An Analysis On The Investment Value Of Gold Mining Shares

As China gold market integrates with the world gold market, the listed companes whose core businesses are gold mining and manufacturing receive wide publicities. Reasonably judging and evaluating the investment value of gold mining shares, determining the market environment, and understanding the relationships between the intrinsic value and the market price of stocks to capture the appropriate investment opportunities, not only have a realistic guidance for investor masses, but also have far-reaching effects for the healthy development of gold industry. At present,the usual evaluation systems and models on the stock market are all built on enterprise accounting,which are difficult to accurately measure the true value of companies.Besides, investors who lack sufficient awarenesses for value investing on the stock market, especially the retail investors who blindly listen to rumors and follow the trend of speculation can not make investment rationally and face a huge investment risk. Moreover, trading stocks not only means investing the gold mining companies but also gold,so it is more complicated than purely gold tradings or stock tradings,which requires investors not only pay close attention to companies' performances but also the gold market price (such as the international gold price,oil,economic crisis and other factors).Therefore,making objective assessments of the listed companies by upholding the correct orientation of value investing for the capital market to function properly, mastering the powerfull tool of value analysis, and combining the market factor to assess the investment value of listed gold mining companies, can form a comprehensive and objective value assessment system and have a guiding meaning for investors, especially the retail investors.This thesis is written under thoses purposes concerned above.Through fundmental and technical analysises for gold mining listed companies, it provides investors with reference models which can fully analyse the investment value of the listed companies. Furthermore,through analyzing the mechanism of financial Indicators,it makes a objective assessments for the listed companies,At the same time,this article also analysises the conditions which make the stocks unstable by combining the market factors, so as to form a comprehensive and objective value assessment system and achieve the purpose of optimizing social resources.The follows are the main contents of this paper:The first part was introduction,which simply introduced the background of the research papers, and so on;In the second part,firstly it reviewed the methods of value investment,as well as the theoretical basis of the specific methods to assessment,and then it selected P/E as a specific method of this paper;The third part conducted a comprehensive analysis of the macro-environment for gold industry and the gold mining companies.firstly,it introduced politics and laws of gold market in our country,and then it done a comparative analysis of gold disposition with the world gold mines.Finally,it estimated trends of gold in terms of supply and demand relation;The fourth part is the fundamental analysis of the gold mining companies. First of all, it was a summary of the gold mining listed companies,then it focused on four aspects of the financial position of listed companies. Finally it used P/E model to analyze specific value of these companies.;In part five,it conducted a technical analysis for the gold mining shares.firstly it analysised the external factors that affected the the gold mining shares by the gray correlation degree,so as to obtain the important control variables that impacted share prices,then it analyzed the conditions that made gold mining shocks unstable; Part six is the main research conclusion of this article,and the shortage and further research of this paper.The innovations of this article are as follows:first,it revealed the relationships between Shanghai Composite Index,London gold and the gold listes companies by gray system,and measured whoes impact was more severe.Second,based on the two important control variables that impacted the share prices, it analyzed the conditions that made the gold mining shocks unstable by cusp catastrophe model.Besides,to use P/E model to analyze the value of gold mining shares, it not only analysised the financial indicators of the samples,but also considered the movement trend of the entire stock market,the performent of gold industry,as well as the abroad gold industry. All in all,this article creatively analysised the investment value of the gold mining companies from different standpoins,which enhanced the validity of value evaluation and made the investors have a comprehensive understanding of the performances of the gold mining listed companies.