Investment Decision Based on Value Factor and Financial Criteria—Taking Apple Inc. as Analysis Sample

DOI

10.2991/aebmr.k.191217.150How to use a DOI?

Keywords

Value Investment, Financial Criteria, PE Ratio, Time-Series, Investing Strategy

Abstract

Value investment is an important method of stock selection. It is crucial to effectively select the value stock when conducting fundamental analysis and analyzing financial ratios. This article takes Apple Inc. as an example of a case study and proposes value factor improvement and selection in time-series: split value factor (PE ratio as a case study) based on mean reversion, and analyzes the main source of profit as core profit based on data of 10-K. Then more analysis of value factors and fundamental indexes are documented to get a summary of the holding strategy in short term. In the second part, the author conducts a time-series analysis and draws a conclusion as the following: poor performance of PE in the long term is primarily due to the high market expectation.

Copyright

© 2019, the Authors. Published by Atlantis Press.

Open Access

This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).

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TY  - CONF
AU  - Zehua Zhang
PY  - 2019
DA  - 2019/12/20
TI  - Investment Decision Based on Value Factor and Financial Criteria—Taking Apple Inc. as Analysis Sample
BT  - Proceedings of the 2019 International Conference on Economic Management and Cultural Industry (ICEMCI 2019)
PB  - Atlantis Press
SP  - 872
EP  - 880
SN  - 2352-5428
UR  - https://doi.org/10.2991/aebmr.k.191217.150
DO  - 10.2991/aebmr.k.191217.150
ID  - Zhang2019
ER  -