Qtone Education Group (Guangdong)Ltd (SZSE:300359) has had a great run on the share market with its stock up by a significant 17% over the last week. However, we wonder if the company's inconsistent financials would have any adverse impact on the current share price momentum. Particularly, we will be paying attention to Qtone Education Group (Guangdong)Ltd's ROE today.
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 other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.
See our latest analysis for Qtone Education Group (Guangdong)Ltd
How Do You Calculate Return On Equity?
The formula for return on equity is:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
So, based on the above formula, the ROE for Qtone Education Group (Guangdong)Ltd is:
3.0% = CN¥23m ÷ CN¥767m (Based on the trailing twelve months to June 2022).
The 'return' is the profit over the last twelve months. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.03.
What Has ROE Got To Do With Earnings Growth?
So far, we've learned that ROE is a measure of a company's profitability. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features.
Qtone Education Group (Guangdong)Ltd's Earnings Growth And 3.0% ROE
It is quite clear that Qtone Education Group (Guangdong)Ltd's ROE is rather low. Not just that, even compared to the industry average of 6.6%, the company's ROE is entirely unremarkable. Hence, the flat earnings seen by Qtone Education Group (Guangdong)Ltd over the past five years could probably be the result of it having a lower ROE.
As a next step, we compared Qtone Education Group (Guangdong)Ltd's net income growth with the industry and were disappointed to see that the company's growth is lower than the industry average growth of 11% in the same period.
![past-earnings-growth](https://usnewsfile.futunn.com/pic/0-15708788-0-72483646b1549716892d18f504a79387.png/big)
SZSE:300359 Past Earnings Growth October 18th 2022
The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. Is Qtone Education Group (Guangdong)Ltd fairly valued compared to other companies? These 3 valuation measures might help you decide.
Is Qtone Education Group (Guangdong)Ltd Efficiently Re-investing Its Profits?
Qtone Education Group (Guangdong)Ltd doesn't pay any dividend, meaning that potentially all of its profits are being reinvested in the business. However, this doesn't explain why the company hasn't seen any growth. So there could be some other explanations in that regard. For instance, the company's business may be deteriorating.
Summary
Overall, we have mixed feelings about Qtone Education Group (Guangdong)Ltd. While the company does have a high rate of profit retention, its low rate of return is probably hampering its earnings growth. So far, we've only made a quick discussion around the company's earnings growth. You can do your own research on Qtone Education Group (Guangdong)Ltd and see how it has performed in the past by looking at this FREE detailed graph of past earnings, revenue and cash flows.
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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.
酷派教育集團(廣東)有限公司(深圳證券交易所股票代碼:300359)在過去一週的股票市場上表現出色,其股票上漲了17%。然而,我們想知道該公司不一致的財務數據是否會對當前的股價勢頭產生不利影響。今天,我們將特別關注Qone教育集團(廣東)有限公司的淨資產收益率。
淨資產收益率,即股本回報率,是評估一家公司從股東那裏獲得投資回報的有效程度的有用工具。換句話説,這是一個衡量公司股東提供的資本回報率的盈利比率。
查看我們對QTone教育集團(廣東)有限公司的最新分析
你如何計算股本回報率?
這個股本回報率公式是:
股本回報率=(持續經營的)淨利潤?股東權益
因此,根據上述公式,QTone教育集團(廣東)有限公司的淨資產收益率為:
3.0%=CN元2300萬×CN元7.67億元(以截至2022年6月的12個月為基礎)。
“收益”是過去12個月的利潤。因此,這意味着股東每投資1元人民幣,公司就會產生0.03元的利潤。
淨資產收益率與盈利增長有什麼關係?
到目前為止,我們瞭解到淨資產收益率是衡量一家公司盈利能力的指標。根據公司選擇再投資或“保留”多少利潤,我們就能夠評估一家公司未來產生利潤的能力。假設其他條件相同,與沒有相同特徵的公司相比,擁有更高股本回報率和更高利潤保留率的公司通常會有更高的增長率。
快通教育集團(廣東)有限公司盈利增長3.0%淨資產收益率
很明顯,QTone教育集團(廣東)有限公司的淨資產收益率相當低。不僅如此,即使與6.6%的行業平均水平相比,該公司的淨資產收益率也完全不起眼。因此,Qone教育集團(廣東)有限公司在過去五年的收益持平可能是其淨資產收益率較低的結果。
下一步,我們將Qone教育集團(廣東)有限公司的淨收入增長與行業進行了比較,發現該公司的增長低於同期11%的行業平均增長,這讓我們感到失望。
![past-earnings-growth](https://usnewsfile.futunn.com/pic/0-15708788-0-72483646b1549716892d18f504a79387.png/big)
深圳證交所:過去300359的收益增長2022年10月18日
賦予一家公司價值的基礎在很大程度上與其盈利增長掛鈎。投資者下一步需要確定的是,預期的收益增長是否已經計入了股價。通過這樣做,他們將知道股票是將進入清澈的藍色水域,還是等待沼澤水域。與其他公司相比,QTone教育集團(廣東)有限公司的價值是否公平?這3個估值指標可能會幫助你做出決定。
Qone教育集團(廣東)有限公司是否有效地將其利潤進行了再投資?
快通教育集團(廣東)有限公司不支付任何股息,這意味着其所有利潤可能都將再投資於該業務。然而,這並不能解釋為什麼該公司沒有看到任何增長。因此,在這方面可能會有其他一些解釋。例如,該公司的業務可能正在惡化。
摘要
總體而言,我們對酷派教育集團(廣東)有限公司的看法複雜。儘管該公司的利潤保留率確實很高,但其低迴報率可能正在阻礙其收益增長。到目前為止,我們只是圍繞該公司的收益增長進行了簡短的討論。你可以在QTone教育集團(廣東)有限公司上做你自己的研究,看看它過去的表現如何,看看這個免費的詳細圖表過去的收益、收入和現金流。
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本文由Simply Wall St.撰寫,具有概括性。我們僅使用不偏不倚的方法提供基於歷史數據和分析師預測的評論,我們的文章並不打算作為財務建議。它不構成買賣任何股票的建議,也沒有考慮你的目標或你的財務狀況。我們的目標是為您帶來由基本面數據驅動的長期重點分析。請注意,我們的分析可能不會將最新的對價格敏感的公司公告或定性材料考慮在內。Simply Wall St.對上述任何一隻股票都沒有持倉。