Should Weakness in ICON Public Limited Company's (NASDAQ:ICLR) Stock Be Seen As A Sign That Market Will Correct The Share Price Given Decent Financials?
Should Weakness in ICON Public Limited Company's (NASDAQ:ICLR) Stock Be Seen As A Sign That Market Will Correct The Share Price Given Decent Financials?
ICON (NASDAQ:ICLR) has had a rough three months with its share price down 6.8%. But if you pay close attention, you might find that its key financial indicators look quite decent, which could mean that the stock could potentially rise in the long-term given how markets usually reward more resilient long-term fundamentals. In this article, we decided to focus on ICON's ROE.
ICON (納斯達克:ICLR) 過去三個月表現不佳，股價下跌6.8%。但如果你仔細關注，會發現其主要財務指標看起來相當不錯，這可能意味着該股票長期潛在上漲，因爲市場通常獎勵更具韌性的長期基本面。在本篇文章中，我們決定重點關注ICON的roe。
Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. In short, ROE shows the profit each dollar generates with respect to its shareholder investments.
股本回報率或roe是評估公司管理層如何有效利用公司資本的關鍵指標。簡而言之，ROE顯示每美元股東投資所產生的利潤。
How To Calculate Return On Equity?
如何計算股東權益報酬率？
The formula for return on equity is:
權益回報率的計算公式是：
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
淨資產收益率 = 淨利潤（從持續經營中獲得）÷ 股東權益
So, based on the above formula, the ROE for ICON is:
基於上述公式，ICON的roe爲:
7.2% = US$683m ÷ US$9.4b (Based on the trailing twelve months to March 2024).
7.2% = US$ 6.83億 ÷ US$ 94億(根據截至2024年3月的過去十二個月)。
The 'return' is the amount earned after tax over the last twelve months. Another way to think of that is that for every $1 worth of equity, the company was able to earn $0.07 in profit.
“回報”是納稅後在過去12個月內賺取的金額。另一種思考方式是，對於每1美元的股本，公司能夠賺取0.07美元的利潤。
Why Is ROE Important For Earnings Growth?
ROE對於盈利增長的重要性是什麼？
So far, we've learned that ROE is a measure of a company's profitability. Depending on how much of these profits the company reinvests or "retains", and how effectively it does so, we are then able to assess a company's earnings growth potential. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don't share these attributes.
到目前爲止，我們已經了解到roe是衡量公司盈利能力的一種指標。根據公司再投資或“保留”的這些利潤的多少以及效率如何，我們能夠評估公司的盈利增長潛力。總體來說，在其他條件相同的情況下，roe和盈利“保留”高的公司比不具備這些屬性的公司增長率更高。
ICON's Earnings Growth And 7.2% ROE
ICON的收益增長和7.2%的roe。
On the face of it, ICON's ROE is not much to talk about. We then compared the company's ROE to the broader industry and were disappointed to see that the ROE is lower than the industry average of 12%. Although, we can see that ICON saw a modest net income growth of 13% over the past five years. We reckon that there could be other factors at play here. For instance, the company has a low payout ratio or is being managed efficiently.
ICON的roe看上去並不太好。我們將公司的roe與全行業進行了比較，令人失望的是其roe低於12%的全行業平均水平。雖然我們可以看到，ICON在過去五年中看到了13%的淨收入增長，但我們認爲這可能有其他因素在起作用，例如公司的派息比率較低或者管理得比較高效。
We then compared ICON's net income growth with the industry and found that the company's growth figure is lower than the average industry growth rate of 17% in the same 5-year period, which is a bit concerning.
我們隨後將ICON的淨收入增長與同期行業進行了比較，發現公司的增長狀況低於同期平均增長率17%，這有點令人擔憂。
Earnings growth is an important metric to consider when valuing a stock. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. What is ICLR worth today? The intrinsic value infographic in our free research report helps visualize whether ICLR is currently mispriced by the market.
收益增長是衡量股票估值的重要指標。投資者應該嘗試確定預期的盈利增長或下降是否已經被定價。通過這樣做，他們將會了解該股票是朝着清澈的藍天前進，還是即將面臨沼澤般擁擠的困境。ICLR今天值多少錢？我們免費的研究報告中的內在價值信息圖可視化了ICLR是否當前被市場定價不準確。
Is ICON Making Efficient Use Of Its Profits?
ICON是否有效地利用其利潤？
ICON doesn't pay any regular dividends currently which essentially means that it has been reinvesting all of its profits into the business. This definitely contributes to the decent earnings growth number that we discussed above.
ICON目前不支付任何普通股息，這意味着它一直在將所有利潤再投資於自己的業務。這絕對對於上面我們談到的相當不錯的收益增長數字有所貢獻。
Summary
總的來說，我們對偉明環保的表現非常滿意。具體而言，我們喜歡公司以高回報率再投資了其利潤的很大一部分。當然，這導致公司的收益大幅增長。但是，最新的行業分析師預測表明，該公司的收益預計將加速增長。
On the whole, we do feel that ICON has some positive attributes. Namely, its respectable earnings growth, which it achieved due to it retaining most of its profits. However, given the low ROE, investors may not be benefitting from all that reinvestment after all. We also studied the latest analyst forecasts and found that the company's earnings growth is expected be similar to its current growth rate. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company.
總的來說，我們確實認爲ICON有一些積極的特點。尤其是它可觀的收益增長，這得益於它保留了大部分利潤。然而，考慮到低roe，投資者可能並沒有從所有的再投資中受益。我們還研究了最新的分析師預測，並發現該公司的收益增長預期與其當前增長率相似。這些分析師的預期是基於行業的廣泛預期，還是基於公司的基本面？單擊這裏進入我們的分析師預測頁面。
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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
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譯文內容由第三人軟體翻譯。