Shinhan Financial Return On Equity vs. Current Valuation
| 055550 Stock | 53,000 500.00 0.93% |
For Shinhan Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Shinhan Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Shinhan Financial Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Shinhan Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Shinhan Financial Group over time as well as its relative position and ranking within its peers.
Shinhan |
Shinhan Financial Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Shinhan Financial's current stock value. Our valuation model uses many indicators to compare Shinhan Financial value to that of its competitors to determine the firm's financial worth. Shinhan Financial Group is number one stock in return on equity category among its peers. It also is the top company in current valuation category among its peers reporting about Huge of Current Valuation per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Shinhan Financial by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Shinhan Financial'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.Shinhan Current Valuation 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.
Shinhan Financial |
| = | 0.0943 |
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.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Shinhan Financial |
| = | 77.63 T |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Shinhan Current Valuation vs Competition
Shinhan Financial Group is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Financials industry is presently estimated at about 77.79 Trillion. Shinhan Financial totals roughly 77.63 Trillion in current valuation claiming about 100% of equities under Financials industry.
Shinhan Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Shinhan Financial. 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 Shinhan Financial 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 Shinhan Financial's important profitability drivers and their relationship over time.
Use Shinhan Financial 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 Shinhan Financial 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 Shinhan Financial will appreciate offsetting losses from the drop in the long position's value.Shinhan Financial Pair Trading
Shinhan Financial Group Pair Trading Analysis
The ability to find closely correlated positions to Shinhan Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Shinhan Financial 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 Shinhan Financial - 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 Shinhan Financial Group to buy it.
The correlation of Shinhan Financial 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 Shinhan Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Shinhan Financial 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 Shinhan Financial 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 Shinhan Financial position
In addition to having Shinhan Financial 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 Data Storage Thematic Idea Now
Data Storage
Companies making data storages or providing data storage services. The Data Storage theme has 40 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 Data Storage Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Shinhan Stock
When determining whether Shinhan Financial is a strong investment it is important to analyze Shinhan Financial's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Shinhan Financial's future performance. For an informed investment choice regarding Shinhan Stock, refer to the following important reports:Check out Trending Equities. You can also try the Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
To fully project Shinhan Financial's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Shinhan Financial 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 Shinhan Financial's income statement, its balance sheet, and the statement of cash flows.