Abstract:Based on the efficiency market theory, considering the relationship between A share prices in Shanghai stock market and factors such as earnings per share, net asset value per share, industry price/earning ratios, this paper builds the multiple regression model between the opening A share prices at the time point of March 1st,2001 and their corresponding financial indexes. Then, according to the fact that the net asset value per share after the new issue will change in the same rate with the issuing prices, this paper calculates the relationship between them and gives out the new issue pricing model which considers 5 factors, including such factors as the A share composite indexes in shanghai stock market. This model is very meaningful and compensates the deficiency of the traditional pricing methodology which considers only the P/E ratios.