Zhejiang Fenglong Electric Co., Ltd.'s (SZSE:002931) Stock Is Rallying But Financials Look Ambiguous: Will The Momentum Continue?
Zhejiang Fenglong Electric Co., Ltd.'s (SZSE:002931) Stock Is Rallying But Financials Look Ambiguous: Will The Momentum Continue?
Zhejiang Fenglong Electric's (SZSE:002931) stock is up by a considerable 18% over the past week. However, we decided to pay attention to the company's fundamentals which don't appear to give a clear sign about the company's financial health. Particularly, we will be paying attention to Zhejiang Fenglong Electric's ROE today.
浙江豐隆電氣(SZSE：002931)的股票在過去一週上漲了18%。然而，我們決定關注該公司的基本面，這些基本面似乎並未給出該公司財務健康狀況的明確跡象。今天我們特別關注浙江豐隆電氣的淨資產收益率。
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.
淨資產收益率，即股本回報率，是評估一家公司從股東那裡獲得投資回報的有效程度的有用工具。簡而言之，它衡量的是一家公司相對於股東權益的盈利能力。
Check out our latest analysis for Zhejiang Fenglong Electric
查看我們對浙江豐龍電氣的最新分析
How Is ROE Calculated?
淨資產收益率是如何計算的？
Return on equity can be calculated by using the formula:
股本回報率可使用以下公式計算：
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回報率=(持續經營的)淨利潤？股東權益
So, based on the above formula, the ROE for Zhejiang Fenglong Electric is:
因此，根據上述公式，浙江豐隆電氣的淨資產收益率為：
3.3% = CN¥24m ÷ CN¥727m (Based on the trailing twelve months to June 2023).
3.3%=2400萬元×7.27億元(基於截至2023年6月的12個月)。
The 'return' refers to a company's earnings over the last year. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.03.
“回報”指的是一家公司過去一年的收益。因此，這意味著股東每投資1元人民幣，公司就會產生0.03元的利潤。
What Is The Relationship Between ROE And Earnings Growth?
淨資產收益率與盈利增長之間有什麼關係？
So far, we've learned that ROE is a measure of a company's profitability. 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 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.
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。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。
Zhejiang Fenglong Electric's Earnings Growth And 3.3% ROE
浙江豐隆電氣盈利增長3.3%淨資產收益率
It is quite clear that Zhejiang Fenglong Electric's ROE is rather low. Even compared to the average industry ROE of 7.9%, the company's ROE is quite dismal. As a result, Zhejiang Fenglong Electric's flat earnings over the past five years doesn't come as a surprise given its lower ROE.
很明顯，浙江豐隆電氣的淨資產收益率相當低。即使與7.9%的行業平均淨資產收益率相比，該公司的淨資產收益率也相當慘淡。因此，浙江豐隆電氣過去五年的收益持平並不令人意外，因為它的淨資產收益率(ROE)較低。
As a next step, we compared Zhejiang Fenglong Electric'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.
作為下一步，我們將浙江豐隆電氣的淨收入增長與行業進行了比較，失望地看到該公司的增長低於同期11%的行業平均增長。
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). This then helps them determine if the stock is placed for a bright or bleak future. Is Zhejiang Fenglong Electric fairly valued compared to other companies? These 3 valuation measures might help you decide.
盈利增長是評估一隻股票時需要考慮的一個重要指標。對於投資者來說，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)。這有助於他們確定這只股票是為光明還是黯淡的未來做準備。與其他公司相比，浙江豐隆電氣的估值是否公平？這3個估值指標可能會幫助你做出決定。
Is Zhejiang Fenglong Electric Efficiently Re-investing Its Profits?
浙江豐隆電氣是否有效地將利潤進行了再投資？
While the company did pay out a portion of its dividend in the past, it currently doesn't pay a dividend. We infer that the company has been reinvesting all of its profits to grow its business.
雖然該公司過去確實支付了一部分股息，但目前不支付股息。我們推斷，該公司一直在將所有利潤進行再投資，以發展業務。
Conclusion
結論
Overall, we have mixed feelings about Zhejiang Fenglong Electric. While the company does have a high rate of reinvestment, the low ROE means that all that reinvestment is not reaping any benefit to its investors, and moreover, its having a negative impact on the earnings growth. So far, we've only made a quick discussion around the company's earnings growth. So it may be worth checking this free detailed graph of Zhejiang Fenglong Electric's past earnings, as well as revenue and cash flows to get a deeper insight into the company's performance.
總體而言，我們對浙江豐隆電氣有複雜的感受。雖然該公司的再投資率確實很高，但低ROE意味著所有的再投資都沒有給投資者帶來任何好處，而且對收益增長產生了負面影響。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。所以也許有必要檢查一下免費 詳細圖表通過對浙江豐隆電氣過去的收益以及收入和現金流的分析，可以更深入地瞭解公司的業績。
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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.