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Square Technology Group Co (SHSE:603339) Forward Rate of Return (Yacktman) % : 23.09% (As of Mar. 2025)


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What is Square Technology Group Co Forward Rate of Return (Yacktman) %?

Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. Square Technology Group Co's forward rate of return for was 23.09%.

The historical rank and industry rank for Square Technology Group Co's Forward Rate of Return (Yacktman) % or its related term are showing as below:

SHSE:603339' s Forward Rate of Return (Yacktman) % Range Over the Past 10 Years
Min: -1.19   Med: 9.33   Max: 27.83
Current: 23.32

During the past 13 years, Square Technology Group Co's highest Forward Rate of Return was 27.83. The lowest was -1.19. And the median was 9.33.

SHSE:603339's Forward Rate of Return (Yacktman) % is ranked better than
92.61% of 1962 companies
in the Industrial Products industry
Industry Median: 9.59 vs SHSE:603339: 23.32

Unlike the Earnings Yield %, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Square Technology Group Co Forward Rate of Return (Yacktman) % Historical Data

The historical data trend for Square Technology Group Co's Forward Rate of Return (Yacktman) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Square Technology Group Co Forward Rate of Return (Yacktman) % Chart

Square Technology Group Co Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Forward Rate of Return (Yacktman) %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 3.26 -0.84 6.30 23.84 23.61

Square Technology Group Co Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Forward Rate of Return (Yacktman) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 26.42 27.69 25.56 23.61 23.09

Competitive Comparison of Square Technology Group Co's Forward Rate of Return (Yacktman) %

For the Specialty Industrial Machinery subindustry, Square Technology Group Co's Forward Rate of Return (Yacktman) %, along with its competitors' market caps and Forward Rate of Return (Yacktman) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Square Technology Group Co's Forward Rate of Return (Yacktman) % Distribution in the Industrial Products Industry

For the Industrial Products industry and Industrials sector, Square Technology Group Co's Forward Rate of Return (Yacktman) % distribution charts can be found below:

* The bar in red indicates where Square Technology Group Co's Forward Rate of Return (Yacktman) % falls into.


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Square Technology Group Co Forward Rate of Return (Yacktman) % Calculation

Forward Rate of Return is a concept that Don Yacktman uses in his investment approach. Yacktman explained the forward rate of return concept in detail in his interview with GuruFocus. Yacktman defines forward rate of return as the normalized free cash flow yield plus real growth plus inflation. He said in the interview (March 2012, when the S&P 500 was at about 1400):

If the business is stable, this calculation is fairly straightforward. For instance, on the S&P 500 we would normalize earnings. We would then calculate what percentage of those earnings are not reinvested in the underlying businesses and are therefore free. Historically, for the S&P 500, this has been just under 50% of earnings. Currently, we expect the S&P to earn about 70 on a normalized basis, a number which is far below reported earnings due to our adjusting for record high profit margins. $70 X ½ / 1400 gives you a normalized free cash flow yield of approximately 2.5%.

The historical real growth rate of the S&P 500 (companies) is about 1.5%. Assuming an inflation rate of 2.5%, the forward rate of return on an investment in the S&P 500 is about 6.5% today (2.5% free cash flow yield plus 1.5% real growth plus 2.5% inflation).

Square Technology Group Co's Forward Rate of Return of Mar. 2025 is

Forward Rate of Return=Normalized Free Cash Flow/Price+5-Year EBITDA Growth Rate
=0.37809524/12.23+0.2
=23.09 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Square Technology Group Co  (SHSE:603339) Forward Rate of Return (Yacktman) % Explanation

Unlike the Earnings Yield, the Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.

For the growth part of the Forward Rate of Return calculation, GuruFocus uses the 5-year average growth rate of EBITDA per share as the growth rate, and the growth rate is always capped at 20%. For the Free Cash Flow we use per share data averaged over five years. The reason we use five years is to make it comparable to the growth rate.


Be Aware

In the Forward Rate of Return calculation, the growth rate is added directly to today's free cash flow yield. Therefore the calculation is reliable only if the company can grow at the same rate in the future as it did in the past. Investors should pay close attention to this when researching growth stocks. A more accurate measurement for return is Return on Capital.


Square Technology Group Co Forward Rate of Return (Yacktman) % Related Terms

Thank you for viewing the detailed overview of Square Technology Group Co's Forward Rate of Return (Yacktman) % provided by GuruFocus.com. Please click on the following links to see related term pages.


Square Technology Group Co Business Description

Traded in Other Exchanges
N/A
Address
No.3888 Jing Tong Public Road, Tongzhou District, Xingren Town, JiangSu, Nantong, CHN, 226371
Square Technology Group Co Ltd engages in the research, development, manufacture, and supply of cold chain equipment and special containers. It offers plate, spiral, tunnel, and fluidized-bed tunnel freezers; flake ice machines; seafood and battering and breading food processing lines; blast freezers and cold storage solutions; compressor units and refrigerant systems; and other equipment for food processing, as well as turnkey project services for the food processors.
Executives
Zhu Guo Jian senior management
Huang Hua Director
Wang Zhi Yan Director
Yang Yan Chao Director
Li Guo Rong Supervisors
Lou Xiao Hua Director
Yang Xin Hua Supervisors
Huang Jie Director
Huang Xin Ying senior management
Qian Hong Director
Shi Jin Cai senior management
Ji Fa Wei Supervisors

Square Technology Group Co Headlines

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