Should You Be Impressed By Vertiv Holdings Co's (NYSE:VRT) ROE?
Should You Be Impressed By Vertiv Holdings Co's (NYSE:VRT) ROE?
One of the best investments we can make is in our own knowledge and skill set. With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. We'll use ROE to examine Vertiv Holdings Co (NYSE:VRT), by way of a worked example.
我們可以將投資放在自己的知識和技能上,這是我們能夠做出的最好的投資之一。有了這個想法,本文將通過一個案例來解釋如何使用roe更好地了解業務。我們將以Vertiv Holdings Co(NYSE:VRT)爲例,進行ROE的詳細說明。
Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In short, ROE shows the profit each dollar generates with respect to its shareholder investments.
股東權益回報率(ROE)是檢驗公司增加其價值和管理投資者資金有效性的測試。簡而言之,ROE顯示每個美元的利潤與其股東的投資有關。
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 Vertiv Holdings Co is:
因此,根據上述公式,Vertiv Holdings Co的ROE爲:
32% = US$499m ÷ US$1.5b (Based on the trailing twelve months to June 2024).
32%= 4.99億美元÷ 15億美元(截至2024年6月的過去十二個月)。
The 'return' is the income the business earned over the last year. That means that for every $1 worth of shareholders' equity, the company generated $0.32 in profit.
「回報」是企業在過去一年中獲得的收入。這意味着對於每個股東權益價值1美元的公司,其利潤爲0.32美元。
Does Vertiv Holdings Co Have A Good ROE?
Vertiv Holdings Co是否擁有良好的ROE?
One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. The limitation of this approach is that some companies are quite different from others, even within the same industry classification. Pleasingly, Vertiv Holdings Co has a superior ROE than the average (12%) in the Electrical industry.
一個簡單的方法來判斷一個公司是否有良好的股本回報率是將其與行業平均水平進行比較。但是這種方法的侷限性在於,即使在同一行業分類中,有些公司也有很大差異。令人高興的是,Vertiv Holdings Co的ROE高於電氣行業的平均值(12%)。
![big](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240819/0-e95b16d73a96b8d38d6c1fd60e9424d8-0-8425da8e8d4f0b6f3be739862eb7462e.png/big)
That's what we like to see. However, bear in mind that a high ROE doesn't necessarily indicate efficient profit generation. Aside from changes in net income, a high ROE can also be the outcome of high debt relative to equity, which indicates risk.
這是我們喜歡看到的。然而需要記住的是,高roe並不一定意味着高效的利潤創造。除了淨利潤的變化外,高roe還可能是由於與資產負債表相對較高的負債,這表明存在風險。
How Does Debt Impact ROE?
債務對ROE的影響是怎樣的?
Most companies need money -- from somewhere -- to grow their profits. That cash can come from retained earnings, issuing new shares (equity), or debt. In the case of the first and second options, the ROE will reflect this use of cash, for growth. In the latter case, the use of debt will improve the returns, but will not change the equity. Thus the use of debt can improve ROE, albeit along with extra risk in the case of stormy weather, metaphorically speaking.
大多數公司需要資金——來自某個地方——以提高利潤。這筆資金可以來自留存收益、發行新股(股本)或債務。在第一和第二種選擇的情況下,roe將反映出這種資金的利用情況,以促進增長。而在後一種情況下,使用債務將提高回報率,但不會改變權益。因此,在比喻性的波濤洶湧的情況下,使用債務可以提高ROE,但也會帶來額外的風險。
Vertiv Holdings Co's Debt And Its 32% ROE
Vertiv Holdings Co的債務和其32%的ROE。
Vertiv Holdings Co does use a high amount of debt to increase returns. It has a debt to equity ratio of 1.91. While no doubt that its ROE is impressive, we would have been even more impressed had the company achieved this with lower debt. Debt increases risk and reduces options for the company in the future, so you generally want to see some good returns from using it.
Vertiv Holdings Co高度使用債務以提高回報率,其資產負債比爲1.91。雖然毫無疑問其ROE令人印象深刻,但如果公司以更低的債務實現這一目標,我們會更加印象深刻。債務增加了公司的風險,並減少了其未來的選擇,因此通常希望從其中獲得一定的好回報。
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。
Return on equity is useful for comparing the quality of different businesses. In our books, the highest quality companies have high return on equity, despite low debt. All else being equal, a higher ROE is better.
ROE可用於比較不同企業的質量。在我們看來,高ROE且負債率較低的公司是最優質的公司。其他條件相等的情況下,較高的ROE更好。
Having said that, while ROE is a useful indicator of business quality, you'll have to look at a whole range of factors to determine the right price to buy a stock. The rate at which profits are likely to grow, relative to the expectations of profit growth reflected in the current price, must be considered, too. So you might want to check this FREE visualization of analyst forecasts for the company.
話雖如此,雖然ROE是業務質量的一個有用指標,但你需要考慮很多因素才能確定購買股票的正確價格。還必須考慮盈利率預計與當前價格反映的盈利增長預期之間的關係。因此,您可能需要查看該公司的分析師預測的這個免費可視化工具。
Of course Vertiv Holdings Co may not be the best stock to buy. So you may wish to see this free collection of other companies that have high ROE and low debt.
當然,Vertiv Holdings Co可能不是最好的股票購買對象。因此,您可能希望查看此免費收藏中其他具有高ROE和低債務的公司。
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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。