Central New Energy Holding Group Limited's (HKG:1735) Stock Is Going Strong: Have Financials A Role To Play?
Central New Energy Holding Group Limited's (HKG:1735) Stock Is Going Strong: Have Financials A Role To Play?
Central New Energy Holding Group (HKG:1735) has had a great run on the share market with its stock up by a significant 51% over the last three months. We wonder if and what role the company's financials play in that price change as a company's long-term fundamentals usually dictate market outcomes. In this article, we decided to focus on Central New Energy Holding Group's ROE.
中新能源控股集團(HKG:1735)在股票市場上表現不俗,其股票在過去三個月中上漲了51%。 我們想知道公司的財務狀況在這種價格變化中起了什麼作用,因爲一家公司的長期基本面通常決定市場結果。在本文中,我們決定關注中新能源控股集團的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 other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.
roe,即淨資產收益率,是一種評估公司如何有效地從股東手中獲取投資回報的有用工具。換句話說,它是一種盈利能力比率,衡量公司股東提供的資本的回報率。
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 Central New Energy Holding Group is:
所以,根據以上公式,中新能源控股集團的roe爲:
5.4% = HK$71m ÷ HK$1.3b (Based on the trailing twelve months to December 2023).
5.4%= HK $ 7100萬 ÷ HK $ 13億(基於截至2023年12月的過去十二個月)。
The 'return' refers to a company's earnings 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$0.05 in profit.
「回報」是指公司過去一年的收益。換句話說,對於每1港元的淨資產,該公司能夠賺取0.05港元的利潤。
Why Is ROE Important For Earnings Growth?
ROE爲什麼對淨利潤增長很重要?
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. 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是衡量公司利潤產生效率的指標。根據公司選擇再投資或「保留」其利潤的比例,我們隨後可以評估公司未來利潤的能力。其他條件都相同的情況下,roe和利潤保留率都較高的公司通常比沒有這些特徵的公司有更高的增長速度。
Central New Energy Holding Group's Earnings Growth And 5.4% ROE
中新能源控股集團的盈利增長和5.4%的roe
When you first look at it, Central New Energy Holding Group's ROE doesn't look that attractive. However, its ROE is similar to the industry average of 6.6%, so we won't completely dismiss the company. Particularly, the exceptional 35% net income growth seen by Central New Energy Holding Group over the past five years is pretty remarkable. Considering the moderately low ROE, it is quite possible that there might be some other aspects that are positively influencing the company's earnings growth. For example, it is possible that the company's management has made some good strategic decisions, or that the company has a low payout ratio.
當您首次看到時,中新能源控股集團的roe看起來並不那麼有吸引力。 但是,它的roe與行業平均水平(6.6%)相似,因此我們不會完全否定該公司。 特別是,中新能源控股集團在過去五年中見到了卓越的35%淨利潤增長,這非常顯着。 考慮到相對較低的roe,相當有可能存在其他一些積極影響公司盈利增長的因素。 例如,可能該公司的管理層已經做出了一些良好的戰略決策,或該公司具有較低的派息比率。
We then compared Central New Energy Holding Group's net income growth with the industry and we're pleased to see that the company's growth figure is higher when compared with the industry which has a growth rate of 1.4% in the same 5-year period.
然後,我們將中新能源控股集團的淨收入增長率與行業進行了比較,我們很高興地看到,在同一5年期內,該公司的增長數字要高於行業增長率1.4%。
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Earnings growth is a huge factor in stock valuation. 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 Central New Energy Holding Group is trading on a high P/E or a low P/E, relative to its industry.
盈利增長是股票估值的一個重要因素。投資者應該試圖確定是否已經反映了預期的收益增長或下降,無論是哪種情況,這有助於他們判斷股票的未來走勢是光明還是暗淡。預期收益增長的一個良好指標是市盈率,該指標確定市場願意爲基於其收益前景的股票支付的價格。因此,您可能想檢查中新能源控股集團的市盈率是否高於行業平均水平或低於行業平均水平。
Is Central New Energy Holding Group Making Efficient Use Of Its Profits?
中新能源控股集團是否有效利用其利潤?
Given that Central New Energy Holding Group doesn't pay any regular dividends to its shareholders, we infer that the company has been reinvesting all of its profits to grow its business.
考慮到中新能源控股集團不向股東支付任何定期股息,我們推斷該公司一直在重新投資其所有利潤來擴大業務。
Conclusion
結論
In total, it does look like Central New Energy Holding Group has some positive aspects to its business. Even in spite of the low rate of return, the company has posted impressive earnings growth as a result of reinvesting heavily into its business. While we won't completely dismiss the company, what we would do, is try to ascertain how risky the business is to make a more informed decision around the company. Our risks dashboard would have the 2 risks we have identified for Central New Energy Holding Group.
總的來說,中新能源控股集團的業務具有一些積極的方面。即使回報率較低,該公司也由於大力重投資業務而實現了令人印象深刻的盈利增長。雖然我們不會完全否定該公司,但我們需要確定業務的風險程度,以便更明智地針對該公司做出決策。我們的風險儀表板會展示我們已經爲中新能源控股集團確定的2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。