Are Changchun Engley Automobile Industry Co.,Ltd.'s (SHSE:601279) Mixed Financials Driving The Negative Sentiment?
Are Changchun Engley Automobile Industry Co.,Ltd.'s (SHSE:601279) Mixed Financials Driving The Negative Sentiment?
Changchun Engley Automobile IndustryLtd (SHSE:601279) has had a rough three months with its share price down 28%. It is possible that the markets have ignored the company's differing financials and decided to lean-in to the negative sentiment. Fundamentals usually dictate market outcomes so it makes sense to study the company's financials. In this article, we decided to focus on Changchun Engley Automobile IndustryLtd's ROE.
長春英利汽車工業有限公司(上海證券交易所代碼:601279)經歷了艱難的三個月,其股價下跌了28%。市場可能忽視了該公司不同的財務狀況,決定傾向於負面情緒。基本面通常決定市場業績,因此研究公司的財務狀況是有意義的。在這篇文章中,我們決定重點關注長春英利汽車工業有限公司的投資回報率。
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. Put another way, it reveals the company's success at turning shareholder investments into profits.
投資回報率或股本回報率是評估公司如何有效地從股東那裏獲得投資回報的有用工具。換句話說,它揭示了公司成功地將股東投資轉化爲利潤。
How Do You Calculate Return On Equity?
你如何計算股本回報率?
The formula for return on equity is:
股本回報率的公式是:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回報率 = 淨利潤(來自持續經營業務)÷ 股東權益
So, based on the above formula, the ROE for Changchun Engley Automobile IndustryLtd is:
因此,根據上述公式,長春英利汽車工業有限公司的投資回報率爲:
3.3% = CN¥141m ÷ CN¥4.2b (Based on the trailing twelve months to September 2023).
3.3% = 1.41億元人民幣 ÷ 42億元人民幣(基於截至2023年9月的過去十二個月)。
The 'return' is the amount earned after tax over the last twelve months. That means that for every CN¥1 worth of shareholders' equity, the company generated CN¥0.03 in profit.
“回報” 是過去十二個月的稅後收入。這意味着,每持有價值1元人民幣的股權,公司就會產生0.03元人民幣的利潤。
What Is The Relationship Between ROE And Earnings Growth?
投資回報率與收益增長之間有什麼關係?
We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. 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.
我們已經確定,投資回報率是衡量公司未來收益的有效盈利指標。現在,我們需要評估公司再投資或 “保留” 了多少利潤以用於未來的增長,從而使我們對公司的增長潛力有所了解。一般而言,在其他條件相同的情況下,股本回報率和利潤留存率高的公司的增長率要高於不具有這些屬性的公司。
Changchun Engley Automobile IndustryLtd's Earnings Growth And 3.3% ROE
長春英利汽車工業有限公司的收益增長和3.3%的投資回報率
It is hard to argue that Changchun Engley Automobile IndustryLtd's ROE is much good in and of itself. Not just that, even compared to the industry average of 7.3%, the company's ROE is entirely unremarkable. Therefore, it might not be wrong to say that the five year net income decline of 18% seen by Changchun Engley Automobile IndustryLtd was possibly a result of it having a lower ROE. We reckon that there could also be other factors at play here. Such as - low earnings retention or poor allocation of capital.
很難說長春英利汽車工業有限公司的投資回報率本身就非常好。不僅如此,即使與7.3%的行業平均水平相比,該公司的投資回報率也完全不引人注目。因此,說長春英利汽車工業有限公司五年淨收入下降18%可能是其投資回報率降低的結果,這可能沒有錯。我們認爲,這裏可能還有其他因素在起作用。例如-收益保留率低或資本配置不佳。
That being said, we compared Changchun Engley Automobile IndustryLtd's performance with the industry and were concerned when we found that while the company has shrunk its earnings, the industry has grown its earnings at a rate of 3.8% in the same 5-year period.
話雖如此,我們將長春英利汽車工業有限公司的表現與該行業的表現進行了比較,當我們發現儘管該公司縮減了收益,但該行業在同期5年內以3.8%的速度增長了收益時,我們對此感到擔憂。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240306/0-c19e83b17a11a83d7a10181e0a768892-0-bc521885f72a38cf1c9640765bd5bcc3.png/big)
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. If you're wondering about Changchun Engley Automobile IndustryLtd's's valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry.
收益增長是對股票進行估值時要考慮的重要指標。對於投資者來說,重要的是要知道市場是否對公司的預期收益增長(或下降)進行了定價。通過這樣做,他們將知道股票是走向清澈的藍色海水,還是沼澤的水域在等着你。如果你想知道長春英利汽車工業有限公司的估值,可以看看這個衡量其與行業相比的市盈率指標。
Is Changchun Engley Automobile IndustryLtd Using Its Retained Earnings Effectively?
長春英利汽車工業有限公司是否在有效使用其留存收益?
While the company did payout a portion of its dividend in the past, it currently doesn't pay a dividend. This implies that potentially all of its profits are being reinvested in the business.
儘管該公司過去確實支付了部分股息,但目前不支付股息。這意味着其所有利潤都可能被再投資於該業務。
Conclusion
結論
In total, we're a bit ambivalent about Changchun Engley Automobile IndustryLtd's performance. Even though it appears to be retaining most of its profits, given the low ROE, investors may not be benefitting from all that reinvestment after all. The low earnings growth suggests our theory correct. Wrapping up, we would proceed with caution with this company and one way of doing that would be to look at the risk profile of the business. Our risks dashboard would have the 3 risks we have identified for Changchun Engley Automobile IndustryLtd.
總的來說,我們對長春英利汽車工業有限公司的表現有點矛盾。儘管它似乎保留了大部分利潤,但鑑於投資回報率低,投資者畢竟可能無法從所有這些再投資中受益。低收入增長表明我們的理論是正確的。總而言之,我們將謹慎對待這家公司,做到這一點的一種方法是查看業務的風險狀況。我們的風險儀表板將包含我們爲長春英利汽車工業有限公司確定的三種風險。
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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根據歷史數據和分析師的預測提供評論,我們的文章無意作爲財務建議。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,我們的分析可能不考慮最新的價格敏感型公司公告或定性材料。簡而言之,華爾街沒有持有任何上述股票的頭寸。