Research On The Firm Value Of Jiangsu Cambridge

In recent years,as China's capital market system is sound and perfect,the capital market and technical ties are gradually close,and innovation interaction is constantly increasing.The New OTC(Over the Counter)Market,as the most important and dynamic part of the economic development,has attracted a large number of small and medium enterprises and high-tech enterprises.The growth,development potential,profitability and intrinsic value of an enterprise are important reference standards for investors and market makers to choose an enterprise.Jiangsu Cambridge Painting Engineering is a company engaged in painting and its complete sets of equipment design,manufacture,installation and service of professional manufacturers.Although since August 2016 listing of the New OTC Market,steady performance,good momentum of development,but also high debt ratio,liquidity ratio and quick ratio of low risk.It is necessary to carry out in-depth research on the factors influencing the value of the company,the company's profitability,solvency,operation ability,growth ability analysis,according to the relevant theories of investment valuation of the enterprise value evaluation,to find out the problems and seek the sustainable development of enterprises.This paper makes a detailed analysis on the company's profitability,solvency,operation ability,growth ability,and combined with the Du Pont analysis system further analysis of good corporate profitability,operational capacity.But the company's asset liability ratio is high and the solvency is low.From2014 to 2016 the company using the EVA analysis method economic value added value of fifteen million yuan,the vitality of enterprise ability.Through FCFF calculation,the company's equity value at the end of 2016 was 554321567.8 yuan,an intrinsic value of 13.71 yuan per share.Based on P/E ratio,the company's value per share is 10.04 yuan,whichis 8.88 yuan based on P/B ratio.In September 22,2017,the share price reached 9.99 yuan.Finally,the company's stock value is undervalued by the market.It is suggested that,on the one hand,in order to achieve sustainable growth,the company should reduce the cost of capital,optimize the capital structure of enterprises,and increase sales revenue.On the other hand,the company should achieve effective communication with the capital market,so that the capital market fully understand the intrinsic value of the company.