Dolphin Drilling Beta vs. Return On Equity
| DDRIL Stock | 3.55 0.19 5.08% |
For Dolphin Drilling profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Dolphin Drilling to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Dolphin Drilling AS utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Dolphin Drilling's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Dolphin Drilling AS over time as well as its relative position and ranking within its peers.
Dolphin |
Dolphin Drilling Return On Equity vs. Beta Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Dolphin Drilling's current stock value. Our valuation model uses many indicators to compare Dolphin Drilling value to that of its competitors to determine the firm's financial worth. Dolphin Drilling AS is one of the top stocks in beta category among its peers. It also is one of the top stocks in return on equity category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value Dolphin Drilling by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Dolphin Drilling'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.Dolphin Return On Equity vs. Beta
Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Dolphin Drilling |
| = | 3.72 |
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
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.
Dolphin Drilling |
| = | -1.53 |
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.
Dolphin Return On Equity Comparison
Dolphin Drilling is currently under evaluation in return on equity category among its peers.
Beta Analysis
As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Dolphin Drilling will likely underperform.
Dolphin Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Dolphin Drilling. 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 Dolphin Drilling 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 Dolphin Drilling's important profitability drivers and their relationship over time.
Use Dolphin Drilling 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 Dolphin Drilling 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 Dolphin Drilling will appreciate offsetting losses from the drop in the long position's value.Dolphin Drilling Pair Trading
Dolphin Drilling AS Pair Trading Analysis
The ability to find closely correlated positions to Dolphin Drilling could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Dolphin Drilling 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 Dolphin Drilling - 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 Dolphin Drilling AS to buy it.
The correlation of Dolphin Drilling 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 Dolphin Drilling moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Dolphin Drilling 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 Dolphin Drilling 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 Dolphin Drilling position
In addition to having Dolphin Drilling 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 Outsourcing Thematic Idea Now
Outsourcing
Companies involved in providing outsourcing and staffing services to business across different domains. The Outsourcing theme has 32 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 Outsourcing Theme or any other thematic opportunities.
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Other Information on Investing in Dolphin Stock
To fully project Dolphin Drilling's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Dolphin Drilling 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 Dolphin Drilling's income statement, its balance sheet, and the statement of cash flows.