An Analysis On Investment Value For Listed Companies

As we know, recognizing value is the basement of any investment activities. To evaluate a company's intrinsic value which is usually called analysis of investment value is not only a sort of science, but also a sort of art. Generally it takes complex knowledge and skills of economics, accounting, investment and management and so on. In fact, analysis of investment value is a procedure linking theoretical research with practical application to securities market.This paper is mainly attending to explore the analysis of investment value for listed companies, it includes three chapters as follows:Chapter 1: A comprehensive overview of analysis of investment value. This chapter begins with introduction to development of methods and skills for analysis of investment value, then it goes on showing the differences between fundamental analysis and technical analysis, together with where and how to use it. Furthermore, I also identify different investment methods such as value investment and growth investment, "top down" approach and "down top" approach. In view of China's stock market, this paper presents how to assess and manage investment risk, especially for investment traps and abnormal companies.Chapter 2: Case analysis-the analysis of investment value for Neusoft Software Co., Ltd.(SSE:600718). Neusoft is a software company listed on Shanghai Securities Exchange. By the EMIC (Economy-Market-Industry -Company)approach, I evaluate this company's investment value and try to give an investment recommendation.Chapter 3: Exploration of regulation of domestic investment analysisindustry. Firstly, I interpret and discuss the main problems existing in domestic investment analysis industry. Secondly, I present my suggestion to investment analysis industry: improving ethical and professional standards; building an investment value rating system; developing and reinforcing skills of fundamental analysis. Finally, I believe that growth in China's stock market has created an unprecedented demand for investment analysis industry. Facts have been proving that this industry will have an optimistic perspective if it is running through the line of globalization and specialization.