Erajaya Swasembada Book Value Per Share vs. Return On Asset
| ERAA Stock | IDR 416.00 4.00 0.95% |
For Erajaya Swasembada profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Erajaya Swasembada to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Erajaya Swasembada Tbk utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Erajaya Swasembada's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Erajaya Swasembada Tbk over time as well as its relative position and ranking within its peers.
Erajaya |
Erajaya Swasembada Tbk Return On Asset vs. Book Value Per Share Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Erajaya Swasembada's current stock value. Our valuation model uses many indicators to compare Erajaya Swasembada value to that of its competitors to determine the firm's financial worth. Erajaya Swasembada Tbk is one of the top stocks in book value per share category among its peers. It also is one of the top stocks in return on asset category among its peers . The ratio of Book Value Per Share to Return On Asset for Erajaya Swasembada Tbk is about 5,393 . 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 Erajaya Swasembada's earnings, one of the primary drivers of an investment's value.Erajaya Return On Asset vs. Book Value Per Share
Book Value per Share (B/S) can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. It indicates the level of safety associated with each common share after removing the effects of liabilities. In other words, a shareholder can use this ratio to see how much he or she can sell the stake in the company in the event of a liquidation.
Erajaya Swasembada |
| = | 404.49 X |
The naive approach to look at Book Value per Share is to compare it to current stock price. If Book Value per Share is higher than the currently traded stock price, the company can be considered undervalued. However, investors must be aware that conventional calculation of Book Value does not include intangible assets such as goodwill, intellectual property, trademarks or brands and may not be an appropriate measure for many firms.
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.
Erajaya Swasembada |
| = | 0.075 |
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.
Erajaya Return On Asset Comparison
Erajaya Swasembada is currently under evaluation in return on asset category among its peers.
Erajaya Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Erajaya Swasembada. 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 Erajaya Swasembada 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 Erajaya Swasembada's important profitability drivers and their relationship over time.
Use Erajaya Swasembada 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 Erajaya Swasembada 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 Erajaya Swasembada will appreciate offsetting losses from the drop in the long position's value.Erajaya Swasembada Pair Trading
Erajaya Swasembada Tbk Pair Trading Analysis
The ability to find closely correlated positions to Erajaya Swasembada could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Erajaya Swasembada 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 Erajaya Swasembada - 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 Erajaya Swasembada Tbk to buy it.
The correlation of Erajaya Swasembada 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 Erajaya Swasembada moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Erajaya Swasembada Tbk 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 Erajaya Swasembada 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 Erajaya Swasembada position
In addition to having Erajaya Swasembada 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 Automobiles and Trucks Thematic Idea Now
Automobiles and Trucks
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Automobiles and Trucks 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 Automobiles and Trucks Theme or any other thematic opportunities.
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Other Information on Investing in Erajaya Stock
To fully project Erajaya Swasembada's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Erajaya Swasembada Tbk 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 Erajaya Swasembada's income statement, its balance sheet, and the statement of cash flows.