Here's What To Make Of American Electric Power Company's (NASDAQ:AEP) Decelerating Rates Of Return
Here's What To Make Of American Electric Power Company's (NASDAQ:AEP) Decelerating Rates Of Return
What are the early trends we should look for to identify a stock that could multiply in value over the long term? Typically, we'll want to notice a trend of growing return on capital employed (ROCE) and alongside that, an expanding base of capital employed. Put simply, these types of businesses are compounding machines, meaning they are continually reinvesting their earnings at ever-higher rates of return. In light of that, when we looked at American Electric Power Company (NASDAQ:AEP) and its ROCE trend, we weren't exactly thrilled.
如何识别长期可增值的股票？通常，我们要注意ROI和资本使用率持续增长的趋势。简单来说，这些企业是复合机器，意味着他们不断地以越来越高的回报率重新投资他们的收益。鉴于此，当我们看美国电力业务（纳斯达克股票编号：AEP）及其ROI趋势时，并不感到特别满意。
Return On Capital Employed (ROCE): What Is It?
资本雇用回报率（ROCE）是什么？
For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. Analysts use this formula to calculate it for American Electric Power Company:
如不了解ROI，它是公司每年税前利润（回报率）与企业所使用的资本相对应的测量指标。分析师使用这个公式来为美国电力业务计算它：
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
资产雇用回报率（ROCE）是指企业利润，即企业税前利润除以企业投入的总资本（负债加股权）。如果ROCE高于企业财务成本的承受能力，那么企业就会创造出更多的价值。
0.05 = US$4.3b ÷ (US$98b - US$11b) (Based on the trailing twelve months to March 2024).
0.05 = 430亿美元 ÷ （980亿美元 - 110亿美元） （基于2024年3月的最近十二个月）。
Therefore, American Electric Power Company has an ROCE of 5.0%. On its own that's a low return on capital but it's in line with the industry's average returns of 4.8%.
因此，美国电力业务的ROCE为5.0％。单独看这一数字，这是一个低回报率，但与行业平均回报率4.8％持平。
Above you can see how the current ROCE for American Electric Power Company compares to its prior returns on capital, but there's only so much you can tell from the past. If you're interested, you can view the analysts predictions in our free analyst report for American Electric Power Company .
什么可以从美国电力公司的ROI趋势看出来？在近几年中，美国电力业务的资本回报率并没有显著变化。过去五年中，该公司的资本使用增加了38％，但该资本的回报率仍然稳定在5.0％。考虑到公司增加了使用的资本量，似乎这些投资不能提供高回报率。
What Can We Tell From American Electric Power Company's ROCE Trend?
总结一下，美国电力业务一直在重新投资资本并以与以往同样的低回报率进行投资。因此，该股仅在过去五年中上涨了21％，这可能表明投资者正在考虑这一问题。因此，如果您正在寻找多倍收益的投资，我们建议您查看其他行业板块。
The returns on capital haven't changed much for American Electric Power Company in recent years. The company has employed 38% more capital in the last five years, and the returns on that capital have remained stable at 5.0%. Given the company has increased the amount of capital employed, it appears the investments that have been made simply don't provide a high return on capital.
由于几乎每家公司都面临一定的风险，了解这些风险也值得一提。我们已经发现了美国电力公司的3个风险警示（其中1个有点不愉快！）非常值得关注。
In Conclusion...
最后，同等资本下回报率较低的趋势通常不是我们关注创业板股票的最佳信号。由于这些发展进行良好，因此投资者不太可能表现友好。自五年前以来，该股下跌了32%。除非这些指标朝着更积极的轨迹转变，否则我们将继续寻找其他股票。
In summary, American Electric Power Company has simply been reinvesting capital and generating the same low rate of return as before. Unsurprisingly, the stock has only gained 21% over the last five years, which potentially indicates that investors are accounting for this going forward. Therefore, if you're looking for a multi-bagger, we'd propose looking at other options.
综上所述，美国电力公司仅是将资金再投资，并以与以前相同的低回报率获利。并不奇怪的是，该股在过去五年中仅上涨了21％，这可能表明投资者会在未来考虑这一点。因此，如果您正在寻找大赚钱的机会，我们建议看看其他期权。
Since virtually every company faces some risks, it's worth knowing what they are, and we've spotted 3 warning signs for American Electric Power Company (of which 1 is a bit unpleasant!) that you should know about.
如果您想要识别能够在长期保增值的股票，请密切关注以下几个趋势。一般而言，我们需要注意的是资本使用率不断增长的趋势以及ROCE不断增长的趋势。简而言之，这些类型的企业是复合机器，这意味着它们会以越来越高的回报率不断地重新投资其收益。 因此，当我们查看美国电力公司（纳斯达克股票编号：AEP）以及其ROCE趋势时，并不感到非常满意。如果您不知道ROCE是什么，请务必仔细阅读本文。但关键信息在接下来的段落中。
If you want to search for solid companies with great earnings, check out this free list of companies with good balance sheets and impressive returns on equity.
如果您想寻找财务状况良好、回报卓越的实力强企业，可以免费查看以下公司列表。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
对本文有反馈？对内容感到担忧？请直接与我们联系。或者，发送电子邮件至editorial-team (at) simplywallst.com。
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
对本文有反馈？对内容感到担忧？请直接与我们联系。或者，发送电子邮件至editorial-team@simplywallst.com。