Research On The Growth Of Construction Listed Company

The construction industry is the important material production sectors in our country national economy. Since reform and opening, construction industry take our country’s four modernization grand target, improved the appearance of the city, the living environment of people and travel conditions, enhancing people’s material and cultural life. And make great contribution to promote the social progress and the development of national economy. Construction industry listed companies is the advanced delegate and the vanguard of the construction industry. Research of the growth of listed companies can find out the key factors affecting its growth, thus can achieve the construction enterprises to implement sustainable development.Listed companies of construction industry in China have experienced19years. After construction companies started the listing from nineteen nineties, they endured a tortuous exploration period. Since2001, they enter into a stable period. But there are still some problems from construction industry listed companies in china, such as the small quantity of construction industry listed companies, geographical differences and low profit level etc. Compared with agriculture, financial sector and real estate industry, construction industry’s features include:the regional distribution difference is big, the national favorable policies is insufficient, and the innovation capability of technology is low.The samples are from the Shanghai and Shenzhen stock market. And23financial indicators which impact the growth of construction industry listed companies are chosen for analyzing. Seven factors are picked up throw principal component analysis method. They are profitability factor, structure factor, operation ability factor, risk factor, solvency factor, size factor, and cash ability factor. Regression analysis is based on the result of principal component analysis. And conclude as following:profitability, operation ability, debt paying ability, the size factor have a positive relation with the growth of construction industry listed company.On the other hand, structural factors, risk factors and cash ability have a negative correlation with the growth of listed company from construction industry. Some suggestions are given in order to promote the development of construction industry in China.