Is Now The Time To Put NewMarket (NYSE:NEU) On Your Watchlist?
Is Now The Time To Put NewMarket (NYSE:NEU) On Your Watchlist?
For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to investors, even if it currently lacks a track record of revenue and profit. But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' Loss-making companies are always racing against time to reach financial sustainability, so investors in these companies may be taking on more risk than they should.
对于新手来说,即使一家公司目前缺乏营收和利润记录,但向投资者讲好故事的公司似乎是个不错的想法(令人兴奋的前景)。但正如彼得·林奇在《华尔街最强音》中所说,“长射击几乎从来没有回报”。亏损的公司总是在争分夺秒地达到财务可持续性,因此投资这些公司的投资者可能承担的风险比他们应该承担的风险更大。
So if this idea of high risk and high reward doesn't suit, you might be more interested in profitable, growing companies, like NewMarket (NYSE:NEU). While this doesn't necessarily speak to whether it's undervalued, the profitability of the business is enough to warrant some appreciation - especially if its growing.
因此,如果高风险和高回报的理念不适合您,您可能更感兴趣的是像新市场(纽交所:NEU)这样的盈利增长公司。虽然这并不一定说明它被低估,但业务的盈利能力足以值得一些欣赏 - 尤其是如果它在增长。
How Fast Is NewMarket Growing?
NewMarket的增长速度有多快?
Generally, companies experiencing growth in earnings per share (EPS) should see similar trends in share price. That makes EPS growth an attractive quality for any company. Shareholders will be happy to know that NewMarket's EPS has grown 18% each year, compound, over three years. If the company can sustain that sort of growth, we'd expect shareholders to come away satisfied.
通常情况下,每股收益(EPS)增长的公司应该看到股价类似的趋势。这使得EPS增长成为任何公司的一个吸引力品质。股东们会很高兴地知道,新市场的EPS在过去三年中每年以18%的复合增长。如果公司能够维持这种增长势头,我们预计股东们会满意的。
Careful consideration of revenue growth and earnings before interest and taxation (EBIT) margins can help inform a view on the sustainability of the recent profit growth. While revenue is looking a bit flat, the good news is EBIT margins improved by 3.5 percentage points to 21%, in the last twelve months. That's a real positive.
仔细考虑营业收入增长和息税前利润(EBIT)利润率可以帮助判断最近利润增长的可持续性。虽然营业收入看起来有点平稳,但好消息是在过去十二个月中,EBIT利润率提高了3.5个百分点,达到了21%。那是真正的积极因素。
You can take a look at the company's revenue and earnings growth trend, in the chart below. Click on the chart to see the exact numbers.
以下图表展示了该公司营业收入和盈利增长的趋势。单击图表可以查看准确数字。
![1724774791867](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240828/42956817-0-d6b40f4d56521d8683767f24a8841a41.webp/bigjpg)
While profitability drives the upside, prudent investors always check the balance sheet, too.
尽管利润带来上行动能,但审慎投资者也应检查资产负债表。
Are NewMarket Insiders Aligned With All Shareholders?
NewMarket内部人士是否与所有股东保持一致?
We would not expect to see insiders owning a large percentage of a US$5.4b company like NewMarket. But we are reassured by the fact they have invested in the company. Notably, they have an enviable stake in the company, worth US$1.2b. This totals to 22% of shares in the company. Enough to lead management's decision making process down a path that brings the most benefit to shareholders. Looking very optimistic for investors.
我们不希望看到像是NewMarket这样市值为54亿美元的公司的内部人士拥有大量股份。 但是我们对他们已经投资于该公司感到放心。值得注意的是,他们在该公司有一个令人羡慕的持股比例,价值12亿美元。这总共占公司股份的22%。足以引导管理层的决策过程,使股东获得最大的利益。对投资者来说,非常乐观。
While it's always good to see some strong conviction in the company from insiders through heavy investment, it's also important for shareholders to ask if management compensation policies are reasonable. A brief analysis of the CEO compensation suggests they are. The median total compensation for CEOs of companies similar in size to NewMarket, with market caps between US$4.0b and US$12b, is around US$8.4m.
虽然看到内部人士通过大笔投资对公司有坚定的信心总是好事,但股东也很重要问询管理层的薪酬政策是否合理。对首席执行官薪酬的简要分析表明他们是合理的。与NewMarket公司规模相似,市值介于40亿美元和120亿美元之间的公司的首席执行官的中位数总薪酬约为840万美元。
NewMarket's CEO took home a total compensation package of US$3.2m in the year prior to December 2023. First impressions seem to indicate a compensation policy that is favourable to shareholders. CEO remuneration levels are not the most important metric for investors, but when the pay is modest, that does support enhanced alignment between the CEO and the ordinary shareholders. It can also be a sign of a culture of integrity, in a broader sense.
NewMarket首席执行官在2023年12月之前一年的总报酬为320万美元。首次印象似乎表明薪酬政策对股东非常有利。首席执行官的报酬水平并不是投资者最重要的指标,但当薪酬适中时,可以支持首席执行官与普通股东之间更好的一致性。这也可能是更广义上的诚信文化的体现。
Should You Add NewMarket To Your Watchlist?
您是否应该将newmarket添加到您的自选列表中?
You can't deny that NewMarket has grown its earnings per share at a very impressive rate. That's attractive. If you need more convincing beyond that EPS growth rate, don't forget about the reasonable remuneration and the high insider ownership. This may only be a fast rundown, but the key takeaway is that NewMarket is worth keeping an eye on. Before you take the next step you should know about the 2 warning signs for NewMarket that we have uncovered.
您无法否认newmarket以非常令人印象深刻的速度增加了每股收益。那很吸引人。如果您需要比EPS增长率更具说服力的理由,请不要忘记合理的报酬和高内部持股。这可能只是一个快速概述,但关键是,值得密切关注newmarket。在您迈出下一步之前,您应该了解我们发现的newmarket的2个警告信号。
There's always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a tailored list of companies which have demonstrated growth backed by significant insider holdings.
总是有可能买入未增长收益并且内部人员不买入股票的股票表现良好。但是对于那些认为这些重要指数的人,我们鼓励您查看具有这些功能的公司。您可以访问定制列表,其中列出了已经展示出增长并得到内幕人员认可的公司。
Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction.
请注意,本文讨论的内部交易是指在相关司法管辖区中报告的交易。
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