Boasting A 61% Return On Equity, Is CDW Corporation (NASDAQ:CDW) A Top Quality Stock?
Boasting A 61% Return On Equity, Is CDW Corporation (NASDAQ:CDW) A Top Quality Stock?
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. To keep the lesson grounded in practicality, we'll use ROE to better understand CDW Corporation (NASDAQ:CDW).
虽然一些投资者已经精通财务指标(帽子提示),但本文适用于那些想了解股本回报率(ROE)及其重要性的人。为了使课程以实用性为基础,我们将使用投资回报率来更好地了解CDW Corporation(纳斯达克股票代码:CDW)。
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.
股本回报率或投资回报率是对公司增值和管理投资者资金的有效性的考验。简而言之,投资回报率显示了每美元从其股东投资中产生的利润。
See our latest analysis for CDW
查看我们对CDW的最新分析
How Do You Calculate Return On Equity?
你如何计算股本回报率?
ROE can be calculated by using the formula:
ROE 可以通过以下公式计算:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回报率 = 净利润(来自持续经营业务)÷ 股东权益
So, based on the above formula, the ROE for CDW is:
因此,根据上述公式,CDW的ROE为:
61% = US$1.1b ÷ US$1.8b (Based on the trailing twelve months to September 2023).
61% = 11亿美元 ¥18亿美元(基于截至2023年9月的过去十二个月)。
The 'return' is the yearly profit. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.61.
“回报” 是每年的利润。因此,这意味着其股东每投资1美元,公司就会产生0.61美元的利润。
Does CDW Have A Good Return On Equity?
CDW 有良好的股本回报率吗?
One simple way to determine if a company has a good return on equity is to compare it to the average for its industry. However, this method is only useful as a rough check, because companies do differ quite a bit within the same industry classification. As is clear from the image below, CDW has a better ROE than the average (11%) in the Electronic industry.
确定一家公司是否具有良好的股本回报率的一种简单方法是将其与行业的平均水平进行比较。但是,这种方法只能作为粗略的检查才有用,因为在同一个行业分类中,公司的确存在很大差异。从下图可以清楚地看出,CDW的投资回报率高于电子行业的平均水平(11%)。
![roe](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20231203/0-a969815458b3ba87f49af0e039baeafa-0-895a2d9aae40b41faf3eae5e32808427.png/big)
That is a good sign. Bear in mind, a high ROE doesn't always mean superior financial performance. A higher proportion of debt in a company's capital structure may also result in a high ROE, where the high debt levels could be a huge risk .
这是个好兆头。请记住,高投资回报率并不总是意味着卓越的财务业绩。公司资本结构中较高的债务比例也可能导致较高的投资回报率,而高债务水平可能是一个巨大的风险。
The Importance Of Debt To Return On Equity
债务对股本回报率的重要性
Virtually all companies need money to invest in the business, to grow profits. That cash can come from issuing shares, retained earnings, or debt. In the first and second cases, the ROE will reflect this use of cash for investment in the business. In the latter case, the debt used for growth will improve returns, but won't affect the total equity. In this manner the use of debt will boost ROE, even though the core economics of the business stay the same.
实际上,所有公司都需要资金来投资业务,以增加利润。这些现金可以来自发行股票、留存收益或债务。在第一和第二种情况下,投资回报率将反映出现金投资业务的使用情况。在后一种情况下,用于增长的债务将提高回报,但不会影响总权益。通过这种方式,债务的使用将提高投资回报率,尽管企业的核心经济状况保持不变。
Combining CDW's Debt And Its 61% Return On Equity
结合CDW的债务及其61%的股本回报率
It seems that CDW uses a huge volume of debt to fund the business, since it has an extremely high debt to equity ratio of 3.49. Its ROE is clearly quite good, but it seems to be boosted by the significant use of debt by the company.
CDW似乎使用大量债务为业务提供资金,因为它的负债权益比率非常高,为3.49。其投资回报率显然相当不错,但该公司大量使用债务似乎提振了投资回报率。
Summary
摘要
Return on equity is useful for comparing the quality of different businesses. Companies that can achieve high returns on equity without too much debt are generally of good quality. If two companies have around the same level of debt to equity, and one has a higher ROE, I'd generally prefer the one with higher ROE.
股本回报率对于比较不同业务的质量很有用。能够在不负债过多的情况下获得高股本回报的公司通常质量很好。如果两家公司的债务与股权比率大致相同,而一家公司的投资回报率更高,那么我通常更喜欢投资回报率更高的那家公司。
But when a business is high quality, the market often bids it up to a price that reflects this. Profit growth rates, versus the expectations reflected in the price of the stock, are a particularly important to consider. So I think it may be worth checking this free report on analyst forecasts for the company.
但是,当企业质量很高时,市场通常会以反映这一点的价格对其进行出价。与股票价格所反映的预期相比,利润增长率尤其需要考虑。因此,我认为可能值得查看这份关于分析师对公司的预测的免费报告。
But note: CDW may not be the best stock to buy. So take a peek at this free list of interesting companies with high ROE and low debt.
但请注意:CDW可能不是最值得买入的股票。因此,来看看这份免费列出的投资回报率高、债务低的有趣公司的名单。
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Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。