Declining Stock and Decent Financials: Is The Market Wrong About ShanDongDenghai Seeds Co.,Ltd (SZSE:002041)?
Declining Stock and Decent Financials: Is The Market Wrong About ShanDongDenghai Seeds Co.,Ltd (SZSE:002041)?
With its stock down 23% over the past three months, it is easy to disregard ShanDongDenghai SeedsLtd (SZSE:002041). But if you pay close attention, you might find that its key financial indicators look quite decent, which could mean that the stock could potentially rise in the long-term given how markets usually reward more resilient long-term fundamentals. Particularly, we will be paying attention to ShanDongDenghai SeedsLtd's ROE today.
山東登海種業有限公司(深圳證券交易所:002041)的股票在過去三個月中下跌了23%,這很容易被忽視。但是,如果你密切關注,你可能會發現其關鍵財務指標看起來相當不錯,考慮到市場通常會獎勵更具彈性的長期基本面,這可能意味着該股有可能在長期內上漲。特別是,我們今天將關注山東登海種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. In short, ROE shows the profit each dollar generates with respect to its shareholder investments.
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。簡而言之,投資回報率顯示了每美元從其股東投資中產生的利潤。
How To Calculate Return On Equity?
如何計算股本回報率?
The formula for ROE is:
ROE 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 ShanDongDenghai SeedsLtd is:
因此,根據上述公式,山東登海種業有限公司的投資回報率爲:
7.7% = CN¥283m ÷ CN¥3.7b (Based on the trailing twelve months to September 2023).
7.7% = 2.83億元人民幣 ÷ 37億元人民幣(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. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.08.
“回報” 是過去十二個月的稅後收入。因此,這意味着公司每投資1元人民幣,公司就會產生0.08元人民幣的利潤。
What Has ROE Got To Do With Earnings Growth?
投資回報率與收益增長有什麼關係?
So far, we've learned that ROE is a measure of a company's profitability. 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. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics.
到目前爲止,我們已經了解到,投資回報率是衡量公司盈利能力的指標。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。假設其他一切保持不變,那麼與不一定具有這些特徵的公司相比,投資回報率和利潤保留率越高,公司的增長率就越高。
ShanDongDenghai SeedsLtd's Earnings Growth And 7.7% ROE
山東登海種業有限公司的收益增長和7.7%的投資回報率
On the face of it, ShanDongDenghai SeedsLtd's ROE is not much to talk about. However, its ROE is similar to the industry average of 9.0%, so we won't completely dismiss the company. Particularly, the exceptional 38% net income growth seen by ShanDongDenghai SeedsLtd over the past five years is pretty remarkable. Given the slightly low ROE, it is likely that there could be some other aspects that are driving this growth. For example, it is possible that the company's management has made some good strategic decisions, or that the company has a low payout ratio.
從表面上看,山東登海種業有限公司的投資回報率沒什麼好說的。但是,其投資回報率與行業平均水平的9.0%相似,因此我們不會完全解散該公司。特別是,山東登海種業有限公司在過去五年中實現了38%的驚人淨收入增長,這非常引人注目。鑑於投資回報率略低,可能還有其他一些方面推動這種增長。例如,公司的管理層可能做出了一些良好的戰略決策,或者公司的派息率很低。
Next, on comparing with the industry net income growth, we found that ShanDongDenghai SeedsLtd's growth is quite high when compared to the industry average growth of 7.4% in the same period, which is great to see.
接下來,與行業淨收入增長相比,我們發現山東登海種業有限公司的增長與同期7.4%的行業平均增長率相比相當高,這真是太好了。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240416/0-601719a34770ff9e5a879f0f726cd478-0-9219e19dbeb78caeab00a7f57fa35d43.png/big)
The basis for attaching value to a company is, to a great extent, tied to its earnings growth. 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. Is ShanDongDenghai SeedsLtd fairly valued compared to other companies? These 3 valuation measures might help you decide.
爲公司附加價值的基礎在很大程度上與其收益增長息息相關。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水域在等着呢。與其他公司相比,山東登海種業有限公司的估值是否合理?這3種估值指標可能會幫助您做出決定。
Is ShanDongDenghai SeedsLtd Using Its Retained Earnings Effectively?
山東登海種業有限公司是否在有效使用其留存收益?
While the company did pay out a portion of its dividend in the past, it currently doesn't pay a regular dividend. This is likely what's driving the high earnings growth number discussed above.
儘管該公司過去確實支付了部分股息,但目前不支付定期股息。這可能是推動上述高收益增長數字的原因。
Conclusion
結論
On the whole, we do feel that ShanDongDenghai SeedsLtd has some positive attributes. Even in spite of the low rate of return, the company has posted impressive earnings growth as a result of reinvesting heavily into its business. Having said that, the company's earnings growth is expected to slow down, as forecasted in the current analyst estimates. To know more about the latest analysts predictions for the company, check out this visualization of analyst forecasts for the company.
總的來說,我們確實認爲山東登海種業有限公司具有一些積極的屬性。儘管回報率很低,但由於對業務進行了大量再投資,該公司的收益增長令人印象深刻。話雖如此,正如分析師目前的估計所預測的那樣,該公司的收益增長預計將放緩。要詳細了解分析師對公司的最新預測,請查看該公司的分析師預測的可視化。
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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。