Research On The Value Of Gold Mining Enterprises

In recent years,affected by black swan events such as Sino-US trade frictions and the new crown pneumonia epidemic,the economic environment has shown uncertainty,and people's demand for safe-haven gold has risen accordingly.Since 2018,the price of gold has continued to rise,which has promoted the expansion of the non-ferrous metal industry.The mining business urges gold mining companies to increase production capacity,integrate resources,and at the same time merge acquisitions and expand markets.This article mainly explores whether the exit multiple method and gold futures price can help to evaluate the value of gold mining companies.On the one hand,gold mining companies are significantly affected by the business cycle,and the use of traditional evaluation methods to value gold mining companies has certain limitations.On the other hand,compared to relying on subjective experience to determine the growth rate,the use of gold futures prices to predict the future earnings of a company has a certain degree of objectivity.This article uses qualitative analysis methods to analyze the macroeconomic environment and industry conditions,to clarify the overall background for assessing corporate value.Using quantitative analysis methods to analyze the operating conditions of peer companies.Through the method of comparative analysis,analyze the difference between Shandong Gold and its peers in terms of operating conditions,financial status and future development.After valuing Shandong Gold using the exit multiple method,the method is compared with the traditional income method and the market method.The difference in value judges the rationality of the exit multiple method.The main findings of this article are as follows: First,as my country's gold market has gradually increased its voice in the international gold market,it is feasible and reasonable to use my country's gold futures prices to evaluate gold mining companies.Secondly,given that gold mining companies belong to a cyclical industry,the reasonable use of the exit multiple method can avoid the shortcomings of traditional valuation methods in the valuation of gold mining companies.Finally,in the exit multiple method,the determination of the timing of exit,the clear forecast of interim data,the selection and estimation of relevant value indicators,etc.are the key and difficult points of using the exit multiple method,which need to be determined in conjunction with the macro environment and industry development.The conclusions of this article provide new ideas for the value evaluation of gold mining companies.Facing the complex and changeable domestic and foreign environment,the objective and reasonable evaluation conclusions of gold mining companies have important reference significance for corporate managers and investors.