Diamond Citra Profit Margin vs. Return On Equity
| DADA Stock | IDR 7.00 1.00 12.50% |
For Diamond Citra profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Diamond Citra to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Diamond Citra Propertindo utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Diamond Citra's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Diamond Citra Propertindo over time as well as its relative position and ranking within its peers.
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Diamond Citra Propertindo Return On Equity vs. Profit Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Diamond Citra's current stock value. Our valuation model uses many indicators to compare Diamond Citra value to that of its competitors to determine the firm's financial worth. Diamond Citra Propertindo is one of the top stocks in profit margin category among its peers. It also is one of the top stocks in return on equity category among its peers reporting about 0.13 of Return On Equity per Profit Margin. The ratio of Profit Margin to Return On Equity for Diamond Citra Propertindo is roughly 7.61 . 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 Diamond Citra's earnings, one of the primary drivers of an investment's value.Diamond Return On Equity vs. Profit Margin
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
Diamond Citra |
| = | 0.07 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
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.
Diamond Citra |
| = | 0.0092 |
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.
Diamond Return On Equity Comparison
Diamond Citra is currently under evaluation in return on equity category among its peers.
Diamond Citra Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Diamond Citra, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Diamond Citra will eventually generate negative long term returns. The profitability progress is the general direction of Diamond Citra's change in net profit over the period of time. It can combine multiple indicators of Diamond Citra, 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.
PT Diamond Citra Propertindo Tbk, together with its subsidiaries, engages in the real estate business in Indonesia. PT Diamond Citra Propertindo Tbk is a subsidiary of PT Karya Permata Inovasi Indonesia. Diamond Citra operates under Real Estate Services classification in Indonesia and is traded on Jakarta Stock Exchange. It employs 26 people.
Diamond Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Diamond Citra. 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 Diamond Citra 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 Diamond Citra's important profitability drivers and their relationship over time.
Use Diamond Citra 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 Diamond Citra 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 Diamond Citra will appreciate offsetting losses from the drop in the long position's value.Diamond Citra Pair Trading
Diamond Citra Propertindo Pair Trading Analysis
The ability to find closely correlated positions to Diamond Citra could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Diamond Citra 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 Diamond Citra - 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 Diamond Citra Propertindo to buy it.
The correlation of Diamond Citra 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 Diamond Citra moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Diamond Citra Propertindo 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 Diamond Citra 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 Diamond Citra position
In addition to having Diamond Citra 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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Other Information on Investing in Diamond Stock
To fully project Diamond Citra's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Diamond Citra Propertindo 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 Diamond Citra's income statement, its balance sheet, and the statement of cash flows.