Analysis Of Earnings And Risks Of China Financial Listed Company

The financial business plays a key role in the whole economy as the stabilization of finance system is the basis of our social life. In recent years, financial deregulation and globalization enlarged the fluctuation of world economy, which also increased the operating risk of the financial enterprises. So it is very important to evaluate the economic benefits and risk level of the listed company by analyzing their annual reports.In modern market economy, the function of market mechanism make whichever market participator to pursue earnings, while suffering the possibility of economy loss at the same time, and then inevitably undertaking certain risk. The shareholders value maximization theory takes the profit and risk into account, which can reduce the risk of randomly pursuing maximized profits.The goal of listed financial company is to maximize the shareholder value as well. This request the indicator that measures the listed company management accomplishment should accurate reflect the shareholder value.This article thinks that return on equity, earnings per share, P/E ratio, economy value added and value at risk measuring the maximization of listed financial company's shareholder value from different perspective of earnings and risk. Therefore, this article selects 5 financial company listed in shanghai stock exchange as sample, while adopting the DuPont financial analysis system and EVA method, comparing the main factor of the rate of return on equity and economy value added, calculating the value at risk of each company, so as to find out the existent problems and shortages on listed financial company of our country, and put forward counter plan and suggestion contraposingly.