Declining Stock and Solid Fundamentals: Is The Market Wrong About Huitongda Network Co., Ltd. (HKG:9878)?
Declining Stock and Solid Fundamentals: Is The Market Wrong About Huitongda Network Co., Ltd. (HKG:9878)?
With its stock down 31% over the past three months, it is easy to disregard Huitongda Network (HKG:9878). But if you pay close attention, you might gather that its strong financials could mean that the stock could potentially see an increase in value in the long-term, given how markets usually reward companies with good financial health. Specifically, we decided to study Huitongda Network's ROE in this article.
雖然匯通達網絡(HKG:9878)近三個月股價下跌31%,但如果您仔細觀察,您可能會認爲其強大的財務狀況可能意味着該股票在長期內有潛力增值,因爲市場通常會回報財務狀況良好的公司。具體而言,我們決定在本文中研究匯通達網絡的roe。
Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. Put another way, it reveals the company's success at turning shareholder investments into profits.
股本回報率或roe是一項關鍵指標,用於評估公司管理層使用公司資本的效率。換句話說,它揭示了公司將股東的投資轉化爲利潤的成功。
How Is ROE Calculated?
淨資產收益率怎麼計算?
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 Huitongda Network is:
因此,根據以上公式,匯通達網絡的roe爲:
7.3% = CN¥697m ÷ CN¥9.5b (Based on the trailing twelve months to December 2023).
7.3% = CN¥69700萬 ÷ CN¥95億(基於截至2023年12月的過去12個月)。
The 'return' is the income the business earned over the last year. Another way to think of that is that for every HK$1 worth of equity, the company was able to earn HK$0.07 in profit.
“回報”是企業在過去一年中賺取的收入。另一種思考方式是,對於每一港元的股權,公司能夠賺取港幣0.07的利潤。
Why Is ROE Important For Earnings Growth?
ROE爲什麼對淨利潤增長很重要?
We have already established that ROE serves as an efficient profit-generating gauge for a company's future earnings. 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.
我們已經意識到,ROE作爲公司未來盈利的有效衡量值。根據公司重新投資或“保留”這些利潤的程度,以及公司有效地運用這些利潤的程度,我們就能評估公司的盈利增長潛力。假設其他所有因素保持不變,ROE和利潤保留越高,增長率就會越高,相比於沒有這些特點的公司,公司的增長率就會更高。
A Side By Side comparison of Huitongda Network's Earnings Growth And 7.3% ROE
一份匯通達(臨時代碼)的淨利潤增長和7.3%的roe的對比報告
On the face of it, Huitongda Network's ROE is not much to talk about. However, the fact that the its ROE is quite higher to the industry average of 4.5% doesn't go unnoticed by us. Especially when you consider Huitongda Network's exceptional 63% net income growth over the past five years. Bear in mind, the company does have a moderately low ROE. It is just that the industry ROE is lower. So, there might well be other reasons for the earnings to grow. E.g the company has a low payout ratio or could belong to a high growth industry.
乍一看,匯通達(臨時代碼)的roe並不那麼值得一提。然而,它的roe比行業平均水平的4.5%高是顯而易見的。特別是考慮到匯通達(臨時代碼)過去五年內出色的63%的淨利潤增長。請記住,公司的roe有點低,只是行業roe更低。因此,企業盈利增長的原因可能還有其他。例如,企業具有較低的派息率或者屬於高成長性行業。
Next, on comparing with the industry net income growth, we found that Huitongda Network's growth is quite high when compared to the industry average growth of 8.8% in the same period, which is great to see.
接下來,我們發現,與行業平均淨利潤增長率8.8%相比,匯通達(臨時代碼)的增長相當高,這是非常好的。
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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. Is Huitongda Network fairly valued compared to other companies? These 3 valuation measures might help you decide.
對一家公司的價值評估,在很大程度上與其盈利增長有關,投資者應該試圖確定預期的盈利增長或下降是否已經被定價。這樣做將有助於他們確定股票的未來前景是有前途還是危險。匯通達(臨時代碼)的估值是否與其他公司相當?以下這3個價值估算可能會幫助您做出決策。
Is Huitongda Network Efficiently Re-investing Its Profits?
匯通達網絡是否有效地再投資其利潤?
Huitongda Network doesn't pay any regular dividends to its shareholders, meaning that the company has been reinvesting all of its profits into the business. This is likely what's driving the high earnings growth number discussed above.
匯通達(臨時代碼)不向股東支付任何常規股息,這意味着公司一直將所有利潤重新投資於業務。這很可能是推動以上所述高收益增長數字的原因。
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 Huitongda Network'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. 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.
總的來說,我們對匯通達(臨時代碼)的表現相當滿意。特別是,我們喜歡它以適度的回報率高比例地投資利潤,從而使收益擴張。然而,預計公司的盈利增長將放緩,如目前分析師的預測所示。這些分析師的預期是基於對行業的廣泛預期,還是基於公司的基本面?點擊此處以進入我們的分析師預測頁面了解更多信息。
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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。