These days it's easy to simply buy an index fund, and your returns should (roughly) match the market. But investors can boost returns by picking market-beating companies to own shares in. For example, the Sembcorp Industries Ltd (SGX:U96) share price is up 67% in the last 1 year, clearly besting the market decline of around 1.0% (not including dividends). If it can keep that out-performance up over the long term, investors will do very well! And shareholders have also done well over the long term, with an increase of 45% in the last three years.
Now it's worth having a look at the company's fundamentals too, because that will help us determine if the long term shareholder return has matched the performance of the underlying business.
Check out our latest analysis for Sembcorp Industries
To quote Buffett, 'Ships will sail around the world but the Flat Earth Society will flourish. There will continue to be wide discrepancies between price and value in the marketplace...' One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price.
During the last year Sembcorp Industries grew its earnings per share (EPS) by 190%. This EPS growth is significantly higher than the 67% increase in the share price. So it seems like the market has cooled on Sembcorp Industries, despite the growth. Interesting. The caution is also evident in the lowish P/E ratio of 7.74.
The company's earnings per share (over time) is depicted in the image below (click to see the exact numbers).
SGX:U96 Earnings Per Share Growth September 28th 2022
We know that Sembcorp Industries has improved its bottom line lately, but is it going to grow revenue? This free report showing analyst revenue forecasts should help you figure out if the EPS growth can be sustained.
What About Dividends?
When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. Arguably, the TSR gives a more comprehensive picture of the return generated by a stock. As it happens, Sembcorp Industries' TSR for the last 1 year was 71%, which exceeds the share price return mentioned earlier. And there's no prize for guessing that the dividend payments largely explain the divergence!
A Different Perspective
We're pleased to report that Sembcorp Industries shareholders have received a total shareholder return of 71% over one year. And that does include the dividend. That's better than the annualised return of 18% over half a decade, implying that the company is doing better recently. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. It's always interesting to track share price performance over the longer term. But to understand Sembcorp Industries better, we need to consider many other factors. Take risks, for example - Sembcorp Industries has 3 warning signs (and 2 which can't be ignored) we think you should know about.
If you like to buy stocks alongside management, then you might just love this free list of companies. (Hint: insiders have been buying them).
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on SG exchanges.
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.
如今,簡單地購買指數基金是很容易的,你的回報應該(大致)與市場一致。但投資者可以通過選擇表現優於市場的公司來持有股票,從而提高回報。例如,勝科實業有限公司(新加坡證券交易所股票代碼:U96)股價在過去一年中上漲了67%,顯然超過了約1.0%的市場跌幅(不包括股息)。如果它能夠長期保持這種優異的表現,投資者將會做得非常好!從長期來看,股東的表現也很好,過去三年的漲幅為45%。
現在也有必要看看該公司的基本面,因為這將有助於我們確定長期股東回報是否與基礎業務的表現相匹配。
查看我們對Sembcorp Industries的最新分析
用巴菲特的話説,“船隻將在世界各地航行,但平坦的地球協會將蓬勃發展。市場上的價格和價值之間將繼續存在巨大的差異……”評估圍繞一家公司的情緒變化的一個有缺陷但合理的方法是將每股收益(EPS)與股價進行比較。
去年,勝科實業的每股收益(EPS)增長了190%。這一每股收益增長明顯高於股價67%的漲幅。因此,市場似乎對Sembcorp Industries的態度有所降温,儘管增長迅速。有意思的。這種謹慎也從7.74的低市盈率中可見一斑。
該公司的每股收益(在一段時間內)如下圖所示(點擊查看具體數字)。
新交所:U96每股收益增長2022年9月28日
我們知道Sembcorp Industries最近提高了利潤,但它會增加收入嗎?這免費顯示分析師收入預測的報告應該會幫助你弄清楚每股收益的增長是否可以持續。
那股息呢?
在考察投資回報時,重要的是要考慮到股東總回報(TSR)和股價回報。雖然股價回報只反映股價的變動,但TSR包括股息的價值(假設股息再投資),以及任何折價集資或分拆所帶來的利益。可以説,TSR更全面地描繪了一隻股票產生的回報。事實上,Sembcorp Industries最近一年的TSR為71%,超過了前面提到的股價回報率。而且,猜測股息支付在很大程度上解釋了這種差異是沒有好處的!
不同的視角
我們很高興地報告,Sembcorp Industries的股東在一年內獲得了71%的總股東回報。這確實包括了股息。這比過去五年18%的年化回報率要好,這意味着該公司最近的表現更好。鑑於股價勢頭依然強勁,仔細觀察這隻股票可能是值得的,以免錯過預期和機會。跟蹤股價的長期表現總是很有趣的。但為了更好地瞭解Sembcorp Industries,我們需要考慮許多其他因素。以風險為例-Sembcorp Industries3個警示標誌(和2個不容忽視的問題)我們認為你應該知道。
如果你喜歡和管理層一起買股票,那麼你可能會喜歡這本書免費公司名單。(提示:內部人士一直在買入這些股票)。
請注意,本文引用的市場回報反映了目前在SG交易所交易的股票的市場加權平均回報。
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。