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ECA Integrated Solution's High Returns and Reinvestment Fuel Earnings Growth, But Slowdown Expected

  • ROE shows the profit each dollar generates relative to shareholder investments. ECA Integrated Solution Berhad has a high ROE of 23%.

  • High ROE laid ground for ECA's 38% net income growth over past 5 years. Growth higher than industry average.

  • ECA reinvests all profits into the business rather than paying dividends. This contributes to high earnings growth.

  • Earnings growth expected to slow down as per analyst estimates.

  • ECA has attractive financial prospects overall despite potential growth slowdown. Stock could see increase in value long-term.

yahoo.com
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Kinergy Advancement Berhad's weak return on equity (ROE) and declining net income suggest that the company is not efficiently utilizing its capital and is experiencing poor earnings growth.
Moderna's return on equity (ROE) is 7.1%, which is lower than the industry average, but the company has been able to achieve significant earnings growth by reinvesting its profits into the business. However, analysts forecast a future decline in earnings.