Baoji Titanium Industry Co., Ltd.'s (SHSE:600456) Fundamentals Look Pretty Strong: Could The Market Be Wrong About The Stock?
Baoji Titanium Industry Co., Ltd.'s (SHSE:600456) Fundamentals Look Pretty Strong: Could The Market Be Wrong About The Stock?
Baoji Titanium Industry (SHSE:600456) has had a rough month with its share price down 7.9%. 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. In this article, we decided to focus on Baoji Titanium Industry's ROE.
寶鈦股份(SHSE:600456)的股價下跌了7.9%,過去一個月表現不佳。但如果您仔細關注,可能會發現其關鍵的財務指標看起來相當不錯,這可能意味着股票的長期潛在上漲,因爲市場通常會獎勵更有韌性的長期基本面。在本文中,我們決定專注於寶鈦股份的roe。
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 other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.
roe,即淨資產收益率,是一種評估公司如何有效地從股東手中獲取投資回報的有用工具。換句話說,它是一種盈利能力比率,衡量公司股東提供的資本的回報率。
How To Calculate Return On Equity?
如何計算股東權益報酬率?
Return on equity can be calculated by using the formula:
股東權益報酬率可以使用以下公式計算:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
淨資產收益率 = 淨利潤(從持續經營中獲得)÷ 股東權益
So, based on the above formula, the ROE for Baoji Titanium Industry is:
因此,根據上述公式,寶鈦股份的roe爲:
9.3% = CN¥681m ÷ CN¥7.3b (Based on the trailing twelve months to March 2024).
9.3% = CN¥68100萬 ÷ CN¥73億(基於截至2024年3月的最近12個月)。
The 'return' is the yearly profit. That means that for every CN¥1 worth of shareholders' equity, the company generated CN¥0.09 in profit.
‘回報’是每年的利潤,這意味着公司每CN¥1的股東權益產生CN¥0.09的利潤。
What Is The Relationship Between ROE And Earnings Growth?
既然我們已經確定ROE是一種有效的利潤生成標準,用於評估公司未來的盈利能力,我們現在需要評估公司“保留”爲未來增長而重新投資的利潤多少,這使我們對公司的增長潛力有了一個了解。一般而言,在其他條件相等的情況下,ROE和利潤留存高的公司,增長率比沒有這些屬性的公司要高。
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. 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.
我們已經確認roe是一個有效的盈利指標,用於衡量公司未來的盈利能力。現在我們需要評估公司爲未來增長重新投資或“保留”的利潤有多少,這將給我們提供有關公司增長潛力的想法。假設其他一切相等,具有更高回報率和更高盈利保留的公司通常比沒有同樣特點的公司具有更高的增長率。
A Side By Side comparison of Baoji Titanium Industry's Earnings Growth And 9.3% ROE
寶鈦股份盈利增長和9.3% roe的並排對比
When you first look at it, Baoji Titanium Industry's ROE doesn't look that attractive. Although a closer study shows that the company's ROE is higher than the industry average of 7.4% which we definitely can't overlook. Even more so after seeing Baoji Titanium Industry's exceptional 21% net income growth over the past five years. That being said, the company does have a slightly low ROE to begin with, just that it is higher than the industry average. So, there might well be other reasons for the earnings to grow. Such as- high earnings retention or the company belonging to a high growth industry.
起初看起來,寶鈦股份的roe並不那麼吸引人。但更仔細的研究表明,公司的roe高於業內平均水平(7.4%),這是我們絕對不能忽視的。尤其是在看到寶鈦股份在過去五年中傑出的21%淨利潤增長之後。即便如此,該公司一開始的roe略低,只是高於業內平均水平。所以,盈利增長可能還有其他原因。比如高額盈利保留或屬於高增長行業的公司。
As a next step, we compared Baoji Titanium Industry's net income growth with the industry, and pleasingly, we found that the growth seen by the company is higher than the average industry growth of 12%.
作爲下一步,我們將寶鈦股份的淨收入增長與行業進行了比較,並且令人高興的是,我們發現公司的增長高於行業平均增長率(12%)。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240621/0-7335cd556b55c98d04ff4d98577fafd8-0-8140b2261d9e358d2ca3a4d72da63c0e.png/big)
The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. Doing so will help them establish if the stock's future looks promising or ominous. One good indicator of expected earnings growth is the P/E ratio which determines the price the market is willing to pay for a stock based on its earnings prospects. So, you may want to check if Baoji Titanium Industry is trading on a high P/E or a low P/E, relative to its industry.
對一家公司進行估值的基礎很大程度上與其盈利增長有關。投資者需要下一步判斷的是,預期的盈利增長或缺乏盈利增長是否已經融入了股票價格。這樣做將有助於他們確定股票的未來前景是有前途還是可怕的。預期盈利增長的一個好指標是市盈率,它確定市場願意爲股票支付的價格,基於其盈利前景。因此,您可能需要檢查寶鈦股份的市盈率是高於行業平均水平還是低於行業平均水平。
Is Baoji Titanium Industry Efficiently Re-investing Its Profits?
寶鈦股份有效地再投資其利潤嗎?
Baoji Titanium Industry's significant three-year median payout ratio of 62% (where it is retaining only 38% of its income) suggests that the company has been able to achieve a high growth in earnings despite returning most of its income to shareholders.
寶鈦股份重要的三年中位數分紅比率爲62%(僅保留38%的收入),表明該公司能夠在將大部分收入返還給股東的情況下實現高增長。
Besides, Baoji Titanium Industry has been paying dividends for at least ten years or more. This shows that the company is committed to sharing profits with its shareholders.
此外,寶鈦股份已連續十年或更長時間支付股息。這表明公司致力於與股東分享利潤。
Conclusion
結論
In total, it does look like Baoji Titanium Industry has some positive aspects to its business. Namely, its significant earnings growth, to which its moderate rate of return likely contributed. While the company is paying out most of its earnings as dividends, it has been able to grow its earnings in spite of it, so that's probably a good sign. Having said that, the company's earnings growth is expected to slow down, as forecasted in the current analyst estimates. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company.
總而言之,寶鈦股份的業務看起來具有一些積極因素。即其重要的盈利增長,其適度的回報率可能有所貢獻。雖然該公司將大部分收益作爲股息支付,但它仍然能夠在此情況下增長其盈利,這可能是個好兆頭。即便如此,根據當前分析師的預測,該公司的盈利增長預計會放緩。這些分析師的預期是基於行業的廣泛預期還是公司的基本面?單擊此處轉到我們的分析師預測頁面。
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
對本文有反饋?關於內容有所顧慮?直接和我們聯繫。或電郵 editorial-team (at) simplywallst.com。
這篇文章是Simply Wall St的一般性文章。我們根據歷史數據和分析師預測提供評論,只使用公正的方法論,我們的文章並不意味着提供任何金融建議。文章不構成買賣任何股票的建議,也不考慮您的目標或您的財務狀況。我們的目標是帶給您基本數據驅動的長期關注分析。請注意,我們的分析可能不考慮最新的價格敏感公司公告或定性材料。Simply Wall St沒有任何股票頭寸。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
對本文有反饋?關於內容有所顧慮?直接和我們聯繫。或者,也可以發送電子郵件至editorial-team@simplywallst.com