Declining Stock and Solid Fundamentals: Is The Market Wrong About Huitongda Network Co., Ltd. (HKG:9878)?
Declining Stock and Solid Fundamentals: Is The Market Wrong About Huitongda Network Co., Ltd. (HKG:9878)?
With its stock down 31% over the past three months, it is easy to disregard Huitongda Network (HKG:9878). 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 Huitongda Network's ROE in this article.
虽然汇通达网络(HKG:9878)近三个月股价下跌31%,但如果您仔细观察,您可能会认为其强大的财务状况可能意味着该股票在长期内有潜力增值,因为市场通常会回报财务状况良好的公司。具体而言,我们决定在本文中研究汇通达网络的roe。
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roe是一项关键指标,用于评估公司管理层使用公司资本的效率。换句话说,它揭示了公司将股东的投资转化为利润的成功。
How Is ROE Calculated?
净资产收益率怎么计算?
ROE can be calculated by using the formula:
净资产收益率可以使用以下公式进行计算:
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 Huitongda Network is:
因此,根据以上公式,汇通达网络的roe为:
7.3% = CN¥697m ÷ CN¥9.5b (Based on the trailing twelve months to December 2023).
7.3% = CN¥69700万 ÷ CN¥95亿(基于截至2023年12月的过去12个月)。
The 'return' is the income the business earned over the last year. Another way to think of that is that for every HK$1 worth of equity, the company was able to earn HK$0.07 in profit.
“回报”是企业在过去一年中赚取的收入。另一种思考方式是,对于每一港元的股权,公司能够赚取港币0.07的利润。
Why Is ROE Important For Earnings Growth?
ROE对于盈利增长的重要性是什么?
We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. 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.
我们已经确定,roe是一个有效的利润生成衡量标准,用于评估公司未来的盈利能力。根据公司再投资或“保留”这些利润的比例以及这样做的有效性,我们能够评估公司的盈利增长潜力。假设其他所有因素保持不变,roe和利润保留的比例越高,相对于没有这些特征的公司,公司的增长率就越高。
A Side By Side comparison of Huitongda Network's Earnings Growth And 7.3% ROE
汇通达网络盈利增长和7.3% roe的比较
On the face of it, Huitongda Network's ROE is not much to talk about. However, the fact that the its ROE is quite higher to the industry average of 4.5% doesn't go unnoticed by us. Especially when you consider Huitongda Network's exceptional 63% net income growth over the past five years. Bear in mind, the company does have a moderately low ROE. It is just that the industry ROE is lower. So, there might well be other reasons for the earnings to grow. E.g the company has a low payout ratio or could belong to a high growth industry.
从表面上看,汇通达网络的roe并不值得讨论。然而,我们注意到,它的roe比行业平均水平4.5%要高得多。特别是当考虑到汇通达网络过去五年杰出的63%净利润增长时。请记住,该公司的roe中等偏低。只是行业roe更低。因此,盈利增长可能有其他原因。例如,公司的派息率较低或可能归属于高增长行业。
Next, on comparing with the industry net income growth, we found that Huitongda Network's growth is quite high when compared to the industry average growth of 8.8% in the same period, which is great to see.
接下来,与行业净利润增长进行比较,我们发现汇通达网络的增长相当高,相比同期行业平均增长率8.8%,这是非常好的。
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The basis for attaching value to a company is, to a great extent, tied to its earnings growth. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. Doing so will help them establish if the stock's future looks promising or ominous. Is Huitongda Network fairly valued compared to other companies? These 3 valuation measures might help you decide.
对一家公司进行估值的基础,在很大程度上与其盈利增长有关。投资者应该尝试确定预期的盈利增长或下降,无论哪种情况,是否被定价。这样做将有助于确定该股票的未来是否看好还是不利。与其他公司相比,汇通达网络是否被公平地估值?这3个估值措施可能会帮助您决定。
Is Huitongda Network Efficiently Re-investing Its Profits?
汇通达网络是否有效地再投资其利润?
Huitongda Network doesn't pay any regular dividends to its shareholders, meaning that the company has been reinvesting all of its profits into the business. This is likely what's driving the high earnings growth number discussed above.
汇通达网络没有向股东支付任何常规分红,这意味着该公司一直将其全部利润再投资到业务中。这很可能就是上面讨论的高盈利增长数字背后的推动力。
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。
In total, we are pretty happy with Huitongda Network's performance. Specifically, we like that it has been reinvesting a high portion of its profits at a moderate rate of return, resulting in earnings expansion. Having said that, the company's earnings growth is expected to slow down, as forecasted in the current analyst estimates. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company.
总的来说,我们对汇通达网络的表现感到非常满意。具体而言,我们喜欢它以适度的回报率再投资高比例的利润的方式,从而实现业绩提升。尽管如此,按照目前分析师预测,该公司的盈利增长预计将放缓。这些分析师的预期是基于行业的广泛预期,还是基于公司的基本面?单击此处进入我们的分析师预测页面,以了解更多信息。
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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
对本文有任何反馈?对内容有任何疑虑?请直接与我们联系。或者,发送电子邮件至editorial-team@simplywallst.com。