WisdomTree Japan Price To Book vs. Beta
Considering WisdomTree Japan's profitability and operating efficiency indicators, WisdomTree Japan SmallCap may not be well positioned to generate adequate gross income at the present time. It has a very high likelihood of underperforming in January. Profitability indicators assess WisdomTree Japan's ability to earn profits and add value for shareholders.
Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in census.
For WisdomTree Japan profitability analysis, we use financial ratios and fundamental drivers that measure the ability of WisdomTree Japan to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well WisdomTree Japan SmallCap utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between WisdomTree Japan's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of WisdomTree Japan SmallCap over time as well as its relative position and ranking within its peers.
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The market value of WisdomTree Japan SmallCap is measured differently than its book value, which is the value of WisdomTree that is recorded on the company's balance sheet. Investors also form their own opinion of WisdomTree Japan's value that differs from its market value or its book value, called intrinsic value, which is WisdomTree Japan's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because WisdomTree Japan's market value can be influenced by many factors that don't directly affect WisdomTree Japan's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between WisdomTree Japan's value and its price as these two are different measures arrived at by different means. Investors typically determine if WisdomTree Japan is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, WisdomTree Japan's 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.
WisdomTree Japan SmallCap Beta vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining WisdomTree Japan's current stock value. Our valuation model uses many indicators to compare WisdomTree Japan value to that of its competitors to determine the firm's financial worth. WisdomTree Japan SmallCap is rated # 2 ETF in price to book as compared to similar ETFs. It is one of the top ETFs in beta as compared to similar ETFs totaling about 0.81 of Beta per Price To Book. The ratio of Price To Book to Beta for WisdomTree Japan SmallCap is roughly 1.24 . Comparative valuation analysis is a catch-all technique that is used if you cannot value WisdomTree Japan by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.WisdomTree Beta vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
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| = | 0.89 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.
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| = | 0.72 |
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.
WisdomTree Beta Comparison
WisdomTree Japan is currently under evaluation in beta as compared to similar ETFs.
Beta Analysis
As returns on the market increase, WisdomTree Japan's returns are expected to increase less than the market. However, during the bear market, the loss of holding WisdomTree Japan is expected to be smaller as well.
WisdomTree Japan Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in WisdomTree Japan, profitability is also one of the essential criteria for including it into their portfolios because, without profit, WisdomTree Japan will eventually generate negative long term returns. The profitability progress is the general direction of WisdomTree Japan's change in net profit over the period of time. It can combine multiple indicators of WisdomTree Japan, 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.
Under normal circumstances, at least 95 percent of the funds total assets will be invested in component securities of the index and investments that have economic characteristics that are substantially identical to the economic characteristics of such component securities. Wisdomtree Japan is traded on NYSEARCA Exchange in the United States.
WisdomTree Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on WisdomTree Japan. 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 WisdomTree Japan 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 WisdomTree Japan's important profitability drivers and their relationship over time.
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Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in census. You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
To fully project WisdomTree Japan's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of WisdomTree Japan SmallCap 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 WisdomTree Japan's income statement, its balance sheet, and the statement of cash flows.