In This Article:
Understanding how Jiyi Household International Holdings Limited (SEHK:1495) is performing as a company requires looking at more than just a years' earnings. Today I will run you through a basic sense check to gain perspective on how Jiyi Household International Holdings is doing by comparing its latest earnings with its long-term trend as well as the performance of its trade distributors industry peers.
View our latest analysis for Jiyi Household International Holdings
Could 1495 beat the long-term trend and outperform its industry?
1495's trailing twelve-month earnings (from 31 December 2019) of CN¥13m has increased by 8.3% compared to the previous year.
Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of -32%, indicating the rate at which 1495 is growing has accelerated. What's enabled this growth? Let's take a look at whether it is only a result of industry tailwinds, or if Jiyi Household International Holdings has seen some company-specific growth.
In terms of returns from investment, Jiyi Household International Holdings has fallen short of achieving a 20% return on equity (ROE), recording 2.4% instead. Furthermore, its return on assets (ROA) of 2.4% is below the HK Trade Distributors industry of 4.3%, indicating Jiyi Household International Holdings's are utilized less efficiently. And finally, its return on capital (ROC), which also accounts for Jiyi Household International Holdings’s debt level, has declined over the past 3 years from 11% to 4.3%.
What does this mean?
Jiyi Household International Holdings's track record can be a valuable insight into its earnings performance, but it certainly doesn't tell the whole story. Recent positive growth doesn’t necessarily mean it’s onwards and upwards for the company. I recommend you continue to research Jiyi Household International Holdings to get a better picture of the stock by looking at:
-
Financial Health: Are 1495’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
-
Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.
NB: Figures in this article are calculated using data from the trailing twelve months from 31 December 2019. This may not be consistent with full year annual report figures.
If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned.
We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Thank you for reading.