Research On Great Wall Motor Investment Value Based On Eva Model

Changes in the market may lead to fluctuations in the company’s share price,but the company’s intrinsic value is the fundamental factor in determining the company’s share price.How to estimate the value of listed companies has been a difficult problem for investors.Eva provides a scientific method for investors to reasonably evaluate the value of listed companies.The EVA method deducts the cost of equity and debt from the net profit after tax,and adjusts the accounting data of the enterprise from the point of view of the shareholders.Great Wall Motor Co.,Ltd.(hereinafter referred to as:Great Wall Motor)as the leader of China’s independent automobile manufacturers,the development of recent years has made remarkable achievements.This paper chooses Great Wall Motor as the research object analyzes the basic information of Great Wall Motor,attaches importance to its economic profit,and analyzes the internal value of its enterprise as the main core,based on the 2014-2018 financial statement data,the historical EVA value of Great Wall Motor from 2014 to 2018 is calculated,and then the EVA value of 2023 is forecasted,the internal enterprise value of Great Wall Motor in 2019 is calculated and compared with its stock price and P/E ratio on the closing date(December 31,2018).The investment value of Great Wall Motor is analyzed and the investment risk is analyzed.This paper aims to evaluate the value of Great Wall Motor scientifically by using economic value-added as a tool,which can provide important reference for investors’ investment activities and enterprises’ future development.