Edri El Debt To Equity vs. Return On Asset

EDRL Stock  ILS 17.80  1.40  7.29%   
Taking into consideration Edri El's profitability measurements, Edri El 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 Edri El's ability to earn profits and add value for shareholders.
For Edri El profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Edri El to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Edri El utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Edri El's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Edri El 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 Edri El's value and its price as these two are different measures arrived at by different means. Investors typically determine if Edri El is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Edri El'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.

Edri El Return On Asset vs. Debt To Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Edri El's current stock value. Our valuation model uses many indicators to compare Edri El value to that of its competitors to determine the firm's financial worth.
Edri El is one of the top stocks in debt to equity category among its peers. It is rated # 2 in return on asset category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value Edri El by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Edri El'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.

Edri Return On Asset vs. Debt To Equity

Debt to Equity is calculated by dividing the Total Debt of a company by its Equity. If the debt exceeds equity of a company, then the creditors have more stakes in a firm than the stockholders. In other words, Debt to Equity ratio provides analysts with insights about composition of both equity and debt, and its influence on the valuation of the company.

Edri El

D/E

 = 

Total Debt

Total Equity

 = 
452.20 %
High Debt to Equity ratio typically indicates that a firm has been borrowing aggressively to finance its growth and as a result may experience a burden of additional interest expense. This may reduce earnings or future growth. On the other hand a small D/E ratio may indicate that a company is not taking enough advantage from financial leverage. Debt to Equity ratio measures how the company is leveraging borrowing against the capital invested by the owners.
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.

Edri El

Return On Asset

 = 

Net Income

Total Assets

 = 
-0.0163
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.

Edri Return On Asset Comparison

Edri El is currently under evaluation in return on asset category among its peers.

Edri El Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Edri El, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Edri El will eventually generate negative long term returns. The profitability progress is the general direction of Edri El's change in net profit over the period of time. It can combine multiple indicators of Edri El, 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.
Edri-El Israel Assets Ltd. initiates, develops, constructs, leases, manages, and maintains commercial investment properties in Israel. Edri-El Israel Assets Ltd. was founded in 2006 and is based in Tel Aviv, Israel. EDRI EL is traded on Tel Aviv Stock Exchange in Israel.

Edri Profitability Driver Comparison

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

Use Edri El 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 Edri El 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 Edri El will appreciate offsetting losses from the drop in the long position's value.

Edri El Pair Trading

Edri El Pair Trading Analysis

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

In addition to having Edri El 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 Computers Thematic Idea Now

Computers
Computers Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Computers theme has 61 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 Computers Theme or any other thematic opportunities.
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Other Information on Investing in Edri Stock

To fully project Edri El's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Edri El 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 Edri El's income statement, its balance sheet, and the statement of cash flows.
Potential Edri El investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Edri El investors may work on each financial statement separately, they are all related. The changes in Edri El's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Edri El'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.