Declining Stock and Solid Fundamentals: Is The Market Wrong About Guizhou Tyre Co.,Ltd. (SZSE:000589)?
Declining Stock and Solid Fundamentals: Is The Market Wrong About Guizhou Tyre Co.,Ltd. (SZSE:000589)?
Guizhou TyreLtd (SZSE:000589) has had a rough month with its share price down 15%. But if you pay close attention, you might gather that its strong financials could mean that the stock could potentially see an increase in value in the long-term, given how markets usually reward companies with good financial health. Specifically, we decided to study Guizhou TyreLtd's ROE in this article.
贵州轮胎有限公司(SZSE:000589)股价下跌15%,表现不佳。但是,如果您密切关注,您可能会发现其强大的财务状况意味着该股票在长期内有可能看到价值上涨,因为市场通常会奖励具有良好财务健康状况的公司。具体而言,我们决定在本文中研究贵州轮胎有限公司的roe。
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.
roe指股东权益回报率,是一种有用的工具,用于评估公司如何有效地从股东获得的投资中产生回报。简单来说,这衡量了一家公司相对于股东权益的盈利能力。
How Is ROE Calculated?
净资产收益率怎么计算?
The formula for ROE is:
roe的公式是:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
净资产收益率 = 净利润(从持续经营中获得)÷ 股东权益
So, based on the above formula, the ROE for Guizhou TyreLtd is:
因此,根据以上公式,贵州轮胎有限公司的roe为:
12% = CN¥954m ÷ CN¥7.6b (Based on the trailing twelve months to March 2024).
12%= CN¥95400万 ÷ CN¥76亿(基于截至2024年3月的过去十二个月)。
The 'return' is the amount earned after tax over the last twelve months. One way to conceptualize this is that for each CN¥1 of shareholders' capital it has, the company made CN¥0.12 in profit.
“回报”是过去十二个月税后赚取的金额。一个概念化这一点的方法是,对于每元股东资本,公司产生了0.12元的利润。
Why Is ROE Important For Earnings Growth?
ROE对于盈利增长的重要性是什么?
So far, we've learned that ROE is a measure of a company's profitability. 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,我们已经了解了roe是公司盈利能力的一种衡量标准。根据公司重新投资或“保留”的利润数量和效率,我们可以评估公司的盈利增长潜力。假设其他所有因素保持不变,roe和保留的利润越高,相对于不一定具有这些特征的公司,公司的增长率就越高。
Guizhou TyreLtd's Earnings Growth And 12% ROE
贵州轮胎有限公司的盈利增长和12%的roe
To begin with, Guizhou TyreLtd seems to have a respectable ROE. Especially when compared to the industry average of 8.1% the company's ROE looks pretty impressive. This probably laid the ground for Guizhou TyreLtd's significant 20% net income growth seen over the past five years. However, there could also be other causes behind this growth. For example, it is possible that the company's management has made some good strategic decisions, or that the company has a low payout ratio.
首先,贵州轮胎有限公司的roe似乎相当不错。特别是与行业平均水平8.1%相比,该公司的roe看起来相当令人印象深刻。这可能为贵州轮胎有限公司过去五年中显着的20%净利润增长奠定了基础。但是,这种增长背后还可能有其他原因。例如,公司的管理层可能做出了一些良好的战略决策,或者公司的支付比率较低。
As a next step, we compared Guizhou TyreLtd's net income growth with the industry, and pleasingly, we found that the growth seen by the company is higher than the average industry growth of 8.4%.
作为下一步,我们将贵州轮胎有限公司的净利润增长与行业进行了比较,并且令人高兴的是,我们发现该公司的增长率超过了行业平均增长率8.4%。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240626/0-60337e035cf873fc427b4602389eb06d-0-e10a4bb13a6c65b55a2259f495373dbb.png/big)
Earnings growth is a huge factor in stock valuation. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). This then helps them determine if the stock is placed for a bright or bleak future. If you're wondering about Guizhou TyreLtd's's valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry.
盈利增长是股票估值的重要因素。投资者知道市场是否已经定价反映了公司预期的盈利增长(或下降)是很重要的。这有助于他们确定股票是否前景光明还是暗淡。如果您想了解贵州轮胎有限公司的估值,请查看其市盈率与行业的比较。
Is Guizhou TyreLtd Efficiently Re-investing Its Profits?
贵州轮胎有限公司是否有效地重新投资其利润?
Guizhou TyreLtd's three-year median payout ratio is a pretty moderate 27%, meaning the company retains 73% of its income. By the looks of it, the dividend is well covered and Guizhou TyreLtd is reinvesting its profits efficiently as evidenced by its exceptional growth which we discussed above.
贵州轮胎有限公司的三年中位数支付比率相当适中,为27%,这意味着公司保留了73%的收入。看起来,股息得到了很好的支持,贵州轮胎有限公司正在有效地重新投资其利润,正如我们上面讨论的那样。
Moreover, Guizhou TyreLtd is determined to keep sharing its profits with shareholders which we infer from its long history of paying a dividend for at least ten years.
此外,贵州轮胎有限公司决心继续与股东分享其利润,我们从其持续至少十年的分红历史中推出这一点。
Summary
总的来说,我们对伟明环保的表现非常满意。具体而言,我们喜欢公司以高回报率再投资了其利润的很大一部分。当然,这导致公司的收益大幅增长。但是,最新的行业分析师预测表明,该公司的收益预计将加速增长。
Overall, we are quite pleased with Guizhou TyreLtd's performance. Specifically, we like that the company is reinvesting a huge chunk of its profits at a high rate of return. This of course has caused the company to see substantial growth in its earnings. We also studied the latest analyst forecasts and found that the company's earnings growth is expected be similar to its current growth rate. To know more about the latest analysts predictions for the company, check out this visualization of analyst forecasts for the company.
总的来说,我们对贵州轮胎有限公司的表现感到相当满意。具体来说,我们喜欢公司高比率回报的巨大利润再投资率。当然,这导致公司的收入出现了显著增长。我们还研究了最新的分析师预测,并发现该公司的盈利增长预期与其当前增长率相似。要了解有关该公司最新分析师预测的更多信息,请查看此可视化分析师预测。
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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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这篇文章是Simply Wall St的一般性文章。我们根据历史数据和分析师预测提供评论,只使用公正的方法论,我们的文章并不意味着提供任何金融建议。文章不构成买卖任何股票的建议,也不考虑您的目标或您的财务状况。我们的目标是带给您基本数据驱动的长期关注分析。请注意,我们的分析可能不考虑最新的价格敏感公司公告或定性材料。Simply Wall St没有任何股票头寸。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
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