Research On Financial Valuation Of Laboratory-grown Diamond Enterprises

China’s superhard material industry is a brand new industry,which mainly focuses on manufacturing all kinds of superhard materials,including diamond processing and the development and manufacturing of other superhard materials.The research on company valuation is an important economic research topic,which is the basis of portfolio structure optimization and investment decision making.Huanghe Whirlwind Co.,ltd is one of China’s superhard material companies,is one of the listed companies in China’s superhard material cultivation of diamond plate,one of the two leaders,the company’s main cultivation of diamonds has a good prospect and profit space,but the company in recent years after a failed merger and reorganization of Shanghai Mingzhi event left a huge debt burden.This paper takes Huanghe Whirlwind Co.,ltd as the target company,makes an empirical analysis of the financial valuation of the superhard material industry,and looks for a suitable valuation model for this industry.The paper firstly analyzes the industrial chain and market of the industry,introduces the industry situation,analyzes the developing status,characteristics and influencing factors of the enterprise value of the diamond cultivation industry in our country,selects the Huanghe Whirlwind Co.,ltd as the research object,analyzes its enterprise value,takes its basic situation and financial situation as the research background,and uses a variety of valuation methods to estimate and calculate.The study of this paper not only predicts the enterprise value results of the Huanghe Whirlwind Co.,ltd,but also obtains the valuation methods applicable to the cultivation of diamond industry on this basis,which can serve as a reference for the industry’s valuation research.The base day value of Huanghe Whirlwind Co.,ltd on December 31,2023 is within the range of 6.703 billion to 127.42 billion.The current market value is in the normal range.It is optimistic that the Huanghe Whirlwind Co.,ltd share price has about 0.6 times growth space.The diamond industry should cultivate a valuation method suitable for the collaborative reference of price-to-book ratio and price-to-sales ratio.The lower limit is determined by the price-to-book ratio,and the upper limit is determined by the price-to-sales ratio.It is more accurate to take the range as the valuation range of the industry target enterprises.Finally,this paper proposes some suggestions on the cultivation of diamond industry based on the operation extension of Huanghe Whirlwind Co.,ltd,and thinks that the cultivation of diamond industry enterprises should control the debt risk,do not blindly expand,and make efforts to do a good job in the product segmentation field.