The reason why SMIC does not have a higher valuation in Hong Kong stocks is because of the liquidity of Hong Kong stocks itself; the other reason is that SMIC does not have a strong voice in technology and supply chain.

Such as upstream equipment supply and wafer supply.

Leading manufacturer TSMC is valued at 30 times.

Of course, there is a certain gap between SMIC and leading companies in terms of technology, production capacity, and supply chain voice.

A slightly lower valuation is normal.

Extended information: As far as the stock market is concerned, generally speaking, the factors that affect stock prices can be divided into individual factors and general factors.

Individual factors mainly include: listed companies’ operating conditions, industry status, income, asset value, changes in income, changes in dividends, capital increases and decreases, development of new products and new technologies, supply and demand relationships, changes in shareholder composition, and shareholding ratios of major institutions (such as funds

companies, securities companies, QF II, etc.), performance forecasts for the next three years, price-earnings ratios, mergers and acquisitions, etc.

General factors: out-of-market and in-market.

External factors mainly include: political and social situations; social events; emergencies; macroeconomic trends and international economic trends; financial and fiscal policies; exchange rates, prices, expected "news" or even fabricated "news", etc.

Internal factors mainly include: market supply and demand; trends of institutional and individual investors; trends of securities companies and foreign investors; exercise of securities management powers; stock price policies; taxes, etc.

In terms of individual factors that affect stock price changes, the quarterly reports, semi-annual reports and annual reports of listed companies can generally determine whether the stock is worth investing in and its profit expectations.

For investors who lack general financial knowledge, there are several figures to understand.

They are: the total share capital and circulating share capital of listed companies, the rate of return in the past three years and the forecast for the next three years, dividends and capital increases over the years, and the situation of major shareholders.

These are all factors to consider when choosing stocks.

As for the general factors that affect stock price changes, in addition to the impact on individual stock stock price changes, they can mainly be used to judge the direction of the market. The market is more active and sensitive to general factors outside the market.

This is because any factor outside the market is either good for the market or bad for the market. That is to say, in addition to the listed company itself, the judgment of short or long market comes from many factors that affect the entire market.

Any rumors that appear outside the market in the form of news, whether officially confirmed or not, will be exploited by the market, especially the major institutions in the market, leading to significant fluctuations in market stock prices, which is inevitable in extremely mature foreign markets.

, not to mention that China’s stock market is still in its infancy.

News based on data (such as economic operation data) is released by official standards. The market usually makes predictions in advance, that is, it is psychologically prepared first, and generally does not cause sudden rises and falls in stock prices.

However, the frequent and changeable news that almost floods the market is often a weapon used by a willing person (such as the long and short party) to "squeeze" the other party, in order to obtain greater investment returns when the stock price fluctuates significantly.

Generally speaking, the stability of the market is closely related to the amount of unofficial information outside the market and the soundness of the control mechanism.

From a macro perspective, all official and correct information can be used as a basis for judging the current and future market trends.

In addition, Chinese and foreign stock markets always follow an upward spiral trajectory.

From the perspective of wave form, although the wave form is composed of many ups and downs, when the cycle is lengthened to examine the whole picture, it is not difficult to see: one wave is higher than the other, and the so-called "bottom" will also rise accordingly.

Investors can take a look at the Shanghai stock market.

What I want to explain here is: Even if investors are not proficient in various investment techniques, they should at least have a basic understanding of the stock market and the many factors that affect stock prices, and then slowly learn to integrate all known knowledge to make their own investments.

decision making.