Thinking Electronic Profit Margin vs. Return On Asset
| 2428 Stock | 155.00 4.00 2.52% |
For Thinking Electronic profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Thinking Electronic to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Thinking Electronic Industrial utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Thinking Electronic's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Thinking Electronic Industrial over time as well as its relative position and ranking within its peers.
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Thinking Electronic Return On Asset vs. Profit Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Thinking Electronic's current stock value. Our valuation model uses many indicators to compare Thinking Electronic value to that of its competitors to determine the firm's financial worth. Thinking Electronic Industrial is rated third in profit margin category among its peers. It is rated fourth in return on asset category among its peers reporting about 0.36 of Return On Asset per Profit Margin. The ratio of Profit Margin to Return On Asset for Thinking Electronic Industrial is roughly 2.74 . 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 Thinking Electronic's earnings, one of the primary drivers of an investment's value.Thinking Return On Asset vs. Profit Margin
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
Thinking Electronic |
| = | 0.21 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Thinking Electronic |
| = | 0.0765 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Thinking Return On Asset Comparison
Thinking Electronic is currently under evaluation in return on asset category among its peers.
Thinking Electronic Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Thinking Electronic, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Thinking Electronic will eventually generate negative long term returns. The profitability progress is the general direction of Thinking Electronic's change in net profit over the period of time. It can combine multiple indicators of Thinking Electronic, 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.
Thinking Electronic Industrial Co., Ltd. manufactures and sells various protective circuit components.
Thinking Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Thinking Electronic. 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 Thinking Electronic 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 Thinking Electronic's important profitability drivers and their relationship over time.
Use Thinking Electronic 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 Thinking Electronic 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 Thinking Electronic will appreciate offsetting losses from the drop in the long position's value.Thinking Electronic Pair Trading
Thinking Electronic Industrial Pair Trading Analysis
The ability to find closely correlated positions to Thinking Electronic could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Thinking Electronic 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 Thinking Electronic - 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 Thinking Electronic Industrial to buy it.
The correlation of Thinking Electronic 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 Thinking Electronic moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Thinking Electronic 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 Thinking Electronic 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 Thinking Electronic position
In addition to having Thinking Electronic 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 Large Blend Funds Thematic Idea Now
Large Blend Funds
Fund or Etfs that invest in stocks of large organizations that have characteristics of both growth and value companies. The Large Blend 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 Large Blend Funds Theme or any other thematic opportunities.
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Additional Tools for Thinking Stock Analysis
When running Thinking Electronic's price analysis, check to measure Thinking Electronic'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 Thinking Electronic is operating at the current time. Most of Thinking Electronic's value examination focuses on studying past and present price action to predict the probability of Thinking Electronic's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Thinking Electronic's price. Additionally, you may evaluate how the addition of Thinking Electronic to your portfolios can decrease your overall portfolio volatility.