Is Weakness In Qifeng New Material Co., Ltd. (SZSE:002521) Stock A Sign That The Market Could Be Wrong Given Its Strong Financial Prospects?
Is Weakness In Qifeng New Material Co., Ltd. (SZSE:002521) Stock A Sign That The Market Could Be Wrong Given Its Strong Financial Prospects?
Qifeng New Material (SZSE:002521) has had a rough month with its share price down 9.1%. However, stock prices are usually driven by a company's financial performance over the long term, which in this case looks quite promising. In this article, we decided to focus on Qifeng New Material's ROE.
齊峯新材(SZSE:002521)的股價在一個月內跌了9.1%。 然而,股票價格通常受公司長期的財務表現推動,這在這種情況下看起來相當有前途。在本文中,我們決定重點關注齊峯新材的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 simpler terms, it measures the profitability of a company in relation to shareholder's equity.
roe指股東權益回報率,是一種有用的工具,用於評估公司如何有效地從股東獲得的投資中產生回報。簡單來說,這衡量了一家公司相對於股東權益的盈利能力。
How Do You Calculate Return On Equity?
怎樣計算ROE?
ROE can be calculated by using the formula:
淨資產收益率可以使用以下公式進行計算:
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 Qifeng New Material is:
因此,根據以上公式,齊峯新材的roe爲:
7.7% = CN¥291m ÷ CN¥3.8b (Based on the trailing twelve months to March 2024).
7.7%= CN¥ 29100萬 ÷ CN¥ 38億(根據2024年3月的最近12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”是稅後收益的金額,在過去的12個月中賺取。 這意味着對於其股東的每1元投資,該公司可以產生0.08元的利潤。
Why Is ROE Important For Earnings Growth?
ROE對於盈利增長的重要性是什麼?
So far, we've learned that ROE is a measure of a company's profitability. 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. 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.
到目前爲止,我們已經了解到roe是衡量公司盈利能力的一種指標。根據公司選擇重新投資或'保留'多少利潤,我們就能夠評估公司未來生成利潤的能力。假設其他條件相同,那些具有更高股本回報率和更高利潤留存的公司通常比沒有這些特徵的公司有更高的增長率。
A Side By Side comparison of Qifeng New Material's Earnings Growth And 7.7% ROE
齊峯新材盈利增長與7.7%的ROE的並行比較
On the face of it, Qifeng New Material's ROE is not much to talk about. However, the fact that the its ROE is quite higher to the industry average of 5.7% doesn't go unnoticed by us. However, Qifeng New Material's five year net income growth was quite low averaging at only 3.8%. Remember, the company's ROE is quite low to begin with, just that it is higher than the industry average. Hence, this goes some way in explaining the low earnings growth.
表面上看,齊峯新材的roe說不上什麼了不起。 然而,其ROE相當高於行業平均水平的5.7%,這一點還是引起了我們的注意。 然而,齊峯新材的5年淨利潤增長相當低,平均僅爲3.8%。請記住,公司的roe本身就相當低,只是高於行業平均水平。 因此,這在一定程度上解釋了低盈利增長的原因。
As a next step, we compared Qifeng New Material'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 1.0%.
作爲下一步,我們將齊峯新材的淨利潤增長與行業進行了比較,令人高興的是,我們發現公司的增長率高於行業平均增長率1.0%。
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The basis for attaching value to a company is, to a great extent, tied to its earnings growth. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. 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 Qifeng New Material is trading on a high P/E or a low P/E, relative to its industry.
將價值附加到公司的基礎很大程度上取決於其盈利增長。投資者應該試圖確定預期盈利增長或下降(無論哪種情況),是否已定價。 這樣做將有助於他們確定股票的前景是樂觀還是不祥。期望盈利增長的一個好指標是市盈率(P / E比率),它根據其盈利前景確定市場願意爲股票支付的價格。因此,您可能需要檢查齊峯新材的市盈率是否高於或低於其行業。
Is Qifeng New Material Efficiently Re-investing Its Profits?
齊峯新材是否有效地再投資其利潤?
Despite having a moderate three-year median payout ratio of 34% (implying that the company retains the remaining 66% of its income), Qifeng New Material's earnings growth was quite low. Therefore, there might be some other reasons to explain the lack in that respect. For example, the business could be in decline.
儘管齊峯新材有一個適中的三年中位支付比率爲34%(意味着公司保留其收入的其餘66%),但其盈利增長相當低。 因此,可能有其他原因可以解釋在這方面的缺乏。例如,業務可能正在下滑。
In addition, Qifeng New Material has been paying dividends over a period of at least ten years suggesting that keeping up dividend payments is way more important to the management even if it comes at the cost of business growth.
此外,齊峯新材已經連續十年支付股息,這表明即使以企業增長爲代價,保持股息支付也比管理更爲重要。
Summary
總的來說,我們對偉明環保的表現非常滿意。具體而言,我們喜歡公司以高回報率再投資了其利潤的很大一部分。當然,這導致公司的收益大幅增長。但是,最新的行業分析師預測表明,該公司的收益預計將加速增長。
In total, we are pretty happy with Qifeng New Material's performance. Specifically, we like that it has been reinvesting a high portion of its profits at a moderate rate of return, resulting in earnings expansion. If the company continues to grow its earnings the way it has, that could have a positive impact on its share price given how earnings per share influence long-term share prices. Remember, the price of a stock is also dependent on the perceived risk. Therefore investors must keep themselves informed about the risks involved before investing in any company. Our risks dashboard will have the 1 risk we have identified for Qifeng New Material.
總的來說,我們對齊峯新材的表現感到滿意。具體而言,我們喜歡它一直以來以適度的回報率高比例再投資其利潤,從而實現盈利增長的方式。 如果公司能夠繼續實現盈利增長,那麼它的股價可能會受到積極影響,因爲每股收益對長期股價產生影響。請記住,股票價格也取決於人們對風險的認知。因此,投資者在投資任何公司之前必須了解相關風險。我們的風險儀表板將列出我們已經爲齊峯新材確定的1個風險。
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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。