Research On Long-Term Value Investment Of Pharmaceutical Listed Companies

The pharmaceutical industry is an extremely important part of national economic development in China.It is not only related to the stable and long-term development of the national economy,but also the life and health of the people.The pharmaceutical industry is known as "never decline in the sunrise industry" in the investment community,it has been showing a more rapid development momentum in recent years.With the strong supports of national policies and many other factors like deepening of urbanization development and aging population,the development of bio-pharmaceutical sectors is expected to grow rapidly in the recent years,and it acts as the emerging development part of the pharmaceutical industry in the A-share market,the market performance of bio-pharmaceutical sectors is very excellence,bull stocks flash frequently,and it is considered to investment "Blue Ocean." The bio-pharmaceutical market will be the focus areas in the future development of the pharmaceutical industry and the investment opportunities in the A-share market will become more increasingly apparent.It will become important issues to be concerned in the practical operation about how to help investors by the fundamentals analysis to invest in the bio-pharmaceutical sectors to obtain long-term,sustained gains.In this paper,based on the fundamental analysis,discusses the long-term investment value of bio-pharmaceutical via the relevant theoretical knowledge of finance and macroeconomics.On the one hand,this paper analyzes the current situation,development trend and the market competitiveness of the bio-pharmaceutical in China in the view of macro industry.On the other hand,this paper discusses market performance,the profitability,the growth ability and the valuation level of the bio-pharmaceutical in the A-share market to compare with the A-share market.Meanwhile,there is a contrast with the US on the valuation level.Finally;the relevant relationship is analyzed between the indicators and the A-share market trendThe final conclusion is that,by the analysis of the industry and financial data,statistical analysis and correlation analysis,we found that the bio-pharmaceutical sectors are better than the A-shares(non-financial)market in the solvency,profitability and growth capacity,and it indicates a steady upward trend.At the level of valuation,the bio-pharmaceutical sectors are also higher than the A-share(non-financial)and the US bio-pharmaceutical sectors,which are related to the high growth of bio-pharmaceutical and the favor of the Chinese market for the plate.At the same time,the profitability and growth capacity have a strong positive correlation with the market performance,bio-pharmaceutical is to be expected in the future with broad prospects for development and market Space,the opportunities of long-term investment are more and more obvious,it is worth the attention of investors.