The Value Investment Analysis Of SAIC Based On Financial Report

With the concept of value investment spread across the country, WarrenBuffett is known to more and more people. The “God of stock” namedinvestment master makes himself on the top list of the fortune in the world byvalue investment. To make value investment means to compare the intrinsicvalue with the current price, through which the process of making investmentdecision is done. It is the general principle valid in any market.Value investment starts with value evaluation and value evaluation shouldstarts with the accounting statistics. The glamour of the accounting statisticsstems from the accounting rules, which has strong logic and mutual-hookedentity. All the operating activities of the enterprises will be reported by theaccounting statistics, which cannot be created or eliminated.With the quick development of the income standard in the city as well ascountryside, there is huge space to be developed in China domesticautomotive market. Whether the automotive corporation can lead a healthy and steady grow draws more and more attention. As the leading automotivemaker in China, SAIC motor’s operating status has very important value ofreference to China automotive industry.The paper analyzes the profitability, operating capacity, debt payingcapacity and development capacity by the financial report over the years. Inthe mean time, the paper let us know the corporation’s financial status by acomprehensive Du pont analysis. The paper also analyzes SAIC motor’scapital operating strategy and management strategy. It serves the valueinvestor who wants to invest in SAIC motor or the other automotivecorporation by offering important information as references.