For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to investors, even if it currently lacks a track record of revenue and profit. But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' Loss making companies can act like a sponge for capital - so investors should be cautious that they're not throwing good money after bad.
If this kind of company isn't your style, you like companies that generate revenue, and even earn profits, then you may well be interested in Ingles Markets (NASDAQ:IMKT.A). While this doesn't necessarily speak to whether it's undervalued, the profitability of the business is enough to warrant some appreciation - especially if its growing.
View our latest analysis for Ingles Markets
Ingles Markets' Earnings Per Share Are Growing
If a company can keep growing earnings per share (EPS) long enough, its share price should eventually follow. So it makes sense that experienced investors pay close attention to company EPS when undertaking investment research. To the delight of shareholders, Ingles Markets has achieved impressive annual EPS growth of 55%, compound, over the last three years. Growth that fast may well be fleeting, but it should be more than enough to pique the interest of the wary stock pickers.
One way to double-check a company's growth is to look at how its revenue, and earnings before interest and tax (EBIT) margins are changing. Ingles Markets maintained stable EBIT margins over the last year, all while growing revenue 15% to US$5.6b. That's a real positive.
The chart below shows how the company's bottom and top lines have progressed over time. Click on the chart to see the exact numbers.
NasdaqGS:IMKT.A Earnings and Revenue History October 24th 2022
While it's always good to see growing profits, you should always remember that a weak balance sheet could come back to bite. So check Ingles Markets' balance sheet strength, before getting too excited.
Are Ingles Markets Insiders Aligned With All Shareholders?
It's a necessity that company leaders act in the best interest of shareholders and so insider investment always comes as a reassurance to the market. Shareholders will be pleased by the fact that insiders own Ingles Markets shares worth a considerable sum. Indeed, they have a considerable amount of wealth invested in it, currently valued at US$388m. That equates to 23% of the company, making insiders powerful and aligned with other shareholders. So there is opportunity here to invest in a company whose management have tangible incentives to deliver.
It means a lot to see insiders invested in the business, but shareholders may be wondering if remuneration policies are in their best interest. Our quick analysis into CEO remuneration would seem to indicate they are. The median total compensation for CEOs of companies similar in size to Ingles Markets, with market caps between US$1.0b and US$3.2b, is around US$5.5m.
The Ingles Markets CEO received total compensation of just US$2.0m in the year to September 2021. That's clearly well below average, so at a glance that arrangement seems generous to shareholders and points to a modest remuneration culture. CEO compensation is hardly the most important aspect of a company to consider, but when it's reasonable, that gives a little more confidence that leadership are looking out for shareholder interests. Generally, arguments can be made that reasonable pay levels attest to good decision-making.
Does Ingles Markets Deserve A Spot On Your Watchlist?
Ingles Markets' earnings per share growth have been climbing higher at an appreciable rate. The sweetener is that insiders have a mountain of stock, and the CEO remuneration is quite reasonable. The sharp increase in earnings could signal good business momentum. Big growth can make big winners, so the writing on the wall tells us that Ingles Markets is worth considering carefully. Now, you could try to make up your mind on Ingles Markets by focusing on just these factors, or you could also consider how its price-to-earnings ratio compares to other companies in its industry.
The beauty of investing is that you can invest in almost any company you want. But if you prefer to focus on stocks that have demonstrated insider buying, here is a list of companies with insider buying in the last three months.
Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction.
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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.
对于初学者来说,收购一家向投资者讲述一个好故事的公司似乎是一个好主意(也是一个令人兴奋的前景),即使它目前没有收入和利润的记录。但正如彼得·林奇在华尔街上的一位“远投几乎永远不会有回报。”亏损的公司可能会像海绵一样吸收资本,因此投资者应该谨慎,不要把钱一笔接一笔地往上扔。
如果这种公司不是你的风格,你喜欢能产生收入,甚至能赚钱的公司,那么你很可能会对英格尔斯市场(纳斯达克:IMKT.A)。虽然这并不一定意味着它是否被低估了,但该业务的盈利能力足以证明它有一定的升值价值--特别是如果它在增长的话。
查看我们对Ingles市场的最新分析
Ingles Markets的每股收益正在增长
如果一家公司能够在足够长的时间内保持每股收益(EPS)的增长,其股价最终应该会随之而来。因此,有经验的投资者在进行投资研究时密切关注公司每股收益是合理的。令股东高兴的是,Ingles Markets在过去三年中取得了令人印象深刻的55%的年每股收益复合增长率。这么快的增长可能是转瞬即逝的,但它应该足以激起警惕的选股者的兴趣。
要复核一家公司的增长,一种方法是观察其收入和息税前利润(EBIT)的变化情况。Ingles Markets去年保持了稳定的EBIT利润率,同时收入增长了15%,达到56亿美元。这是一个真正的积极因素。
下面的图表显示了该公司的利润和收入是如何随着时间的推移而变化的。点击图表查看确切的数字。
纳斯达克:IMKT.A收益和收入历史2022年10月24日
虽然看到利润增长总是好事,但你应该始终记住,疲软的资产负债表可能会回来产生影响。因此,在过于兴奋之前,先检查一下Ingles Markets的资产负债表实力。
Ingles Markets内部人士是否与所有股东一致?
公司领导人以股东的最佳利益行事是必要的,因此,内部投资总是对市场起到安抚作用。内部人士持有的Ingles Markets股票价值不菲,股东们将对此感到高兴。事实上,他们有相当数量的财富投资于此,目前价值3.88亿美元。这相当于公司23%的股份,这让内部人士变得强大,并与其他股东结盟。因此,这里有机会投资于一家管理层具有切实激励措施的公司。
看到内部人士投资于这项业务意义重大,但股东们可能会想,薪酬政策是否符合他们的最佳利益。我们对CEO薪酬的快速分析似乎表明,情况的确如此。市值在10亿美元至32亿美元之间、规模与Ingles Markets相似的公司首席执行官的总薪酬中值约为550万美元。
在截至2021年9月的一年里,这位Ingles Markets首席执行官的总薪酬仅为200万美元。这显然远低于平均水平,因此乍一看,这种安排对股东来说似乎很慷慨,也表明了一种适度的薪酬文化。CEO薪酬很难说是一家公司最重要的考虑因素,但当薪酬合理时,这会让人更有信心相信,领导层是在为股东利益着想。一般来说,可以认为合理的薪酬水平证明了良好的决策能力。
Ingles Markets值得在你的观察名单上占有一席之地吗?
Ingles Markets的每股收益增长一直在以明显的速度攀升。更令人欣慰的是,内部人士拥有堆积如山的股票,首席执行官的薪酬相当合理。盈利的大幅增长可能预示着良好的业务势头。大增长可能会产生大赢家,因此不祥之兆告诉我们,Ingles Markets值得仔细考虑。现在,你可以试着通过关注这些因素来决定你对Ingles Markets的看法,或你可以也想一想它的市盈率与同行业的其他公司相比如何。
投资的美妙之处在于,你几乎可以投资任何你想投资的公司。但如果你更愿意关注那些表现出内幕收购的股票,这里有一份过去三个月内有内幕收购的公司名单。
请注意,本文中讨论的内幕交易指的是相关司法管辖区内的应报告交易。
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本文由Simply Wall St.撰写,具有概括性。我们仅使用不偏不倚的方法提供基于历史数据和分析师预测的评论,我们的文章并不打算作为财务建议。它不构成买卖任何股票的建议,也没有考虑你的目标或你的财务状况。我们的目标是为您带来由基本面数据驱动的长期重点分析。请注意,我们的分析可能不会将最新的对价格敏感的公司公告或定性材料考虑在内。Simply Wall St.对上述任何一只股票都没有持仓。