Are Strong Financial Prospects The Force That Is Driving The Momentum In Molina Healthcare, Inc.'s NYSE:MOH) Stock?
Are Strong Financial Prospects The Force That Is Driving The Momentum In Molina Healthcare, Inc.'s NYSE:MOH) Stock?
Most readers would already be aware that Molina Healthcare's (NYSE:MOH) stock increased significantly by 17% over the past three months. Since the market usually pay for a company's long-term fundamentals, we decided to study the company's key performance indicators to see if they could be influencing the market. Particularly, we will be paying attention to Molina Healthcare's ROE today.
大多數讀者應該已經知道，Molina Healthcare(紐約證券交易所股票代碼：MOH)的股票在過去三個月裡大幅上漲了17%。由於市場通常為公司的長期基本面買單，我們決定研究公司的關鍵業績指標，看看它們是否會影響市場。特別是，我們今天將關注Molina Healthcare的淨資產收益率(ROE)。
Return on Equity or ROE is a test of how effectively a company is growing its value and managing investors' money. In simpler terms, it measures the profitability of a company in relation to shareholder's equity.
股本回報率(ROE)是對一家公司增值和管理投資者資金的效率的測試。簡而言之，它衡量的是一家公司相對於股東權益的盈利能力。
See our latest analysis for Molina Healthcare
查看我們對Molina Healthcare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 Molina Healthcare is:
因此，根據上述公式，Molina Healthcare的淨資產收益率為：
25% = US$916m ÷ US$3.6b (Based on the trailing twelve months to June 2023).
25%=9.16億美元×36億美元(基於截至2023年6月的12個月)。
The 'return' is the yearly profit. So, this means that for every $1 of its shareholder's investments, the company generates a profit of $0.25.
“回報”就是年度利潤。因此，這意味著股東每投資1美元，公司就會產生0.25美元的利潤。
What Has ROE Got To Do With Earnings Growth?
淨資產收益率與盈利增長有什麼關係？
So far, we've learned that ROE is a measure of a company's profitability. Based on how much of its profits the company chooses to reinvest or "retain", we are then able to evaluate a company's future ability to generate profits. Assuming all else is equal, companies that have both a higher return on equity and higher profit retention are usually the ones that have a higher growth rate when compared to companies that don't have the same features.
到目前為止，我們瞭解到淨資產收益率是衡量一家公司盈利能力的指標。根據公司選擇再投資或“保留”多少利潤，我們就能夠評估一家公司未來產生利潤的能力。假設其他條件相同，與沒有相同特徵的公司相比，擁有更高股本回報率和更高利潤保留率的公司通常會有更高的增長率。
Molina Healthcare's Earnings Growth And 25% ROE
Molina Healthcare的收益增長和25%的淨資產收益率
Firstly, we acknowledge that Molina Healthcare has a significantly high ROE. Additionally, the company's ROE is higher compared to the industry average of 11% which is quite remarkable. This likely paved the way for the modest 11% net income growth seen by Molina Healthcare over the past five years.
首先，我們承認Molina Healthcare擁有顯著較高的淨資產收益率。此外，該公司的淨資產收益率(ROE)高於11%的行業平均水準，這是相當了不起的。這可能為Molina Healthcare在過去五年中實現11%的適度淨利潤增長鋪平了道路。
As a next step, we compared Molina Healthcare's net income growth with the industry and found that the company has a similar growth figure when compared with the industry average growth rate of 11% in the same period.
下一步，我們將Molina Healthcare的淨收入增長與行業進行比較，發現該公司的增長數位與同期11%的行業平均增長率相似。
Earnings growth is a huge factor in stock valuation. The investor should try to establish if the expected growth or decline in earnings, whichever the case may be, is priced in. This then helps them determine if the stock is placed for a bright or bleak future. 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 Molina Healthcare is trading on a high P/E or a low P/E, relative to its industry.
盈利增長是股票估值的一個重要因素。投資者應該嘗試確定預期的收益增長或下降是否已計入價格，無論是哪種情況。這有助於他們確定這只股票是為光明還是黯淡的未來做準備。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Molina Healthcare相對於其行業是高本益比還是低本益比。
Is Molina Healthcare Making Efficient Use Of Its Profits?
Molina Healthcare是否有效地利用了其利潤？
Molina Healthcare doesn't pay any dividend, meaning that all of its profits are being reinvested in the business, which explains the fair bit of earnings growth the company has seen.
Molina Healthcare不支付任何股息，這意味著它的所有利潤都將再投資於業務，這就解釋了該公司的收益增長相當可觀。
Summary
摘要
On the whole, we feel that Molina Healthcare's performance has been quite good. 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. Having said that, looking at the current analyst estimates, we found that the company's earnings are expected to gain momentum. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company.
整體而言，我們覺得Molina Healthcare的表現相當不錯。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。話雖如此，但從目前分析師的預估來看，我們發現該公司的盈利勢頭有望增強。這些分析師的預期是基於對該行業的廣泛預期，還是基於該公司的基本面？點擊此處進入我們分析師對該公司的預測頁面。
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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.