Home >

What Are The Characteristics Of Long Line Bull Stocks?

2011/8/13 19:27:00 59

Long Line Bull Stock Characteristics

More importantly, with the implementation of the split share structure reform, since the stock reform started in May 9, 2005, the stock market in two cities has increased by an average of more than 372%.

Generally speaking, these bull stocks have four major characteristics:


Feature 1:


  

list

Time is long enough.


Buffett said investment is like snowball. The most important thing is to find enough wet snow and long enough hillside.

Statistics A share market in the past 20 years the biggest increase of 100 stocks, a common feature is: the time to market is long enough.

Statistics show that these 100 stocks are listed on average for 14 years, or 18 of the top 20 stocks have been listed for more than 10 years.

Among them, the "old eight stocks" that have been listed for 20 years have 5 outgoing lines. The achievement of "old eight stocks" is closely related to the background of China's reform and opening up. It also reflects the wealth accumulation effect of China's stock market for 20 years from the side.


Another example is Vanke A, which went public in January 29, 1991, and has risen 59 times. However, the performance of Vanke A is not amazing at that time, and this white horse stock has not undergone any major reorganization.

In addition to Vanke A, Daniel stocks backed by time also have Huitong energy, Fuyao Glass, China Baoan and A, which are listed for more than 15 years.


The revelation to investors is that if a company's net profit can keep rising steadily for 3-5 consecutive years and has better expectations, it will have a strong investment value. When it comes to choosing a long-term purchase, the company will wait for the appearance of a good buy.


Feature two:


High growth

equity

expand


Besides the long listing time, bull stock also has high performance and high dividends.

In the 20 year Daniel stock, there were a number of stocks that had been listed for less than 10 years, but the stocks were amazing. Among them, Yantai Wanhua, TBEA, Midea electrical appliances and so on were also members of the A share index.


Guodian power is a representative of equity expansion.

The company went public in 1997, after 9 rounds of equity swap, the total share capital expanded 97 times, and the stock price rose 26 times.

In addition, the overall listing of central enterprises is a gold bullet in the stock market.

China Aviation fine machinery listed 6 years share price rose 9 times the overall strength of the central enterprises.

In the next 3 years, the central enterprises will inject 3 trillion of their assets and bring opportunities to the securities market.


Feature three:


Unique competitiveness and

Resources

advantage


In the 20 year Daniu stock, Shandong gold, CICC gold and Baotou Steel Rare Earth and Saline Lake potash fertilizer belong to resource stocks; Yunnan Baiyao and Dong'e donkey hide gelatin have resources with Chinese characteristics; while Luzhou old cellars, Wuliangye and Guizhou Moutai have unique brands, but also benefit from the upgrading of consumption, the industry boom continues to grow, and the main revenue and gross profit margin grow steadily every year.


Even in the big bear market, bull stock is better than the general trend.

The main revenue is an important standard. A statistics show that the growth rate of main business revenue is over 10% every year, including those of Vanke and Guizhou Moutai.

Suning Appliance and Midea electrical appliances have benefited from the growth of national income and the process of urbanization.


Feature four:


The main business fits the focus of economic development.


From the perspective of industry distribution, over the past 20 years, the largest number of cattle stocks emerged in the machinery and pharmaceutical and biological industries.

For example, Xugong machinery, Zhongji group and TXA electrician in the machinery and equipment industry have increased more than 30 times since listing.


The bull market in the first 20 years coincides with the process of economic development at that time.

Since 2003, traditional industries such as iron and steel, petrochemicals, coal, electricity, banking and automobiles, which play a decisive role in China's economic development, have been developing vigorously. Correspondingly, the listed companies in these five industries have been hailed as "five golden flowers" in the A share market.

Now the State encourages the development of high and new industries, and the future bull stocks should come from seven strategic industries, and consumer stocks are also promising.

Historical data from overseas markets show that the consumer industry is the main source of ten times and 100 times shares.

Bloomberg data showed that by the end of 2009, the top 15 stocks in the US history were all large consumer listed companies, such as CISCO rose 954 times, WAL-MART increased 552 times, Microsoft increased 486 times.


 

  • Related reading

The Eight Trick Is Easy To Deal With Rebound.

Financial Dictionary
|
2011/8/12 18:49:00
45

Can You Tell The Signs Before The Stock Price Rises?

Financial Dictionary
|
2011/8/8 19:29:00
53

Retail Investors Deal With Three Ways To Hold Stocks.

Financial Dictionary
|
2011/8/8 19:11:00
60

Why Will Stocks Stop Trading?

Financial Dictionary
|
2011/8/8 18:41:00
47

The Difference Between Rights Issue And Dividend Payment

Financial Dictionary
|
2011/8/5 18:35:00
66
Read the next article

Nine Skills For Starting A Business

When we choose the industries we want to run, we tend to choose those industries which seem to have a high profit margin. In fact, that is just a representation. We need to see clearly the nature of profits. There is such a phenomenon that a high profit enterprise and a low profit industry earn little money in a year. Even the enterprises with high profit industries are less profitable than those in the low profit industry. This is because the high profit industry is like a cake that attracts pe