SOFI TECHNOLOGIES Market Capitalization vs. Return On Equity
| 6B0 Stock | 15.03 0.04 0.27% |
For SOFI TECHNOLOGIES profitability analysis, we use financial ratios and fundamental drivers that measure the ability of SOFI TECHNOLOGIES to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well SOFI TECHNOLOGIES utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between SOFI TECHNOLOGIES's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of SOFI TECHNOLOGIES over time as well as its relative position and ranking within its peers.
SOFI |
SOFI TECHNOLOGIES Return On Equity vs. Market Capitalization Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining SOFI TECHNOLOGIES's current stock value. Our valuation model uses many indicators to compare SOFI TECHNOLOGIES value to that of its competitors to determine the firm's financial worth. SOFI TECHNOLOGIES is rated below average in market capitalization category among its peers. It is number one stock in return on equity category among its peers . 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 SOFI TECHNOLOGIES's earnings, one of the primary drivers of an investment's value.SOFI Return On Equity vs. Market Capitalization
Market Capitalization is the total market value of a company's equity. It is one of many ways to value a company and is calculated by multiplying the price of the stock by the number of shares issued. If a firm has one type of stock its market capitalization will be the current market share price multiplied by the number of shares. However, if a company has multiple types of equities then the market cap will be the total of the market caps of the different types of shares.
SOFI TECHNOLOGIES |
| = | 5.79 B |
In most publications or references market cap is broken down into the mega-cap, large-cap, mid-cap, small-cap, micro-cap, and nano-cap. Market Cap is a measurement of business as total market value of all of the outstanding shares at a given time, and can be used to compare different companies based on their size.
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.
SOFI TECHNOLOGIES |
| = | -0.0627 |
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.
SOFI Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on SOFI TECHNOLOGIES. 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 SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES's important profitability drivers and their relationship over time.
Use SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES will appreciate offsetting losses from the drop in the long position's value.SOFI TECHNOLOGIES Pair Trading
SOFI TECHNOLOGIES Pair Trading Analysis
The ability to find closely correlated positions to SOFI TECHNOLOGIES could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES - 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 SOFI TECHNOLOGIES to buy it.
The correlation of SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES position
In addition to having SOFI TECHNOLOGIES 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 Commodities Funds Thematic Idea Now
Commodities Funds
Funds or Etfs investing in commodities such as oil, gold, corn, soy, and agricultural goods. The Commodities Funds theme has 46 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 Commodities Funds Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in SOFI Stock
When determining whether SOFI TECHNOLOGIES offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of SOFI TECHNOLOGIES'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 Sofi Technologies Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Sofi Technologies Stock:Check out Trending Equities. For more detail on how to invest in SOFI Stock please use our How to Invest in SOFI TECHNOLOGIES guide.You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
To fully project SOFI TECHNOLOGIES's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES's income statement, its balance sheet, and the statement of cash flows.