HILONG HOLDING Operating Margin vs. Return On Asset
| 8HL Stock | EUR 0.01 0.00 0.00% |
For HILONG HOLDING profitability analysis, we use financial ratios and fundamental drivers that measure the ability of HILONG HOLDING to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well HILONG HOLDING LTD utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between HILONG HOLDING's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of HILONG HOLDING LTD over time as well as its relative position and ranking within its peers.
HILONG |
HILONG HOLDING LTD Return On Asset vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining HILONG HOLDING's current stock value. Our valuation model uses many indicators to compare HILONG HOLDING value to that of its competitors to determine the firm's financial worth. HILONG HOLDING LTD is number one stock in operating margin category among its peers. It also is number one stock in return on asset category among its peers reporting about 0.21 of Return On Asset per Operating Margin. The ratio of Operating Margin to Return On Asset for HILONG HOLDING LTD is roughly 4.84 . 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 HILONG HOLDING's earnings, one of the primary drivers of an investment's value.HILONG Return On Asset vs. Operating Margin
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.
HILONG HOLDING |
| = | 6.48 % |
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.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
HILONG HOLDING |
| = | 1.34 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
HILONG Return On Asset Comparison
HILONG HOLDING is currently under evaluation in return on asset category among its peers.
HILONG HOLDING Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in HILONG HOLDING, profitability is also one of the essential criteria for including it into their portfolios because, without profit, HILONG HOLDING will eventually generate negative long term returns. The profitability progress is the general direction of HILONG HOLDING's change in net profit over the period of time. It can combine multiple indicators of HILONG HOLDING, 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.
Hilong Holding Limited, an investment holding company, provides oil field equipment and services worldwide. Hilong Holding Limited is a subsidiary of Hilong Group Limited. HILONG HOLDING operates under Oil Gas Equipment Services classification in Germany and is traded on Frankfurt Stock Exchange. It employs 2820 people.
HILONG Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on HILONG HOLDING. 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 HILONG HOLDING 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 HILONG HOLDING's important profitability drivers and their relationship over time.
Use HILONG HOLDING 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 HILONG HOLDING 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 HILONG HOLDING will appreciate offsetting losses from the drop in the long position's value.HILONG HOLDING Pair Trading
HILONG HOLDING LTD Pair Trading Analysis
The ability to find closely correlated positions to HILONG HOLDING could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace HILONG HOLDING 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 HILONG HOLDING - 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 HILONG HOLDING LTD to buy it.
The correlation of HILONG HOLDING 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 HILONG HOLDING moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if HILONG HOLDING LTD 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 HILONG HOLDING 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 HILONG HOLDING position
In addition to having HILONG HOLDING 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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Plastics
Companies manufacturing rubber and plastics accessories. The Plastics theme has 43 constituents at this time.
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Other Information on Investing in HILONG Stock
To fully project HILONG HOLDING's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of HILONG HOLDING LTD 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 HILONG HOLDING's income statement, its balance sheet, and the statement of cash flows.