LyondellBasell Industries Revenue vs. Return On Asset

DLY Stock  EUR 79.10  0.20  0.25%   
Based on LyondellBasell Industries' profitability indicators, LyondellBasell Industries NV may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess LyondellBasell Industries' ability to earn profits and add value for shareholders.
For LyondellBasell Industries profitability analysis, we use financial ratios and fundamental drivers that measure the ability of LyondellBasell Industries to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well LyondellBasell Industries NV utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between LyondellBasell Industries's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of LyondellBasell Industries NV over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between LyondellBasell Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine if LyondellBasell Industries is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, LyondellBasell Industries' 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.

LyondellBasell Industries Return On Asset vs. Revenue Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining LyondellBasell Industries's current stock value. Our valuation model uses many indicators to compare LyondellBasell Industries value to that of its competitors to determine the firm's financial worth.
LyondellBasell Industries NV is rated as one of the top companies in revenue category among its peers. It also is one of the top stocks in return on asset category among its peers . The ratio of Revenue to Return On Asset for LyondellBasell Industries NV is about  581,232,718,894 . 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 LyondellBasell Industries' earnings, one of the primary drivers of an investment's value.

LyondellBasell Revenue vs. Competition

LyondellBasell Industries NV is rated as one of the top companies in revenue category among its peers. Market size based on revenue of Specialty Chemicals industry is currently estimated at about 62.94 Billion. LyondellBasell Industries totals roughly 50.45 Billion in revenue claiming about 80% of equities listed under Specialty Chemicals industry.

LyondellBasell Return On Asset vs. Revenue

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

LyondellBasell Industries

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
50.45 B
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
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.

LyondellBasell Industries

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0868
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.

LyondellBasell Return On Asset Comparison

LyondellBasell Industries is currently under evaluation in return on asset category among its peers.

LyondellBasell Industries Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in LyondellBasell Industries, profitability is also one of the essential criteria for including it into their portfolios because, without profit, LyondellBasell Industries will eventually generate negative long term returns. The profitability progress is the general direction of LyondellBasell Industries' change in net profit over the period of time. It can combine multiple indicators of LyondellBasell Industries, 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.
LyondellBasell Industries N.V. operates as a chemical company worldwide. LyondellBasell Industries N.V. was founded in 2005 and is headquartered in London, the United Kingdom. LYONDELLBAS IND operates under Specialty Chemicals classification in Germany and is traded on Frankfurt Stock Exchange. It employs 19450 people.

LyondellBasell Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on LyondellBasell Industries. 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 LyondellBasell Industries 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 LyondellBasell Industries' important profitability drivers and their relationship over time.

Use LyondellBasell Industries 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 LyondellBasell Industries 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 LyondellBasell Industries will appreciate offsetting losses from the drop in the long position's value.

LyondellBasell Industries Pair Trading

LyondellBasell Industries NV Pair Trading Analysis

The ability to find closely correlated positions to LyondellBasell Industries could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LyondellBasell Industries 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 LyondellBasell Industries - 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 LyondellBasell Industries NV to buy it.
The correlation of LyondellBasell Industries 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 LyondellBasell Industries moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LyondellBasell Industries 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 LyondellBasell Industries 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your LyondellBasell Industries position

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Additional Information and Resources on Investing in LyondellBasell Stock

When determining whether LyondellBasell Industries offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of LyondellBasell Industries' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Lyondellbasell Industries Nv Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Lyondellbasell Industries Nv Stock:
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You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
To fully project LyondellBasell Industries' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of LyondellBasell Industries 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 LyondellBasell Industries' income statement, its balance sheet, and the statement of cash flows.
Potential LyondellBasell Industries investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although LyondellBasell Industries investors may work on each financial statement separately, they are all related. The changes in LyondellBasell Industries's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on LyondellBasell Industries's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.