Road Environment Current Valuation vs. Operating Margin
| 688156 Stock | 13.13 0.05 0.38% |
For Road Environment profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Road Environment to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Road Environment Technology utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Road Environment's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Road Environment Technology over time as well as its relative position and ranking within its peers.
Road |
Road Environment Tec Operating Margin vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Road Environment's current stock value. Our valuation model uses many indicators to compare Road Environment value to that of its competitors to determine the firm's financial worth. Road Environment Technology is the top company in current valuation category among its peers. It also is number one stock in operating margin category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value Road Environment by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Road Environment's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Road Current Valuation vs. Competition
Road Environment Technology is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Utilities industry is presently estimated at about 8.57 Trillion. Road Environment adds roughly 1.6 Billion in current valuation claiming only tiny portion of Utilities industry.
Road Operating Margin 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.
Road Environment |
| = | 1.6 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.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Road Environment |
| = | (0.04) % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Road Operating Margin Comparison
Road Environment is currently under evaluation in operating margin category among its peers.
Road Environment Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Road Environment, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Road Environment will eventually generate negative long term returns. The profitability progress is the general direction of Road Environment's change in net profit over the period of time. It can combine multiple indicators of Road Environment, 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.
| Last Reported | Projected for Next Year | ||
| Net Interest Income | -3.8 M | -3.6 M | |
| Interest Income | 3.3 M | 2.8 M | |
| Operating Income | 61.9 M | 54.4 M | |
| Net Income From Continuing Ops | 29.6 M | 40.8 M | |
| Income Before Tax | 33.9 M | 48.3 M | |
| Net Income | 27 M | 35.2 M |
Road Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Road Environment. 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 Road Environment 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 Road Environment's important profitability drivers and their relationship over time.
Use Road Environment 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 Road Environment 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 Road Environment will appreciate offsetting losses from the drop in the long position's value.Road Environment Pair Trading
Road Environment Technology Pair Trading Analysis
The ability to find closely correlated positions to Road Environment could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Road Environment 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 Road Environment - 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 Road Environment Technology to buy it.
The correlation of Road Environment 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 Road Environment moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Road Environment Tec 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 Road Environment 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 Road Environment position
In addition to having Road Environment 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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Cancer Fighters
Biotech and medical diagnostic companies that work on researching drugs or manufacturing of medical and therapeutics equipment that is directly related to the research, treatment, and detection of cancer or cancer related diseases. The Cancer Fighters theme has 60 constituents at this time.
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Other Information on Investing in Road Stock
To fully project Road Environment's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Road Environment Tec 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 Road Environment's income statement, its balance sheet, and the statement of cash flows.