Allete Shares Owned By Insiders vs. Price To Book

ALE Stock  USD 64.87  0.13  0.20%   
Based on the measurements of profitability obtained from Allete's financial statements, Allete Inc is yielding more profit at this time then in previous quarter. It has a moderate probability of reporting better profitability numbers in December. Profitability indicators assess Allete's ability to earn profits and add value for shareholders. At present, Allete's Days Of Sales Outstanding is projected to drop slightly based on the last few years of reporting. At present, Allete's Income Tax Expense is projected to decrease significantly based on the last few years of reporting. The current year's Total Other Income Expense Net is expected to grow to about 27.2 M, whereas Net Income is forecasted to decline to about 126.5 M.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.250.2606
Sufficiently Down
Slightly volatile
Net Profit Margin0.130.1315
Fairly Down
Very volatile
Operating Profit Margin0.170.0962
Way Up
Slightly volatile
Pretax Profit Margin0.130.11
Fairly Up
Slightly volatile
Return On Assets0.03970.0371
Notably Up
Very volatile
Return On Equity0.10.0879
Fairly Up
Pretty Stable
For Allete profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Allete to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Allete Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Allete's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Allete Inc over time as well as its relative position and ranking within its peers.
  

Allete's Revenue Breakdown by Earning Segment

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Is Electric Utilities space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Allete. If investors know Allete will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Allete listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.48)
Dividend Share
2.793
Earnings Share
3.12
Revenue Per Share
27.217
Quarterly Revenue Growth
0.075
The market value of Allete Inc is measured differently than its book value, which is the value of Allete that is recorded on the company's balance sheet. Investors also form their own opinion of Allete's value that differs from its market value or its book value, called intrinsic value, which is Allete's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Allete's market value can be influenced by many factors that don't directly affect Allete's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Allete's value and its price as these two are different measures arrived at by different means. Investors typically determine if Allete is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Allete's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Allete Inc Price To Book vs. Shares Owned By Insiders Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Allete's current stock value. Our valuation model uses many indicators to compare Allete value to that of its competitors to determine the firm's financial worth.
Allete Inc is rated below average in shares owned by insiders category among its peers. It also is rated below average in price to book category among its peers fabricating about  4.91  of Price To Book per Shares Owned By Insiders. As of November 26, 2024, Price To Book Ratio is expected to decline to 0.94. Comparative valuation analysis is a catch-all technique that is used if you cannot value Allete by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Allete Price To Book vs. Shares Owned By Insiders

Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.

Allete

Insiders Shares

 = 

Executives Shares

+

Employees

 = 
0.27 %
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

Allete

P/B

 = 

MV Per Share

BV Per Share

 = 
1.33 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.

Allete Price To Book Comparison

Allete is currently under evaluation in price to book category among its peers.

Allete Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Allete, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Allete will eventually generate negative long term returns. The profitability progress is the general direction of Allete's change in net profit over the period of time. It can combine multiple indicators of Allete, 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.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income-20.5 M-21.5 M
Operating Income180.9 M190.7 M
Net Income247.1 M126.5 M
Income Tax Expense27.9 M29.3 M
Income Before Tax206.8 M151.2 M
Total Other Income Expense Net25.9 M27.2 M
Net Income Applicable To Common Shares217.7 M132 M
Net Income From Continuing Ops178.9 M152 M
Non Operating Income Net Other47.3 M33.2 M
Net Interest Income-70.5 M-74 M
Interest Income10.3 M9.8 M
Change To Netincome-30.4 M-28.9 M
Net Income Per Share 4.31  3.93 
Income Quality 2.37  1.72 
Net Income Per E B T 1.19  0.70 

Allete Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Allete. 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 Allete 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 Allete's important profitability drivers and their relationship over time.

Use Allete 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 Allete 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 Allete will appreciate offsetting losses from the drop in the long position's value.

Allete Pair Trading

Allete Inc Pair Trading Analysis

The ability to find closely correlated positions to Allete could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Allete 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 Allete - 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 Allete Inc to buy it.
The correlation of Allete 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 Allete moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Allete Inc 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 Allete 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Allete position

In addition to having Allete 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.

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Marketing
Marketing Theme
Companies providing marketing and public relation (PR) services as well as news and media distribution. The Marketing theme has 43 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 Marketing Theme or any other thematic opportunities.
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When determining whether Allete Inc is a strong investment it is important to analyze Allete's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Allete's future performance. For an informed investment choice regarding Allete Stock, refer to the following important reports:
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You can also try the Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
To fully project Allete's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Allete Inc 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 Allete's income statement, its balance sheet, and the statement of cash flows.
Potential Allete investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Allete investors may work on each financial statement separately, they are all related. The changes in Allete's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Allete's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.