Analysis On The Investment Value Of Industrial And Commercial Bank Of China

With its development and improvement, the theory of enterprise value provides the basis for strategic objectives of enterprises, the reference for the investors to analyze values, and has become a primary theoretical foundation in the fields of enterprise value management, investors'decision making, and so on. In recent years, with the Chinese securities market becoming mature, investors, instead of being opportunistic, can invest wisely through adopting the ideas of rational investment and value investment, and attaching importance to the analysis of intrinsic values of enterprises.This thesis introduces some noted theories of enterprise value analysis at home and abroad, and macroscopically analyzes the influence of economic environment on investment through applying theories and analytical methods such as securities investment, financial management, and enterprise value analysis. The author analyzes the characteristics of financial industry so as to investigate the status and the developing tendency of commercial banks in China, and meanwhile, she makes a comprehensive fundamental analysis from the perspectives of strategic development, management philosophy, professional ability, financial statements and so on. Through the evaluation on the overall value of Industrial and Commercial Bank of China (ICBC) and comprehensive analysis by way of relative valuation----price-earnings ratio and market-to-book ratio----and absolute valuation----free cash flow commutation----, this thesis safely comes to the conclusion that ICBC has favorable investment value.The author endeavors to analyze diachronically the overall value of ICBC, applying multi enterprise value evaluation methods, and to compare synchronically with the values of other representative banks, with the aim of helping investors' to make an objective investment evaluation of ICBC, and providing investors with reference on choosing investment objects.