Are Amdocs Limited's (NASDAQ:DOX) Fundamentals Good Enough to Warrant Buying Given The Stock's Recent Weakness?
Are Amdocs Limited's (NASDAQ:DOX) Fundamentals Good Enough to Warrant Buying Given The Stock's Recent Weakness?
Amdocs (NASDAQ:DOX) has had a rough three months with its share price down 10.0%. 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 Amdocs' ROE in this article.
Amdocs（納斯達克股票代碼：DOX）經歷了艱難的三個月，其股價下跌了10.0％。但是，從長遠來看，股票價格通常由公司的財務狀況驅動，在這種情況下，這看起來相當可觀。具體而言，我們決定在本文中研究Amdocs的投資回報率。
Return on equity or ROE is a key measure used to assess how efficiently a company's management is utilizing the company's capital. Simply put, it is used to assess the profitability of a company in relation to its equity capital.
股本回報率或投資回報率是用於評估公司管理層利用公司資本效率的關鍵指標。簡而言之，它用於評估公司相對於其股權資本的盈利能力。
How To Calculate Return On Equity?
如何計算股本回報率？
Return on equity can be calculated by using the formula:
股本回報率可以使用以下公式計算：
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回報率 = 淨利潤（來自持續經營業務）÷ 股東權益
So, based on the above formula, the ROE for Amdocs is:
因此，根據上述公式，Amdocs的投資回報率爲：
15% = US$531m ÷ US$3.6b (Based on the trailing twelve months to March 2024).
15% = 5.31億美元 ÷ 36億美元（基於截至2024年3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 $0.15 in profit.
“回報” 是過去十二個月的利潤。這意味着，每獲得價值1美元的股東權益，公司就會產生0.15美元的利潤。
What Is The Relationship Between ROE And Earnings Growth?
投資回報率與收益增長之間有什麼關係？
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. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics.
到目前爲止，我們已經了解到，投資回報率是衡量公司盈利能力的指標。然後，我們能夠評估公司的收益增長潛力，具體取決於公司對這些利潤進行再投資或 “保留” 了多少及其有效性。假設其他一切保持不變，那麼與不一定具有這些特徵的公司相比，投資回報率和利潤保留率越高，公司的增長率就越高。
Amdocs' Earnings Growth And 15% ROE
Amdocs 的收益增長和 15% 的投資回報率
To begin with, Amdocs seems to have a respectable ROE. Especially when compared to the industry average of 11% the company's ROE looks pretty impressive. Yet, Amdocs has posted measly growth of 3.8% over the past five years. This is generally not the case as when a company has a high rate of return it should usually also have a high earnings growth rate. A few likely reasons why this could happen is that the company could have a high payout ratio or the business has allocated capital poorly, for instance.
首先，Amdocs的投資回報率似乎相當不錯。特別是與行業平均水平的11％相比，該公司的投資回報率看起來相當可觀。然而，在過去五年中，Amdocs僅實現了3.8％的微弱增長。通常情況並非如此，因爲當一家公司的回報率很高時，它通常也應該有很高的收益增長率。發生這種情況的幾個可能原因是，例如，公司的派息率可能很高，或者企業的資本配置不佳。
We then compared Amdocs' net income growth with the industry and found that the company's growth figure is lower than the average industry growth rate of 12% in the same 5-year period, which is a bit concerning.
然後，我們將Amdocs的淨收入增長與該行業進行了比較，發現該公司的增長數字低於同期12％的行業平均增長率，這有點令人擔憂。
The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. Is Amdocs fairly valued compared to other companies? These 3 valuation measures might help you decide.
爲公司附加價值的基礎在很大程度上與其收益增長息息相關。投資者接下來需要確定的是，預期的收益增長或缺乏收益是否已經包含在股價中。通過這樣做，他們將知道股票是走向清澈的藍色海水還是沼澤水域在等着呢。與其他公司相比，Amdocs的估值是否合理？這3種估值指標可能會幫助您做出決定。
Is Amdocs Using Its Retained Earnings Effectively?
Amdocs是否有效地使用了其留存收益？
Despite having a normal three-year median payout ratio of 35% (or a retention ratio of 65% over the past three years, Amdocs has seen very little growth in earnings as we saw above. Therefore, there might be some other reasons to explain the lack in that respect. For example, the business could be in decline.
儘管Amdocs的三年派息率中位數正常爲35％（或過去三年的留存率爲65％），但正如我們在上面看到的那樣，Amdocs的收益幾乎沒有增長。因此，可能還有其他一些原因可以解釋這方面的不足。例如，業務可能會下滑。
In addition, Amdocs has been paying dividends over a period of at least ten years suggesting that keeping up dividend payments is way more important to the management even if it comes at the cost of business growth. Based on the latest analysts' estimates, we found that the company's future payout ratio over the next three years is expected to hold steady at 28%. However, Amdocs' ROE is predicted to rise to 20% despite there being no anticipated change in its payout ratio.
此外，Amdocs至少十年來一直在支付股息，這表明即使以業務增長爲代價，維持股息支付對管理層來說也更爲重要。根據分析師的最新估計，我們發現該公司未來三年的派息率預計將穩定在28％。但是，儘管預計Amdocs的派息率沒有變化，但其投資回報率仍將升至20％。
Summary
摘要
On the whole, we do feel that Amdocs has some positive attributes. Although, we are disappointed to see a lack of growth in earnings even in spite of a high ROE and and a high reinvestment rate. We believe that there might be some outside factors that could be having a negative impact on the business. With that said, the latest industry analyst forecasts reveal that the company's earnings are expected to accelerate. To know more about the latest analysts predictions for the company, check out this visualization of analyst forecasts for the company.
總的來說，我們確實認爲Amdocs有一些積極的屬性。但是，儘管投資回報率和再投資率很高，但我們仍然對收益缺乏增長感到失望。我們認爲，可能會有一些外部因素對業務產生負面影響。話雖如此，最新的行業分析師預測顯示，該公司的收益有望加速。要詳細了解分析師對公司的最新預測，請查看該公司的分析師預測的可視化。
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.
對這篇文章有反饋嗎？對內容感到擔憂？直接聯繫我們。 或者，給編輯團隊 (at) simplywallst.com 發送電子郵件。
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。