Zhejiang Sanwei Rubber Item Co., Ltd. (SHSE:603033) shareholders might be concerned after seeing the share price drop 30% in the last quarter. But that scarcely detracts from the really solid long term returns generated by the company over five years. In fact, the share price is 138% higher today. So while it's never fun to see a share price fall, it's important to look at a longer time horizon. The more important question is whether the stock is too cheap or too expensive today. Unfortunately not all shareholders will have held it for the long term, so spare a thought for those caught in the 42% decline over the last twelve months.
Since it's been a strong week for Zhejiang Sanwei Rubber Item shareholders, let's have a look at trend of the longer term fundamentals.
View our latest analysis for Zhejiang Sanwei Rubber Item
While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).
During five years of share price growth, Zhejiang Sanwei Rubber Item achieved compound earnings per share (EPS) growth of 0.7% per year. This EPS growth is lower than the 19% average annual increase in the share price. This suggests that market participants hold the company in higher regard, these days. That's not necessarily surprising considering the five-year track record of earnings growth. This favorable sentiment is reflected in its (fairly optimistic) P/E ratio of 99.58.
You can see how EPS has changed over time in the image below (click on the chart to see the exact values).
SHSE:603033 Earnings Per Share Growth October 20th 2022
It might be well worthwhile taking a look at our free report on Zhejiang Sanwei Rubber Item's earnings, revenue and cash flow.
What About The Total Shareholder Return (TSR)?
We'd be remiss not to mention the difference between Zhejiang Sanwei Rubber Item's total shareholder return (TSR) and its share price return. Arguably the TSR is a more complete return calculation because it accounts for the value of dividends (as if they were reinvested), along with the hypothetical value of any discounted capital that have been offered to shareholders. Dividends have been really beneficial for Zhejiang Sanwei Rubber Item shareholders, and that cash payout contributed to why its TSR of 145%, over the last 5 years, is better than the share price return.
A Different Perspective
We regret to report that Zhejiang Sanwei Rubber Item shareholders are down 42% for the year. Unfortunately, that's worse than the broader market decline of 17%. However, it could simply be that the share price has been impacted by broader market jitters. It might be worth keeping an eye on the fundamentals, in case there's a good opportunity. Longer term investors wouldn't be so upset, since they would have made 20%, each year, over five years. It could be that the recent sell-off is an opportunity, so it may be worth checking the fundamental data for signs of a long term growth trend. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Even so, be aware that Zhejiang Sanwei Rubber Item is showing 3 warning signs in our investment analysis , and 1 of those makes us a bit uncomfortable...
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CN exchanges.
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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.
浙江三威橡膠製品有限公司。(上海證券交易所:603033)上個季度股價下跌30%後,股東們可能會感到擔憂。但這幾乎不會減損該公司在五年內產生的真正穩健的長期回報。事實上,今天的股價上漲了138%。因此,雖然看到股價下跌從來都不是一件有趣的事情,但重要的是要着眼於更長的時間範圍。更重要的問題是,目前這隻股票是太便宜還是太貴。不幸的是,並不是所有的股東都會長期持有它,所以請考慮一下那些在過去12個月中陷入42%跌幅的人。
由於本週對浙江三威橡膠項目的股東來説是強勁的一週,讓我們來看看較長期基本面的走勢。
查看我們對浙江三威橡膠項目的最新分析
雖然有效市場假説繼續被一些人傳授,但事實證明,市場是過度反應的動態系統,投資者並不總是理性的。考察市場情緒如何隨時間變化的一種方法是觀察一家公司的股價和每股收益(EPS)之間的相互作用。
在五年的股價增長中,浙江三威橡膠項目實現了每股收益(EPS)年均0.7%的複合增長。這一每股收益增幅低於該公司股價平均每年19%的增幅。這表明,這些天來,市場參與者對該公司的評價更高。考慮到五年來盈利增長的記錄,這並不一定令人驚訝。這種有利的情緒反映在其(相當樂觀的)市盈率為99.58。
您可以在下圖中看到EPS是如何隨着時間的推移而變化的(單擊圖表可查看精確值)。
上海證交所:2022年10月20日每股收益增長603033
也許很值得一看我們的免費報告浙江三威橡膠項目的收益、收入和現金流。
那麼總股東回報(TSR)呢?
更不用説浙江三威橡膠的區別了股東總回報(TSR)及其股價回報。可以説,TSR是一種更完整的回報計算方法,因為它計入了股息的價值(就像它們被再投資一樣),以及向股東提供的任何貼現資本的假設價值。股息對浙江三威橡膠項目的股東來説確實是有益的,而現金支付也是該公司過去5年145%的TSR好於股價回報的原因之一。
不同的視角
我們遺憾地報告,浙江三威橡膠項目股東今年以來下跌了42%。不幸的是,這比大盤17%的跌幅還要糟糕。然而,這可能只是因為股價受到了更廣泛的市場緊張情緒的影響。也許有必要關注基本面,以防出現良機。較長期的投資者不會如此沮喪,因為他們在五年內每年會獲得20%的收益。最近的拋售可能是一個機會,因此可能值得查看基本面數據,以尋找長期增長趨勢的跡象。我發現,把股價作為衡量企業業績的長期指標是非常有趣的。但為了真正獲得洞察力,我們還需要考慮其他信息。即便如此,請注意,浙江三威橡膠項目正在展示我們的投資分析中的3個警告信號,其中一條讓我們有點不舒服...
如果你更願意看看另一家公司--一家財務狀況可能更好的公司--那麼不要錯過這一點免費已證明自己能夠實現盈利增長的公司名單。
請注意,本文引用的市場回報反映了目前在CN交易所交易的股票的市場加權平均回報。
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本文由Simply Wall St.撰寫,具有概括性。我們僅使用不偏不倚的方法提供基於歷史數據和分析師預測的評論,我們的文章並不打算作為財務建議。它不構成買賣任何股票的建議,也沒有考慮你的目標或你的財務狀況。我們的目標是為您帶來由基本面數據驅動的長期重點分析。請注意,我們的分析可能不會將最新的對價格敏感的公司公告或定性材料考慮在內。Simply Wall St.對上述任何一隻股票都沒有持倉。