Rate Of ReturnCNOOC 00883
Why CNOOC can be an account cornerstone stock:
1. As a major state-owned enterprise, it's not afraid of accounting fraud or bombs. There's no management risk - even if the chairman is arrested, it won't affect the company.
2. Monopoly operation of upstream resources. Products sell easily without needing innovation or worrying about obsolescence. Whatever is produced gets sold.
3. Products are internationally priced without domestic price wars. With continuous production growth, both prices and sales show upward trends over time.
4. Most importantly, the valuation is very low. While its profitability surpasses international peers, its valuation is only half of theirs, creating expectations for valuation recovery.
5. High cash flow and high dividends. Even without price appreciation, you can reinvest the dividends.
Based on these characteristics, we dare to heavily invest in it as a cornerstone stock.
The copyright of this article belongs to the original author/organization.
The views expressed herein are solely those of the author and do not reflect the stance of the platform. The content is intended for investment reference purposes only and shall not be considered as investment advice. Please contact us if you have any questions or suggestions regarding the content services provided by the platform.
