Joincare Pharmaceutical Group Industry Co.,Ltd.'s (SHSE:600380) Stock Has Been Sliding But Fundamentals Look Strong: Is The Market Wrong?
Joincare Pharmaceutical Group Industry Co.,Ltd.'s (SHSE:600380) Stock Has Been Sliding But Fundamentals Look Strong: Is The Market Wrong?
With its stock down 6.6% over the past month, it is easy to disregard Joincare Pharmaceutical Group IndustryLtd (SHSE:600380). However, stock prices are usually driven by a company's financial performance over the long term, which in this case looks quite promising. Particularly, we will be paying attention to Joincare Pharmaceutical Group IndustryLtd's ROE today.
最近一個月，北京君正醫藥集團股價暴跌6.6％，可能會被忽視。但是，股票價格通常受公司長期的財務表現的推動，而在這種情況下，前景相當有希望。特別是今天我們將重點關注北京君正醫藥集團的roe。
Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In short, ROE shows the profit each dollar generates with respect to its shareholder investments.
股東權益回報率（ROE）是檢驗公司增加其價值和管理投資者資金有效性的測試。簡而言之，ROE顯示每個美元的利潤與其股東的投資有關。
How To Calculate Return On Equity?
如何計算股東權益報酬率？
The formula for return on equity is:
權益回報率的計算公式是：
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 Joincare Pharmaceutical Group IndustryLtd is:
因此，基於以上公式，北京君正醫藥集團的roe爲：
12% = CN¥2.9b ÷ CN¥24b (Based on the trailing twelve months to March 2024).
12％= cn¥ 2.9b ÷ cn¥ 24b（基於截至2024年3月的最近12個月）。
The 'return' refers to a company's earnings over the last year. That means that for every CN¥1 worth of shareholders' equity, the company generated CN¥0.12 in profit.
“回報”是指公司在過去一年內的盈利。這意味着對於每一元股東權益，該公司創造了0.12元的利潤。
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。
So far, we've learned that ROE is a measure of a company's profitability. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company's earnings growth potential. 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，我們已經了解了roe是公司盈利能力的一種衡量標準。根據公司重新投資或“保留”的利潤數量和效率，我們可以評估公司的盈利增長潛力。假設其他所有因素保持不變，roe和保留的利潤越高，相對於不一定具有這些特徵的公司，公司的增長率就越高。
Joincare Pharmaceutical Group IndustryLtd's Earnings Growth And 12% ROE
北京君正醫藥集團的盈利增長和12%的roe
To begin with, Joincare Pharmaceutical Group IndustryLtd seems to have a respectable ROE. On comparing with the average industry ROE of 7.7% the company's ROE looks pretty remarkable. This probably laid the ground for Joincare Pharmaceutical Group IndustryLtd's moderate 13% net income growth seen over the past five years.
首先，北京君正醫藥集團似乎有一個可觀的roe。與7.7％的行業平均roe相比，該公司的roe看起來非常出色。這可能爲北京君正醫藥集團在過去五年中適度的13％淨利潤增長奠定了基礎。
As a next step, we compared Joincare Pharmaceutical Group IndustryLtd'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 9.2%.
作爲下一步，我們將北京君正醫藥集團的淨利潤增長與行業進行比較，並且令人高興的是，我們發現公司看到的增長高於9.2％的行業平均增長。
Earnings growth is an important metric to consider when valuing a stock. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. This then helps them determine if the stock is placed for a bright or bleak future. 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 Joincare Pharmaceutical Group IndustryLtd is trading on a high P/E or a low P/E, relative to its industry.
盈利增長是考慮估值的重要指標。投資者應該嘗試確定預期的盈利增長或下降，無論情況如何，價格是否合理。這樣可以幫助他們判斷股票的未來前景是光明還是黯淡。預期盈利增長的一個很好的指標是市盈率，市盈率確定市場願意基於公司的盈利前景爲股票支付的價格。因此，您可能需要檢查北京君正醫藥集團的市盈率與行業相比，是高還是低。
Is Joincare Pharmaceutical Group IndustryLtd Efficiently Re-investing Its Profits?
北京君正醫藥集團有效地重新投資其利潤嗎？
Joincare Pharmaceutical Group IndustryLtd's three-year median payout ratio to shareholders is 23% (implying that it retains 77% of its income), which is on the lower side, so it seems like the management is reinvesting profits heavily to grow its business.
北京君正醫藥集團向股東支付的三年中位數股息比率爲23％（意味着保留了其77％的收入），這是較低的，所以似乎管理層正在大量重新投資利潤以促進業務增長。
Moreover, Joincare Pharmaceutical Group IndustryLtd is determined to keep sharing its profits with shareholders which we infer from its long history of paying a dividend for at least ten years.
此外，北京君正醫藥集團決定將利潤與股東分享，這可以從其至少十年支付股息的悠久歷史中推斷出來。
Conclusion
結論
On the whole, we feel that Joincare Pharmaceutical Group IndustryLtd's performance has been quite good. Particularly, we like that the company is reinvesting heavily into its business, and at a high rate of return. Unsurprisingly, this has led to an impressive earnings growth. The latest industry analyst forecasts show that the company is expected to maintain its current growth rate. To know more about the company's future earnings growth forecasts take a look at this free report on analyst forecasts for the company to find out more.
總體而言，我們認爲北京君正醫藥集團的表現相當不錯。特別是，我們喜歡公司大舉重新投資，且收益率很高。毫不意外，這導致了令人印象深刻的盈利增長。最新的行業分析師預測顯示，公司預計將保持其當前的增長率。要了解有關該公司未來盈利增長預測的更多信息，請查看有關分析師對該公司的預測的免費報告。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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。或者，發送電子郵件至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。或者發送電子郵件至editorial-team@simplywallst.com。