Adaro Energy Return On Equity vs. Current Valuation
| ADOOY Stock | USD 11.70 0.07 0.60% |
For Adaro Energy profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Adaro Energy to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Adaro Energy Tbk utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Adaro Energy's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Adaro Energy Tbk over time as well as its relative position and ranking within its peers.
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Adaro Energy Tbk Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Adaro Energy's current stock value. Our valuation model uses many indicators to compare Adaro Energy value to that of its competitors to determine the firm's financial worth. Adaro Energy Tbk is rated below average in return on equity category among its peers. It is rated second in current valuation category among its peers reporting about 10,738,798,005 of Current Valuation per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Adaro Energy by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Adaro Energy's Pink Sheet. 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.Adaro Current Valuation vs. Return On Equity
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.
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| = | 0.51 |
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.
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.
Adaro Energy |
| = | 5.53 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.
Adaro Current Valuation vs Competition
Adaro Energy Tbk is rated second in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Thermal Coal industry is presently estimated at about 83.75 Billion. Adaro Energy holds roughly 5.53 Billion in current valuation claiming about 7% of equities listed under Thermal Coal industry.
Adaro Energy Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Adaro Energy, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Adaro Energy will eventually generate negative long term returns. The profitability progress is the general direction of Adaro Energy's change in net profit over the period of time. It can combine multiple indicators of Adaro Energy, 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.
PT Adaro Energy Indonesia Tbk, together with its subsidiaries, operates as an integrated energy producer in coal, energy, utilities, and supporting infrastructure sectors in Indonesia. PT Adaro Energy Indonesia Tbk was founded in 2004 and is headquartered in Jakarta, Indonesia. Adaro Energy operates under Thermal Coal classification in the United States and is traded on OTC Exchange. It employs 9849 people.
Adaro Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Adaro Energy. 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 Adaro Energy 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 Adaro Energy's important profitability drivers and their relationship over time.
Use Adaro Energy 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 Adaro Energy 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 Adaro Energy will appreciate offsetting losses from the drop in the long position's value.Adaro Energy Pair Trading
Adaro Energy Tbk Pair Trading Analysis
The ability to find closely correlated positions to Adaro Energy could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Adaro Energy 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 Adaro Energy - 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 Adaro Energy Tbk to buy it.
The correlation of Adaro Energy 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 Adaro Energy moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Adaro Energy Tbk 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 Adaro Energy 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 Adaro Energy position
In addition to having Adaro Energy 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 Volatility ETFs Thematic Idea Now
Volatility ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Volatility ETFs theme has 27 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 Volatility ETFs Theme or any other thematic opportunities.
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Additional Tools for Adaro Pink Sheet Analysis
When running Adaro Energy's price analysis, check to measure Adaro Energy'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 Adaro Energy is operating at the current time. Most of Adaro Energy's value examination focuses on studying past and present price action to predict the probability of Adaro Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Adaro Energy's price. Additionally, you may evaluate how the addition of Adaro Energy to your portfolios can decrease your overall portfolio volatility.