Cummins (NYSE:CMI) Shareholders Have Earned a 14% CAGR Over the Last Five Years
Cummins (NYSE:CMI) Shareholders Have Earned a 14% CAGR Over the Last Five Years
If you buy and hold a stock for many years, you'd hope to be making a profit. Furthermore, you'd generally like to see the share price rise faster than the market. Unfortunately for shareholders, while the Cummins Inc. (NYSE:CMI) share price is up 65% in the last five years, that's less than the market return. Over the last twelve months the stock price has risen a very respectable 16%.
如果你購買並持有股票多年，你希望能夠獲得利潤。此外，你通常希望看到股價上漲的速度比市場更快。不幸的是，對於股東來說，雖然Cummins股票價值在過去五年裏上漲了65%，但這還不如市場回報率高。在過去的十二個月裏，股價已經漲了16%。
Now it's worth having a look at the company's fundamentals too, because that will help us determine if the long term shareholder return has matched the performance of the underlying business.
現在值得更詳細地了解該公司的基本面，因爲這將幫助我們判斷長期股東回報是否與基礎業務的表現相匹配。
To paraphrase Benjamin Graham: Over the short term the market is a voting machine, but over the long term it's a weighing machine. One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.
引用本傑明·格雷厄姆的話：短期內市場是一個投票機，但長期來看它是一個稱重機。評估公司周邊環境的情緒變化的一種有缺陷但合理的方法是將每股收益（EPS）與股價進行比較。
During five years of share price growth, Cummins actually saw its EPS drop 1.7% per year.
在股價增長的五年中，Cummins每股收益實際下降了1.7%。
So it's hard to argue that the earnings per share are the best metric to judge the company, as it may not be optimized for profits at this point. Since the change in EPS doesn't seem to correlate with the change in share price, it's worth taking a look at other metrics.
因此，很難說每股收益是評判公司的最佳指標，因爲此時它可能沒有針對利潤進行優化。由於每股收益的變化似乎與股價的變化無關，因此值得查看其他指標。
In contrast revenue growth of 9.2% per year is probably viewed as evidence that Cummins is growing, a real positive. It's quite possible that management are prioritizing revenue growth over EPS growth at the moment.
相比之下，每年9.2%的營業收入增長可能被視爲Cummins正在增長的證據，是一個真正的積極因素。目前，管理層優先考慮營收增長，而不是每股收益增長。
The image below shows how earnings and revenue have tracked over time (if you click on the image you can see greater detail).
下圖顯示了收益和營收隨時間變化的情況（如果你點擊圖像，可以看到更多細節）：
It's probably worth noting we've seen significant insider buying in the last quarter, which we consider a positive. That said, we think earnings and revenue growth trends are even more important factors to consider. This free report showing analyst forecasts should help you form a view on Cummins
值得注意的是，上一季度我們看到了大量內部買入，這被視爲一個積極因素。話雖如此，我們認爲利潤和營收增長趨勢更重要。這份免費的報告顯示分析師的預測，應該對你形成一個看法Cummins。
What About Dividends?
那麼分紅怎麼樣呢？
It is important to consider the total shareholder return, as well as the share price return, for any given stock. The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested. It's fair to say that the TSR gives a more complete picture for stocks that pay a dividend. As it happens, Cummins' TSR for the last 5 years was 89%, which exceeds the share price return mentioned earlier. This is largely a result of its dividend payments!
對於任何給定的股票，考慮總股東回報和股價回報都很重要。TSR將任何分拆或折價資本募集的價值，以及任何股息，納入其中，假定股息被再投資。可以說，TSR爲支付股息的股票提供了更全面的圖片。恰恰相反，Cummins在過去5年的TSR爲89%，超過了前面提到的股票回報率。這在很大程度上是由於其股息支付的結果！
A Different Perspective
不同的觀點
Cummins provided a TSR of 19% over the last twelve months. But that was short of the market average. On the bright side, that's still a gain, and it's actually better than the average return of 14% over half a decade This could indicate that the company is winning over new investors, as it pursues its strategy. 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. For instance, we've identified 1 warning sign for Cummins that you should be aware of.
Cummins在過去的十二個月內提供的TSR爲19%。但這比市場平均水平低。光明面是，這仍然是一個增長，它實際上比過去五年14%的平均回報更好。這可能表明Cummins正吸引新的投資者，因爲它追求其戰略。我認爲研究長期以來的股價作爲業務績效的代理非常有趣。但爲了真正了解情況，我們還需要考慮其他信息。例如，我們已經確定了Cummins的一個預警信號，你應該注意。
Cummins is not the only stock insiders are buying. So take a peek at this free list of small cap companies at attractive valuations which insiders have been buying.
Cummins並不是內部人正在購買的唯一股票。所以看一眼這個免費的小盤公司列表，這些公司價格有吸引力，而且內部人一直在購買。
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.
請注意，本文所引述的市場回報反映了目前在美國交易所上市的股票的市場加權平均回報。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.
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.
對本文有反饋？關於內容有所顧慮？直接和我們聯繫。或者，發送電子郵件至editorial-team (at) simplywallst.com。
這篇文章是Simply Wall St的一般性文章。我們根據歷史數據和分析師預測提供評論，只使用公正的方法論，我們的文章並不意味着提供任何金融建議。文章不構成買賣任何股票的建議，也不考慮您的目標或您的財務狀況。我們的目標是帶給您基本數據驅動的長期關注分析。請注意，我們的分析可能不考慮最新的價格敏感公司公告或定性材料。Simply Wall St沒有任何股票頭寸。
Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com
對本文有反饋？關於內容有所顧慮？直接和我們聯繫。或者發送電子郵件至editorial-team@simplywallst.com。
譯文內容由第三人軟體翻譯。