The Investment Value Study Of Taigang Stainless Steel Based On The Financial Indicators And Cash Flow

In recent years,with the country vigorously advancing the supply-side structural reform,the iron and steel industry went deep into the policy of inventory and production capacity.The steel market situation was generally good.In the capital markets,Investment in stocks linked to steel has risen.Under such circumstances,the research on investment value of steel industry has become a hot topic.Although China's capital market has experienced more than 20 years of development,it is still in its infancy.Investors' investment ideas are not yet mature and the stock option needs to be improved.Hereby,the author chose the representative Taigang stainless steel leading company as the research object and combined the financial index analysis,financial comprehensive analysis and investment value analysis to study the financial ability and investment value of the enterprise from multi-dimensional and multi-angle.In order to provide reference for small and medium-sized investors in capital market.Meanwhile,It also provides some advice and Suggestions for enterprise management and development.Case analysis is used in this paper.The Taigang stainless steel was selected as the object of study.Starting from its financial statements for 2012?2016,The relevant indicators are calculated.Then using the comparative analysis,these five aspects are analyzed in terms of the solvency,operation ability,profitability,development ability and specific financial indicators of the company from both vertical and horizontal dimensions and evaluate the advantages and disadvantages of the current operation.Adjust and compile the financial statements for the management of Taigang stainless steel in 2012?2016.Using the improved Dupont analysis system to calculate the interest net interest rate of the enterprise for nearly five years.Factor analysis was adopted.Serial substitution core drive factor and analysis the reasons for the change of factors.Thus,the financial ability of enterprises is analyzed in a more comprehensive and reasonable way.Predict the future free cash flow of the enterprise through the free cash flow discount model and the sustainable development model.Determine the appropriate discount rate.Finally,the intrinsic value of stainless steel is calculated and compare it to the value of the stock in the capital market.Then analyzing its investment value and give them relevant investment decisions.