Conns Return On Equity vs. Revenue
Based on Conns' profitability indicators, Conns Inc may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in December. Profitability indicators assess Conns' ability to earn profits and add value for shareholders.
Check out Trending Equities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
For Conns profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Conns to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Conns Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Conns's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Conns Inc over time as well as its relative position and ranking within its peers.
Conns |
Conns Inc Revenue vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Conns's current stock value. Our valuation model uses many indicators to compare Conns value to that of its competitors to determine the firm's financial worth. Conns Inc is rated below average in return on equity category among its peers. It is rated below average in revenue 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 Conns' earnings, one of the primary drivers of an investment's value.Conns Revenue 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.
Conns |
| = | -0.15 |
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.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Conns |
| = | 1.24 B |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Conns Revenue vs Competition
Conns Inc is rated below average in revenue category among its peers. Market size based on revenue of Consumer Discretionary industry is currently estimated at about 37.54 Billion. Conns holds roughly 1.24 Billion in revenue claiming about 3% of stocks in Consumer Discretionary industry.
Conns Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Conns, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Conns will eventually generate negative long term returns. The profitability progress is the general direction of Conns' change in net profit over the period of time. It can combine multiple indicators of Conns, 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.
Conns, Inc. operates as a specialty retailer of durable consumer goods and related services in the United States. Conns, Inc. was founded in 1890 and is headquartered in The Woodlands, Texas. Conns operates under Specialty Retail classification in the United States and is traded on NASDAQ Exchange. It employs 3500 people.
Conns Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Conns. 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 Conns 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 Conns' important profitability drivers and their relationship over time.
Use Conns 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 Conns 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 Conns will appreciate offsetting losses from the drop in the long position's value.Conns Pair Trading
Conns Inc Pair Trading Analysis
The ability to find closely correlated positions to Conns could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Conns 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 Conns - 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 Conns Inc to buy it.
The correlation of Conns 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 Conns moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Conns 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 Conns 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 Conns position
In addition to having Conns 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 High Dividend Yield ETFs Thematic Idea Now
High Dividend Yield ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The High Dividend Yield ETFs theme has 107 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 High Dividend Yield ETFs Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Trending Equities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors. You can also try the Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
Other Consideration for investing in Conns Stock
If you are still planning to invest in Conns Inc check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Conns' history and understand the potential risks before investing.
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes |