Additional Considerations Required While Assessing Jinxi Axle's (SHSE:600495) Strong Earnings
Additional Considerations Required While Assessing Jinxi Axle's (SHSE:600495) Strong Earnings
Unsurprisingly, Jinxi Axle Company Limited's (SHSE:600495) stock price was strong on the back of its healthy earnings report. We did some analysis and think that investors are missing some details hidden beneath the profit numbers.
毫不奇怪,晋西车桥有限公司(SHSE: 600495)的股价在盈利报告的支持下表现强劲。我们做了一些分析,认为投资者遗漏了一些隐藏在利润数字之下的细节。
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The Impact Of Unusual Items On Profit
不寻常物品对利润的影响
To properly understand Jinxi Axle's profit results, we need to consider the CN¥9.1m gain attributed to unusual items. We can't deny that higher profits generally leave us optimistic, but we'd prefer it if the profit were to be sustainable. When we analysed the vast majority of listed companies worldwide, we found that significant unusual items are often not repeated. Which is hardly surprising, given the name. We can see that Jinxi Axle's positive unusual items were quite significant relative to its profit in the year to December 2023. All else being equal, this would likely have the effect of making the statutory profit a poor guide to underlying earnings power.
为了正确理解晋西车轴的利润业绩,我们需要考虑不寻常项目带来的910万元人民币的收益。我们不能否认更高的利润通常会让我们感到乐观,但如果利润是可持续的,我们更愿意这样做。当我们分析全球绝大多数上市公司时,我们发现重大不寻常的事项往往不会重演。考虑到这个名字,这并不奇怪。我们可以看到,截至2023年12月的一年中,金溪车轴的正面不寻常项目相对于其利润相当可观。在其他条件相同的情况下,这可能会使法定利润成为衡量潜在盈利能力的不良指导。
Note: we always recommend investors check balance sheet strength. Click here to be taken to our balance sheet analysis of Jinxi Axle.
注意:我们始终建议投资者检查资产负债表的实力。点击此处查看我们对锦溪车轴的资产负债表分析。
Our Take On Jinxi Axle's Profit Performance
我们对锦西车轴盈利表现的看法
As we discussed above, we think the significant positive unusual item makes Jinxi Axle's earnings a poor guide to its underlying profitability. For this reason, we think that Jinxi Axle's statutory profits may be a bad guide to its underlying earnings power, and might give investors an overly positive impression of the company. But the happy news is that, while acknowledging we have to look beyond the statutory numbers, those numbers are still improving, with EPS growing at a very high rate over the last year. Of course, we've only just scratched the surface when it comes to analysing its earnings; one could also consider margins, forecast growth, and return on investment, among other factors. So while earnings quality is important, it's equally important to consider the risks facing Jinxi Axle at this point in time. To help with this, we've discovered 2 warning signs (1 shouldn't be ignored!) that you ought to be aware of before buying any shares in Jinxi Axle.
正如我们上面讨论的那样,我们认为这一重大利好不寻常的项目使金西车轴的收益无法衡量其潜在盈利能力。出于这个原因,我们认为金溪车轴的法定利润可能不利于其潜在盈利能力,并可能给投资者留下过于积极的印象。但令人高兴的消息是,尽管承认我们必须将目光投向法定数字之外,但这些数字仍在改善,去年每股收益以非常高的速度增长。当然,我们只是在分析其收益时才浮出水面;人们还可以考虑利润率、预测增长和投资回报率等因素。因此,尽管收益质量很重要,但考虑金西车轴此时面临的风险同样重要。为了帮助解决这个问题,我们发现了 2 个警告信号(1 个不容忽视!)在购买金溪车轴的任何股票之前,你应该注意这一点。
Today we've zoomed in on a single data point to better understand the nature of Jinxi Axle's profit. But there are plenty of other ways to inform your opinion of a company. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. While it might take a little research on your behalf, you may find this free collection of companies boasting high return on equity, or this list of stocks that insiders are buying to be useful.
今天,我们放大了单个数据点,以更好地了解金溪车轴利润的性质。但是,还有很多其他方法可以让你对公司的看法。例如,许多人认为高股本回报率是有利的商业经济的标志,而另一些人则喜欢 “关注资金”,寻找内部人士正在买入的股票。虽然可能需要你进行一些研究,但你可能会发现这份免费收集的拥有高股本回报率的公司,或者这份内部人士正在购买的股票清单很有用。
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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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。