An Empirical Study Of The Investment Value Of Listed Real Estate Companies

Stock investment is welcomed by investors all over the world for its highrate of return and high liquidity, so is it in China. But with a special stockstructure and social environment, the stock price of China is much morecomplicated to predict. In the past years, there weren't any effectiveinvestment theories for Chinese stock market, so that many investors failed inthe market. A effective investment theory is badly needed in China. This article is written by researching on 44 listed companies in realestate industry with the tool of essence analysis. There are two stages inessence analysis. In the stage of macroeconomics environment and industryanalysis, this article draws a conclusion that the real estate industry is worthyof investment. In the stage of company analysis, this article analyzes theperformance of the target company with eight finance ratios. These ratiosinclude Current Ratio, Fixed-Asset Turnover Ratio, Net Profit Margin Ratio,etc . The objective of this article is to find a method to help the investors toinvest safely and reasonably.