Declining Stock and Decent Financials: Is The Market Wrong About Shopify Inc. (NYSE:SHOP)?
Declining Stock and Decent Financials: Is The Market Wrong About Shopify Inc. (NYSE:SHOP)?
With its stock down 9.5% over the past week, it is easy to disregard Shopify (NYSE:SHOP). However, stock prices are usually driven by a company's financials over the long term, which in this case look pretty respectable. Specifically, we decided to study Shopify's ROE in this article.
Shopify (NYSE:SHOP)股價在過去一週下跌9.5%,很容易被忽視。然而,股票價格通常受公司長期的財務情況所驅動,在這種情況下,看起來相當可觀。具體來說,在本文中,我們決定研究Shopify的roe。
Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. Simply put, it is used to assess the profitability of a company in relation to its equity capital.
股東權益回報率(ROE)是測試公司如何有效地增加其價值並管理投資者資金的指標。簡而言之,它用於評估公司相對於股本資本的盈利能力。
How Is ROE Calculated?
淨資產收益率怎麼計算?
Return on equity can be calculated by using the formula:
股東權益報酬率可以使用以下公式計算:
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 Shopify is:
所以,根據上述公式,Shopify的ROE爲:
14% = US$1.3b ÷ US$9.2b (Based on the trailing twelve months to June 2024).
14% = US$13億 ÷ US$92億(基於截至2024年6月的過去十二個月)。
The 'return' is the profit over the last twelve months. That means that for every $1 worth of shareholders' equity, the company generated $0.14 in profit.
「回報率」是過去十二個月的利潤。這意味着對於每一美元的股東權益,公司產生了0.14美元的利潤。
What Is The Relationship Between ROE And Earnings Growth?
ROE與盈利增長之間的關係是什麼?
So far, we've learned that ROE is a measure of a company's profitability. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. 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,我們已經知道roe是衡量公司盈利能力的一種方法。現在我們需要評估公司重新投資或「保留」的利潤有多少,以此來了解公司的增長潛力。一般來說,其他因素相同的情況下,roe和利潤保留都較高的公司比不具備這些屬性的公司具有更高的增長率。
A Side By Side comparison of Shopify's Earnings Growth And 14% ROE
shopify的盈利增長與14%的roe相比較。
To start with, Shopify's ROE looks acceptable. And on comparing with the industry, we found that the the average industry ROE is similar at 13%. As you might expect, the 23% net income decline reported by Shopify is a bit of a surprise. So, there might be some other aspects that could explain this. Such as, the company pays out a huge portion of its earnings as dividends, or is faced with competitive pressures.
首先,shopify的roe看起來是可以接受的。與行業對比,我們發現平均行業roe在13%左右。正如你所料,shopify報告的淨利潤下降23%有些意外。所以,可能還有其他方面可以解釋這個現象。比如,公司將大部分利潤用作分紅派息,或者面臨競爭壓力。
However, when we compared Shopify's growth with the industry we found that while the company's earnings have been shrinking, the industry has seen an earnings growth of 8.3% in the same period. This is quite worrisome.
然而,當我們將shopify的增長與行業對比時,我們發現儘管該公司的盈利在縮水,但行業在同一時期實現了8.3%的盈利增長。這是相當令人擔憂的。
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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. Doing so will help them establish if the stock's future looks promising or ominous. Has the market priced in the future outlook for SHOP? You can find out in our latest intrinsic value infographic research report.
在對股票進行估值時,收益增長是一個重要的指標。投資者應該嘗試確定預期的收益增長或下降是否已經定價。這樣做將幫助他們確定股票的未來前景是樂觀還是不祥。市場是否已經對SHOP的未來前景進行了定價?您可以在我們最新的內在價值信息圖研究報告中找到答案。
Is Shopify Making Efficient Use Of Its Profits?
Shopify是否對其利潤進行了有效利用?
Shopify doesn't pay any regular dividends, meaning that the company is keeping all of its profits, which makes us wonder why it is retaining its earnings if it can't use them to grow its business. So there might be other factors at play here which could potentially be hampering growth. For example, the business has faced some headwinds.
Shopify不支付常規股息,這意味着公司將其所有利潤留存,這讓我們想知道爲什麼它要保留利潤,如果它不能用它們來發展業務的話。因此,可能還有其他因素在起作用,可能會阻礙增長。例如,該業務面臨一些阻力。
Conclusion
結論
On the whole, we do feel that Shopify has some positive attributes. Yet, the low earnings growth is a bit concerning, especially given that the company has a high rate of return and is reinvesting ma huge portion of its profits. By the looks of it, there could be some other factors, not necessarily in control of the business, that's preventing growth. That being so, the latest industry analyst forecasts show that the analysts are expecting to see a huge improvement in the company's earnings 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Shopify具有一些積極的特徵。然而,低收益增長有點令人擔憂,尤其是考慮到公司具有較高的回報率並且正在重新投資其利潤的很大一部分。從目前的情況來看,可能有一些其他因素,並非完全受到公司控制,阻礙了增長。與此同時,最新的行業分析師預測顯示,分析師們預計該公司的收益增長率將有巨大的提高。這些分析師的預期是基於對行業的廣泛預期,還是基於公司的基本面?點擊此處查看我們的分析師預測頁面。
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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。
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