Value Added Return On Equity vs. Price To Earning
| 043150 Stock | KRW 20,400 200.00 0.97% |
For Value Added profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Value Added to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Value Added Technology utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Value Added's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Value Added Technology over time as well as its relative position and ranking within its peers.
Value |
Value Added Technology Price To Earning vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Value Added's current stock value. Our valuation model uses many indicators to compare Value Added value to that of its competitors to determine the firm's financial worth. Value Added Technology is number one stock in return on equity category among its peers. It is rated second in price to earning category among its peers reporting about 0.80 of Price To Earning per Return On Equity. The ratio of Return On Equity to Price To Earning for Value Added Technology is roughly 1.25 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Value Added by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Value Added's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Value Price To Earning vs. Return On Equity
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Value Added |
| = | 22.5 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Value Added |
| = | 17.96 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Value Added Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Value Added, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Value Added will eventually generate negative long term returns. The profitability progress is the general direction of Value Added's change in net profit over the period of time. It can combine multiple indicators of Value Added, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Value Added Technology Co., Ltd. develops, manufactures, and sells dental medical X-ray devices in Korea. The company was founded in 1992 and is headquartered in Hwaseong, South Korea. VATECH is traded on Korean Securities Dealers Automated Quotations in South Korea.
Value Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Value Added. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Value Added position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Value Added's important profitability drivers and their relationship over time.
Use Value Added in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Value Added position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Value Added will appreciate offsetting losses from the drop in the long position's value.Value Added Pair Trading
Value Added Technology Pair Trading Analysis
The ability to find closely correlated positions to Value Added could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Value Added when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Value Added - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Value Added Technology to buy it.
The correlation of Value Added is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Value Added moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Value Added Technology moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Value Added can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Value Added position
In addition to having Value Added in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Emerging Markets Funds Thematic Idea Now
Emerging Markets Funds
Fund or Etfs that invest in markets of developing countries. The Emerging Markets Funds theme has 44 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Emerging Markets Funds Theme or any other thematic opportunities.
| View All Next | Launch |
Other Information on Investing in Value Stock
To fully project Value Added's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Value Added Technology at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Value Added's income statement, its balance sheet, and the statement of cash flows.