Genius of the Rules-Style System

Chapter 950: Chapter 480: Hourly Wage of 500,000?_3

"Brother upstairs, I saw your screenshot last time, you only have a few hundred shares, hoping to buy a Ferrari? Expecting Red Wind Industry’s stock price to rise to ten thousand?"

"Don’t shame people with reason, don’t slap the face!"

"If you’re going to hit, hit hard, let him pretend..."

"..."

The next day, Red Wind Industry hit the daily limit at the opening, and the same happened on the third day. freeωebnovēl.c૦m

At this time, more people noticed the continuously limit-up Red Wind Industry, and suddenly there were professionals analyzing the news released by Red Wind Industry, helping others understand why this news had such a significant impact.

"Spindle technology is one of the core technologies of high-end manufacturing."

"Such as lathes, cars, or various machines, they all rely on industrial attention. The lack of high-end spindle manufacturing technology domestically means we are virtually noncompetitive internationally."

"Previously, Red Wind Industry’s civilian spindles and lathe production were mainly in the low-end field. With the new electric spindle, they can enter the mid-range field, effectively greatly expanding their market."

"They could even enter the international market because the domestic manufacturing industry already has the advantage of labor costs, and Red Wind Industry has another cost advantage, in materials, raw materials, and steel material technology."

"Red Wind Industry is originally a large military-industrial group, capable of independently producing various materials, meaning they can internally produce all the spindle-related components and various finished material goods, which is equivalent to achieving a one-stop-shop from basic metal ores to finished spindles."

"They also possess ordinary lathe manufacturing technology, and even the use has a clear direction."

"With the capability to manufacture everything from the lowest end to a complete finished product, Red Wind Industry can minimize material and technological costs, giving them a price advantage in the international market!"

In fact, the analysis overlooks a point: there are fiscal subsidies for manufacturing exports domestically, plus policy subsidies for high-tech manufacturing products and Red Wind Industry’s own tax advantages for high-end manufacturing research and development. The cost of their products is lower than foreign companies can imagine.

This is also a great advantage of domestic manufacturing.

Therefore, when Red Wind Industry released major R&D news, the reaction of the secondary market was so rapid. Anyone who could analyze a bit of the situation immediately became very optimistic.

The stock price of Red Wind Industry continued to rise, quickly surpassing twenty yuan, and the momentum could be described as extremely impressive.

Although it didn’t hit the limit at the opening like in the first few days, it still rose three or four points every day, and this continued for several days. Many securities analysts said ’the rise is too much’, but the increase continued unabated, as if all comments were meaningless.

The continuous uptrend of Red Wind Industry is also easy to understand. The stock price reflects profitability, and an important indicator for judging stocks is the "Price to Earnings Ratio," also called "earnings multiple" or "stock earnings ratio."

The Price to Earnings Ratio indicates the ratio of the stock price to the earnings per share, or the company’s market value to the annual net profits attributable to shareholders. It represents the multiple of the net earnings per year and can be simply understood as, "how many years of stock dividends it would take to recover the principal."

For many years, Red Wind Industry had been incurring net losses, surviving only on state subsidies, with very few years of dividends. Consequently, the stock price had always been low.

Now, with the new electric spindle technology and significant breakthroughs in research and development, the market was optimistic about Red Wind Industry’s future profitability, and naturally, the stock value in the secondary market grew substantially.

Additionally, there was the star researcher effect of Zhao Yi.

Although Red Wind Industry did not specify in their announcement which researcher from the Mechanical Laboratory they were collaborating with, as long as it involved Yanhua University, everyone could think of Zhao Yi.

Zhao Yi is not only an academic star but also highly esteemed by the public. Almost everyone had full confidence in his research capabilities. Discovering the cooperation between Red Wind Industry and the Mechanical Laboratory, as expected, yielded significant results in just a few months, and naturally, the outlook was optimistic.