Cincinnati Financial Corporation's (NASDAQ:CINF) Share Price Could Signal Some Risk
Cincinnati Financial Corporation's (NASDAQ:CINF) Share Price Could Signal Some Risk
Cincinnati Financial Corporation's (NASDAQ:CINF) price-to-sales (or "P/S") ratio of 1.7x may not look like an appealing investment opportunity when you consider close to half the companies in the Insurance industry in the United States have P/S ratios below 1x. However, the P/S might be high for a reason and it requires further investigation to determine if it's justified.
考慮到美國保險業將近一半的公司的市盈率低於1倍,辛辛那提金融公司(納斯達克股票代碼:CINF)的1.7倍市售率(或 “市盈率”)可能看起來不是一個有吸引力的投資機會。但是,市盈率之高可能是有原因的,需要進一步調查以確定其是否合理。
See our latest analysis for Cincinnati Financial
查看我們對辛辛那提金融的最新分析
![](https://newsfile.futunn.com/public/NN-PersistNewsContentImage/7781/20231228/0-234231c0fc65040dae4154381677dad1-0-c44c928e0b2ec8b129e20007987e381e.png/big)
NasdaqGS:CINF Price to Sales Ratio vs Industry December 28th 2023
NASDAQGS: CINF 與行業的市銷比率 2023 年 12 月 28 日
How Cincinnati Financial Has Been Performing
辛辛那提金融的表現如何
Recent times have been advantageous for Cincinnati Financial as its revenues have been rising faster than most other companies. It seems the market expects this form will continue into the future, hence the elevated P/S ratio. If not, then existing shareholders might be a little nervous about the viability of the share price.
最近對辛辛那提金融來說是有利的,因爲其收入的增長速度快於大多數其他公司。看來市場預計這種形式將持續到未來,因此市盈率會升高。如果不是,那麼現有股東可能會對股價的可行性有些緊張。
If you'd like to see what analysts are forecasting going forward, you should check out our free report on Cincinnati Financial.
如果你想了解分析師對未來的預測,你應該查看我們關於辛辛那提金融的免費報告。
What Are Revenue Growth Metrics Telling Us About The High P/S?
收入增長指標告訴我們高市盈率有哪些?
Cincinnati Financial's P/S ratio would be typical for a company that's expected to deliver solid growth, and importantly, perform better than the industry.
辛辛那提金融的市盈率對於一家有望實現穩健增長且重要的是表現優於該行業的公司來說是典型的市盈率。
Taking a look back first, we see that the company grew revenue by an impressive 44% last year. The strong recent performance means it was also able to grow revenue by 40% in total over the last three years. Accordingly, shareholders would have definitely welcomed those medium-term rates of revenue growth.
首先回顧一下,我們發現該公司去年的收入增長了令人印象深刻的44%。最近的強勁表現意味着它在過去三年中總收入增長了40%。因此,股東們肯定會對這些中期收入增長率表示歡迎。
Turning to the outlook, the next year should bring diminished returns, with revenue decreasing 3.1% as estimated by the eight analysts watching the company. Meanwhile, the broader industry is forecast to expand by 6.3%, which paints a poor picture.
談到前景,明年的回報應該會減少,根據關注該公司的八位分析師的估計,收入將下降3.1%。同時,整個行業預計將增長6.3%,這描繪了一幅糟糕的景象。
In light of this, it's alarming that Cincinnati Financial's P/S sits above the majority of other companies. It seems most investors are hoping for a turnaround in the company's business prospects, but the analyst cohort is not so confident this will happen. Only the boldest would assume these prices are sustainable as these declining revenues are likely to weigh heavily on the share price eventually.
有鑑於此,令人震驚的是,辛辛那提金融的市盈率高於其他大多數公司。看來大多數投資者都希望公司的業務前景出現轉機,但分析師對這種情況會發生的信心不大。只有最大膽的人才會假設這些價格是可持續的,因爲這些收入的下降最終可能會嚴重壓制股價。
What Does Cincinnati Financial's P/S Mean For Investors?
辛辛那提金融的市盈率對投資者意味着什麼?
While the price-to-sales ratio shouldn't be the defining factor in whether you buy a stock or not, it's quite a capable barometer of revenue expectations.
儘管市銷比不應該成爲決定你是否買入股票的決定性因素,但它是衡量收入預期的有力晴雨表。
We've established that Cincinnati Financial currently trades on a much higher than expected P/S for a company whose revenues are forecast to decline. Right now we aren't comfortable with the high P/S as the predicted future revenue decline likely to impact the positive sentiment that's propping up the P/S. At these price levels, investors should remain cautious, particularly if things don't improve.
我們已經確定,對於一家預計收入將下降的公司,辛辛那提金融目前的交易市盈率遠高於預期。目前,我們對高市盈率不滿意,因爲預期的未來收入下降可能會影響支撐市盈率的積極情緒。在這些價格水平上,投資者應保持謹慎,尤其是在情況沒有改善的情況下。
We don't want to rain on the parade too much, but we did also find 1 warning sign for Cincinnati Financial that you need to be mindful of.
我們不想在遊行隊伍中下太多雨,但我們也爲辛辛那提金融找到了一個你需要注意的警告信號。
Of course, profitable companies with a history of great earnings growth are generally safer bets. So you may wish to see this free collection of other companies that have reasonable P/E ratios and have grown earnings strongly.
當然,具有良好收益增長曆史的盈利公司通常是更安全的選擇。因此,您可能希望看到這些免費收集的市盈率合理且收益增長強勁的其他公司。
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對這篇文章有反饋嗎?對內容感到擔憂嗎?請直接聯繫我們。或者,也可以發送電子郵件至編輯團隊 (at) simplywallst.com。
Simply Wall St 的這篇文章本質上是籠統的。我們僅使用公正的方法提供基於歷史數據和分析師預測的評論,我們的文章並非旨在提供財務建議。它不構成買入或賣出任何股票的建議,也沒有考慮到您的目標或財務狀況。我們的目標是爲您提供由基本數據驅動的長期重點分析。請注意,我們的分析可能不會考慮最新的價格敏感型公司公告或定性材料。華爾街只是沒有持有上述任何股票的頭寸。