AXA SA Price To Earning vs. Operating Margin
| AXA Stock | EUR 32.39 0.44 1.34% |
For AXA SA profitability analysis, we use financial ratios and fundamental drivers that measure the ability of AXA SA to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well AXA SA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between AXA SA's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of AXA SA over time as well as its relative position and ranking within its peers.
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AXA SA Operating Margin vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining AXA SA's current stock value. Our valuation model uses many indicators to compare AXA SA value to that of its competitors to determine the firm's financial worth. AXA SA is number one stock in price to earning category among its peers. It also is number one stock in operating margin category among its peers . The ratio of Price To Earning to Operating Margin for AXA SA is about 405.07 . 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 AXA SA's earnings, one of the primary drivers of an investment's value.AXA Operating Margin vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
AXA SA |
| = | 37.55 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
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.
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| = | 0.09 % |
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.
AXA Operating Margin Comparison
AXA SA is currently under evaluation in operating margin category among its peers.
AXA SA Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in AXA SA, profitability is also one of the essential criteria for including it into their portfolios because, without profit, AXA SA will eventually generate negative long term returns. The profitability progress is the general direction of AXA SA's change in net profit over the period of time. It can combine multiple indicators of AXA SA, 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.
AXA SA, through its subsidiaries, provides insurance and asset management services worldwide. The company was founded in 1852 and is headquartered in Paris, France. AXA S is traded on Frankfurt Stock Exchange in Germany.
AXA Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on AXA SA. 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 AXA SA 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 AXA SA's important profitability drivers and their relationship over time.
Use AXA SA 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 AXA SA 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 AXA SA will appreciate offsetting losses from the drop in the long position's value.AXA SA Pair Trading
AXA SA Pair Trading Analysis
The ability to find closely correlated positions to AXA SA could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace AXA SA 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 AXA SA - 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 AXA SA to buy it.
The correlation of AXA SA 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 AXA SA moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if AXA SA 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 AXA SA 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 AXA SA position
In addition to having AXA SA 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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Shipping Containers
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Shipping Containers theme has 16 constituents at this time.
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Other Information on Investing in AXA Stock
To fully project AXA SA's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of AXA SA 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 AXA SA's income statement, its balance sheet, and the statement of cash flows.