Research On The Evaluation Of Investment Value And Financial Effect Under Valuation Adjustment Mechanism

After the third industrial revolution,the society has entered the information age.The change of information technology has a great impact on the way of life and business model.In the face of market changes,in order to acquire and integrate Internet resources and experience quickly and effectively,more and more enterprises choose cross industry merger and acquisition of Internet enterprises,especially the phenomenon of merger and acquisition of Internet enterprises using the bet agreement is more and more common.Using the agreement can adjust the valuation deviation,reduce the investment risk and safeguard the investors’ interests.However,China’s securities market shows a phenomenon of high valuation under the use of the agreement on gambling,some of which have brought serious consequences to the financial performance of investment enterprises.In this paper,the case study method is used to study the impact of high valuation on the financial performance of investment enterprises under the gambling agreement,taking Mingpai Jewelry investment in Suzhou Haowu as the research object.this paper combines the background,methods and main contents of investment value evaluation,combing domestic and foreign literature research,learning theoretical basis.taking the overvalued value under the gambling agreement as the starting point,this paper makes a theoretical study on the evaluation methods of investment value and financial performance.Finally,it introduces the background,valuation scheme and gambling scheme of Ming Pai Jewelry investment in Suzhou Haowu.This paper analyzes the financial performance of Ming Pai Jewelry from three aspects: operating results and cash flow.Through the evaluation of the financial performance of Ming Pai Jewelry,it is found that although the investment plan of Ming Pai Jewelry is relatively stable,the overvalued investment still has a great negative impact on its financial performance.To some extent,the agreement can hedge the impact of high valuation on profit indicators,but its adjustment is limited by the design of gambling terms and the willingness and ability of performance compensation parties.The high consideration brought by the overvalued value makes the investment occupy a lot of own funds of Mingpai Jewelry,which will make the cash flow of the listed company insufficient and have a negative impact on the operation of the listed company.In view of this phenomenon,this paper puts forward some suggestions on valuation control,performance setting,compensation method and investment rhythm,which can be used as a reference for other enterprises that use gambling agreement investment.