Covalon Technologies Current Valuation vs. Gross Profit
Based on Covalon Technologies' profitability indicators, Covalon Technologies 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 Covalon Technologies' 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 various price indices.
Please note, there is a significant difference between Covalon Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if Covalon Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Covalon Technologies' 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.
For Covalon Technologies profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Covalon Technologies to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Covalon Technologies utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Covalon Technologies's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Covalon Technologies over time as well as its relative position and ranking within its peers.
Covalon |
Covalon Technologies Gross Profit vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Covalon Technologies's current stock value. Our valuation model uses many indicators to compare Covalon Technologies value to that of its competitors to determine the firm's financial worth. Covalon Technologies is rated second in current valuation category among its peers. It is rated third in gross profit category among its peers fabricating about 0.08 of Gross Profit per Current Valuation. The ratio of Current Valuation to Gross Profit for Covalon Technologies is roughly 12.49 . 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 Covalon Technologies' earnings, one of the primary drivers of an investment's value.Covalon Current Valuation vs. Competition
Covalon Technologies is rated second in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Health Care industry is currently estimated at about 247.82 Million. Covalon Technologies totals roughly 93.59 Million in current valuation claiming about 38% of equities under Health Care industry.
Covalon Gross Profit vs. Current Valuation
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Covalon Technologies |
| = | 93.59 M |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Covalon Technologies |
| = | 7.49 M |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Covalon Gross Profit Comparison
Covalon Technologies is currently under evaluation in gross profit category among its peers.
Covalon Technologies Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Covalon Technologies, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Covalon Technologies will eventually generate negative long term returns. The profitability progress is the general direction of Covalon Technologies' change in net profit over the period of time. It can combine multiple indicators of Covalon Technologies, 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.
Covalon Technologies Ltd. researches, develops, manufactures, commercializes, and licenses medical technologies and products in the United States, Canada, the United Kingdom, Europe, the Middle East, Asia, Latin America, and internationally. It serves hospitals, wound care centers, burn centers, extendedalternate care and acute care facilities, home health care agencies, and physicians offices. COVALON TECHNOLOGIES operates under Biotechnology classification in Exotistan and is traded on Commodity Exchange.
Covalon Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Covalon Technologies. 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 Covalon Technologies 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 Covalon Technologies' important profitability drivers and their relationship over time.
Use Covalon Technologies 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 Covalon Technologies 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 Covalon Technologies will appreciate offsetting losses from the drop in the long position's value.Covalon Technologies Pair Trading
Covalon Technologies Pair Trading Analysis
The ability to find closely correlated positions to Covalon Technologies could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Covalon Technologies 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 Covalon Technologies - 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 Covalon Technologies to buy it.
The correlation of Covalon Technologies 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 Covalon Technologies moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Covalon Technologies 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 Covalon Technologies 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 Covalon Technologies position
In addition to having Covalon Technologies 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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Additional Tools for Covalon Stock Analysis
When running Covalon Technologies' price analysis, check to measure Covalon Technologies' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Covalon Technologies is operating at the current time. Most of Covalon Technologies' value examination focuses on studying past and present price action to predict the probability of Covalon Technologies' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Covalon Technologies' price. Additionally, you may evaluate how the addition of Covalon Technologies to your portfolios can decrease your overall portfolio volatility.