Argha Karya Return On Equity vs. Operating Margin
| AKPI Stock | IDR 600.00 10.00 1.64% |
For Argha Karya profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Argha Karya to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Argha Karya Prima utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Argha Karya's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Argha Karya Prima over time as well as its relative position and ranking within its peers.
Argha |
Argha Karya Prima Operating Margin vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Argha Karya's current stock value. Our valuation model uses many indicators to compare Argha Karya value to that of its competitors to determine the firm's financial worth. Argha Karya Prima is rated fourth in return on equity category among its peers. It is rated third in operating margin category among its peers reporting about 0.32 of Operating Margin per Return On Equity. The ratio of Return On Equity to Operating Margin for Argha Karya Prima is roughly 3.08 . 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 Argha Karya's earnings, one of the primary drivers of an investment's value.Argha Operating Margin 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.
Argha Karya |
| = | 0.14 |
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.
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.
Argha Karya |
| = | 0.05 % |
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.
Argha Operating Margin Comparison
Argha Karya is currently under evaluation in operating margin category among its peers.
Argha Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Argha Karya. 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 Argha Karya 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 Argha Karya's important profitability drivers and their relationship over time.
Use Argha Karya 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 Argha Karya 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 Argha Karya will appreciate offsetting losses from the drop in the long position's value.Argha Karya Pair Trading
Argha Karya Prima Pair Trading Analysis
The ability to find closely correlated positions to Argha Karya could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Argha Karya 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 Argha Karya - 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 Argha Karya Prima to buy it.
The correlation of Argha Karya 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 Argha Karya moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Argha Karya Prima 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 Argha Karya 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 Argha Karya position
In addition to having Argha Karya 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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Dynamically calculated list of top equities currently trending upward via a buy-out by investors. The Most Shorted Equities theme has 197 constituents at this time.
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Other Information on Investing in Argha Stock
To fully project Argha Karya's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Argha Karya Prima 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 Argha Karya's income statement, its balance sheet, and the statement of cash flows.