Jiangxi GETO New Materials Corporation Limited (SZSE:300986) Delivered A Weaker ROE Than Its Industry
Jiangxi GETO New Materials Corporation Limited (SZSE:300986) Delivered A Weaker ROE Than Its Industry
Many investors are still learning about the various metrics that can be useful when analysing a stock. This article is for those who would like to learn about Return On Equity (ROE). To keep the lesson grounded in practicality, we'll use ROE to better understand Jiangxi GETO New Materials Corporation Limited (SZSE:300986).
許多投資者仍在學習分析股票時可能有用的各種指標。本文適用於那些想了解股本回報率(ROE)的人。爲了使課程以實用爲基礎,我們將使用投資回報率來更好地了解江西捷途新材料股份有限公司(深圳證券交易所代碼:300986)。
Return on equity or ROE is an important factor to be considered by a shareholder because it tells them how effectively their capital is being reinvested. Simply put, it is used to assess the profitability of a company in relation to its equity capital.
股本回報率或投資回報率是股東需要考慮的重要因素,因爲它可以告訴他們資本再投資的有效性。簡而言之,它用於評估公司相對於其股權資本的盈利能力。
View our latest analysis for Jiangxi GETO New Materials
查看我們對江西杰特新材料的最新分析
How Is ROE Calculated?
ROE 是如何計算的?
Return on equity can be calculated by using the formula:
股本回報率可以使用以下公式計算:
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回報率 = 淨利潤(來自持續經營業務)÷ 股東權益
So, based on the above formula, the ROE for Jiangxi GETO New Materials is:
因此,根據上述公式,江西捷拓新材的投資回報率爲:
3.5% = CN¥59m ÷ CN¥1.7b (Based on the trailing twelve months to September 2023).
3.5% = 5900萬元人民幣 ÷ 17億元人民幣(基於截至2023年9月的過去十二個月)。
The 'return' refers to a company's earnings over the last year. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.03.
“回報” 是指公司去年的收益。因此,這意味着該公司每投資1元人民幣,就會產生0.03元人民幣的利潤。
Does Jiangxi GETO New Materials Have A Good Return On Equity?
江西捷拓新材有良好的股本回報率嗎?
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 shown in the graphic below, Jiangxi GETO New Materials has a lower ROE than the average (7.0%) in the Metals and Mining industry classification.
確定公司股本回報率是否不錯的一種簡單方法是將其與該行業的平均水平進行比較。但是,這種方法僅在粗略檢查時有用,因爲各公司在相同的行業分類中確實存在很大差異。如下圖所示,江西捷拓新材料的投資回報率低於金屬和採礦行業分類中的平均水平(7.0%)。
![roe](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240123/0-356ac1048a95c575c2fbc4b9f711d32d-0-f2e5c9948a16544a0b4c97cf091c4b0c.png/big)
That certainly isn't ideal. That being said, a low ROE is not always a bad thing, especially if the company has low leverage as this still leaves room for improvement if the company were to take on more debt. A company with high debt levels and low ROE is a combination we like to avoid given the risk involved. You can see the 4 risks we have identified for Jiangxi GETO New Materials by visiting our risks dashboard for free on our platform here.
這當然不理想。話雖如此,低投資回報率並不總是一件壞事,尤其是在公司的槓桿率低的情況下,因爲如果公司承擔更多債務,這仍有改進的餘地。鑑於所涉及的風險,高債務水平和低投資回報率的公司是我們希望避免的組合。您可以訪問我們爲江西捷拓新材料確定的四種風險 風險儀表板 在我們的平台上免費使用。
How Does Debt Impact Return On Equity?
債務如何影響股本回報率?
Most companies need money -- from somewhere -- to grow their profits. The cash for investment can come from prior year profits (retained earnings), issuing new shares, or borrowing. In the case of the first and second options, the ROE will reflect this use of cash, for growth. 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.
大多數公司需要來自某個地方的錢來增加利潤。投資現金可以來自上一年的利潤(留存收益)、發行新股或借款。就第一和第二種選擇而言,投資回報率將反映出現金的使用情況,以實現增長。在後一種情況下,用於增長的債務將提高回報,但不會影響總權益。通過這種方式,債務的使用將提高投資回報率,儘管企業的核心經濟狀況保持不變。
Jiangxi GETO New Materials' Debt And Its 3.5% ROE
江西捷通新材的債務及其3.5%的投資回報率
It's worth noting the high use of debt by Jiangxi GETO New Materials, leading to its debt to equity ratio of 1.10. With a fairly low ROE, and significant use of debt, it's hard to get excited about this business at the moment. Debt does bring extra risk, so it's only really worthwhile when a company generates some decent returns from it.
值得注意的是,江西捷通新材大量使用債務,導致其負債權益比率爲1.10。由於投資回報率相當低,而且債務使用量很大,目前很難對這項業務感到興奮。債務確實會帶來額外的風險,因此只有當公司從中獲得可觀的回報時,債務才是真正值得的。
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 the same ROE, then I would generally prefer the one with less debt.
股本回報率對於比較不同業務的質量很有用。能夠在不負債過多的情況下獲得高股本回報的公司通常質量很好。如果兩家公司的投資回報率相同,那麼我通常更喜歡負債較少的公司。
But ROE is just one piece of a bigger puzzle, since high quality businesses often trade on high multiples of earnings. It is important to consider other factors, such as future profit growth -- and how much investment is required going forward. So I think it may be worth checking this free report on analyst forecasts for the company.
但是,投資回報率只是更大難題中的一部分,因爲高質量的企業通常以較高的收益倍數進行交易。重要的是要考慮其他因素,例如未來的利潤增長以及未來需要多少投資。因此,我認爲可能值得查看這份關於分析師對公司的預測的免費報告。
If you would prefer check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.
如果你更願意去另一家公司——一家財務狀況可能優越的公司——那麼千萬不要錯過這份免費的股本回報率高、債務低的有趣公司的名單。
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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。