Transcend Information Price To Book vs. Return On Equity
| 2451 Stock | TWD 91.50 0.60 0.65% |
For Transcend Information profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Transcend Information to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Transcend Information utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Transcend Information's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Transcend Information over time as well as its relative position and ranking within its peers.
Transcend |
Transcend Information Return On Equity vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Transcend Information's current stock value. Our valuation model uses many indicators to compare Transcend Information value to that of its competitors to determine the firm's financial worth. Transcend Information is rated third in price to book category among its peers. It is rated fifth in return on equity category among its peers reporting about 0.10 of Return On Equity per Price To Book. The ratio of Price To Book to Return On Equity for Transcend Information is roughly 9.89 . 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 Transcend Information's earnings, one of the primary drivers of an investment's value.Transcend Return On Equity vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Transcend Information |
| = | 1.48 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.
Transcend Information |
| = | 0.15 |
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.
Transcend Return On Equity Comparison
Transcend Information is currently under evaluation in return on equity category among its peers.
Transcend Information Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Transcend Information, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Transcend Information will eventually generate negative long term returns. The profitability progress is the general direction of Transcend Information's change in net profit over the period of time. It can combine multiple indicators of Transcend Information, 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.
Transcend Information, Inc. engages in the design, development, manufacture, marketing, and sale of digital storage, multimedia, and industrial products worldwide. Transcend Information, Inc. was founded in 1988 and is based in Taipei, Taiwan. TRANSCEND INFORMATION operates under Electronic Components classification in Taiwan and is traded on Taiwan Stock Exchange.
Transcend Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Transcend Information. 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 Transcend Information 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 Transcend Information's important profitability drivers and their relationship over time.
Use Transcend Information 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 Transcend Information 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 Transcend Information will appreciate offsetting losses from the drop in the long position's value.Transcend Information Pair Trading
Transcend Information Pair Trading Analysis
The ability to find closely correlated positions to Transcend Information could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Transcend Information 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 Transcend Information - 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 Transcend Information to buy it.
The correlation of Transcend Information 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 Transcend Information moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Transcend Information 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 Transcend Information 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 Transcend Information position
In addition to having Transcend Information 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 Pharmaceutical Products Thematic Idea Now
Pharmaceutical Products
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Pharmaceutical Products theme has 61 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 Pharmaceutical Products Theme or any other thematic opportunities.
| View All Next | Launch |
Additional Tools for Transcend Stock Analysis
When running Transcend Information's price analysis, check to measure Transcend Information'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 Transcend Information is operating at the current time. Most of Transcend Information's value examination focuses on studying past and present price action to predict the probability of Transcend Information's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Transcend Information's price. Additionally, you may evaluate how the addition of Transcend Information to your portfolios can decrease your overall portfolio volatility.