ABSA Bank Earnings Per Share vs. Current Valuation
| ABSP Stock | 86,602 1,998 2.26% |
For ABSA Bank profitability analysis, we use financial ratios and fundamental drivers that measure the ability of ABSA Bank to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well ABSA Bank Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between ABSA Bank's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of ABSA Bank Limited over time as well as its relative position and ranking within its peers.
ABSA |
ABSA Bank Limited Current Valuation vs. Earnings Per Share Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining ABSA Bank's current stock value. Our valuation model uses many indicators to compare ABSA Bank value to that of its competitors to determine the firm's financial worth. ABSA Bank Limited is number one stock in earnings per share category among its peers. It also is the top company in current valuation category among its peers reporting about 17,387,809,507 of Current Valuation per Earnings Per Share. 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 ABSA Bank's earnings, one of the primary drivers of an investment's value.ABSA Current Valuation vs. Earnings Per Share
Earnings per Share (EPS) denotes the portion of a company's earnings that is allocated to each share of common stock. To calculate Earnings per Share investors will need to take a company's net income, subtract any dividends for preferred stock, and divide it by the number of average outstanding shares. EPS is usually presented in two different ways: basic and diluted. Fully diluted Earnings per Share takes into account effects of warrants, options, and convertible securities and is generally viewed by analysts as a more accurate measure.
ABSA Bank |
| = | 23.59 X |
Earnings per Share is one of the most critical measures of the firm's current share price and is used by investors to determine the overall company profitability, especially when compared to the EPS of similar companies.
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.
ABSA Bank |
| = | 410.09 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.
ABSA Current Valuation vs Competition
ABSA Bank Limited is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Banks-Regional industry is presently estimated at about 643.02 Billion. ABSA Bank totals roughly 410.09 Billion in current valuation claiming about 64% of stocks in Banks-Regional industry.
ABSA Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on ABSA Bank. 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 ABSA Bank 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 ABSA Bank's important profitability drivers and their relationship over time.
Use ABSA Bank 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 ABSA Bank 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 ABSA Bank will appreciate offsetting losses from the drop in the long position's value.ABSA Bank Pair Trading
ABSA Bank Limited Pair Trading Analysis
The ability to find closely correlated positions to ABSA Bank could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace ABSA Bank 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 ABSA Bank - 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 ABSA Bank Limited to buy it.
The correlation of ABSA Bank 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 ABSA Bank moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if ABSA Bank Limited 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 ABSA Bank 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 ABSA Bank position
In addition to having ABSA Bank 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 Adviser Favorites Thematic Idea Now
Adviser Favorites
Financial advisors frequently recommend that individuals diversify their investment portfolios with a mix of different types of stocks. These can include blue-chip stocks, growth stocks, and dividend stocks. The Adviser Favorites theme has 17 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 Adviser Favorites Theme or any other thematic opportunities.
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Additional Tools for ABSA Stock Analysis
When running ABSA Bank's price analysis, check to measure ABSA Bank's 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 ABSA Bank is operating at the current time. Most of ABSA Bank's value examination focuses on studying past and present price action to predict the probability of ABSA Bank's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move ABSA Bank's price. Additionally, you may evaluate how the addition of ABSA Bank to your portfolios can decrease your overall portfolio volatility.