Chapter 1368 The Bubble Bursts (3)

Style: Romance Author: anatomy teacherWords: 1851Update Time: 24/01/18 16:42:16
In a previous life, Microsoft's market value reached more than 660 billion US dollars in 2000, accounting for nearly 10% of the total market value of the Nasdaq market (US$7 trillion). It affects the whole body!

In a previous life, a U.S. District Court judge ruled that Microsoft violated federal and state antitrust laws. The lawsuit was announced. Microsoft's stock price fell by $8.57 in one day, a plunge of 14.5%, and its market value lost $84 billion! In one month, the Nasdaq index plummeted by 30%. As Microsoft's stock price plummeted by nearly 70%, the Nasdaq market lost its locomotive and the index plummeted by 80%!

Bullish investors blamed the collapse of the Nasdaq index on Microsoft Corp.'s stock price collapse and on the district court judge.

After rebirth, Kunpeng Software Group (pENG) was born, and now it is equally divided with Microsoft in the global personal computer software market. Microsoft's history of dominating the personal computer software market in its previous life has changed, and its leading effect on the Nasdaq index in its previous life has been obvious. weaken.

When pENG plans to issue 500 million new shares to global investors at US$16.8, it predicts sales revenue of US$1.23 billion in 1993, net profit of US$595 million, earnings per share of US$0.42 (calculated based on total equity before IPO), and net assets per share. US$1.1 (based on total pre-IPO equity).

Due to enthusiastic subscriptions from global investors, 575 million shares were finally issued at a price of US$16.8, raising US$10,000 (excluding issuance expenses).

Invested US$540 million in GpIc; invested US$1 billion in pIc; invested US$800 million to establish pGcA wafer company with GcA to enter domestic chip production; invested US$100 million to complete the construction of 368 five-star customer service centers ahead of schedule; invested 5 US$500 million was used to establish Kunpeng Software Research Institute in Silicon Valley, Tokyo, Seoul, Berlin, London, Paris, Moscow, Rome, Vancouver, New Delhi and Singapore, and 20 five-star customer service centers were established in Asia, Europe and the United States; US$500 million was used for mergers and acquisitions Global computer software company and venture capital; US$4 billion is entrusted to AtIc to invest in the US securities and futures trading market; US$487.5 million is invested in AtIc Securities Company (the second largest shareholder); US$250 million is invested in Taobao e-commerce company (the second largest shareholder) 2 major shareholders)…

Six years after listing, huge investments have brought fruitful results. GpIc, AtIc Securities Company, pIc, and Taobao E-commerce Company () have been successfully listed on Nasdaq and have become leading Internet and e-commerce companies at home and abroad. The market value of the stocks held by pENG increased more than 100 times; 388 five-star customer service centers (domestic and foreign) not only facilitated the sales of Kunpeng software at home and abroad, but also brought huge economic benefits (Taobao Holdings Company divides according to investment) ; 11 foreign pENG software research institutes currently have 5,270 employees, with strong strength; pGcA wafer company has become the largest and most advanced chip manufacturer in China; especially the US$4 billion investment entrusted to AtIc, in addition to receiving hundreds of millions of US dollars in investment distribution every year Infrared, with a market value of US$20.6 billion (US$18.7 billion has been cashed out).

Relying on the memory of his previous life, Sun Jian used the cashed-out US$18.7 billion to invest in the U.S. stock and futures markets, bringing pENG generous investment returns every year.

According to the 1999 financial statements, pENG's domestic and foreign sales revenue was US$45.76 billion, net profit was US$25.43 billion, earnings per share were US$12.76, and net assets per share were US$21.46.

On February 14, 2000, pENG implemented a dividend of US$5 for every 10 shares.

On March 10, Kunpeng Software's share price closed at US$227.65, with a total share capital of 1.9925 billion shares and a total market value of US$453.6 billion, making it the world's second largest company by market value after Microsoft.

Microsoft's stock price closed at US$50.65 on March 10, with a total share capital of 9.8 billion shares and a total market value of US$496.4 billion, making it the world's largest company by market capitalization.

Compared with the prediction when it was listed, pENG's sales revenue, net profit, earnings per share, net assets per share, and stock price have increased by 32 times, 34 times, 28 times, 12 times, and 13 times respectively in the past six years.

The increase in pENG's stock price clearly lags behind the growth in net profit, and also clearly lags behind the increase in Microsoft's stock price. The main reason is that Microsoft has conducted 8 major stock splits since it was listed on Nasdaq in 1986. Split (5 times of 1 split of 2, 3 times of 1 split of 3), the current stock price is equivalent to US$4558.5! However, pENG has not been split, and ordinary retail investors cannot afford it, plus factors such as 5-year cash dividends.

During the 6 years, pENG did not pay dividends except for the first year after it was listed. Every year, 10 shares were given out at US$5. The original shareholders made a lot of money.

Sun Jian predicts that after the Nasdaq Internet technology stock bubble burst, Microsoft's equity was too dispersed. Although the stock price will not fall as tragically as 70% in the previous life, it will definitely fall worse than pENG!

All 70.875 million shares (accounting for 3.56%) held by the Kunpeng Student Aid and Poverty Alleviation Foundation were sold at an average price of US$220, cashing out nearly US$14.2 billion.

Once Nasdaq Internet technology stocks plummet, pENG's share price will inevitably plummet, and the Kunpeng Education and Poverty Alleviation Foundation will buy it back when the time comes.

Xiang Dongping also took the opportunity to sell the stocks of companies such as GcA, Cisco, Qualcomm, AoL, pENG, Microsoft and Apple held by Mulan Investment Company. In addition to the copyright income from the overseas version of "The Road to Excellence" in 1999, Mulan Investment Company's Total assets are US$322 million.

Coincidentally, on March 10, the total market value of Nasdaq stocks reached 7 trillion US dollars. The total market value of pENG and Microsoft stocks accounted for 13.58% of the total market value of Nasdaq stocks. The stock prices of high-quality companies such as It also plummeted by about 70% to prevent the ducks in hand from flying away. AtIc applied to SEc for cash out, and reduced the shares of Microsoft, Intel, IBM and other companies that held more than 5% of the positions in batches to less than 5%, and cashed out before March, waiting for next year. Then buy the stocks of high-quality companies such as Microsoft, Intel, and IBM at the bottom.

At an average price of $49, AtIc has cashed out all 485,100,000 shares (4.95%) of Microsoft shares it holds, and is safe.

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"Mr. Huang, the Nasdaq index fell 2.14% at the opening!"

On March 13, affected by multiple negative news over the weekend, the Nasdaq index opened at 5000.28 points, gapped down and opened at 109.35 points, a sharp drop of 2.14%!

Stock trader Xue Yong shouted happily.

Deputy General Manager Huang Weidong came to AtIc Securities Company's self-operated investment room early. Since the stock investment department issued an investment analysis report on short-selling the Nasdaq index to VIP customers, the index has continued to hit new highs.