Rebirth: The Financial Giant

The so-called value investment is the biggest lie in the capital market. Buying the stocks of the big A and the four major banks is also a value investment, and the profitability of the four major banks is quite stable, but how many points have the stock prices rose in the past few years? They can't beat the inflation rate, but can they be said to be worthless? What's the use of it?

Some people say that Haitian's Maowulu is a value investment. In fact, this is not a value investment at all. It is a growth investment. The long-term rise in stock prices corresponds to the continuous growth of profitability and performance of these companies. The market capitalization is huge, but they are still growing bigger and bigger.

But what about listed companies like the Big Four? The rapid growth has already stopped, and the real growth businesses such as Internet finance and mobile payment have been robbed of the market by Zhifubao.

To measure whether a company is a high-quality growth company, one point is whether the company can make money and whether it can continue to create greater profit growth points.

All indicators, K-line graphics, technical analysis, and value investing are bullshit. If the company can't make money, how the stock price goes up will eventually go down.

And as long as the company can make money and can continue to make more money, the rise in asset prices will definitely reflect the rise in stock prices, even if it is temporarily suppressed or killed by the market, but the company's basic The situation will eventually be reflected in the stock market.

At this moment, the meeting was still going on, Lu Ming looked at Qi Wei and said, Old Qi, you have to work a little harder this time to travel around the world for a while, and personally lead a delegation to investigate these foreign companies. I am optimistic about these companies, but Still need to know more.”

After finishing speaking, Lu Ming handed Qi Wei a document he had brought into the conference room. It was a list of a large number of companies, involving all walks of life, mainly companies that were listed in the North American market.

There are truths and falsehoods here. The research is actually a pretense of Lu Ming, because he has foresighted that he already knows which ones are treasures, and which ones seem to be treasures are actually garbage.

But you can't just do nothing and just copy it in like a retail investor who doesn't know anything about a company.

In this way, not only will LPs tremble with fear, but you dare to buy in large quantities without even visiting some companies, and you must win big treasures every time you bet, which is a bit too magical.

Going through the process and investing again, everything is logical. Even if people outside are amazed, they can only worship him as the god of investment in the end.

Qi Wei, who took over the document, opened it and took a look. The name of the first investment target selected was the company AMD, which is AMD, one of the semiconductor processor research and development providers.

It is worth mentioning that domestic investors investing in foreign countries have relatively stricter restrictions on buying stocks of overseas high-tech companies, and can only buy common stocks, that is, stocks without voting rights.

This is because Europeans and Americans can only make relatively pure financial investments in order to prevent the cross-border acquisition of high-tech companies by Chinese capital.

In fact, this is indeed the case. Many domestic institutional investors’ cross-border investments are basically losing money.

However, it is basically impossible to acquire some overseas high-tech companies by means of capital operation. The Securities and Exchange Commission of Magnesium will definitely come out to stop it and cut it off through various means.

However, when Lu Ming invested in the US stock market, he had no intention of acquiring and controlling any company, especially high-tech companies, because no matter how much he thought about it, it was impossible to achieve, at least in the next five to ten years. The control rights are basically giant pits, and you are asked to take over. Many domestic capital institutions have been so pitted.

Investing in US stocks, Lu Ming's goal is very pure, to make money.

After making money, it is a naive idea to invest in domestic research and development of technology. It is a naive idea to rely on tricks for major technological breakthroughs.

In the US stock market, as long as you can make money, it will do.

Qi Wei glanced at the documents for a moment, then looked away at Lu Ming: Chairman, if we increase our holdings in AMD, we will trigger the placard raising mechanism!

The U.S. stock market also has the problem of raising placards. Many of the rules for the establishment of the big A have made great reference to the North American capital market.

According to Article 13(D) of the Securities and Exchange Law of Magnesium, shareholders have different levels of disclosure obligations depending on the share of stock they hold.

When shareholders hold 5% or more of the stock, they need to submit a 13D form to the Securities and Exchange Commission of Magnesium, and if the shareholding situation changes significantly thereafter, the 13D form needs to be revised, that is, a placard.

When shareholders hold more than 10% of the stock, they become insiders, and in addition to Form 13D, they must submit Forms 3, 4, and 5 for real-time reporting.

When shareholders hold more than 10% of the shares, there are restrictions on resale of shares, and short-term transactions are not allowed.

According to Article 16 of the 1934 Securities Exchange Act of Magnesium, the directors, executives and shareholders of the target company who beneficially hold more than 10% of the stock are all insiders of the target company, and short-term trading is prohibited.

That is, the stock can be sold only after half a year of buying the stock, and the stock can be bought again within half a year after the sale.

In fact, these rules can be bypassed, but only for the big guys on Wall Street, because they are the rule-makers, they can be rascals and clever, the world is so unfair.

And Lu Ming must strictly follow the other party's rules, and can't be clever, because once the other party finds out, he will have an excuse to confiscate your assets, and there is no reason to worry.

In other people's territory, they are local snakes.

If you don't have a handle, even if you cheat, your assets will not be confiscated in the end, but it's just a little disgusting.

Therefore, when Lu Ming went to other people's sites to grab money, he had to invest in a well-behaved and honest way, using a concept of wisdom as foolishness to lay out the US stock market, and clearly put the money under the framework of the other party's rules. If you earn it, you must never find any excuse for the other party.

At present, Tiansheng QDIE Fund holds 39 million shares of AMD's shares, which of course are common shares.

This was built one after another at the beginning of 2016 last year. At that time, AMD's stock was really the price of cabbage, which remained in the range of 3 US dollars for many years. In the first two years, it was 2 US dollars, and it once dropped to 1.6 US dollars. Cabbage price.

And Lu Ming bought 39 million shares at the bottom of the market last year. At that time, it was close to the standard for listing. The average cost was only 2.218 US dollars per share, which means that he only spent 86.5 million US dollars to buy AMD company. Nearly 5% shares.

At that time, the total market value of AMD was less than 2 billion US dollars, and Lu Ming knew that AMD's stock price peaked at US$99 in three years, with a market value of US$120 billion, and the market value of the shares currently held in the next three years. Will bring in a return of $3.8 billion, more than 43 times the return on investment.

At this moment, Lu Ming listened to Qi Wei's words and said affirmatively: Yes, keep increasing the holdings until the Magnesium Securities and Exchange Commission intervenes to stop it.

Qi Wei and the others slapped their lips when they heard the BOSS's words. They were very surprised. One participant couldn't help but said, Mr. Lu is so optimistic about AMD?

Hearing this, Lu Ming said with a smile: AMD? YES! Since Su Zifeng, who was born in Baodao and has a background in semiconductor technology, took charge of AMD in 2012, under her leadership, AMD was saved from bankruptcy. I wouldn't buy a share of AMD, I think she should have known how tough the company was before joining AMD, but she saw the uniqueness of AMD, and her addition really lit up AMD's ability to catch up Intel's light of hope, and that light is this year's Ryzen series of processors.

Over the past year and a half, under the leadership of Su Zifeng, AMD has not only gotten out of the predicament, but is now making great progress with the Ryzen series processors, and it has also reflected on the capital market.

This year, AMD's stock price has reached a price of 15.55 yuan, and the total market value has risen from less than 2 billion US dollars to 14.7 billion US dollars.

However, it is worth mentioning that in the past year or so, AMD has issued new shares and raised capital several times for development. The total share capital has increased from the previous 792 million shares to the current 945 million shares. Tiansheng Capital holds the The ratio of 39 million shares has dropped to 4.127% from the original ratio close to the placard.

But it doesn't matter. Lu Ming didn't intend to control the company, and it's impossible to do so. It doesn't matter if the shareholding ratio is diluted to the point that the number of shares held will not decrease, as long as the stock price is rising.

Su Zifeng is obviously an excellent leader. Now AMD's stock price is trading sideways at a high level, and it has fallen back at $14.17. The cost of the 39 million shares invested by Lu Ming is only $2.218 per share. The floating profit of investment has reached 538.86%.

It has more than doubled.

This is just the beginning, and it is expected to rise more than 40 times in the next three years.

AMD, YES!

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