Academy of Environmental Planning and DesignLtd. Nanjing University (SZSE:300864) has had a great run on the share market with its stock up by a significant 26% over the last month. Given that the market rewards strong financials in the long-term, we wonder if that is the case in this instance. In this article, we decided to focus on Academy of Environmental Planning and DesignLtd. Nanjing University's ROE.
Return on equity or ROE is an important factor to be considered by a shareholder because it tells them how effectively their capital is being reinvested. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.
View our latest analysis for Academy of Environmental Planning and DesignLtd. Nanjing University
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 Academy of Environmental Planning and DesignLtd. Nanjing University is:
11% = CN¥125m ÷ CN¥1.2b (Based on the trailing twelve months to September 2022).
The 'return' is the amount earned after tax over the last twelve months. One way to conceptualize this is that for each CN¥1 of shareholders' capital it has, the company made CN¥0.11 in profit.
Why Is ROE Important For Earnings Growth?
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. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don't share these attributes.
A Side By Side comparison of Academy of Environmental Planning and DesignLtd. Nanjing University's Earnings Growth And 11% ROE
When you first look at it, Academy of Environmental Planning and DesignLtd. Nanjing University's ROE doesn't look that attractive. However, the fact that the its ROE is quite higher to the industry average of 7.5% doesn't go unnoticed by us. This certainly adds some context to Academy of Environmental Planning and DesignLtd. Nanjing University's moderate 11% net income growth seen 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. Hence there might be some other aspects that are causing earnings to grow. For example, it is possible that the broader industry is going through a high growth phase, or that the company has a low payout ratio.
We then performed a comparison between Academy of Environmental Planning and DesignLtd. Nanjing University's net income growth with the industry, which revealed that the company's growth is similar to the average industry growth of 10% in the same period.
SZSE:300864 Past Earnings Growth November 1st 2022
Earnings growth is an important metric to consider when valuing a stock. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. One good indicator of expected earnings growth is the P/E ratio which determines the price the market is willing to pay for a stock based on its earnings prospects. So, you may want to check if Academy of Environmental Planning and DesignLtd. Nanjing University is trading on a high P/E or a low P/E, relative to its industry.
Is Academy of Environmental Planning and DesignLtd. Nanjing University Using Its Retained Earnings Effectively?
With a three-year median payout ratio of 33% (implying that the company retains 67% of its profits), it seems that Academy of Environmental Planning and DesignLtd. Nanjing University is reinvesting efficiently in a way that it sees respectable amount growth in its earnings and pays a dividend that's well covered.
While Academy of Environmental Planning and DesignLtd. Nanjing University has been growing its earnings, it only recently started to pay dividends which likely means that the company decided to impress new and existing shareholders with a dividend.
Summary
In total, we are pretty happy with Academy of Environmental Planning and DesignLtd. Nanjing University's performance. Particularly, we like that the company is reinvesting heavily into its business at a moderate rate of return. Unsurprisingly, this has led to an impressive earnings growth. If the company continues to grow its earnings the way it has, that could have a positive impact on its share price given how earnings per share influence long-term share prices. Remember, the price of a stock is also dependent on the perceived risk. Therefore investors must keep themselves informed about the risks involved before investing in any company. To know the 1 risk we have identified for Academy of Environmental Planning and DesignLtd. Nanjing University visit our risks dashboard for free.
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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.
環境規劃設計研究院有限公司。南京大學(SZSE:300864)的股票在過去一個月裏大幅上漲了26%。考慮到市場從長期來看會獎勵強勁的金融類股,我們想知道,在這種情況下,情況是否如此。在本文中,我們決定將重點放在環境規劃設計研究院有限公司。南京大學的淨資產收益率。
股本回報率或淨資產收益率是股東要考慮的一個重要因素,因為它告訴他們他們的資本再投資的效率。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。
查看我們對環境規劃設計研究院有限公司的最新分析。南京大學
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,基於上述公式,環境規劃設計院有限公司的淨資產收益率。南京大學是:
11%=CN元1.25億×CN元12億元(基於截至2022年9月的12個月)。
“報税表”是過去12個月的税後收入。將其概念化的一種方法是,公司每持有1元人民幣的股東資本,就會獲得0.11元的利潤。
為什麼淨資產收益率對收益增長很重要?
我們已經證實,淨資產收益率是一家公司未來收益的有效盈利指標。根據公司將這些利潤再投資或“保留”多少,以及這樣做的效率如何,我們就能夠評估一家公司的收益增長潛力。一般來説,在其他條件相同的情況下,股本回報率和利潤留存較高的公司比不具備這些特徵的公司有更高的增長率。
環境規劃設計院股份有限公司的並列比較。南京大學盈利增長和11%的淨資產收益率
當你第一次看到它的時候,環境規劃設計研究院有限公司。南京大學的淨資產收益率看起來並不那麼吸引人。然而,ITS的淨資產收益率(ROE)相當高,高於7.5%的行業平均水平,這一事實並不是沒有引起我們的注意。這無疑為環境規劃設計研究院有限公司增加了一些背景。南京大學過去五年的淨收入温和增長了11%。請記住,該公司的淨資產收益率(ROE)確實較低。只是行業的淨資產收益率較低。因此,可能還有其他一些方面正在導致收益增長。例如,更廣泛的行業可能正在經歷高增長階段,或者公司的派息率較低。
然後,我們對環境規劃研究院和設計有限公司進行了比較。南京大學的淨收入增長與行業同步,這表明公司的增長與同期行業平均10%的增長相似。
深圳證交所:過去300864的收益增長2022年11月1日
盈利增長是評估一隻股票時需要考慮的一個重要指標。對於投資者來説,重要的是知道市場是否已經消化了公司預期的收益增長(或下降)。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。衡量預期收益增長的一個很好的指標是市盈率,它根據一隻股票的盈利前景決定市場願意為其支付的價格。所以,你可能想查一下環境規劃設計研究院有限公司。相對於所在行業,南京大學目前的市盈率或高市盈率或低市盈率。
是環境規劃設計研究院有限公司。南京大學有效利用留存收益?
三年的中位數支付率為33%(這意味着該公司保留了67%的利潤),似乎環境規劃設計研究院有限公司。南京大學正在以一種高效的方式進行再投資,它認為自己的收益有可觀的增長,並支付了豐厚的股息。
環境規劃設計研究院有限公司。南京大學的收益一直在增長,它最近才開始分紅,這可能意味着該公司決定用分紅給新股東和現有股東留下深刻印象。
摘要
總體而言,我們對環境規劃設計研究院有限公司相當滿意。南京大學的演出。特別是,我們喜歡該公司以適度的回報率對其業務進行大量再投資。不出所料,這導致了令人印象深刻的收益增長。如果該公司繼續以目前的方式增長收益,考慮到每股收益對長期股價的影響,這可能會對其股價產生積極影響。記住,股票的價格也取決於感知到的風險。因此,投資者在投資任何公司之前,必須隨時瞭解所涉及的風險。瞭解我們為環境規劃設計研究院有限公司確定的1個風險。南京大學免費訪問我們的風險儀錶板。
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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。