Capital Investment Trends At Brady (NYSE:BRC) Look Strong
Capital Investment Trends At Brady (NYSE:BRC) Look Strong
What are the early trends we should look for to identify a stock that could multiply in value over the long term? One common approach is to try and find a company with returns on capital employed (ROCE) that are increasing, in conjunction with a growing amount of capital employed. Ultimately, this demonstrates that it's a business that is reinvesting profits at increasing rates of return. That's why when we briefly looked at Brady's (NYSE:BRC) ROCE trend, we were very happy with what we saw.
要確定一隻可以長期成倍增長的股票,我們應該尋找哪些早期趨勢?一種常見的方法是嘗試尋找一家動用資本回報率(ROCE)不斷增加且所用資本不斷增加的公司。歸根結底,這表明這是一家以不斷提高的回報率對利潤進行再投資的企業。這就是爲什麼當我們簡要研究布雷迪(紐約證券交易所代碼:BRC)的ROCE趨勢時,我們對所看到的情況感到非常滿意。
Understanding Return On Capital Employed (ROCE)
了解資本使用回報率 (ROCE)
Just to clarify if you're unsure, ROCE is a metric for evaluating how much pre-tax income (in percentage terms) a company earns on the capital invested in its business. The formula for this calculation on Brady is:
爲了澄清一下你是否不確定,ROCE是評估公司從投資於其業務的資本中獲得多少稅前收入(按百分比計算)的指標。在 Brady 上進行此計算的公式爲:
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities)
已動用資本回報率 = 息稅前收益 (EBIT) ¥(總資產-流動負債)
0.20 = US$239m ÷ (US$1.4b - US$253m) (Based on the trailing twelve months to April 2024).
0.20 = 2.39億美元 ÷(14億美元至2.53億美元)(基於截至2024年4月的過去十二個月)。
So, Brady has an ROCE of 20%. In absolute terms that's a great return and it's even better than the Commercial Services industry average of 9.6%.
因此,布雷迪的投資回報率爲20%。從絕對值來看,這是一個不錯的回報,甚至比商業服務行業9.6%的平均水平還要好。
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Above you can see how the current ROCE for Brady compares to its prior returns on capital, but there's only so much you can tell from the past. If you'd like to see what analysts are forecasting going forward, you should check out our free analyst report for Brady .
上面你可以看到布雷迪當前的投資回報率與其先前的資本回報率相比如何,但從過去可以看出來的只有那麼多。如果你想了解分析師對未來的預測,你應該查看我們爲布雷迪提供的免費分析師報告。
So How Is Brady's ROCE Trending?
那麼 Brady 的 ROCE 趨勢如何?
It's hard not to be impressed by Brady's returns on capital. Over the past five years, ROCE has remained relatively flat at around 20% and the business has deployed 25% more capital into its operations. Returns like this are the envy of most businesses and given it has repeatedly reinvested at these rates, that's even better. If Brady can keep this up, we'd be very optimistic about its future.
布雷迪的資本回報率很難不給人留下深刻的印象。在過去的五年中,投資回報率一直保持相對平穩,約爲20%,該業務在運營中投入的資金增加了25%。這樣的回報令大多數企業羨慕不已,鑑於它一再以這樣的利率進行再投資,那就更好了。如果布雷迪能堅持下去,我們會對它的未來非常樂觀。
The Key Takeaway
關鍵要點
In the end, the company has proven it can reinvest it's capital at high rates of returns, which you'll remember is a trait of a multi-bagger. Therefore it's no surprise that shareholders have earned a respectable 69% return if they held over the last five years. So while the positive underlying trends may be accounted for by investors, we still think this stock is worth looking into further.
最終,該公司已經證明了它可以以高回報率對資本進行再投資,你會記得這是多口袋者的特徵。因此,股東在過去五年中持股後獲得可觀的69%回報率也就不足爲奇了。因此,儘管積極的潛在趨勢可能由投資者解釋,但我們仍然認爲該股值得進一步研究。
While Brady looks impressive, no company is worth an infinite price. The intrinsic value infographic for BRC helps visualize whether it is currently trading for a fair price.
儘管布雷迪看上去令人印象深刻,但沒有一家公司值得付出無限的代價。BRC的內在價值信息圖有助於可視化其當前是否以公平的價格進行交易。
Brady is not the only stock earning high returns. If you'd like to see more, check out our free list of companies earning high returns on equity with solid fundamentals.
布雷迪並不是唯一一隻獲得高回報的股票。如果您想了解更多,請查看我們的免費公司名單,列出了基本面穩健且具有高股本回報率的公司。
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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.
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Simply Wall St的這篇文章本質上是籠統的。我們僅使用公正的方法根據歷史數據和分析師的預測提供評論,我們的文章無意作爲財務建議。它不構成買入或賣出任何股票的建議,也沒有考慮到您的目標或財務狀況。我們的目標是爲您提供由基本數據驅動的長期重點分析。請注意,我們的分析可能不考慮最新的價格敏感型公司公告或定性材料。簡而言之,華爾街沒有持有任何上述股票的頭寸。