Financial Institutions (NASDAQ:FISI) Investors Are up 19% in the Past Week, but Earnings Have Declined Over the Last Year
Financial Institutions (NASDAQ:FISI) Investors Are up 19% in the Past Week, but Earnings Have Declined Over the Last Year
If you want to compound wealth in the stock market, you can do so by buying an index fund. But one can do better than that by picking better than average stocks (as part of a diversified portfolio). To wit, the Financial Institutions, Inc. (NASDAQ:FISI) share price is 32% higher than it was a year ago, much better than the market return of around 23% (not including dividends) in the same period. So that should have shareholders smiling. In contrast, the longer term returns are negative, since the share price is 22% lower than it was three years ago.
如果您想在股市中增長財富,可以購買指數基金。但如果選擇好於平均水平的股票(作爲分散投資組合的一部分),那麼效果會更好。比如,金融機構股份有限公司(NASDAQ: FISI)股價比去年同期高出32%,遠遠超過大約23%的市場回報率(不包括股息)。這應該會讓股東們感到滿意。相比之下,長期回報是負面的,因爲股價比三年前下跌了22%。
On the back of a solid 7-day performance, let's check what role the company's fundamentals have played in driving long term shareholder returns.
在穩定的七天表現之後,讓我們看看公司的基本面對長期股東回報的影響。
While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time.
儘管一些人繼續教授有效市場假說,但已經證明市場是過度反應的動態系統,並且投資者並不總是理性的。通過比較每股收益(EPS)和股價的變化情況,我們可以了解投資者對公司的態度如何隨着時間變化而變化。
During the last year, Financial Institutions actually saw its earnings per share drop 26%.
在過去一年中,金融機構的每股收益實際下降了26%。
So we don't think that investors are paying too much attention to EPS. Since the change in EPS doesn't seem to correlate with the change in share price, it's worth taking a look at other metrics.
因此,我們認爲投資者並沒有過多關注每股收益。由於每股收益的變化似乎與股價的變化沒有關係,所以值得關注其他指標。
We haven't seen Financial Institutions increase dividend payments yet, so the yield probably hasn't helped drive the share higher. Rather, we'd posit that the revenue increase of 3.9% might be more meaningful. After all, it's not necessarily a bad thing if a business sacrifices profits today in pursuit of profit tomorrow (metaphorically speaking).
我們還沒有看到金融機構增加股息支付,因此收益可能沒有推動股價上漲。相反,我們認爲3.9%的營業收入增長可能更有意義。畢竟,爲了獲得未來的利潤(比喻的),一個企業今天犧牲利潤並不一定是壞事。
The company's revenue and earnings (over time) are depicted in the image below (click to see the exact numbers).
以下圖像顯示了公司的營業收入和盈利(隨時間變化)(單擊以查看準確的數字)。
![big](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240718/0-35f01e67d4040abb700c4f2860ef02d4-0-3e6a46f69abf395fd3dbe8dbbefac80c.png/big)
You can see how its balance sheet has strengthened (or weakened) over time in this free interactive graphic.
你可以在這個免費的互動圖表中看到它的資產負債表如何隨着時間的推移而加強(或削弱)。
What About Dividends?
那麼分紅怎麼樣呢?
It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. In the case of Financial Institutions, it has a TSR of 41% for the last 1 year. That exceeds its share price return that we previously mentioned. And there's no prize for guessing that the dividend payments largely explain the divergence!
考慮任何給定股票的總股東回報率以及股價回報率都非常重要。TSR包括任何股權分拆或折價融資的價值,以及基於股息再投資的任何股息。因此,對於支付豐厚股息的公司,TSR通常比股價回報要高得多。對於金融機構而言,過去1年的TSR爲41%。這超過了我們之前提到的股價回報。毫無疑問,股息支付在很大程度上解釋了這種背離!
A Different Perspective
不同的觀點
It's good to see that Financial Institutions has rewarded shareholders with a total shareholder return of 41% in the last twelve months. That's including the dividend. Since the one-year TSR is better than the five-year TSR (the latter coming in at 0.6% per year), it would seem that the stock's performance has improved in recent times. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. Before forming an opinion on Financial Institutions you might want to consider the cold hard cash it pays as a dividend. This free chart tracks its dividend over time.
很高興看到金融機構在過去12個月中以總股東回報率41%的收益回報股東。這已包括股息。由於1年的TSR優於5年的TSR(後者每年爲0.6%),因此股票的表現似乎在最近有所改善。持樂觀態度的人可能認爲,TSR的最近改善表明業務本身隨着時間的推移正在變得越來越好。在對金融機構形成觀點之前,您可能需要考慮它支付的現金作爲股息。此免費圖表跟蹤其隨時間變化的股息。
Of course Financial Institutions may not be the best stock to buy. So you may wish to see this free collection of growth stocks.
當然,金融機構可能不是最好買入的股票。因此,您可能希望查看這個免費的成長股集合。
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.
請注意,本文所引述的市場回報反映了目前在美國交易所上市的股票的市場加權平均回報。
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.
對本文有任何反饋?對內容有任何疑慮?請直接與我們聯繫。或者,發送電子郵件至editorial-team@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
對本文有任何反饋?對內容有任何疑慮?請直接與我們聯繫。或者,發送電子郵件至editorial-team@simplywallst.com。