The excitement of investing in a company that can reverse its fortunes is a big draw for some speculators, so even companies that have no revenue, no profit, and a record of falling short, can manage to find investors. But as Peter Lynch said in One Up On Wall Street, 'Long shots almost never pay off.' A loss-making company is yet to prove itself with profit, and eventually the inflow of external capital may dry up.
So if this idea of high risk and high reward doesn't suit, you might be more interested in profitable, growing companies, like Bank of Hawaii (NYSE:BOH). Now this is not to say that the company presents the best investment opportunity around, but profitability is a key component to success in business.
View our latest analysis for Bank of Hawaii
How Fast Is Bank of Hawaii Growing Its Earnings Per Share?
Even when EPS earnings per share (EPS) growth is unexceptional, company value can be created if this rate is sustained each year. So it's easy to see why many investors focus in on EPS growth. Bank of Hawaii boosted its trailing twelve month EPS from US$5.22 to US$5.74, in the last year. This amounts to a 10% gain; a figure that shareholders will be pleased to see.
Top-line growth is a great indicator that growth is sustainable, and combined with a high earnings before interest and taxation (EBIT) margin, it's a great way for a company to maintain a competitive advantage in the market. Our analysis has highlighted that Bank of Hawaii's revenue from operations did not account for all of their revenue in the previous 12 months, so our analysis of its margins might not accurately reflect the underlying business. While we note Bank of Hawaii achieved similar EBIT margins to last year, revenue grew by a solid 8.7% to US$705m. That's a real positive.
You can take a look at the company's revenue and earnings growth trend, in the chart below. To see the actual numbers, click on the chart.
NYSE:BOH Earnings and Revenue History August 17th 2022
The trick, as an investor, is to find companies that are going to perform well in the future, not just in the past. While crystal balls don't exist, you can check our visualization of consensus analyst forecasts for Bank of Hawaii's future EPS 100% free.
Are Bank of Hawaii Insiders Aligned With All Shareholders?
It should give investors a sense of security owning shares in a company if insiders also own shares, creating a close alignment their interests. So it is good to see that Bank of Hawaii insiders have a significant amount of capital invested in the stock. Holding US$68m worth of stock in the company is no laughing matter and insiders will be committed in delivering the best outcomes for shareholders. This would indicate that the goals of shareholders and management are one and the same.
Is Bank of Hawaii Worth Keeping An Eye On?
One positive for Bank of Hawaii is that it is growing EPS. That's nice to see. If that's not enough on its own, there is also the rather notable levels of insider ownership. The combination definitely favoured by investors so consider keeping the company on a watchlist. Of course, just because Bank of Hawaii is growing does not mean it is undervalued. If you're wondering about the valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry.
There's always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a free list of them here.
Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction.
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.
投資一家能夠扭轉命運的公司所帶來的興奮,對一些投機者來説是一個巨大的吸引力,因此,即使是沒有收入、沒有利潤、業績不佳的公司,也能設法找到投資者。但正如彼得·林奇在華爾街上的一位“遠投幾乎永遠不會有回報。”一家虧損的公司還沒有用盈利來證明自己,最終外部資本的流入可能會枯竭。
因此,如果這種高風險和高回報的想法不適合,你可能會對盈利的、成長型的公司更感興趣,比如夏威夷銀行(紐約證券交易所代碼:BOH)。現在,這並不是説該公司提供了最好的投資機會,但盈利能力是商業成功的關鍵組成部分。
查看我們對夏威夷銀行的最新分析
夏威夷銀行的每股收益增長速度有多快?
即使在每股收益(EPS)增長正常的情況下,如果每年保持這一速度,也可以創造公司價值。因此,很容易理解為什麼許多投資者關注每股收益的增長。夏威夷銀行去年將往績12個月每股收益從5.22美元上調至5.74美元。這相當於10%的收益;股東們將樂於看到這個數字。
營收增長是一個很好的指標,表明增長是可持續的,再加上高息税前利潤(EBIT)利潤率,這是一家公司在市場上保持競爭優勢的絕佳方式。我們的分析強調了夏威夷銀行的收入從運營部未計入其前12個月的全部收入,因此我們對其利潤率的分析可能無法準確反映基礎業務。雖然我們注意到夏威夷銀行實現了與去年類似的EBIT利潤率,但收入穩步增長8.7%,達到7.05億美元。這是一個真正的積極因素。
你可以在下面的圖表中看到該公司的收入和收益增長趨勢。要查看實際數字,請點擊圖表。
紐約證券交易所:BOH收益和收入歷史2022年8月17日
作為投資者,訣竅在於找到符合以下條件的公司要去在未來有好的表現,而不僅僅是在過去。雖然水晶球並不存在,但你可以查看我們對夏威夷銀行未來每股收益100%免費的共識分析師預測的可視化。
夏威夷銀行內部人士是否與所有股東一致?
如果內部人士也持有一家公司的股票,這應該會給投資者帶來一種安全感,使他們的利益緊密一致。因此,看到夏威夷銀行內部人士將大量資本投資於該股是件好事。持有該公司價值6800萬美元的股票絕非鬧着玩,內部人士將致力於為股東帶來最佳結果。這表明股東和管理層的目標是一致的。
夏威夷銀行值得密切關注嗎?
夏威夷銀行的一個積極因素是,它的每股收益正在增長。很高興見到你。如果這本身還不夠,還有相當顯著的內部人持股水平。這一合併肯定受到投資者的青睞,因此可以考慮將該公司保留在觀察名單上。當然,僅僅因為夏威夷銀行在增長並不意味着它被低估了。如果你想知道它的估值,看看這個衡量其市盈率的指標,它與其行業相比。
總是有可能做得很好,購買股票不是不斷增長的收入和不要有內部人士購買股票。但對於那些考慮這些重要指標的人,我們建議您查看以下公司做擁有這些功能。你可以在這裏訪問它們的免費列表。
請注意,本文中討論的內幕交易指的是相關司法管轄區內的應報告交易。
對這篇文章有什麼反饋嗎?擔心內容嗎? 保持聯繫直接與我們聯繫。或者,也可以給編輯組發電子郵件,地址是implywallst.com。
本文由Simply Wall St.撰寫,具有概括性。我們僅使用不偏不倚的方法提供基於歷史數據和分析師預測的評論,我們的文章並不打算作為財務建議。它不構成買賣任何股票的建議,也沒有考慮你的目標或你的財務狀況。我們的目標是為您帶來由基本面數據驅動的長期重點分析。請注意,我們的分析可能不會將最新的對價格敏感的公司公告或定性材料考慮在內。Simply Wall St.對上述任何一隻股票都沒有持倉。