Are East Group Co.,Ltd's (SZSE:300376) Mixed Financials Driving The Negative Sentiment?
Are East Group Co.,Ltd's (SZSE:300376) Mixed Financials Driving The Negative Sentiment?
With its stock down 6.7% over the past month, it is easy to disregard East GroupLtd (SZSE:300376). We, however decided to study the company's financials to determine if they have got anything to do with the price decline. Fundamentals usually dictate market outcomes so it makes sense to study the company's financials. Specifically, we decided to study East GroupLtd's ROE in this article.
東方集團有限公司(深圳證券交易所代碼:300376)的股票在過去一個月中下跌了6.7%,很容易被忽視。但是,我們決定研究公司的財務狀況,以確定它們是否與價格下跌有關。基本面通常決定市場結果,因此研究公司的財務狀況是有意義的。具體而言,我們決定在本文中研究東方集團有限公司的投資回報率。
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. In simpler terms, it measures the profitability of a company in relation to shareholder's equity.
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,它衡量公司相對於股東權益的盈利能力。
How To Calculate Return On Equity?
如何計算股本回報率?
ROE can be calculated by using the formula:
ROE 可以通過以下公式計算:
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 East GroupLtd is:
因此,根據上述公式,東方集團有限公司的投資回報率爲:
6.3% = CN¥469m ÷ CN¥7.4b (Based on the trailing twelve months to March 2024).
6.3% = 4.69億元人民幣 ÷ 74億元人民幣(基於截至2024年3月的過去十二個月)。
The 'return' is the amount earned after tax over the last twelve months. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.06.
“回報” 是過去十二個月的稅後收入。因此,這意味着公司每投資1元人民幣,公司就會產生0.06元人民幣的利潤。
What Has ROE Got To Do With Earnings Growth?
投資回報率與收益增長有什麼關係?
So far, we've learned that ROE is a measure of a company's profitability. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. 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.
到目前爲止,我們已經了解到,投資回報率是衡量公司盈利能力的指標。現在,我們需要評估公司再投資或 “保留” 了多少利潤以用於未來的增長,從而使我們對公司的增長潛力有所了解。假設其他一切保持不變,那麼與不一定具有這些特徵的公司相比,投資回報率和利潤保留率越高,公司的增長率就越高。
East GroupLtd's Earnings Growth And 6.3% ROE
East GroupLtd的收益增長和6.3%的投資回報率
At first glance, East GroupLtd's ROE doesn't look very promising. However, its ROE is similar to the industry average of 6.8%, so we won't completely dismiss the company. On the other hand, East GroupLtd reported a fairly low 2.5% net income growth over the past five years. Remember, the company's ROE is not particularly great to begin with. Hence, this does provide some context to low earnings growth seen by the company.
乍一看,東方集團的投資回報率看起來並不十分樂觀。但是,其投資回報率與行業平均水平的6.8%相似,因此我們不會完全解散該公司。另一方面,East GroupLtd報告稱,在過去五年中,2.5%的淨收入增長相當低。請記住,公司的投資回報率一開始並不是特別好。因此,這確實爲公司所看到的低收益增長提供了一些背景信息。
Next, on comparing with the industry net income growth, we found that East GroupLtd's reported growth was lower than the industry growth of 12% over the last few years, which is not something we like to see.
接下來,與行業淨收入增長相比,我們發現East GroupLtd報告的增長低於過去幾年12%的行業增長,這不是我們希望看到的。
![past-earnings-growth](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240514/0-71be19b915e8823036e4d966ae90c365-0-01d483dcc301ed8b0a0c4f744fdf5677.png/big)
Earnings growth is an important metric to consider when valuing a stock. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). This then helps them determine if the stock is placed for a bright or bleak future. Is East GroupLtd fairly valued compared to other companies? These 3 valuation measures might help you decide.
收益增長是對股票進行估值時要考慮的重要指標。對於投資者來說,重要的是要知道市場是否對公司的預期收益增長(或下降)進行了定價。然後,這可以幫助他們確定股票是面向光明還是暗淡的未來。與其他公司相比,東方集團有限公司的估值是否合理?這3種估值指標可能會幫助您做出決定。
Is East GroupLtd Making Efficient Use Of Its Profits?
東方集團有限公司是否在有效利用其利潤?
East GroupLtd's low three-year median payout ratio of 15% (or a retention ratio of 85%) should mean that the company is retaining most of its earnings to fuel its growth. However, the low earnings growth number doesn't reflect this fact. So there might be other factors at play here which could potentially be hampering growth. For example, the business has faced some headwinds.
East GroupLtd的三年中位數派息率很低,爲15%(或85%的留存率),這意味着該公司將保留大部分收益來推動其增長。但是,低收入增長數字並不能反映這一事實。因此,這裏可能還有其他因素在起作用,這些因素可能會阻礙增長。例如,該業務面臨一些阻力。
Additionally, East GroupLtd 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,East GroupLtd已在至少十年內派發了股息,這意味着即使收益增長微乎其微,公司的管理層也決心支付股息。
Conclusion
結論
Overall, we have mixed feelings about East GroupLtd. While the company does have a high rate of profit retention, its low rate of return is probably hampering its earnings growth. With that said, the latest industry analyst forecasts reveal that the company's earnings are expected to accelerate. To know more about the latest analysts predictions for the company, check out this visualization of analyst forecasts for the company.
總的來說,我們對東方集團有限公司的看法喜憂參半。儘管該公司的利潤保留率確實很高,但其低迴報率可能會阻礙其收益增長。話雖如此,最新的行業分析師預測顯示,該公司的收益有望加速。要詳細了解分析師對公司的最新預測,請查看該公司的分析師預測的可視化。
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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。