Research On Optimization Of Stock Valuation Model Of A-share Pharma-Ceutical Industry

The intrinsic value of the stock market is the premise and basis of the decision-making of the participants in the stock market.An in-depth study of the factors affecting the intrinsic value of stocks and a reasonable valuation of the shares will help investors make smarter investment decisions in the financial markets.It is also helpful for the management of the company to make corresponding efforts to maximize the value of the company and the development of M & A activities between companies.In recent years,with the gradual increase in the proportion of aging population in China and the gradual increase in the dependence of the people on medical products and services,the position of the pharmaceutical industry in the A-share market has become increasingly prominent.A large number of investment and financing activities in the pharmaceutical industry and frequent mergers and acquisitions among listed companies in the pharmaceutical industry put forward urgent requirements for the reasonable valuation of the stock of the pharmaceutical industry in China.At present,based on the theory of stock valuation,a stock valuation model for A-share pharmaceutical industry has been built.However,in the existing medical industry stock valuation model,absolute valuation model is more sensitive to subjective factors,the relative valuation model of comparable company selection has logical deficiencies,fundamental factor valuation model of industry analysis,The analytical framework,such as risk analysis,is not perfect enough.Therefore,the empirical results obtained by the existing models are not satisfactory enough.This paper combs the existing valuation models of the pharmaceutical industry and analyzes the validity of them,and finally summarizes the shortcomings of the existing valuation models.In this paper,we choose the fundamental valuation model,which has good empirical effect,as the basic model,based on the existing stock valuation theory.On the basis of the stock valuation model of A-share listed companies based on fundamental factors established by predecessors,the optimization model of stock valuation is established by optimizing the framework of industry analysis,risk analysis and financial analysis.The empirical results of the model before and after optimization are compared.This paper is divided into three parts.First of all,through sorting out all kinds of theoretical literature on stock valuation,clarify the basic theory and methods of stock valuation,and lay the theoretical foundation for the full text.Secondly,based on the analysis of the validity and deficiency of all kinds of stock valuation models in the existing pharmaceutical industry,this paper chooses the fundamental factor valuation model with good empirical effect as the basic model,and according to the traditional stock valuation model theory,Modern stock pricing theory,financial analysis,industry analysis,risk factor analysis and other frameworks,put forward the optimization method of the basic model,and give an empirical test;Finally,according to the optimization scheme of the model,based on the normative fundamental analysis framework,the fundamental factors affecting the stock value are extracted,and the optimized stock valuation model of A-share pharmaceutical industry is built.The regression analysis of each factor in the valuation model is carried out to determine the coefficient,to determine the valuation formula,to give the positive and negative factors of the factor coefficient to the economic,financial interpretation.At the same time,the empirical effect of the optimized valuation model is compared with the original model.