Qtone Education Group (Guangdong)Ltd (SZSE:300359) has had a great run on the share market with its stock up by a significant 17% over the last week. However, we wonder if the company's inconsistent financials would have any adverse impact on the current share price momentum. Particularly, we will be paying attention to Qtone Education Group (Guangdong)Ltd's ROE today.
ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.
See our latest analysis for Qtone Education Group (Guangdong)Ltd
How Do You Calculate Return On Equity?
The formula for return on equity is:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
So, based on the above formula, the ROE for Qtone Education Group (Guangdong)Ltd is:
3.0% = CN¥23m ÷ CN¥767m (Based on the trailing twelve months to June 2022).
The 'return' is the profit over the last twelve months. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.03.
What Has ROE Got To Do With Earnings Growth?
So far, we've learned that ROE is a measure of a company's profitability. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features.
Qtone Education Group (Guangdong)Ltd's Earnings Growth And 3.0% ROE
It is quite clear that Qtone Education Group (Guangdong)Ltd's ROE is rather low. Not just that, even compared to the industry average of 6.6%, the company's ROE is entirely unremarkable. Hence, the flat earnings seen by Qtone Education Group (Guangdong)Ltd over the past five years could probably be the result of it having a lower ROE.
As a next step, we compared Qtone Education Group (Guangdong)Ltd's net income growth with the industry and were disappointed to see that the company's growth is lower than the industry average growth of 11% in the same period.
SZSE:300359 Past Earnings Growth October 18th 2022
The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. Is Qtone Education Group (Guangdong)Ltd fairly valued compared to other companies? These 3 valuation measures might help you decide.
Is Qtone Education Group (Guangdong)Ltd Efficiently Re-investing Its Profits?
Qtone Education Group (Guangdong)Ltd doesn't pay any dividend, meaning that potentially all of its profits are being reinvested in the business. However, this doesn't explain why the company hasn't seen any growth. So there could be some other explanations in that regard. For instance, the company's business may be deteriorating.
Summary
Overall, we have mixed feelings about Qtone Education Group (Guangdong)Ltd. While the company does have a high rate of profit retention, its low rate of return is probably hampering its earnings growth. So far, we've only made a quick discussion around the company's earnings growth. You can do your own research on Qtone Education Group (Guangdong)Ltd and see how it has performed in the past by looking at this FREE detailed graph of past earnings, revenue and cash flows.
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酷派教育集团(广东)有限公司(深圳证券交易所股票代码：300359)在过去一周的股票市场上表现出色，其股票上涨了17%。然而，我们想知道该公司不一致的财务数据是否会对当前的股价势头产生不利影响。今天，我们将特别关注Qone教育集团(广东)有限公司的净资产收益率。
净资产收益率，即股本回报率，是评估一家公司从股东那里获得投资回报的有效程度的有用工具。换句话说，这是一个衡量公司股东提供的资本回报率的盈利比率。
查看我们对QTone教育集团(广东)有限公司的最新分析
你如何计算股本回报率？
这个股本回报率公式是：
股本回报率=(持续经营的)净利润？股东权益
因此，根据上述公式，QTone教育集团(广东)有限公司的净资产收益率为：
3.0%=CN元2300万×CN元7.67亿元(以截至2022年6月的12个月为基础)。
“收益”是过去12个月的利润。因此，这意味着股东每投资1元人民币，公司就会产生0.03元的利润。
净资产收益率与盈利增长有什么关系？
到目前为止，我们了解到净资产收益率是衡量一家公司盈利能力的指标。根据公司选择再投资或“保留”多少利润，我们就能够评估一家公司未来产生利润的能力。假设其他条件相同，与没有相同特征的公司相比，拥有更高股本回报率和更高利润保留率的公司通常会有更高的增长率。
快通教育集团(广东)有限公司盈利增长3.0%净资产收益率
很明显，QTone教育集团(广东)有限公司的净资产收益率相当低。不仅如此，即使与6.6%的行业平均水平相比，该公司的净资产收益率也完全不起眼。因此，Qone教育集团(广东)有限公司在过去五年的收益持平可能是其净资产收益率较低的结果。
下一步，我们将Qone教育集团(广东)有限公司的净收入增长与行业进行了比较，发现该公司的增长低于同期11%的行业平均增长，这让我们感到失望。
深圳证交所：过去300359的收益增长2022年10月18日
赋予一家公司价值的基础在很大程度上与其盈利增长挂钩。投资者下一步需要确定的是，预期的收益增长是否已经计入了股价。通过这样做，他们将知道股票是将进入清澈的蓝色水域，还是等待沼泽水域。与其他公司相比，QTone教育集团(广东)有限公司的价值是否公平？这3个估值指标可能会帮助你做出决定。
Qone教育集团(广东)有限公司是否有效地将其利润进行了再投资？
快通教育集团(广东)有限公司不支付任何股息，这意味着其所有利润可能都将再投资于该业务。然而，这并不能解释为什么该公司没有看到任何增长。因此，在这方面可能会有其他一些解释。例如，该公司的业务可能正在恶化。
摘要
总体而言，我们对酷派教育集团(广东)有限公司的看法复杂。尽管该公司的利润保留率确实很高，但其低回报率可能正在阻碍其收益增长。到目前为止，我们只是围绕该公司的收益增长进行了简短的讨论。你可以在QTone教育集团(广东)有限公司上做你自己的研究，看看它过去的表现如何，看看这个免费的详细图表过去的收益、收入和现金流。
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本文由Simply Wall St.撰写，具有概括性。我们仅使用不偏不倚的方法提供基于历史数据和分析师预测的评论，我们的文章并不打算作为财务建议。它不构成买卖任何股票的建议，也没有考虑你的目标或你的财务状况。我们的目标是为您带来由基本面数据驱动的长期重点分析。请注意，我们的分析可能不会将最新的对价格敏感的公司公告或定性材料考虑在内。Simply Wall St.对上述任何一只股票都没有持仓。
