Is Veralto Corporation's (NYSE:VLTO) ROE Of 54% Impressive?
Is Veralto Corporation's (NYSE:VLTO) ROE Of 54% Impressive?
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). By way of learning-by-doing, we'll look at ROE to gain a better understanding of Veralto Corporation (NYSE:VLTO).
许多投资者仍在学习分析股票时可能有用的各种指标。本文适用于那些想了解股本回报率(ROE)的人。通过边干边学的方式,我们将研究投资回报率,以更好地了解Veralto公司(纽约证券交易所代码:VLTO)。
Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In other words, it is a profitability ratio which measures the rate of return on the capital provided by the company's shareholders.
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。换句话说,它是衡量公司股东提供的资本回报率的盈利比率。
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 Veralto is:
因此,根据上述公式,Veralto的投资回报率为:
54% = US$798m ÷ US$1.5b (Based on the trailing twelve months to March 2024).
54% = 7.98亿美元 ÷ 15亿美元(基于截至2024年3月的过去十二个月)。
The 'return' is the yearly profit. One way to conceptualize this is that for each $1 of shareholders' capital it has, the company made $0.54 in profit.
“回报” 是每年的利润。对此进行概念化的一种方法是,该公司每拥有1美元的股东资本,就能获得0.54美元的利润。
Does Veralto Have A Good Return On Equity?
Veralto 有良好的股本回报率吗?
Arguably the easiest way to assess company's ROE is to compare it with the average in its industry. However, this method is only useful as a rough check, because companies do differ quite a bit within the same industry classification. Pleasingly, Veralto has a superior ROE than the average (12%) in the Commercial Services industry.
可以说,评估公司投资回报率的最简单方法是将其与行业平均水平进行比较。但是,这种方法仅在粗略检查时有用,因为各公司在相同的行业分类中确实存在很大差异。令人高兴的是,Veralto的投资回报率高于商业服务行业的平均水平(12%)。
![roe](https://usnewsfile.moomoo.com/public/MM-PersistNewsContentImage/7781/20240601/0-b5fe3e47de2d57c437abfc0462e8239e-0-856574476fb7b55f33712b1024ec3285.png/big)
That's what we like to see. However, bear in mind that a high ROE doesn't necessarily indicate efficient profit generation. Aside from changes in net income, a high ROE can also be the outcome of high debt relative to equity, which indicates risk.
这就是我们喜欢看到的。但是,请记住,高投资回报率并不一定意味着有效的利润创造。除了净收入的变化外,较高的投资回报率也可能是高债务相对于股本的结果,这表明存在风险。
Why You Should Consider Debt When Looking At ROE
为什么在考虑投资回报率时应该考虑债务
Companies usually need to invest money 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. That will make the ROE look better than if no debt was used.
公司通常需要投资资金来增加利润。投资现金可以来自上一年度的利润(留存收益)、发行新股或借款。就第一和第二种选择而言,投资回报率将反映现金的这种用途,以实现增长。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。这将使投资回报率看起来比不使用债务时要好。
Combining Veralto's Debt And Its 54% Return On Equity
合并Veralto的债务及其54%的股本回报率
Veralto does use a high amount of debt to increase returns. It has a debt to equity ratio of 1.76. While no doubt that its ROE is impressive, we would have been even more impressed had the company achieved this with lower debt. Investors should think carefully about how a company might perform if it was unable to borrow so easily, because credit markets do change over time.
Veralto确实使用大量债务来增加回报。它的债务与权益比率为1.76。尽管毫无疑问,其投资回报率令人印象深刻,但如果该公司以较低的债务实现这一目标,我们会给我们留下更深刻的印象。投资者应该仔细考虑如果一家公司无法如此轻易地借款,其表现会如何,因为信贷市场确实会随着时间的推移而发生变化。
Conclusion
结论
Return on equity is one way we can compare its business quality of different companies. Companies that can achieve high returns on equity without too much debt are generally of good quality. All else being equal, a higher ROE is better.
股本回报率是我们可以比较不同公司的业务质量的一种方式。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。在其他条件相同的情况下,更高的投资回报率更好。
Having said that, while ROE is a useful indicator of business quality, you'll have to look at a whole range of factors to determine the right price to buy a stock. The rate at which profits are likely to grow, relative to the expectations of profit growth reflected in the current price, must be considered, too. So you might want to take a peek at this data-rich interactive graph of forecasts for the company.
话虽如此,尽管投资回报率是衡量业务质量的有用指标,但你必须考虑一系列因素才能确定购买股票的正确价格。还必须考虑利润可能增长的速度,相对于当前价格所反映的利润增长预期。因此,你可能想看看这张数据丰富的公司预测交互式图表。
But note: Veralto 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:Veralto可能不是最值得购买的股票。因此,来看看这份投资回报率高、负债率低的有趣公司的免费清单。
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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。