Is Great Eastern Holdings Limited's (SGX:G07) Stock Price Struggling As A Result Of Its Mixed Financials?
Is Great Eastern Holdings Limited's (SGX:G07) Stock Price Struggling As A Result Of Its Mixed Financials?
Great Eastern Holdings (SGX:G07) has had a rough week with its share price down 3.2%. It is possible that the markets have ignored the company's differing financials and decided to lean-in to the negative sentiment. Long-term fundamentals are usually what drive market outcomes, so it's worth paying close attention. Particularly, we will be paying attention to Great Eastern Holdings' ROE today.
大东方控股公司(新加坡证券交易所股票代码:G07)经历了艰难的一周,其股价下跌了3.2%。市场可能忽视了该公司不同的财务状况,决定倾向于负面情绪。长期基本面通常是推动市场结果的因素,因此值得密切关注。特别是,我们今天将关注大东方控股的投资回报率。
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。
How Is ROE Calculated?
ROE 是如何计算的?
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 Great Eastern Holdings is:
因此,根据上述公式,大东方控股的投资回报率为:
9.9% = S$789m ÷ S$8.0b (Based on the trailing twelve months to December 2023).
9.9% = 7.89亿新元 ÷ 80亿新元(基于截至2023年12月的过去十二个月)。
The 'return' is the yearly profit. That means that for every SGD1 worth of shareholders' equity, the company generated SGD0.10 in profit.
“回报” 是每年的利润。这意味着,每获得价值1新元的股东权益,该公司就会产生0.10新元的利润。
Why Is ROE Important For Earnings Growth?
为什么投资回报率对收益增长很重要?
So far, we've learned that ROE is a measure of a company's profitability. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company's earnings growth potential. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics.
到目前为止,我们已经了解到,投资回报率是衡量公司盈利能力的指标。然后,我们能够评估公司的收益增长潜力,具体取决于公司对这些利润进行再投资或 “保留” 了多少及其有效性。假设其他一切保持不变,那么与不一定具有这些特征的公司相比,投资回报率和利润保留率越高,公司的增长率就越高。
Great Eastern Holdings' Earnings Growth And 9.9% ROE
大东方控股的收益增长和9.9%的投资回报率
On the face of it, Great Eastern Holdings' ROE is not much to talk about. However, its ROE is similar to the industry average of 9.1%, so we won't completely dismiss the company. Having said that, Great Eastern Holdings' net income growth over the past five years is more or less flat. Bear in mind, the company's ROE is not very high. Hence, this provides some context to the flat earnings growth seen by the company.
从表面上看,大东方控股的投资回报率没什么好谈的。但是,其投资回报率与行业平均水平的9.1%相似,因此我们不会完全解散该公司。话虽如此,大东方控股在过去五年中的净收入增长基本持平。请记住,该公司的投资回报率不是很高。因此,这为公司盈利的持平增长提供了一些背景信息。
As a next step, we compared Great Eastern Holdings' net income growth with the industry and discovered that the industry saw an average growth of 8.2% in the same period.
下一步,我们将大东方控股的净收入增长与该行业进行了比较,发现该行业同期的平均增长率为8.2%。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240228/0-a4d982429853f1d20cdfd418f3c017ab-0-eb4e7b836b7a71e1f7bfcf34ae28701f.png/big)
Earnings growth is a huge factor in stock valuation. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. Is Great Eastern Holdings fairly valued compared to other companies? These 3 valuation measures might help you decide.
收益增长是股票估值的重要因素。无论如何,投资者应设法确定预期的收益增长或下降是否已计入其中。通过这样做,他们将知道股票是走向清澈的蓝色海水还是沼泽水域在等着呢。与其他公司相比,大东方控股的估值是否合理?这3种估值指标可能会帮助您做出决定。
Is Great Eastern Holdings Using Its Retained Earnings Effectively?
大东方控股有效使用其留存收益吗?
Despite having a moderate three-year median payout ratio of 32% (meaning the company retains68% of profits) in the last three-year period, Great Eastern Holdings' earnings growth was more or les flat. Therefore, there might be some other reasons to explain the lack in that respect. For example, the business could be in decline.
尽管在过去三年中三年派息率中位数为32%(这意味着该公司保留了68%的利润),但大东方控股的收益增长基本持平。因此,可能还有其他一些原因可以解释这方面的不足。例如,业务可能会下滑。
Additionally, Great Eastern Holdings has paid dividends over a period of at least ten years, which means that the company's management is determined to pay dividends even if it means little to no earnings growth.
此外,大东方控股在至少十年内派发了股息,这意味着即使收益增长微乎其微,公司的管理层也决心派发股息。
Summary
摘要
In total, we're a bit ambivalent about Great Eastern Holdings' performance. While the company does have a high rate of reinvestment, the low ROE means that all that reinvestment is not reaping any benefit to its investors, and moreover, its having a negative impact on the earnings growth. Up till now, we've only made a short study of the company's growth data. To gain further insights into Great Eastern Holdings' past profit growth, check out this visualization of past earnings, revenue and cash flows.
总的来说,我们对大东方控股的表现有点矛盾。尽管该公司的再投资率确实很高,但低投资回报率意味着所有这些再投资都没有给投资者带来任何好处,而且还对收益增长产生了负面影响。到目前为止,我们只对公司的增长数据进行了简短的研究。要进一步了解大东方控股过去的利润增长,请查看这份过去收益、收入和现金流的可视化图表。
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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。