Shanghai Titan Scientific (SHSE:688133) Could Be Struggling To Allocate Capital
Shanghai Titan Scientific (SHSE:688133) Could Be Struggling To Allocate Capital
What trends should we look for it we want to identify stocks that can multiply in value over the long term? Firstly, we'll want to see a proven return on capital employed (ROCE) that is increasing, and secondly, an expanding base of capital employed. This shows us that it's a compounding machine, able to continually reinvest its earnings back into the business and generate higher returns. In light of that, when we looked at Shanghai Titan Scientific (SHSE:688133) and its ROCE trend, we weren't exactly thrilled.
我們應該尋找哪些趨勢?我們想確定可以長期價值成倍增長的股票?首先,我們希望看到經過驗證的 返回 關於正在增加的資本使用率(ROCE),其次是擴大 基礎 所用資本的比例。這向我們表明,它是一臺複合機器,能夠持續將其收益再投資到業務中併產生更高的回報。有鑑於此,當我們研究上海泰坦科學(SHSE: 688133)及其投資回報率趨勢時,我們並不十分興奮。
Return On Capital Employed (ROCE): What Is It?
資本使用回報率(ROCE):這是什麼?
If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business. To calculate this metric for Shanghai Titan Scientific, this is the formula:
如果你以前沒有與ROCE合作過,它會衡量公司從其業務中使用的資本中產生的 “回報”(稅前利潤)。要計算上海泰坦科學的這個指標,公式如下:
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)
0.036 = CN¥114m ÷ (CN¥4.3b - CN¥1.1b) (Based on the trailing twelve months to September 2023).
0.036 = 1.14億元人民幣 ÷(43億元人民幣-11億元人民幣) (基於截至2023年9月的過去十二個月)。
Therefore, Shanghai Titan Scientific has an ROCE of 3.6%. Ultimately, that's a low return and it under-performs the Chemicals industry average of 5.7%.
因此,上海泰坦科學的投資回報率爲3.6%。歸根結底,這是一個低迴報,其表現低於化工行業5.7%的平均水平。
![roce](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240213/0-3e61884d4916932bb8bd7994ee5c4479-0-fef5fb554313b175c650a89f58b75fb0.png/big)
In the above chart we have measured Shanghai Titan Scientific's prior ROCE against its prior performance, but the future is arguably more important. If you're interested, you can view the analysts predictions in our free report on analyst forecasts for the company.
在上圖中,我們將上海泰坦科學先前的投資回報率與之前的表現進行了對比,但可以說,未來更爲重要。如果您有興趣,可以在我們關於公司分析師預測的免費報告中查看分析師的預測。
What The Trend Of ROCE Can Tell Us
ROCE 的趨勢能告訴我們什麼
When we looked at the ROCE trend at Shanghai Titan Scientific, we didn't gain much confidence. Over the last five years, returns on capital have decreased to 3.6% from 17% five years ago. However it looks like Shanghai Titan Scientific might be reinvesting for long term growth because while capital employed has increased, the company's sales haven't changed much in the last 12 months. It's worth keeping an eye on the company's earnings from here on to see if these investments do end up contributing to the bottom line.
當我們查看上海泰坦科學的投資回報率趨勢時,我們並沒有獲得太大的信心。在過去五年中,資本回報率從五年前的17%下降到3.6%。但是,看來上海泰坦科學可能正在進行再投資以實現長期增長,因爲儘管動用資本有所增加,但該公司的銷售額在過去12個月中沒有太大變化。從現在起,值得關注公司的收益,看看這些投資最終是否確實爲利潤做出了貢獻。
On a side note, Shanghai Titan Scientific has done well to pay down its current liabilities to 25% of total assets. That could partly explain why the ROCE has dropped. Effectively this means their suppliers or short-term creditors are funding less of the business, which reduces some elements of risk. Since the business is basically funding more of its operations with it's own money, you could argue this has made the business less efficient at generating ROCE.
順便說一句,上海泰坦科學在償還其流動負債至總資產的25%方面做得很好。這可以部分解釋投資回報率下降的原因。實際上,這意味着他們的供應商或短期債權人減少了對企業的融資,從而降低了某些風險因素。由於該企業基本上是用自己的資金爲其運營提供更多資金,因此您可能會爭辯說,這降低了企業產生投資回報率的效率。
The Bottom Line
底線
In summary, Shanghai Titan Scientific is reinvesting funds back into the business for growth but unfortunately it looks like sales haven't increased much just yet. It seems that investors have little hope of these trends getting any better and that may have partly contributed to the stock collapsing 70% in the last three years. All in all, the inherent trends aren't typical of multi-baggers, so if that's what you're after, we think you might have more luck elsewhere.
總而言之,上海泰坦科學正在將資金再投資到該業務中以實現增長,但不幸的是,銷售額似乎還沒有太大增長。看來投資者對這些趨勢好轉幾乎沒有希望,這可能是該股在過去三年中暴跌70%的部分原因。總而言之,多裝袋機的固有趨勢並不常見,因此,如果您想要這樣做,我們認爲您在其他地方可能會有更多的運氣。
One more thing: We've identified 2 warning signs with Shanghai Titan Scientific (at least 1 which can't be ignored) , and understanding these would certainly be useful.
還有一件事:我們已經與上海泰坦科學確定了2個警告信號(至少有1個不容忽視),了解這些信號肯定會很有用。
If you want to search for solid companies with great earnings, check out this free list of companies with good balance sheets and impressive returns on equity.
如果你想尋找收益豐厚的穩健公司,可以免費查看這份資產負債表良好且股本回報率可觀的公司名單。
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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。