1. The company's main business is outstanding, and its funds are concentrated in special markets, special products or special services and technologies, which are basically monopolized by the company and it is difficult for other companies to get involved. Those products and technologies are not very competitive in the market. Listed companies in the field of fierce investment competition, when they see which products make money, disperse their funds and turn to investment. It is difficult to become "demon stocks", and they do not have the characteristics that companies should have, and they cannot monopolize products and technologies.
2. The market where products and technologies are invested has bright and bright development prospects. Of course, it is essential to have a forward-looking judgment on the market prospects. For example, the huge demand in the world computer market made American stocks "IBM" and "Apple" become "monster stocks" at that time; Hong Kong has a large population and a small number of people, coupled with the vision of real estate developers, the profits and share prices of listed real estate companies have increased several times.
3. Listed companies with "monster stocks" should look for them in small-scale companies or companies with small capital structure. Because of the small share capital and strong demand for expansion, it is suitable for a large proportion of rights issue, and it also allows the stock price to go up before going to the rights issue. After the right is removed, it can fill in the right and prepare for the next allocation. This cycle, the stock price seems to be not high, but it has turned over several times.
4. The industries operated by listed companies with "monster stocks" are not easily affected by the economic cycle, that is, they can not only maintain a high growth rate in the environment of economic growth, but also will not be easily eliminated because of macroeconomic recession.
5. The company is flexible in operation and innovative in production technology, especially in the high-tech field. They have superior production skills than other companies and are easy to adapt to the influence of social changes.
6. The company is willing to make great efforts to research and innovate new technologies, spend money or have the ability to continuously develop new products, and always put the research and development of new technologies and new products in an important position of the company. Only in this way can the company resist potential competitors, make products constantly updated and be in an invincible position.
7. The company's profits are temporarily high or not, but due to the considerable development prospects, it may bring high-growth potential profits. This article is very important for discovering "monster stocks", because profit growth is more important than the reality of high profits, and the continuous expected reduction of dynamic P/E ratio is more attractive than low P/E ratio.
8. The company's share capital structure should be small in circulation and the total share capital is not too large, and the major shareholders holding some shares in the total share capital should remain stable. The strong strength of major shareholders will promote the development of the company and even bring high-quality assets.