Baoshan Iron & Steel (SHSE:600019) Will Want To Turn Around Its Return Trends
Baoshan Iron & Steel (SHSE:600019) Will Want To Turn Around Its Return Trends
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for? One common approach is to try and find a company with returns on capital employed (ROCE) that are increasing, in conjunction with a growing amount of capital employed. Basically this means that a company has profitable initiatives that it can continue to reinvest in, which is a trait of a compounding machine. However, after investigating Baoshan Iron & Steel (SHSE:600019), we don't think it's current trends fit the mold of a multi-bagger.
如果我們想找到一隻可以長期成倍增長的股票,我們應該尋找哪些潛在趨勢?一種常見的方法是嘗試找一家公司 回報 論資本使用率(ROCE)在增加的同時增長 金額 所用資本的比例。基本上,這意味着公司擁有可以繼續進行再投資的盈利計劃,這是複合機器的特徵。但是,在調查了寶山鋼鐵(SHSE: 600019)之後,我們認爲目前的趨勢不符合多裝袋機的模式。
What Is Return On Capital Employed (ROCE)?
什麼是資本使用回報率(ROCE)?
For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. To calculate this metric for Baoshan Iron & Steel, this is the formula:
對於那些不知道的人來說,ROCE是衡量公司年度稅前利潤(其回報率)的指標,相對於該業務使用的資本。要計算寶山鋼鐵的這個指標,公式如下:
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
已動用資本回報率 = 息稅前收益 (EBIT) ¥(總資產-流動負債)
0.061 = CN¥16b ÷ (CN¥378b - CN¥116b) (Based on the trailing twelve months to December 2023).
0.061 = 160億元人民幣 ÷(378億元人民幣-116億元人民幣) (基於截至2023年12月的過去十二個月)。
Thus, Baoshan Iron & Steel has an ROCE of 6.1%. Even though it's in line with the industry average of 6.5%, it's still a low return by itself.
因此,寶山鋼鐵的投資回報率爲6.1%。儘管它與6.5%的行業平均水平一致,但其本身的回報率仍然很低。
In the above chart we have measured Baoshan Iron & Steel's prior ROCE against its prior performance, but the future is arguably more important. If you're interested, you can view the analysts predictions in our free analyst report for Baoshan Iron & Steel .
在上圖中,我們將寶山鋼鐵先前的投資回報率與之前的表現進行了對比,但可以說,未來更爲重要。如果您有興趣,可以在我們的免費寶山鋼鐵分析師報告中查看分析師的預測。
What The Trend Of ROCE Can Tell Us
ROCE 的趨勢能告訴我們什麼
In terms of Baoshan Iron & Steel's historical ROCE movements, the trend isn't fantastic. Around five years ago the returns on capital were 15%, but since then they've fallen to 6.1%. Meanwhile, the business is utilizing more capital but this hasn't moved the needle much in terms of sales in the past 12 months, so this could reflect longer term investments. It may take some time before the company starts to see any change in earnings from these investments.
就寶山鋼鐵的歷史ROCE走勢而言,這種趨勢並不理想。大約五年前,資本回報率爲15%,但此後已降至6.1%。同時,該業務正在使用更多的資本,但在過去的12個月中,這並沒有對銷售產生太大影響,因此這可能反映出長期投資。公司可能需要一段時間才能開始看到這些投資的收益發生任何變化。
On a side note, Baoshan Iron & Steel has done well to pay down its current liabilities to 31% of total assets. That could partly explain why the ROCE has dropped. What's more, this can reduce some aspects of risk to the business because now the company's suppliers or short-term creditors are funding less of its operations. Since the business is basically funding more of its operations with it's own money, you could argue this has made the business less efficient at generating ROCE.
順便說一句,寶山鋼鐵在償還其流動負債佔總資產的31%方面做得很好。這可以部分解釋投資回報率下降的原因。更重要的是,這可以降低業務風險的某些方面,因爲現在公司的供應商或短期債權人爲其運營提供的資金減少了。由於該企業基本上是用自己的資金爲其運營提供更多資金,因此您可能會爭辯說,這降低了企業產生投資回報率的效率。
Our Take On Baoshan Iron & Steel's ROCE
我們對寶山鋼鐵投資回報率的看法
To conclude, we've found that Baoshan Iron & Steel is reinvesting in the business, but returns have been falling. And with the stock having returned a mere 25% in the last five years to shareholders, you could argue that they're aware of these lackluster trends. So if you're looking for a multi-bagger, the underlying trends indicate you may have better chances elsewhere.
總而言之,我們發現寶山鋼鐵正在對該業務進行再投資,但回報率一直在下降。而且,由於該股在過去五年中僅向股東回報了25%,因此你可以說他們意識到了這些乏善可陳的趨勢。因此,如果你正在尋找一款多袋裝車,潛在的趨勢表明你在其他地方的機會可能更大。
One more thing to note, we've identified 1 warning sign with Baoshan Iron & Steel and understanding it should be part of your investment process.
還有一件事需要注意,我們已經向寶山鋼鐵確定了一個警告信號,並知道這應該是您投資過程的一部分。
While Baoshan Iron & Steel may not currently earn the highest returns, we've compiled a list of companies that currently earn more than 25% return on equity. Check out this free list here.
儘管寶山鋼鐵目前可能無法獲得最高的回報,但我們編制了一份目前股本回報率超過25%的公司名單。在這裏查看這個免費清單。
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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。