The Midcap Price To Earning vs. Price To Sales
| CFAGX Fund | USD 51.53 0.23 0.44% |
For The Midcap profitability analysis, we use financial ratios and fundamental drivers that measure the ability of The Midcap to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well The Midcap Growth utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between The Midcap's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of The Midcap Growth over time as well as its relative position and ranking within its peers.
The |
Midcap Growth Price To Sales vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining The Midcap's current stock value. Our valuation model uses many indicators to compare The Midcap value to that of its competitors to determine the firm's financial worth. The Midcap Growth is the top fund in price to earning among similar funds. It also is the top fund in price to sales among similar funds fabricating about 0.10 of Price To Sales per Price To Earning. The ratio of Price To Earning to Price To Sales for The Midcap Growth is roughly 10.36 . 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 The Midcap's earnings, one of the primary drivers of an investment's value.The Price To Sales 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.
The Midcap |
| = | 23.94 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.
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
The Midcap |
| = | 2.31 X |
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
The Price To Sales Comparison
Midcap Growth is currently under evaluation in price to sales among similar funds.
The Midcap Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in The Midcap, profitability is also one of the essential criteria for including it into their portfolios because, without profit, The Midcap will eventually generate negative long term returns. The profitability progress is the general direction of The Midcap's change in net profit over the period of time. It can combine multiple indicators of The Midcap, 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.
The fund normally invests at least 80 percent of its net assets plus any borrowings for investment purposes in stocks, primarily common stocks, of mid-cap issuers. These issuers will have public stock market capitalizations within the range of the market capitalization of companies constituting the Russell Midcap Growth Index at the time of investment. It invests principally in stock of companies that had low price volatility in the past.
The Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on The Midcap. 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 The Midcap 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 The Midcap's important profitability drivers and their relationship over time.
Use The Midcap 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 The Midcap 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 The Midcap will appreciate offsetting losses from the drop in the long position's value.The Midcap Pair Trading
The Midcap Growth Pair Trading Analysis
The ability to find closely correlated positions to The Midcap could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace The Midcap 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 The Midcap - 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 The Midcap Growth to buy it.
The correlation of The Midcap 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 The Midcap moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Midcap Growth 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 The Midcap 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 The Midcap position
In addition to having The Midcap 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 Toys Thematic Idea Now
Toys
Companies producing and distributing toys and different gaming products for kids. The Toys theme has 37 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 Toys Theme or any other thematic opportunities.
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Other Information on Investing in The Mutual Fund
To fully project The Midcap's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Midcap Growth 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 The Midcap's income statement, its balance sheet, and the statement of cash flows.
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