Research On Hikvision Financial Risk Evaluation Based On Factor Analysis

With the rapid development of the security industry,the security enterprises represented by Hikvision rise rapidly.However,on the one hand,personal privacy protection is constantly mentioned,on the other hand,market competition intensifies,the rise of international trade conflicts,making the entire security industry operating environment has undergone drastic changes.As a leading enterprise in the security industry,Hikvision is also faced with challenges brought by changes in the economic environment in the future development.This paper takes Hikvision as the research object and the company’s financial data from2010 to 2019 as the research sample to evaluate the financial risk of the enterprise.Paper first from the solvency,profitability,operation,and is now selected financial indicators,five levels and growth through financial ratio analysis and trend analysis to Hikvision financial risk identification,the result shows: the Hikvision debt paying ability,profit ability,operation ability,ability slowed down now,and the development ability appeared serious decline,the company’s future development is facing a certain financial risk.In order to further the financial risk of Hikvision science evaluation,this article selects 60 security companies,the information in the computer industry listed companies as research samples,selected 16 indicators of financial risk evaluation indexes,through the factor analysis method to extract the common factor index clustering,using Logistic regression to establish the enterprise financial risk assessment and prediction model.Finally,the established model is used to evaluate and forecast the financial risks of Hikvision.The results show that: at present,the financial risks of Hikvision are small,but from the perspective of development trend,some financial indicators have a downward trend,and there are certain hidden dangers in the future financial risks of the enterprise.Combined with the above research,this paper puts forward the following enlightenment and suggestions: it is more scientific and practical to use factor analysis method and logistic model to evaluate the financial risk of enterprises;Hikvision should improve inventory and accounts receivable administration to improve the liquidity of funds;We should pay more attention to the policy trends domestic and overseas and increase the investment in scientific research to enhance its competitiveness and growth.