Will Weakness in Jiangsu Guomao Reducer Co., Ltd.'s (SHSE:603915) Stock Prove Temporary Given Strong Fundamentals?
Will Weakness in Jiangsu Guomao Reducer Co., Ltd.'s (SHSE:603915) Stock Prove Temporary Given Strong Fundamentals?
It is hard to get excited after looking at Jiangsu Guomao Reducer's (SHSE:603915) recent performance, when its stock has declined 28% over the past three months. However, stock prices are usually driven by a company's financial performance over the long term, which in this case looks quite promising. Specifically, we decided to study Jiangsu Guomao Reducer's ROE in this article.
看了江苏国茂减速机(SHSE: 603915)最近的表现,很难感到兴奋,当时其股票在过去三个月中下跌了28%。但是,股票价格通常由公司的长期财务业绩驱动,在这种情况下,这看起来很有希望。具体而言,我们决定在本文中研究江苏国茂减速机的投资回报率。
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 simpler terms, it measures the profitability of a company in relation to shareholder's equity.
投资回报率或股本回报率是评估公司如何有效地从股东那里获得投资回报的有用工具。简而言之,它衡量公司相对于股东权益的盈利能力。
How Is ROE Calculated?
ROE 是如何计算的?
The formula for ROE is:
ROE 的公式是:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回报率 = 净利润(来自持续经营业务)÷ 股东权益
So, based on the above formula, the ROE for Jiangsu Guomao Reducer is:
因此,根据上述公式,江苏国贸减速机的投资回报率为:
11% = CN¥387m ÷ CN¥3.5b (Based on the trailing twelve months to September 2023).
11% = 3.87亿元人民币 ¥35亿元人民币(基于截至2023年9月的过去十二个月)。
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¥0.11.
“回报” 是过去十二个月的利润。因此,这意味着其股东每投资1元人民币,公司就会产生0.11CN的利润。
Why Is ROE Important For Earnings Growth?
为什么投资回报率对收益增长很重要?
Thus far, we have learned that ROE measures how efficiently a company is generating its profits. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company's earnings growth potential. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics.
到目前为止,我们已经了解到,投资回报率衡量的是公司创造利润的效率。然后,我们能够评估公司的收益增长潜力,具体取决于公司对这些利润进行再投资或 “保留” 了多少及其有效性。假设其他一切保持不变,那么与不一定具有这些特征的公司相比,投资回报率和利润保留率越高,公司的增长率就越高。
Jiangsu Guomao Reducer's Earnings Growth And 11% ROE
江苏国茂减速机的收益增长和11%的投资回报率
To start with, Jiangsu Guomao Reducer's ROE looks acceptable. Especially when compared to the industry average of 7.6% the company's ROE looks pretty impressive. This certainly adds some context to Jiangsu Guomao Reducer's decent 14% net income growth seen over the past five years.
首先,江苏国茂减速机的投资回报率似乎可以接受。特别是与7.6%的行业平均水平相比,该公司的投资回报率看起来相当可观。这无疑为江苏国茂减速机在过去五年中实现的14%的净收入增长增添了一些背景信息。
We then performed a comparison between Jiangsu Guomao Reducer's net income growth with the industry, which revealed that the company's growth is similar to the average industry growth of 12% in the same 5-year period.
然后,我们将江苏国茂减速机的净收入增长与该行业进行了比较,结果显示该公司的增长与5年同期12%的行业平均增长率相似。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240211/0-b2ec32209450d0ec056ae283f37c4183-0-5cf8390ecca7c3b3d3307be4164cce03.png/big)
Earnings growth is an important metric to consider when valuing a stock. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. Doing so will help them establish if the stock's future looks promising or ominous. Has the market priced in the future outlook for 603915? You can find out in our latest intrinsic value infographic research report.
收益增长是对股票进行估值时要考虑的重要指标。投资者接下来需要确定的是,预期的收益增长或缺乏收益是否已经包含在股价中。这样做将帮助他们确定股票的未来是乐观还是不祥的。市场对603915的未来展望进行了定价吗?您可以在我们最新的内在价值信息图研究报告中找到答案。
Is Jiangsu Guomao Reducer Using Its Retained Earnings Effectively?
江苏国贸减速机有效利用留存收益吗?
Jiangsu Guomao Reducer has a three-year median payout ratio of 31%, which implies that it retains the remaining 69% of its profits. This suggests that its dividend is well covered, and given the decent growth seen by the company, it looks like management is reinvesting its earnings efficiently.
江苏国茂减速机的三年派息率中位数为31%,这意味着它保留了剩余的69%的利润。这表明其股息覆盖范围良好,鉴于该公司的可观增长,管理层似乎正在有效地对其收益进行再投资。
Additionally, Jiangsu Guomao Reducer has paid dividends over a period of four years which means that the company is pretty serious about sharing its profits with shareholders. Based on the latest analysts' estimates, we found that the company's future payout ratio over the next three years is expected to hold steady at 30%. Regardless, the future ROE for Jiangsu Guomao Reducer is predicted to rise to 14% despite there being not much change expected in its payout ratio.
此外,江苏国茂减速机已在四年内派发了股息,这意味着该公司非常认真地与股东分享利润。根据分析师的最新估计,我们发现该公司未来三年的派息率预计将稳定在30%。无论如何,尽管预计其派息率没有太大变化,但江苏国茂减速机的未来投资回报率预计将升至14%。
Conclusion
结论
In total, we are pretty happy with Jiangsu Guomao Reducer's performance. In particular, it's great to see that the company is investing heavily into its business and along with a high rate of return, that has resulted in a sizeable growth in its earnings. Having said that, looking at the current analyst estimates, we found that the company's earnings are expected to gain momentum. To know more about the company's future earnings growth forecasts take a look at this free report on analyst forecasts for the company to find out more.
总的来说,我们对江苏国茂减速机的表现非常满意。特别是,很高兴看到该公司正在对其业务进行大量投资,再加上高回报率,这为其收益带来了可观的增长。话虽如此,从分析师目前的估计来看,我们发现该公司的收益有望增强。要了解有关公司未来收益增长预测的更多信息,请查看这份关于分析师预测的免费报告,以了解更多信息。
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