Dongguan Dingtong Precision Metal (SHSE:688668) Will Be Hoping To Turn Its Returns On Capital Around
Dongguan Dingtong Precision Metal (SHSE:688668) Will Be Hoping To Turn Its Returns On Capital Around
What trends should we look for it we want to identify stocks that can multiply in value over the long term? In a perfect world, we'd like to see a company investing more capital into its business and ideally the returns earned from that capital are also increasing. Basically this means that a company has profitable initiatives that it can continue to reinvest in, which is a trait of a compounding machine. Although, when we looked at Dongguan Dingtong Precision Metal (SHSE:688668), it didn't seem to tick all of these boxes.
如果我們想確定可以長期成倍增長的股票,我們應該尋找什麼趨勢?在一個完美的世界中,我們希望看到一家公司向其業務投入更多資本,理想情況下,從這些資本中獲得的回報也在增加。基本上,這意味着公司擁有可以繼續進行再投資的盈利計劃,這是複合機器的特徵。但是,當我們查看東莞鼎通精密五金(SHSE: 688668)時,它似乎並沒有勾選所有這些方框。
Understanding Return On Capital Employed (ROCE)
了解資本使用回報率 (ROCE)
For those who don't know, ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business. Analysts use this formula to calculate it for Dongguan Dingtong Precision Metal:
對於那些不知道的人來說,ROCE是衡量公司年度稅前利潤(其回報率)的指標,相對於該業務使用的資本。分析師使用這個公式來計算東莞鼎通精密金屬的金額:
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)
0.039 = CN¥69m ÷ (CN¥1.9b - CN¥152m) (Based on the trailing twelve months to December 2023).
0.039 = 6900萬元人民幣 ÷(19億元人民幣-1.52億元人民幣) (基於截至2023年12月的過去十二個月)。
So, Dongguan Dingtong Precision Metal has an ROCE of 3.9%. In absolute terms, that's a low return and it also under-performs the Electrical industry average of 6.4%.
因此,東莞鼎通精密金屬的投資回報率爲3.9%。從絕對值來看,這是一個低迴報,其表現也低於電氣行業6.4%的平均水平。
In the above chart we have measured Dongguan Dingtong Precision Metal'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 analyst report for Dongguan Dingtong Precision Metal .
在上圖中,我們將東莞鼎通精密金屬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,可以在我們的免費東莞鼎通精密金屬分析師報告中查看分析師的預測。
So How Is Dongguan Dingtong Precision Metal's ROCE Trending?
那麼東莞鼎通精密金屬的投資回報率走勢如何?
In terms of Dongguan Dingtong Precision Metal's historical ROCE movements, the trend isn't fantastic. To be more specific, ROCE has fallen from 25% over the last five years. Given the business is employing more capital while revenue has slipped, this is a bit concerning. This could mean that the business is losing its competitive advantage or market share, because while more money is being put into ventures, it's actually producing a lower return - "less bang for their buck" per se.
就東莞鼎通精密金屬的歷史ROCE走勢而言,這一趨勢並不理想。更具體地說,投資回報率已從過去五年的25%下降。鑑於該企業在收入下滑的情況下僱用了更多的資本,這有點令人擔憂。這可能意味着該企業正在失去其競爭優勢或市場份額,因爲儘管向風險投資投入了更多的資金,但它產生的回報實際上更低—— “成本效益更低” 本身。
On a related note, Dongguan Dingtong Precision Metal has decreased its current liabilities to 7.8% of total assets. That could partly explain why the ROCE has dropped. What's more, this can reduce some aspects of risk to the business because now the company's suppliers or short-term creditors are funding less of its operations. Some would claim this reduces the business' efficiency at generating ROCE since it is now funding more of the operations with its own money.
與此相關的是,東莞鼎通精密金屬已將其流動負債減少至總資產的7.8%。這可以部分解釋投資回報率下降的原因。更重要的是,這可以降低業務風險的某些方面,因爲現在公司的供應商或短期債權人爲其運營提供的資金減少了。有人會聲稱這降低了企業產生投資回報率的效率,因爲該公司現在正在用自己的資金爲更多的業務提供資金。
What We Can Learn From Dongguan Dingtong Precision Metal's ROCE
我們可以從東莞鼎通精密金屬的ROCE中學到什麼
In summary, we're somewhat concerned by Dongguan Dingtong Precision Metal's diminishing returns on increasing amounts of capital. Since the stock has skyrocketed 189% over the last three years, it looks like investors have high expectations of the stock. In any case, the current underlying trends don't bode well for long term performance so unless they reverse, we'd start looking elsewhere.
總而言之,我們對東莞鼎通精密金屬因資本額增加而產生的回報減少感到擔憂。由於該股在過去三年中飆升了189%,因此投資者似乎對該股抱有很高的期望。無論如何,當前的潛在趨勢對長期表現來說並不是一個好兆頭,因此,除非趨勢逆轉,否則我們將開始將目光投向其他地方。
One final note, you should learn about the 3 warning signs we've spotted with Dongguan Dingtong Precision Metal (including 1 which shouldn't be ignored) .
最後一點,你應該了解一下我們在東莞鼎通精密金屬身上發現的3個警告標誌(包括一個不容忽視的警示標誌)。
While Dongguan Dingtong Precision Metal isn't earning the highest return, check out this free list of companies that are earning high returns on equity with solid balance sheets.
儘管東莞鼎通精密金屬的回報率並不高,但請查看這份免費清單,列出了資產負債表穩健的股本回報率高的公司。
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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。
譯文內容由第三人軟體翻譯。