share_log

Has Insteel Industries, Inc.'s (NYSE:IIIN) Impressive Stock Performance Got Anything to Do With Its Fundamentals?

Has Insteel Industries, Inc.'s (NYSE:IIIN) Impressive Stock Performance Got Anything to Do With Its Fundamentals?

有 Insteel Industries, Inc.'s(纽约证券交易所代码:IIIN)令人印象深刻的股票表现与其基本面有关吗?
Simply Wall St ·  03/22 11:17

Insteel Industries' (NYSE:IIIN) stock is up by a considerable 12% over the past week. As most would know, fundamentals are what usually guide market price movements over the long-term, so we decided to look at the company's key financial indicators today to determine if they have any role to play in the recent price movement. In this article, we decided to focus on Insteel Industries' ROE.

过去一周,Insteel Industries(纽约证券交易所代码:IIIN)的股票上涨了12%。正如大多数人所知道的那样,基本面通常是指导市场价格长期走势的因素,因此我们今天决定研究公司的关键财务指标,以确定它们在近期的价格走势中是否可以发挥任何作用。在本文中,我们决定重点关注Insteel Industries的投资回报率。

ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. In short, ROE shows the profit each dollar generates with respect to its shareholder investments.

投资回报率或股本回报率是评估公司如何有效地从股东那里获得投资回报的有用工具。简而言之,投资回报率显示了每美元从其股东投资中产生的利润。

How Is ROE Calculated?

ROE 是如何计算的?

The formula for ROE is:

ROE 的公式是:

Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity

股本回报率 = 净利润(来自持续经营业务)÷ 股东权益

So, based on the above formula, the ROE for Insteel Industries is:

因此,根据上述公式,Insteel Industries的投资回报率为:

6.7% = US$22m ÷ US$334m (Based on the trailing twelve months to December 2023).

6.7% = 2200万美元 ÷ 3.34亿美元(基于截至2023年12月的过去十二个月)。

The 'return' refers to a company's earnings over the last year. One way to conceptualize this is that for each $1 of shareholders' capital it has, the company made $0.07 in profit.

“回报” 是指公司去年的收益。对此进行概念化的一种方法是,该公司每拥有1美元的股东资本,就能获得0.07美元的利润。

What Is The Relationship Between ROE And Earnings Growth?

投资回报率与收益增长之间有什么关系?

Thus far, we have learned that ROE measures how efficiently a company is generating its profits. 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. 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.

到目前为止,我们已经了解到,投资回报率衡量的是公司创造利润的效率。根据公司选择将多少利润进行再投资或 “保留”,我们便能够评估公司未来创造利润的能力。一般而言,在其他条件相同的情况下,股本回报率和利润留存率高的公司的增长率要高于不具有这些属性的公司。

A Side By Side comparison of Insteel Industries' Earnings Growth And 6.7% ROE

Insteel Industries的收益增长和6.7%的投资回报率的并排比较

When you first look at it, Insteel Industries' ROE doesn't look that attractive. We then compared the company's ROE to the broader industry and were disappointed to see that the ROE is lower than the industry average of 17%. However, we we're pleasantly surprised to see that Insteel Industries grew its net income at a significant rate of 30% in the last five years. We reckon that there could be other factors at play here. For instance, the company has a low payout ratio or is being managed efficiently.

当你第一次看时,Insteel Industries的投资回报率看起来并不那么有吸引力。然后,我们将该公司的投资回报率与整个行业进行了比较,但对投资回报率低于行业平均水平的17%感到失望。但是,我们惊喜地看到,在过去五年中,Insteel Industries的净收入大幅增长了30%。我们认为这里可能还有其他因素在起作用。例如,该公司的派息率很低或管理得很高效。

As a next step, we compared Insteel Industries' net income growth with the industry, and pleasingly, we found that the growth seen by the company is higher than the average industry growth of 13%.

下一步,我们将Insteel Industries的净收入增长与该行业进行了比较,令人高兴的是,我们发现该公司的增长高于13%的行业平均增长。

past-earnings-growth
NYSE:IIIN Past Earnings Growth March 22nd 2024
纽约证券交易所:IIIN过去的收益增长 2024年3月22日

The basis for attaching value to a company is, to a great extent, tied to its earnings growth. 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. What is IIIN worth today? The intrinsic value infographic in our free research report helps visualize whether IIIN is currently mispriced by the market.

为公司附加价值的基础在很大程度上与其收益增长息息相关。对于投资者来说,重要的是要知道市场是否对公司的预期收益增长(或下降)进行了定价。通过这样做,他们将知道股票是走向清澈的蓝色海水还是沼泽水域在等着呢。今天的IIIN值多少钱?我们免费研究报告中的内在价值信息图有助于直观地了解市场目前是否对IIIN进行了错误的定价。

Is Insteel Industries Efficiently Re-investing Its Profits?

Insteel Industries是否有效地将其利润再投资?

Insteel Industries' three-year median payout ratio to shareholders is 3.5%, which is quite low. This implies that the company is retaining 97% of its profits. So it seems like the management is reinvesting profits heavily to grow its business and this reflects in its earnings growth number.

Insteel Industries的三年股东派息率中位数为3.5%,相当低。这意味着该公司保留了97%的利润。因此,管理层似乎正在将利润大量再投资以发展业务,这反映在其收益增长数字上。

Moreover, Insteel Industries is determined to keep sharing its profits with shareholders which we infer from its long history of paying a dividend for at least ten years.

此外,Insteel Industries决心继续与股东分享利润,这是我们从其支付股息至少十年的悠久历史中推断出来的。

Summary

摘要

On the whole, we do feel that Insteel Industries has some positive attributes. Despite its low rate of return, the fact that the company reinvests a very high portion of its profits into its business, no doubt contributed to its high earnings growth. Having said that, looking at the current analyst estimates, we found that the company's earnings are expected to gain momentum. To know more about the company's future earnings growth forecasts take a look at this free report on analyst forecasts for the company to find out more.

总的来说,我们确实认为Insteel Industries具有一些积极的属性。尽管回报率很低,但该公司将其利润的很大一部分再投资于其业务这一事实无疑促进了其高收益增长。话虽如此,从分析师目前的估计来看,我们发现该公司的收益有望增强。要了解有关公司未来收益增长预测的更多信息,请查看这份关于分析师预测的免费报告,以了解更多信息。

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.

对这篇文章有反馈吗?对内容感到担忧?直接联系我们。 或者,给编辑团队 (at) simplywallst.com 发送电子邮件。
Simply Wall St的这篇文章本质上是笼统的。我们仅使用公正的方法根据历史数据和分析师的预测提供评论,我们的文章无意作为财务建议。它不构成买入或卖出任何股票的建议,也没有考虑到您的目标或财务状况。我们的目标是为您提供由基本数据驱动的长期重点分析。请注意,我们的分析可能不考虑最新的价格敏感型公司公告或定性材料。简而言之,华尔街没有持有任何上述股票的头寸。

声明:本内容仅用作提供资讯及教育之目的,不构成对任何特定投资或投资策略的推荐或认可。 更多信息
    抢沙发