A Note On Greif, Inc.'s (NYSE:GEF) ROE and Debt To Equity
A Note On Greif, Inc.'s (NYSE:GEF) ROE and Debt To Equity
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. By way of learning-by-doing, we'll look at ROE to gain a better understanding of Greif, Inc. (NYSE:GEF).
虽然一些投资者已经熟悉财务指标(顶礼膜拜),但本文将介绍回报率(roe)及其重要性,以供有兴趣了解的投资者参考。通过实践学习的方式,我们将通过研究roe来更好地了解格瑞夫(纽交所:gef)。
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 To Calculate Return On Equity?
如何计算股东权益报酬率?
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 Greif is:
因此,根据以上公式,格瑞夫的roe为:
14% = US$296m ÷ US$2.2b (Based on the trailing twelve months to April 2024).
14% = 2.96亿美元 ÷ 22亿美元(根据截至2024年4月的过去十二个月计算)。
The 'return' is the amount earned after tax over the last twelve months. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.14.
‘回报’是过去十二个月税后盈利的金额。这意味着,对于每个股东投资的1美元,公司会生成0.14美元的利润。
Does Greif Have A Good Return On Equity?
格瑞夫的股东权益回报率好吗?
Arguably the easiest way to assess company's ROE is to compare it with the average in its industry. Importantly, this is far from a perfect measure, because companies differ significantly within the same industry classification. You can see in the graphic below that Greif has an ROE that is fairly close to the average for the Packaging industry (15%).
评估一家公司的股东权益回报率的最简单方法是将其与同行业平均水平进行比较。重要的是要注意,这并不是一个完美的衡量标准,因为同一行业分类中的公司存在明显差异。从下图可以看出,格瑞夫的股东权益回报率与包装行业的平均水平(15%)相当接近。
![1724505687790](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240824/42826686-0-85b1e216d6bc4dc749f5b5d765fd1bf5.webp/bigjpg)
That's neither particularly good, nor bad. Although the ROE is similar to the industry, we should still perform further checks to see if the company's ROE is being boosted by high debt levels. If so, this increases its exposure to financial risk. You can see the 2 risks we have identified for Greif by visiting our risks dashboard for free on our platform here.
这既不算特别好,也不算特别差。尽管股东权益回报率与行业相似,但我们仍应进一步进行核查,以确定该公司的股东权益回报率是否受到高负债水平的推动。如果是这样,这将增加其面临的金融风险。您可以通过免费访问我们的平台上的风险仪表盘来了解我们针对格瑞夫确定的2项风险。
How Does Debt Impact ROE?
债务对ROE的影响是怎样的?
Most companies need money -- from somewhere -- to grow their profits. The cash for investment can come from prior year profits (retained earnings), issuing new shares, or borrowing. In the first and second cases, the ROE will reflect this use of cash for investment in the business. In the latter case, the debt used for growth will improve returns, but won't affect the total equity. Thus the use of debt can improve ROE, albeit along with extra risk in the case of stormy weather, metaphorically speaking.
大多数公司需要资金,无论从哪里获得,才能增加利润。投资现金可以来自早年利润(保留盈余),发行新股或借款。在前两种情况下,roe将反映这种用于业务投资的现金使用情况。在后一种情况下,用于增长的债务将提高回报率,但不会影响总股本。因此,债务的使用可以提高roe,尽管在暴风雨的情况下,比喻性地说,伴随着额外的风险。
Greif's Debt And Its 14% ROE
格瑞夫的债务及其14%的roe
Greif does use a high amount of debt to increase returns. It has a debt to equity ratio of 1.34. While its ROE is respectable, it is worth keeping in mind that there is usually a limit as to how much debt a company can use. Debt does bring extra risk, so it's only really worthwhile when a company generates some decent returns from it.
格瑞夫确实使用了大量债务来提高回报。其债务资本比率为1.34。虽然其roe是可观的,但值得注意的是,公司使用债务的额度通常是有限的。债务会带来额外的风险,因此只有当公司能够从中获得可观的回报时,才真正值得进行。
Conclusion
结论
Return on equity is one way we can compare its business quality of different companies. A company that can achieve a high return on equity without debt could be considered a high quality business. All else being equal, a higher ROE is better.
ROE是我们可以比较不同公司业务质量的一种方式,能够在不使用债务的情况下实现高ROE的公司可以被认为是高质量的企业,其他情况相等的情况下,较高的ROE更佳。
Having said that, while ROE is a useful indicator of business quality, you'll have to look at a whole range of factors to determine the right price to buy a stock. The rate at which profits are likely to grow, relative to the expectations of profit growth reflected in the current price, must be considered, too. So you might want to take a peek at this data-rich interactive graph of forecasts for the company.
尽管 ROE 是业务质量的一个有用指标,但您仍需要查看各种因素,以确定购买股票的正确价格。相对于当前价格反映的利润增长预期,利润增长率可能是一个要考虑的因素。因此,您可能需要查看这个数据丰富的互动图表,了解该公司的预测。
But note: Greif may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
但请注意:格瑞夫可能不是最好的股票买入选择。因此,请参考这份免费的ROE高、债务低的有趣公司清单。
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