ability, but also make reasonable decisions for the rapid growth of enterprises, drive the company's morale, correctly allocate the direction of fund use, and ensure that the company's core competitiveness is always ahead. Investors can usually learn all kinds of news through daily public news reports and close contact with shareholders' meetings. Through comprehensive analysis, we can draw the conclusion that although small and micro companies are not well-known and have little information, they can generally capture the development and operation of the company and the daily words and deeds of company leaders or executives.
Now it is a structural market, a big bear market in Shanghai and a big bull market in GEM. How can we catch big bull stocks in this structural bull bear? The choice of bull stocks should come from life. The so-called life includes not only the national political and economic environment, but also the small environment of our daily life. It can be as big as the Politburo meeting and the reorganization of the leading group, or as small as buying food and cooking, seeing a doctor and taking medicine. Bull stocks first look at whether the industry background conforms to the national strategy and the national economic trend. For example, whether the development prospect of the industry in which the company is located is broad or not determines the prerequisite for its sustainable growth, rather than imaginary. The trend of Growth Enterprise Market in the first half of the year is due to various enterprises in emerging industries, such as information, high-tech electronics, energy conservation and environmental protection, Internet and biomedicine. Many small and medium-sized enterprises represent the future economic and consumption development direction of China, covering many industries and having great choices. It depends on whether the company has a clear profit model. The superior profit model inherently determines whether the company can achieve higher return on assets and higher return on products. A large part of the income gap between industries is determined by nature. The returns of pharmaceutical, environmental protection and high-tech companies can easily be higher than those of catering and textile. Investment must find companies with high-yield advantages. Therefore, we propose to try to find outstanding companies with gross profit margin above 30% among listed companies. If the direction of the industry and the profitability of the enterprise are prerequisites, then the hard condition depends on whether there are excellent management teams, especially senior managers, who must be excellent and put the interests of shareholders first, because they are crucial to the success or failure of the enterprise and its sustainable development. We should not only have professional industry management ability, but also make reasonable decisions for the rapid growth of enterprises.
Summing up the above three points, enterprises with relatively good texture have entered the line of sight. Next, we need to consider whether the competitive advantage of the company's industry is obvious and whether the moat is wide to prevent competitors from breaking in. In addition, if the company's leading products or services have pricing power, it is the most obvious sign. Excellent products are one of the core competitive advantages of enterprises, and competitive advantages are also manifested in many financial indicators such as product gross profit margin and market share. In addition, it is ultimately important to look at the company's direct competitors. If the competition in the industry is fierce and the products are updated quickly, it is difficult to maintain the dominant position for a long time. If it is a minority oligopoly, and the market scale of its sub-sectors is not large, the general competition is not too fierce, and it is easier to maintain growth and income, that is, the ability to encourage consumers to buy the product repeatedly is the most important.
Policy, drive the company's morale, correctly allocate the direction of the use of funds, and ensure that the company's core competitiveness is always ahead. Investors can usually learn all kinds of news through daily public news reports and close contact with shareholders' meetings. Through comprehensive analysis, we can draw the conclusion that although small and micro companies are not well-known and have little information, they can generally capture the development and operation of the company and the daily words and deeds of company leaders or executives. Summing up the above three points, enterprises with relatively good texture have entered the line of sight. Next, we need to consider whether the competitive advantage of the company's industry is obvious and whether the moat is wide to prevent competitors from breaking in. In addition, if the company's leading products or services have pricing power, it is the most obvious sign. Excellent products are one of the core competitive advantages of enterprises, and competitive advantages are also manifested in many financial indicators such as product gross profit margin and market share. In addition, it is ultimately important to look at the company's direct competitors. If the competition in the industry is fierce and the products are updated quickly, it is difficult to maintain the dominant position for a long time. If it is a minority oligopoly, the market scale of its sub-sectors is not large, and the general competition is not too fierce, so it is easier to maintain growth and income, that is, the ability to encourage consumers to buy the product repeatedly is the most important. After careful research and decision-making before investment, the future development expectation of enterprises always needs constant attention. Although it is the key to learn to find high-growth stocks with low risk and high certainty from many high-risk stocks, high predictability only means that the company's performance can maintain steady growth as much as possible in the future and its market share advantage is obvious. However, there are many unstable factors in the development process, such as industry, policy and team. Especially for a high-speed company.
After careful research and decision-making before investment, the future development expectation of enterprises always needs constant attention. Although it is the key to learn to find high-growth stocks with low risk and high certainty from many high-risk stocks, high predictability only means that the company's performance can maintain steady growth as much as possible in the future and its market share advantage is obvious. However, there are many unstable factors in the development process, such as industry, policy and team. Especially for a company in rapid growth. Therefore, it is helpful to make a forecast of the company's performance and have a better grasp of the future by trying to track in real time and making clear the changing trend of products and industries.
Finally, let me talk about the margin of safety. The share price of a promising enterprise may not be reasonably valued for a while, and sometimes it is even dynamic.
Now it is a structural market, a big bear market in Shanghai and a big bull market in GEM. How can we catch big bull stocks in this structural bull bear? The choice of bull stocks should come from life. The so-called life includes not only the political and economic environment of the country, but also the small environment of our daily life. It can be as big as the Politburo meeting and the reorganization of the leading group, or as small as buying food and cooking, seeing a doctor and taking medicine. Bull stocks first look at whether the industry background conforms to the national strategy and the national economic trend. For example, whether the development prospect of the industry in which the company is located is broad or not determines the prerequisite for its sustainable growth, rather than imaginary. The trend of Growth Enterprise Market in the first half of the year is due to various enterprises in emerging industries, such as information, high-tech electronics, energy conservation and environmental protection, Internet and biomedicine. Many small and medium-sized enterprises represent the future economic and consumption development direction of China, covering many industries and having great choices. It depends on whether the company has a clear profit model. The superior profit model inherently determines whether the company can achieve higher return on assets and higher return on products. A large part of the income gap between industries is determined by nature. The returns of pharmaceutical, environmental protection and high-tech companies can easily be higher than those of catering and textile. Investment must find companies with high-yield advantages. Therefore, we propose to try to find outstanding companies with gross profit margin above 30% among listed companies. If the direction of the industry and the profitability of the enterprise are prerequisites, then the hard condition depends on whether there are excellent management teams, especially senior managers, who must be excellent and put the interests of shareholders first, because they are crucial to the success or failure of the enterprise and its sustainable development. Not only must we have professional industry management ability to make reasonable decisions for the rapid growth of enterprises, the PE will reach 70% to 80%, and Mr. Market's emotional fluctuation will provide investors with two or three buying opportunities every year. China's current growth stocks cannot be applied to mature markets in Europe and America.
Policy, drive the company's morale, correctly allocate the direction of the use of funds, and ensure that the company's core competitiveness is always ahead. Investors can usually learn all kinds of news through daily public news reports and close contact with shareholders' meetings. Through comprehensive analysis, we can draw the conclusion that although small and micro companies are not well-known and have little information, they can generally capture the development and operation of the company and the daily words and deeds of company leaders or executives. Summing up the above three points, enterprises with relatively good texture have entered the line of sight. Next, we need to consider whether the competitive advantage of the company's industry is obvious and whether the moat is wide to prevent competitors from breaking in. In addition, if the company's leading products or services have pricing power, it is the most obvious sign. Excellent products are one of the core competitive advantages of enterprises, and competitive advantages are also manifested in many financial indicators such as product gross profit margin and market share. In addition, it is ultimately important to look at the company's direct competitors. If the competition in the industry is fierce and the products are updated quickly, it is difficult to maintain the dominant position for a long time. If it is a minority oligopoly, the market scale of its sub-sectors is not large, and the general competition is not too fierce, so it is easier to maintain growth and income, that is, the ability to encourage consumers to buy the product repeatedly is the most important. After careful research and decision-making before investment, the future development expectation of enterprises always needs constant attention. Although it is the key to learn to find high-growth stocks with low risk and high certainty from many high-risk stocks, high predictability only means that the company's performance can maintain steady growth as much as possible in the future and its market share advantage is obvious. However, there are many unstable factors in the development process, such as industry, policy and team. Especially for a high-speed PE valuation, otherwise it is very likely that big bull stocks will slip away. If we can see that the average annual growth rate of enterprises will be above 30% in the next two to three years through the industry growth rate, enterprise barriers and moat, investors can calculate the dynamic P/E ratio by themselves, and on the premise of giving a reasonable valuation in stages of the market, such as realizing the dynamic PE strategy of that year, which will boost the company's morale, correctly allocate the direction of capital use and ensure that the company's core competitiveness will always be ahead. Investors can usually learn all kinds of news through daily public news reports and close contact with shareholders' meetings. Through comprehensive analysis, we can draw the conclusion that although small and micro companies are not well-known and have little information, they can generally capture the development and operation of the company and the daily words and deeds of company leaders or executives. Summing up the above three points, enterprises with relatively good texture have entered the line of sight. Next, we need to consider whether the competitive advantage of the company's industry is obvious and whether the moat is wide to prevent competitors from breaking in. In addition, if the company's leading products or services have pricing power, it is the most obvious sign. Excellent products are one of the core competitive advantages of enterprises, and competitive advantages are also manifested in many financial indicators such as product gross profit margin and market share. In addition, it is ultimately important to look at the company's direct competitors. If the competition in the industry is fierce and the products are updated quickly, it is difficult to maintain the dominant position for a long time. If it is a minority oligopoly, the market scale of its sub-sectors is not large, and the general competition is not too fierce, so it is easier to maintain growth and income, that is, the ability to encourage consumers to buy the product repeatedly is the most important. After careful research and decision-making before investment, the future development expectation of enterprises always needs constant attention. Although it is the key to learn to find high-growth stocks with low risk and high certainty from many high-risk stocks, high predictability only means that the company's performance can maintain steady growth as much as possible in the future and its market share advantage is obvious. However, there are many unstable factors in the development process, such as industry, policy and team. Especially for a high-speed company under 40 (provided that a reasonable growth rate in the next two or three years may be a good opportunity to buy)
Now it is a structural market, a big bear market in Shanghai and a big bull market in GEM. How can we catch big bull stocks in this structural bull bear? The choice of bull stocks should come from life. The so-called life includes not only the political and economic environment of the country, but also the small environment of our daily life. It can be as big as the Politburo meeting and the reorganization of the leading group, or as small as buying food and cooking, seeing a doctor and taking medicine. Bull stocks first look at whether the industry background conforms to the national strategy and the national economic trend. For example, whether the development prospect of the industry in which the company is located is broad or not determines the prerequisite for its sustainable growth, rather than imaginary. The trend of Growth Enterprise Market in the first half of the year is due to various enterprises in emerging industries, such as information, high-tech electronics, energy conservation and environmental protection, Internet and biomedicine. Many small and medium-sized enterprises represent the future economic and consumption development direction of China, covering many industries and having great choices. It depends on whether the company has a clear profit model. The superior profit model inherently determines whether the company can achieve higher return on assets and higher return on products. A large part of the income gap between industries is determined by nature. The returns of pharmaceutical, environmental protection and high-tech companies can easily be higher than those of catering and textile. Investment must find companies with high-yield advantages. Therefore, we propose to try to find outstanding companies with gross profit margin above 30% among listed companies.