Shanghai Yizhong Pharmaceutical Co., Ltd. (SHSE:688091) Stock Has Shown Weakness Lately But Financials Look Strong: Should Prospective Shareholders Make The Leap?
Shanghai Yizhong Pharmaceutical Co., Ltd. (SHSE:688091) Stock Has Shown Weakness Lately But Financials Look Strong: Should Prospective Shareholders Make The Leap?
With its stock down 15% over the past three months, it is easy to disregard Shanghai Yizhong Pharmaceutical (SHSE:688091). But if you pay close attention, you might gather that its strong financials could mean that the stock could potentially see an increase in value in the long-term, given how markets usually reward companies with good financial health. Particularly, we will be paying attention to Shanghai Yizhong Pharmaceutical's ROE today.
在過去的三個月裡，上海億眾藥業的股價下跌了15%，這很容易讓人忽視上海億眾藥業(上海證券交易所代碼：688091)。但如果你仔細觀察，你可能會猜到，它強勁的財務狀況可能意味著，考慮到市場通常會獎勵財務狀況良好的公司，該股可能會在長期內增值。特別是今天我們將關注上海益眾藥業的淨資產收益率。
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(ROE)是用來評估公司管理層利用公司資本效率的關鍵指標。簡而言之，它是用來評估一家公司相對於其權益資本的盈利能力。
Check out our latest analysis for Shanghai Yizhong Pharmaceutical
查看我們對上海益眾藥業的最新分析
How To Calculate Return On Equity?
如何計算股本回報率？
The formula for return on equity is:
這個股本回報率公式是：
Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity
股本回報率=(持續經營的)淨利潤？股東權益
So, based on the above formula, the ROE for Shanghai Yizhong Pharmaceutical is:
因此，根據上述公式，上海一重藥業的淨資產收益率為：
12% = CN¥167m ÷ CN¥1.4b (Based on the trailing twelve months to March 2023).
12%=CN元1.67億×CN元14億元(基於截至2023年3月的12個月)。
The 'return' is the yearly profit. So, this means that for every CN¥1 of its shareholder's investments, the company generates a profit of CN¥0.12.
“回報”就是年度利潤。因此，這意味著股東每投資1元人民幣，公司就會產生0.12元的利潤。
What Is The Relationship Between ROE And Earnings Growth?
淨資產收益率與盈利增長之間有什麼關係？
Thus far, we have learned that ROE measures how efficiently a company is generating its profits. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Generally speaking, other things being equal, firms with a high return on equity and profit retention, have a higher growth rate than firms that don't share these attributes.
到目前為止，我們已經瞭解到淨資產收益率衡量的是一家公司創造利潤的效率。我們現在需要評估公司將多少利潤再投資或“保留”用於未來的增長，這就讓我們對公司的增長潛力有了一個瞭解。一般來說，在其他條件相同的情況下，股本回報率和利潤留存較高的公司比不具備這些特徵的公司有更高的增長率。
Shanghai Yizhong Pharmaceutical's Earnings Growth And 12% ROE
上海益眾醫藥的盈利增長和12%的淨資產收益率
To start with, Shanghai Yizhong Pharmaceutical's ROE looks acceptable. Especially when compared to the industry average of 8.8% the company's ROE looks pretty impressive. Probably as a result of this, Shanghai Yizhong Pharmaceutical was able to see an impressive net income growth of 91% over the last five years. However, there could also be other causes behind this growth. For instance, the company has a low payout ratio or is being managed efficiently.
首先，上海一重藥業的淨資產收益率看起來可以接受。特別是與8.8%的行業平均水準相比，該公司的淨資產收益率看起來相當令人印象深刻。或許正因為如此，上海益中藥業在過去五年中實現了令人印象深刻的91%的淨利潤增長。然而，這種增長背後也可能有其他原因。例如，該公司的派息率較低或管理效率較高。
We then compared Shanghai Yizhong Pharmaceutical's net income growth with the industry and we're pleased to see that the company's growth figure is higher when compared with the industry which has a growth rate of 8.8% in the same 5-year period.
然後，我們將上海一重藥業的淨收入增長與行業進行了比較，我們很高興地看到，與同期8.8%的行業增長率相比，該公司的增長數位更高。
Earnings growth is an important metric to consider when valuing a stock. It's important for an investor to know whether the market has priced in the company's expected earnings growth (or decline). By doing so, they will have an idea if the stock is headed into clear blue waters or if swampy waters await. One good indicator of expected earnings growth is the P/E ratio which determines the price the market is willing to pay for a stock based on its earnings prospects. So, you may want to check if Shanghai Yizhong Pharmaceutical is trading on a high P/E or a low P/E, relative to its industry.
盈利增長是評估一隻股票時需要考慮的一個重要指標。對於投資者來說，重要的是知道市場是否已經消化了公司預期的收益增長(或下降)。通過這樣做，他們將知道股票是將進入清澈的藍色水域，還是等待沼澤水域。衡量預期收益增長的一個很好的指標是本益比，它根據一隻股票的盈利前景決定市場願意為其支付的價格。因此，你可能想看看上海一重藥業相對於其行業的本益比是高還是低。
Is Shanghai Yizhong Pharmaceutical Efficiently Re-investing Its Profits?
上海一重藥業是否有效地將利潤進行了再投資？
The three-year median payout ratio for Shanghai Yizhong Pharmaceutical is 28%, which is moderately low. The company is retaining the remaining 72%. By the looks of it, the dividend is well covered and Shanghai Yizhong Pharmaceutical is reinvesting its profits efficiently as evidenced by its exceptional growth which we discussed above.
上海益眾藥業的三年中值派息率為28%，屬於中等偏低水準。該公司將保留剩餘的72%。從表面上看，股息得到了很好的覆蓋，上海益中藥業正在有效地將其利潤進行再投資，這一點從我們上面討論的非凡增長中可見一斑。
Conclusion
結論
Overall, we are quite pleased with Shanghai Yizhong Pharmaceutical's performance. Specifically, we like that the company is reinvesting a huge chunk of its profits at a high rate of return. This of course has caused the company to see substantial growth in its earnings. If the company continues to grow its earnings the way it has, that could have a positive impact on its share price given how earnings per share influence long-term share prices. Let's not forget, business risk is also one of the factors that affects the price of the stock. So this is also an important area that investors need to pay attention to before making a decision on any business. To know the 2 risks we have identified for Shanghai Yizhong Pharmaceutical visit our risks dashboard for free.
總體而言，我們對上海益眾藥業的表現相當滿意。具體地說，我們喜歡該公司將一大筆利潤以高回報率進行再投資。當然，這導致該公司的收益出現了大幅增長。如果該公司繼續以目前的方式增長收益，考慮到每股收益對長期股價的影響，這可能會對其股價產生積極影響。我們不要忘記，商業風險也是影響股票價格的因素之一。因此，這也是投資者在對任何業務做出決定之前需要關注的一個重要領域。要了解我們為上海一重藥業確定的兩個風險，請免費訪問我們的風險儀錶板。
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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。