Chih Lien Price To Earning vs. Net Income
Considering Chih Lien's profitability and operating efficiency indicators, Chih Lien Industrial may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in December. Profitability indicators assess Chih Lien's ability to earn profits and add value for shareholders.
Check out Trending Equities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Please note, there is a significant difference between Chih Lien's value and its price as these two are different measures arrived at by different means. Investors typically determine if Chih Lien is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Chih Lien's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
For Chih Lien profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Chih Lien to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Chih Lien Industrial utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Chih Lien's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Chih Lien Industrial over time as well as its relative position and ranking within its peers.
Chih |
Chih Lien Industrial Net Income vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Chih Lien's current stock value. Our valuation model uses many indicators to compare Chih Lien value to that of its competitors to determine the firm's financial worth. Chih Lien Industrial is rated third in price to earning category among its peers. It is rated fifth in net income category among its peers making up about 6,099,957 of Net Income per Price To Earning. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Chih Lien's earnings, one of the primary drivers of an investment's value.Chih Net Income vs. Price To Earning
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.
Chih Lien |
| = | 23.50 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.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
Chih Lien |
| = | 143.35 M |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Chih Net Income Comparison
Chih Lien is currently under evaluation in net income category among its peers.
Chih Lien Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Chih Lien, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Chih Lien will eventually generate negative long term returns. The profitability progress is the general direction of Chih Lien's change in net profit over the period of time. It can combine multiple indicators of Chih Lien, 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.
Chih Lien Industrial Co., Ltd. produces and supplies steel wires and steel bars in Taiwan and internationally. Chih Lien Industrial Co., Ltd. was founded in 1973 and is headquartered in Taoyuan City, Taiwan. CHIH LIEN operates under Steel classification in Taiwan and is traded on Taiwan Stock Exchange. It employs 185 people.
Chih Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Chih Lien. 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 Chih Lien 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 Chih Lien's important profitability drivers and their relationship over time.
Use Chih Lien 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 Chih Lien 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 Chih Lien will appreciate offsetting losses from the drop in the long position's value.Chih Lien Pair Trading
Chih Lien Industrial Pair Trading Analysis
The ability to find closely correlated positions to Chih Lien could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Chih Lien 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 Chih Lien - 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 Chih Lien Industrial to buy it.
The correlation of Chih Lien 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 Chih Lien moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Chih Lien Industrial 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 Chih Lien 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 Chih Lien position
In addition to having Chih Lien 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?
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Additional Tools for Chih Stock Analysis
When running Chih Lien's price analysis, check to measure Chih Lien's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Chih Lien is operating at the current time. Most of Chih Lien's value examination focuses on studying past and present price action to predict the probability of Chih Lien's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Chih Lien's price. Additionally, you may evaluate how the addition of Chih Lien to your portfolios can decrease your overall portfolio volatility.