The Financial Analysis of Communications Equipment Industry Listed Companies Based on Factor Analysis

Because of the many financial indicators, it is difficult to comprehensive evaluate the financial situation of listed companies. DuPont traditional financial analysis system has only considered the relationship between a limited numbers of financial indicators, the summarized information is inadequate. Through an analysis of the many financial indicators, concentrated the indicators, extracted the key factor, the factor analysis can come to the financial situation of an integrated scoring, which can guide the business and financial strategy selection, and then set up a financial analysis method which is different from the DuPont analysis system.