China Shenhua EBITDA vs. Net Income
China Shenhua Energy Net Income vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining China Shenhua's current stock value. Our valuation model uses many indicators to compare China Shenhua value to that of its competitors to determine the firm's financial worth. China Shenhua Energy is number one stock in ebitda category among its peers. It also is number one stock in net income category among its peers making up about 0.52 of Net Income per EBITDA. The ratio of EBITDA to Net Income for China Shenhua Energy is roughly 1.93 . Comparative valuation analysis is a catch-all model that can be used if you cannot value China Shenhua by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for China Shenhua's Pink Sheet. 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.China Net Income vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
China Shenhua |
| = | 99.57 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
China Shenhua |
| = | 51.61 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
China Net Income Comparison
China Shenhua is currently under evaluation in net income category among its peers.
China Shenhua Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in China Shenhua, profitability is also one of the essential criteria for including it into their portfolios because, without profit, China Shenhua will eventually generate negative long term returns. The profitability progress is the general direction of China Shenhua's change in net profit over the period of time. It can combine multiple indicators of China Shenhua, 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.
China Shenhua Energy Company Limited and its subsidiaries engage in the production and sales of coal and power railway, port, and shipping transportation and coal-to-olefins businesses in the Peoples Republic of China and internationally. China Shenhua Energy Company Limited is a subsidiary of China Energy Investment Corporation Limited. China Shenhua operates under Thermal Coal classification in the United States and is traded on OTC Exchange. It employs 77872 people.
China Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on China Shenhua. 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 China Shenhua 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 China Shenhua's important profitability drivers and their relationship over time.
China Shenhua Earnings per Share Projection vs Actual
Use China Shenhua 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 China Shenhua 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 China Shenhua will appreciate offsetting losses from the drop in the long position's value.China Shenhua Pair Trading
China Shenhua Energy Pair Trading Analysis
The ability to find closely correlated positions to China Shenhua could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace China Shenhua 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 China Shenhua - 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 China Shenhua Energy to buy it.
The correlation of China Shenhua 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 China Shenhua moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if China Shenhua Energy 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 China Shenhua 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 China Shenhua position
In addition to having China Shenhua 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 Momentum Thematic Idea Now
Momentum
Large corporations operating in software, education, financial and car manufacturing industries. The Momentum theme has 31 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 Momentum Theme or any other thematic opportunities.
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Additional Tools for China Pink Sheet Analysis
When running China Shenhua's price analysis, check to measure China Shenhua's 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 China Shenhua is operating at the current time. Most of China Shenhua's value examination focuses on studying past and present price action to predict the probability of China Shenhua's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move China Shenhua's price. Additionally, you may evaluate how the addition of China Shenhua to your portfolios can decrease your overall portfolio volatility.