Rebirth: The Era of Hong Kong Tycoon

Chapter 159 [Buy at a high point]

Since September, Evergrande Real Estate will issue an announcement every month. The content of the announcement is that the sales of a certain site under its umbrella are hot; during the period, the assets are revalued once. The total assets of Evergrande Real Estate are 7.5 million Hong Kong dollars. industry peers.

Of course, there must be some water in this revaluation of assets, but no one does not believe it; in this general environment, it is not Evergrande Real Estate who created a miracle, so everyone does not believe it.

These actions of Evergrande Real Estate are naturally not illegal. After all, Lin Rongheng has no need to take risks.

At the end of October, the stock of Evergrande Real Estate has risen to 10 Hong Kong dollars per share, and the total market value has reached 15.1 million Hong Kong dollars; Lin Rongheng's market-making methods are one aspect that affects the stock price. It is more true that the Hang Seng Index has risen from around 8.7 points in June. It has risen to around 205 points.

Calling the Three Musketeers of Evergrande to his office, Lin Rongheng said: "The land, the old building, and the book for land exchange for Type B are all our raw materials. Why haven't you made any transactions this month?"

The three looked at each other, and then Zhang Ruohuai said, "There are two reasons: First, although we have an average net profit of tens of millions of Hong Kong dollars per month, we need to consider that the short-term debt of HSBC Bank will be due in February next year. Second, the prices of land and old buildings are rising day by day, and we already have a certain amount of land reserves, so we plan to postpone it.”

Upon hearing this, Lin Rongheng said, "If real estate keeps rising, wouldn't it be equivalent to increasing the cost of land purchase? As for the short-term debt, it can be repaid by borrowing. Could it be that a giant real estate company with a market value of 10 billion Hong Kong dollars will , Haven’t got a bank loan yet?”

Suddenly the three of them were speechless!

In fact, it is not surprising that the three people's ideas are wrong. The three people's ideas are the ideas of most real estate developers-conservative, so as not to take too much risk.

But Lin Rongheng had a different idea. At the end of October 1971, the land and property could go up for at least one year and four months; calculated based on the current mid-range residential buildings, it was around 10 Hong Kong dollars per square foot; but Lin Rongheng knew that in 170 At its peak in March 1973, prices for mid-range properties had climbed to around HK$3 per square foot.

Buying land and old buildings now, and selling some of them by the end of 1972 will definitely earn more than bank interest.

Zhang Ruohuai finally said: "I will continue to search for good and cheap land recently!"

Lin Rongheng nodded and said: "People know that land and properties are bought at low tides, but why do many people buy at high tides; there is nothing wrong with buying at low tides, but who knows how long the low tides will last and whether they will return?" There is lower. There is nothing wrong with buying at a high tide. As long as the price is not outrageously expensive and people in the market are not overwhelmed, this shows that it is still an opportunity. Real estate and the stock market are the same. It seems that the stock market has risen a lot recently. In fact, the market It's just getting started, and it's far from reaching an outrageous level; why should we be timid and timid."

"Boss, you've been taught!" The three of them said sincerely.

These words of Lin Rongheng, although speaking from the standpoint of a person who knows the future, are indeed true.

Evergrande Real Estate has been developing step by step in recent years, mainly investing in property development; as for rental properties, rebuilding a 30-square-foot building will require more than 5000 million Hong Kong dollars in construction costs, and the profits may not be there The development property is high, and the risk is also great.

Now, people are very reluctant to sell high-quality properties in Central, and it is impossible to buy them; but in the past few years from 1973 to 1976, everyone was worried that the properties would continue to fall, so they would naturally be willing to sell them; it is like the stock market in later generations. How can those retail investors be willing to hand over their chips if they don't fluctuate a few times.

Time flies, and it is the Spring Festival again in a blink of an eye.

February 1972, 2, the eve of New Year's Eve.

At night, Lin Rongheng took notes in the study alone, this is Lin Rongheng's long-standing habit.

There are a lot of memories in the past life, if they are not recorded, they will be forgotten soon, so Lin Rongheng turned these memories into notes, and after sorting them out, they burned them directly.

About every other week, Lin Rongheng reviewed it again, and after a long time, he finally remembered it deeply!
The reason why Lin Rongheng's previous life is so familiar is that besides his usual love of reading novels, he himself has checked the information on these aspects; of course, although he is not particularly clear, it is already very important to know the general trend.

For example, Lin Rongheng does not know how much the stocks in the market have risen, but Lin Rongheng knows the historical trend of the Hong Kong stock market; and some very rare cases, such as the stocks of both parties in the "Bull War" rose by 3 times, such as the Hang Seng Bank stock from the listing The stock price was 100 Hong Kong dollars per share, and it was as high as 1973 Hong Kong dollars per share in March 3, and so on; .And other blue chips, the increase is 290 to 1972 times.

Because of this, Lin Rongheng's stock investment is to buy these blue chips. He started to enter the market in May 1971. The minimum return is more than 5 times, and the highest can reach 2 times.

At present, the market value of the stocks held by Lin Rongheng has reached as high as 1.8 million Hong Kong dollars, and the profit is close to 8000 million Hong Kong dollars.

The stock of Evergrande Real Estate has a market value of 7200 million Hong Kong dollars and a profit of 2200 million Hong Kong dollars.

As for the gold worth 5000 million Hong Kong dollars in the hands of Evergrande Real Estate, it has risen from about 40 Hong Kong dollars to about 48 Hong Kong dollars, making a profit of about 1000 million Hong Kong dollars.

Each company also performed very well in the past year (1971), as follows:
Evergrande Real Estate: The stock has risen to 20.2 Hong Kong dollars per share, with a total market value of 11.6 billion Hong Kong dollars. Among real estate companies, it is second only to Hongkong Land’s market value of 18 billion Hong Kong dollars; in the past 1971, Evergrande’s net profit was 3500 million Hong Kong dollars (payment of bank loan interest, net profit after purchasing new land reserves every month), ranking first among Chinese-owned real estate.

Modern Newspaper: "Modern Daily" has sold 30 copies worldwide, including 18 overseas and 12 copies in Hong Kong; 7 copies in Hong Kong and 6.5 Hong Kong and Macau sales of Modern Weekly The sales volume of "Economic Daily" is 2 copies; the monthly profit of Modern Newspaper can reach 110 million Hong Kong dollars, and the annual profit in 1972 is expected to reach 1500 million Hong Kong dollars, which is slightly higher than that of "Sing Tao Daily". The largest newspaper group.

Universal Pictures: In 1971, a total of 12 films (including two by Bruce Lee and two by Xu Guanwen) were released, of which Hong Kong’s box office was as high as 2100 million Hong Kong dollars, with a total profit of about 1300 million Hong Kong dollars (total of theaters and production); overseas box office was 1000 million Hong Kong dollars, and a profit of 430 million Hong Kong dollars, which is basically the box office of "Big Brother Tangshan", which was released in the United States, Taiwan, Japan, Southeast Asia and other places.The annual profit of Universal Pictures is close to 1800 million Hong Kong dollars, which can be described as very profitable.

Modern Publishing House: Its weekly magazine "Modern Manke" has a weekly sales volume of about 5 copies and a monthly profit of 12 Hong Kong dollars; a comic book "Dragon Tiger Gate" has a weekly sales volume of about 2 copies and a monthly profit of about 3 Hong Kong dollars.In 1971, Modern Publishing House also published "Ghost Blowing Lantern" and "Tomb Raider Notes", with a total profit of 230 million Hong Kong dollars.Throughout the year, Modern Publishing House made a total profit of 320 million Hong Kong dollars.

Yonghui Company: its 7-Eleven convenience store opened a total of 1971 branches in 10, and opened 1972 more in January 1, with a total of 2 stores. The current monthly profit level is around 12 Hong Kong dollars, and all the profits are used for New store investment, and working capital.

Galaxy Securities: Evergrande Real Estate’s 5000 million stock speculation funds are all handed over to Galaxy Securities for purchase; about 5000 million Hong Kong dollars in commission business are purchased for consultants; the total market value of the Hong Kong stock market is only 260 billion Hong Kong dollars, and there are 1 The stock of 500 million Hong Kong dollars is held in the hands of Galaxy Securities, which can be regarded as a medium-sized securities company.Galaxy Securities has its own funds of 900 million Hong Kong dollars, and the current market value is 45 million Hong Kong dollars, which shows that Ye Tianhe's ability is still very good.Since entering the market in August, the Hang Seng Index has only expanded by about 35%, and Galaxy Securities' own funds have outperformed the Hang Seng Index by as much as [-]%.

Café de Coral fast food: Lin Rongheng holds 51% of the shares, and the An family holds 49% of the shares. At present, it has opened 5 stores, with a monthly profit of about 25 Hong Kong dollars;

(End of this chapter)