Bestechnic (Shanghai) Co., Ltd. (SHSE:688608) Stock Is Going Strong But Fundamentals Look Uncertain: What Lies Ahead ?
Bestechnic (Shanghai) Co., Ltd. (SHSE:688608) Stock Is Going Strong But Fundamentals Look Uncertain: What Lies Ahead ?
Bestechnic (Shanghai)'s (SHSE:688608) stock is up by a considerable 32% over the past three months. However, we decided to pay attention to the company's fundamentals which don't appear to give a clear sign about the company's financial health. In this article, we decided to focus on Bestechnic (Shanghai)'s ROE.
Bestechnic(上海)(SHSE:688608)的股票在過去三個月中上漲了相當可觀的32%。然而,我們決定關注該公司的基本面,這些基本面似乎沒有給出關於公司的財務狀況的明確信號。在本文中,我們決定關注Bestechnic(上海)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. Simply put, it is used to assess the profitability of a company in relation to its equity capital.
roe或股東權益回報率是評估公司如何有效地從股東那裏獲得回報的有用工具。簡而言之,它用於評估公司相對於其權益資本的盈利能力。
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 Bestechnic (Shanghai) is:
因此,根據上述公式,Bestechnic(上海)的roe爲:
2.5% = CN¥152m ÷ CN¥6.1b (Based on the trailing twelve months to March 2024).
2.5% = CN¥15200萬 ÷ CN¥61億 (基於截至2024年3月的過去十二個月的數據)。
The 'return' is the yearly profit. Another way to think of that is that for every CN¥1 worth of equity, the company was able to earn CN¥0.02 in profit.
“回報”是年利潤。另一種思考方法是,對於每元人民幣的股權,公司能夠賺取0.02元人民幣的利潤。
Why Is ROE Important For Earnings Growth?
ROE對於盈利增長的重要性是什麼?
Thus far, we have learned that ROE measures how efficiently a company is generating its profits. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. 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.
到目前爲止,我們已經了解到ROE衡量公司利潤的效率如何。基於公司選擇再投資或保留多少利潤,我們隨後能夠評估公司未來產生利潤的能力。總的來說,在其他條件相等的情況下,具有高ROE和利潤保留的公司的增長率比沒有這些特徵的公司要高。
Bestechnic (Shanghai)'s Earnings Growth And 2.5% ROE
Bestechnic(上海)的盈利增長和2.5%的roe。
It is quite clear that Bestechnic (Shanghai)'s ROE is rather low. Even compared to the average industry ROE of 5.8%, the company's ROE is quite dismal. For this reason, Bestechnic (Shanghai)'s five year net income decline of 12% is not surprising given its lower ROE. However, there could also be other factors causing the earnings to decline. Such as - low earnings retention or poor allocation of capital.
很明顯,Bestechnic(上海)的roe相當低。即使與行業平均roe5.8%相比,該公司的roe也相當慘淡。因此,考慮到其較低的roe,Bestechnic(上海)五年的淨收入下降12%並不讓人意外。然而,可能也有其他因素導致收益下降。例如-低收益保留或資本配置不佳
That being said, we compared Bestechnic (Shanghai)'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 20% in the same 5-year period.
話雖如此,我們比較了Bestechnic(上海)的業績與行業,並在發現該公司縮減收益的同時,行業在同一5年期內的收益增長率爲20%時感到擔憂。
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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. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. Is Bestechnic (Shanghai) fairly valued compared to other companies? These 3 valuation measures might help you decide.
價值投資一定程度上取決於盈利增長。投資者需要判斷的是,預期的盈利增長是否已經反映在股價中。通過這樣做,他們會有一個想法,股票是進入清澈的藍色海洋還是面臨沼澤般的困境。與其他公司相比,Bestechnic(上海)的估值是否公平?這三個估值指標可能會幫助您決定。
Is Bestechnic (Shanghai) Using Its Retained Earnings Effectively?
Bestechnic(上海)有效地利用了其保留盈利嗎?
Bestechnic (Shanghai)'s low three-year median payout ratio of 12% (implying that it retains the remaining 88% of its profits) comes as a surprise when you pair it with the shrinking earnings. This typically shouldn't be the case when a company is retaining most of its earnings. So there might be other factors at play here which could potentially be hampering growth. For instance, the business has faced some headwinds.
當您將其與萎縮的收益相配對時,Bestechnic(上海)較低的三年中位支付比率爲12%(意味着它將其剩餘88%的利潤保留下來)令人驚訝。當一家公司保留了大部分利潤時,通常不會出現這種情況。因此,可能存在其他因素影響增長。例如,該業務面臨了一些阻力。
In addition, Bestechnic (Shanghai) has been paying dividends over a period of three years suggesting that keeping up dividend payments is preferred by the management even though earnings have been in decline. Upon studying the latest analysts' consensus data, we found that the company is expected to keep paying out approximately 14% of its profits over the next three years. Regardless, the future ROE for Bestechnic (Shanghai) is predicted to rise to 6.7% despite there being not much change expected in its payout ratio.
此外,Bestechnic(上海)的分紅派息已持續三年,表明即使收益下降,管理層也更喜歡維持股息支付。在研究了最新的分析師共識數據後,我們發現,預計該公司在未來三年內將繼續支付其利潤的約14%。儘管如此,Bestechnic(上海)未來的roe預計將上升至6.7%,儘管不會在其支付比率上有太大的變化。
Conclusion
結論
Overall, we have mixed feelings about Bestechnic (Shanghai). 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. With that said, we studied the latest analyst forecasts and found that while the company has shrunk its earnings in the past, analysts expect its earnings to grow in the future. 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,我們對Bestechnic(上海)的感覺有些複雜。儘管它似乎保留了大部分利潤,在roe低的情況下,投資者可能並沒有從所有的再投資中受益。低的盈利增長表明了我們的觀點的正確性。但是,我們研究了最新的分析師預測,並發現,雖然該公司在過去曾縮減收益,但分析師預計其未來的收益將增長。要了解更多有關該公司最新分析師預測的信息,請查看此分析師預測的可視化。
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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?對內容感到擔憂?請直接與我們聯繫。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?對內容感到擔憂?請直接與我們聯繫。或者,發送電子郵件至editorial-team@simplywallst.com。