China Airlines Net Income vs. Gross Profit
| 2610 Stock | TWD 26.50 0.45 1.67% |
For China Airlines profitability analysis, we use financial ratios and fundamental drivers that measure the ability of China Airlines to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well China Airlines utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between China Airlines's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of China Airlines over time as well as its relative position and ranking within its peers.
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China Airlines Gross Profit vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining China Airlines's current stock value. Our valuation model uses many indicators to compare China Airlines value to that of its competitors to determine the firm's financial worth. China Airlines is rated fourth in net income category among its peers. It also is rated fourth in gross profit category among its peers fabricating about 2.49 of Gross Profit per Net Income. 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 China Airlines' earnings, one of the primary drivers of an investment's value.China Gross Profit vs. Net Income
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.
China Airlines |
| = | 9.38 B |
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.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
China Airlines |
| = | 23.35 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
China Gross Profit Comparison
China Airlines is rated third in gross profit category among its peers.
China Airlines Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in China Airlines, profitability is also one of the essential criteria for including it into their portfolios because, without profit, China Airlines will eventually generate negative long term returns. The profitability progress is the general direction of China Airlines' change in net profit over the period of time. It can combine multiple indicators of China Airlines, 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.
China Airlines, Ltd., together with its subsidiaries, provides passengers and air cargo transportation services. China Airlines, Ltd. is a subsidiary of China Aviation Development Foundation. CHINA AIR operates under Airlines classification in Taiwan and is traded on Taiwan Stock Exchange.
China Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on China Airlines. 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 China Airlines 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 China Airlines' important profitability drivers and their relationship over time.
Use China Airlines 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 China Airlines 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 China Airlines will appreciate offsetting losses from the drop in the long position's value.China Airlines Pair Trading
China Airlines Pair Trading Analysis
The ability to find closely correlated positions to China Airlines could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace China Airlines 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 China Airlines - 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 China Airlines to buy it.
The correlation of China Airlines 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 China Airlines moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if China Airlines 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 China Airlines 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 China Airlines position
In addition to having China Airlines 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 Robots And Drones Thematic Idea Now
Robots And Drones
Large technology companies that are involved in development and manufacturing of drones, robots, or robotic equipment across mechanical engineering, electrical engineering, mathematics and computer science fields. Drones and robotics are projected to significantly grow in demand in the next 5 years. The Robots And Drones theme has 42 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 Robots And Drones Theme or any other thematic opportunities.
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Additional Tools for China Stock Analysis
When running China Airlines' price analysis, check to measure China Airlines' 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 China Airlines is operating at the current time. Most of China Airlines' value examination focuses on studying past and present price action to predict the probability of China Airlines' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move China Airlines' price. Additionally, you may evaluate how the addition of China Airlines to your portfolios can decrease your overall portfolio volatility.