Investment Value Analysis Of Wu Liang Ye Co.,LTD

Since the birth of capital market,it has gradually integrated into every corner of national life and played an indelible role in national economic development.Securities market is an important part of the capital market,in which all types of market players want to participate,cannot be separated from the reasonable judgment of enterprise value.Although Chinese capital market is born late,the classic enterprise value evaluation method has been widely used.With the continuous deepening and improvement of the theory,there are more and more localized practice cases.At present,foreign investors continue to enter the market,residents’ wealth indirectly participates in the market through private equity and public funds,institutional investors’ right of discourse in the stock market continues to improve,and the capital operation of domestic listed companies becomes more and more frequent,which makes the Chinese stock market increasingly mature.At present,the Chinese stock market has carried out a series of reforms: comprehensively implementing the registration system,substantially raising the illegal cost of securities,strengthening the requirements of information disclosure,and so on.Regulators are guiding investors to carry out basic research and encourage long-term investment,and the Chinese stock market is becoming increasingly in line with the international standards.Our country has a long history of wine culture deposits and traditions,a history of thousands of years of civilization,wine culture permeates almost every aspect of social life.Liquor has many consumption scenes in our country,and is closely related to our life.At present,the liquor industry has stepped into the mature stage,but compared with other industries,the liquor industry still has sustained competitiveness.The liquor industry has experienced three ups and downs in history.In the past two years,affected by the epidemic and macro-economy,the industry has entered a structural cycle.As one of the leaders in the liquor industry,the development of Wuliangye can enjoy a certain industry premium,but whether it can continue to maintain the industry competitiveness in the future is the focus of our attention.This thesis uses literature search method,financial analysis method,comparative analysis method and case study method to study the investment value of Wuliangye.This thesis studies enterprises from the perspective of financial analysis combined with the industry background,and integrates the sustainable growth theory based on the financial perspective into the enterprise value evaluation framework.As a whole,this thesis breaks down the enterprise investment value analysis framework step by step,forming a relatively complete analysis system from macro to micro,from industry analysis to company research.The main contents of this thesis are as follows.Firstly,theoretical analysis is carried out to sort out the applicability of various analysis tools and models involved in this thesis.Combined with the current macro environment,the competitiveness of the liquor industry and the future development trend are analyzed to judge the industry development prospects;Based on the development status of the company,three financial statements and four types of financial indicators of Wuliangye are analyzed.Then,the sustainable growth model from financial perspective is used to analyze the sustainable growth ability of the company,and the free cash flow model is used to judge whether the current stock price of the company is undervalued.Finally,based on the analysis results of the performance of Wuliangye’s sustainable growth ability and the company’s current valuation,combined with the company’s core competitiveness,historical financial performance and other factors,four measures are proposed to enhance the value of the company from the perspective of the company’s managers,and feasible investment strategies are proposed from the perspective of investors.Through theoretical analysis and model analysis,the following conclusions and suggestions can be obtained: Wuliangye is a mature enterprise with strong profitability,excellent performance,strong comprehensive competitiveness and development potential,and it is a company worthy of long-term attention.In view of the company’s current problems,the suggestions are as follows: moderately expand the business boundary,rational use of financial leverage,maintain a stable dividend policy and continue to optimize the asset structure.Investors are advised to buy and hold stock prices that are currently undervalued.