Canadian Pacific Return On Asset vs. Number Of Shares Shorted
| CP Stock | CAD 106.30 0.63 0.60% |
For Canadian Pacific profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Canadian Pacific to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Canadian Pacific Railway utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Canadian Pacific's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Canadian Pacific Railway over time as well as its relative position and ranking within its peers.
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Canadian Pacific Railway Number Of Shares Shorted vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Canadian Pacific's current stock value. Our valuation model uses many indicators to compare Canadian Pacific value to that of its competitors to determine the firm's financial worth. Canadian Pacific Railway is number one stock in return on asset category among its peers. It also is number one stock in number of shares shorted category among its peers making about 118,405,091 of Number Of Shares Shorted per Return On Asset. Comparative valuation analysis is a catch-all model that can be used if you cannot value Canadian Pacific by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Canadian Pacific's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Canadian Number Of Shares Shorted vs. Return On Asset
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Canadian Pacific |
| = | 0.044 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Number of Shares Shorted is the total amount of shares that are currently sold short by investors. When a stock is sold short, the short seller assumes the responsibility of repurchasing the stock at a lower price. The speculator will make money if the stock goes down in price or will experience a loss if the stock price goes up.
Canadian Pacific |
| = | 5.21 M |
If a large number of investors decide to short sell an equity instrument within a small period of time, their combined action can significantly affect the price of the stock.
Canadian Number Of Shares Shorted Comparison
Canadian Pacific is currently under evaluation in number of shares shorted category among its peers.
Canadian Pacific Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Canadian Pacific, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Canadian Pacific will eventually generate negative long term returns. The profitability progress is the general direction of Canadian Pacific's change in net profit over the period of time. It can combine multiple indicators of Canadian Pacific, 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.
Canadian Pacific Railway Limited, together with its subsidiaries, owns and operates a transcontinental freight railway in Canada and the United States. Canadian Pacific Railway Limited was founded in 1881 and is headquartered in Calgary, Canada. CANADIAN PACIFIC operates under Railroads classification in Canada and is traded on Toronto Stock Exchange. It employs 12166 people.
Canadian Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Canadian Pacific. 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 Canadian Pacific 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 Canadian Pacific's important profitability drivers and their relationship over time.
Use Canadian Pacific 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 Canadian Pacific 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 Canadian Pacific will appreciate offsetting losses from the drop in the long position's value.Canadian Pacific Pair Trading
Canadian Pacific Railway Pair Trading Analysis
The ability to find closely correlated positions to Canadian Pacific could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Canadian Pacific 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 Canadian Pacific - 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 Canadian Pacific Railway to buy it.
The correlation of Canadian Pacific 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 Canadian Pacific moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Canadian Pacific Railway 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 Canadian Pacific 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 Canadian Pacific position
In addition to having Canadian Pacific 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 Recreation Thematic Idea Now
Recreation
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Recreation theme has 33 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 Recreation Theme or any other thematic opportunities.
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To fully project Canadian Pacific's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Canadian Pacific Railway 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 Canadian Pacific's income statement, its balance sheet, and the statement of cash flows.