Corteva Current Valuation vs. Return On Equity
| 2X0 Stock | EUR 58.08 0.45 0.77% |
For Corteva profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Corteva to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Corteva utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Corteva's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Corteva over time as well as its relative position and ranking within its peers.
Corteva |
Corteva Return On Equity vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Corteva's current stock value. Our valuation model uses many indicators to compare Corteva value to that of its competitors to determine the firm's financial worth. Corteva is the top company in current valuation category among its peers. It also is number one stock in return on equity category among its peers . The ratio of Current Valuation to Return On Equity for Corteva is about 891,224,908,632 . 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 Corteva's earnings, one of the primary drivers of an investment's value.Corteva Current Valuation vs. Competition
Corteva is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Agricultural Inputs industry is presently estimated at about 101.8 Billion. Corteva totals roughly 42.33 Billion in current valuation claiming about 42% of stocks in Agricultural Inputs industry.
Corteva Return On Equity vs. Current Valuation
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.
Corteva |
| = | 42.33 B |
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.
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.
Corteva |
| = | 0.0475 |
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.
Corteva Return On Equity Comparison
Corteva is currently under evaluation in return on equity category among its peers.
Corteva Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Corteva, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Corteva will eventually generate negative long term returns. The profitability progress is the general direction of Corteva's change in net profit over the period of time. It can combine multiple indicators of Corteva, 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.
The Seed segment develops and supplies advanced germplasm and traits that produce optimum yield for farms. The company operates in the United States, Canada, Latin America, the Asia Pacific, Europe, the Middle East, and Africa. CORTEVA INC operates under Agricultural Inputs classification in Germany and is traded on Frankfurt Stock Exchange. It employs 21000 people.
Corteva Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Corteva. 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 Corteva 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 Corteva's important profitability drivers and their relationship over time.
Use Corteva 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 Corteva 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 Corteva will appreciate offsetting losses from the drop in the long position's value.Corteva Pair Trading
Corteva Pair Trading Analysis
The ability to find closely correlated positions to Corteva could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Corteva 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 Corteva - 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 Corteva to buy it.
The correlation of Corteva 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 Corteva moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Corteva 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 Corteva 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 Corteva position
In addition to having Corteva 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 Utilities Thematic Idea Now
Utilities
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Utilities 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 Utilities Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Corteva Stock
When determining whether Corteva offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Corteva's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Corteva Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Corteva Stock:Check out Trending Equities. For more detail on how to invest in Corteva Stock please use our How to Invest in Corteva guide.You can also try the Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
To fully project Corteva's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Corteva 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 Corteva's income statement, its balance sheet, and the statement of cash flows.