American Rare Total Debt vs. Operating Margin
| ARRNF Stock | USD 0.19 0.01 5.56% |
For American Rare profitability analysis, we use financial ratios and fundamental drivers that measure the ability of American Rare to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well American Rare Earths utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between American Rare's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of American Rare Earths over time as well as its relative position and ranking within its peers.
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American Rare Earths Operating Margin vs. Total Debt Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining American Rare's current stock value. Our valuation model uses many indicators to compare American Rare value to that of its competitors to determine the firm's financial worth. American Rare Earths is rated fifth in total debt category among its peers. It also is rated fifth in operating margin category among its peers . 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 American Rare's earnings, one of the primary drivers of an investment's value.American Total Debt vs. Competition
American Rare Earths is rated fifth in total debt category among its peers. Total debt of Other Industrial Metals & Mining industry is presently estimated at about 110.86 Million. American Rare adds roughly 173,360 in total debt claiming only tiny portion of all equities under Other Industrial Metals & Mining industry.
American Operating Margin vs. Total Debt
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
American Rare |
| = | 173.36 K |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
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.
American Rare |
| = | (94.51) % |
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.
American Operating Margin Comparison
American Rare is currently under evaluation in operating margin category among its peers.
American Rare Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in American Rare, profitability is also one of the essential criteria for including it into their portfolios because, without profit, American Rare will eventually generate negative long term returns. The profitability progress is the general direction of American Rare's change in net profit over the period of time. It can combine multiple indicators of American Rare, 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.
American Rare Earths Limited engages in the exploration and development of mineral resources in Australia and the United States. American Rare Earths Limited was incorporated in 1986 and is based in Sydney, Australia. American Rare operates under Other Industrial Metals Mining classification in the United States and is traded on OTC Exchange.
American Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on American Rare. 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 American Rare 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 American Rare's important profitability drivers and their relationship over time.
Use American Rare 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 American Rare 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 American Rare will appreciate offsetting losses from the drop in the long position's value.American Rare Pair Trading
American Rare Earths Pair Trading Analysis
The ability to find closely correlated positions to American Rare could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace American Rare 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 American Rare - 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 American Rare Earths to buy it.
The correlation of American Rare 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 American Rare moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if American Rare Earths 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 American Rare 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 American Rare position
In addition to having American Rare 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 Processed Foods Thematic Idea Now
Processed Foods
Companies producing and distributing processed foods to retail sectors. The Processed Foods theme has 48 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 Processed Foods Theme or any other thematic opportunities.
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Other Information on Investing in American OTC Stock
To fully project American Rare's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of American Rare Earths 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 American Rare's income statement, its balance sheet, and the statement of cash flows.