Is Cowealth Medical China Co.,Ltd.'s (SHSE:603122) Stock On A Downtrend As A Result Of Its Poor Financials?
Is Cowealth Medical China Co.,Ltd.'s (SHSE:603122) Stock On A Downtrend As A Result Of Its Poor Financials?
Cowealth Medical ChinaLtd (SHSE:603122) has had a rough three months with its share price down 24%. We decided to study the company's financials to determine if the downtrend will continue as the long-term performance of a company usually dictates market outcomes. In this article, we decided to focus on Cowealth Medical ChinaLtd's ROE.
Cowealth Medical ChinaLTD(上海证券交易所代码:603122)经历了艰难的三个月,其股价下跌了24%。我们决定研究公司的财务状况,以确定下跌趋势是否会继续,因为公司的长期表现通常决定市场业绩。在本文中,我们决定重点关注合富医疗中国有限责任公司的投资回报率。
Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. Put another way, it reveals the company's success at turning shareholder investments into profits.
股本回报率或投资回报率是用于评估公司管理层利用公司资本效率的关键指标。换句话说,它揭示了公司成功地将股东投资转化为利润。
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 Cowealth Medical ChinaLtd is:
因此,根据上述公式,Cowealth Medical ChinaLTD的投资回报率为:
6.2% = CN¥73m ÷ CN¥1.2b (Based on the trailing twelve months to September 2023).
6.2% = 7300万元人民币 ÷ 12亿元人民币(基于截至2023年9月的过去十二个月)。
The 'return' is the yearly profit. One way to conceptualize this is that for each CN¥1 of shareholders' capital it has, the company made CN¥0.06 in profit.
“回报” 是每年的利润。将其概念化的一种方法是,公司每拥有1元人民币的股东资本,就会获得0.06元的利润。
What Is The Relationship Between ROE And Earnings Growth?
投资回报率与收益增长之间有什么关系?
Thus far, we have learned that ROE measures how efficiently a company is generating its profits. 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.
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。根据公司选择将多少利润进行再投资或 “保留”,我们便能够评估公司未来创造利润的能力。假设其他条件都一样,与功能不相同的公司相比,具有更高股本回报率和更高利润保留率的公司通常具有更高的增长率。
Cowealth Medical ChinaLtd's Earnings Growth And 6.2% ROE
Cowealth Medical ChinaLtd的收益增长和6.2%的投资回报率
When you first look at it, Cowealth Medical ChinaLtd's ROE doesn't look that attractive. We then compared the company's ROE to the broader industry and were disappointed to see that the ROE is lower than the industry average of 7.9%. Thus, the low net income growth of 2.9% seen by Cowealth Medical ChinaLtd over the past five years could probably be the result of the low ROE.
当你第一次看时,Cowealth Medical ChinaLtd的投资回报率看起来并不那么吸引人。然后,我们将该公司的投资回报率与整个行业进行了比较,但对投资回报率低于7.9%的行业平均水平感到失望。因此,Cowealth Medical ChinaLtd在过去五年中实现了2.9%的低净收入增长,这可能是投资回报率低的结果。
We then compared Cowealth Medical ChinaLtd's net income growth with the industry and found that the company's growth figure is lower than the average industry growth rate of 7.0% in the same 5-year period, which is a bit concerning.
然后,我们将Cowealth Medical ChinaLTD的净收入增长与该行业进行了比较,发现该公司的增长数字低于同期7.0%的行业平均增长率,这有点令人担忧。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240226/0-68279e1a4d5362fa86d0b0af164a6dc1-0-b29d5a9808818ee5ce2f54ecb32a3977.png/big)
Earnings growth is an important metric to consider when valuing a stock. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. This then helps them determine if the stock is placed for a bright or bleak future. What is 603122 worth today? The intrinsic value infographic in our free research report helps visualize whether 603122 is currently mispriced by the market.
收益增长是对股票进行估值时要考虑的重要指标。无论如何,投资者应设法确定预期的收益增长或下降是否已计入其中。然后,这可以帮助他们确定股票是为光明还是暗淡的未来而布局。今天的603122值多少钱?我们的免费研究报告中的内在价值信息图有助于可视化603122目前是否被市场错误定价。
Is Cowealth Medical ChinaLtd Using Its Retained Earnings Effectively?
Cowealth Medical ChinaLTD是否有效地使用了其留存收益?
Cowealth Medical ChinaLtd has a three-year median payout ratio of 74% (implying that it keeps only 26% of its profits), meaning that it pays out most of its profits to shareholders as dividends, and as a result, the company has seen low earnings growth.
Cowealth Medical ChinaLTD的三年派息率中位数为74%(这意味着它仅保留了26%的利润),这意味着它将大部分利润作为股息支付给股东,因此,该公司的收益增长缓慢。
In addition, Cowealth Medical ChinaLtd only recently started paying a dividend so the management must have decided the shareholders prefer dividends over earnings growth.
此外,Cowealth Medical ChinaLTD直到最近才开始派发股息,因此管理层一定已经决定股东更喜欢分红而不是收益增长。
Conclusion
结论
On the whole, Cowealth Medical ChinaLtd's performance is quite a big let-down. The company has seen a lack of earnings growth as a result of retaining very little profits and whatever little it does retain, is being reinvested at a very low rate of return. In brief, we think the company is risky and investors should think twice before making any final judgement on this company. You can see the 2 risks we have identified for Cowealth Medical ChinaLtd by visiting our risks dashboard for free on our platform here.
总体而言,合富医疗中国有限公司的表现相当令人失望。由于保留的利润很少,该公司一直缺乏收益增长,无论保留的利润很少,都以非常低的回报率进行再投资。简而言之,我们认为该公司存在风险,投资者在对该公司做出最终判断之前应三思而后行。您可以访问我们的 Cowealth Medical ChinaLtd 确定的两种风险 风险仪表板 在我们的平台上免费使用。
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Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。