One simple way to benefit from the stock market is to buy an index fund. But if you pick the right individual stocks, you could make more than that. For example, the Maoming Petro-Chemical Shihua Co., Ltd (SZSE:000637) share price is up 32% in the last three years, clearly besting the market return of around 16% (not including dividends).
Since it's been a strong week for Maoming Petro-Chemical Shihua shareholders, let's have a look at trend of the longer term fundamentals.
Check out our latest analysis for Maoming Petro-Chemical Shihua
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.
Over the last three years, Maoming Petro-Chemical Shihua failed to grow earnings per share, which fell 20% (annualized).
Thus, it seems unlikely that the market is focussed on EPS growth at the moment. Since the change in EPS doesn't seem to correlate with the change in share price, it's worth taking a look at other metrics.
It could be that the revenue growth of 20% per year is viewed as evidence that Maoming Petro-Chemical Shihua is growing. If the company is being managed for the long term good, today's shareholders might be right to hold on.
The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).
SZSE:000637 Earnings and Revenue Growth December 15th 2022
If you are thinking of buying or selling Maoming Petro-Chemical Shihua stock, you should check out this FREE detailed report on its balance sheet.
What About The Total Shareholder Return (TSR)?
We'd be remiss not to mention the difference between Maoming Petro-Chemical Shihua's total shareholder return (TSR) and its share price return. The TSR attempts to capture the value of dividends (as if they were reinvested) as well as any spin-offs or discounted capital raisings offered to shareholders. Maoming Petro-Chemical Shihua's TSR of 35% for the 3 years exceeded its share price return, because it has paid dividends.
A Different Perspective
It's good to see that Maoming Petro-Chemical Shihua has rewarded shareholders with a total shareholder return of 32% in the last twelve months. Since the one-year TSR is better than the five-year TSR (the latter coming in at 1.2% per year), it would seem that the stock's performance has improved in recent times. Given the share price momentum remains strong, it might be worth taking a closer look at the stock, lest you miss an opportunity. I find it very interesting to look at share price over the long term as a proxy for business performance. But to truly gain insight, we need to consider other information, too. Case in point: We've spotted 2 warning signs for Maoming Petro-Chemical Shihua you should be aware of.
If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings.
Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on CN 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.
從股市獲益的一個簡單方法是購買指數基金。但如果你選擇了正確的個股,你可以賺得更多。例如,茂名石化世華股份有限公司(SZSE:000637)股價在過去三年中上漲了32%,顯然超過了約16%的市場回報率(不包括股息)。
由於茂名石化世華股東本週表現強勁,讓我們來看看較長期基本面的走勢。
查看我們對茂名石化世華的最新分析
用巴菲特的話說,“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。
在過去的三年裡,茂名石化世華的每股收益未能增長,按年率計算下降了20%。
因此,目前市場似乎不太可能把重點放在每股收益增長上。由於每股收益的變化似乎與股價的變化沒有相關性,因此值得看看其他指標。
可能每年20%的收入增長被視為茂名石化世華正在增長的證據。如果公司的管理是為了長期利益,那麼今天的股東持有該公司或許是正確的。
下圖描述了收益和收入隨時間的變化(通過單擊圖像來揭示確切的價值)。
深圳證券交易所:000637收益和收入增長2022年12月15日
如果你正在考慮買賣茂名石化世華的股票,你應該看看這個免費關於其資產負債表的詳細報告。
那麼總股東回報(TSR)呢?
更不用說茂名石化世華的區別,我們就是玩忽職守。股東總回報(TSR)及其股價回報。TSR試圖獲取股息的價值(就像它們被再投資一樣),以及向股東提供的任何剝離或折價融資。茂名石化世華三年35%的TSR超過了其股價回報,因為它派發了股息。
不同的視角
很高興看到茂名石化世華在過去12個月裡回報了股東32%的總回報。由於一年期的TSR好於五年期的TSR(後者的年利率為1.2%),看起來該股的表現在最近有所改善。鑑於股價勢頭依然強勁,仔細觀察這只股票可能是值得的,以免錯過預期和機會。我發現,把股價作為衡量企業業績的長期指標是非常有趣的。但為了真正獲得洞察力,我們還需要考慮其他資訊。一個恰當的例子:我們發現了茂名石化石化2個警示標誌你應該意識到。
如果你更願意看看另一家公司--一家財務狀況可能更好的公司--那麼不要錯過這一點免費已證明自己能夠實現盈利增長的公司名單。
請注意,本文引用的市場回報反映了目前在CN交易所交易的股票的市場加權平均回報。
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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。