Ferrum SA Return On Equity vs. Cash Per Share
| FERR Stock | ARS 42.45 0.65 1.56% |
For Ferrum SA profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Ferrum SA to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Ferrum SA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Ferrum SA's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Ferrum SA over time as well as its relative position and ranking within its peers.
Ferrum |
Ferrum SA Cash Per Share vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Ferrum SA's current stock value. Our valuation model uses many indicators to compare Ferrum SA value to that of its competitors to determine the firm's financial worth. Ferrum SA is one of the top stocks in return on equity category among its peers. It also is one of the top stocks in cash per share category among its peers fabricating about 0.62 of Cash Per Share per Return On Equity. The ratio of Return On Equity to Cash Per Share for Ferrum SA is roughly 1.62 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Ferrum SA by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Ferrum SA'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.Ferrum Cash Per Share vs. Return On Equity
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.
Ferrum SA |
| = | 0.21 |
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.
Cash per Share is a ratio of current cash on hands or in the banks of the company to a total number of shares outstanding. It is used to determine a firm's liquidity and is a good indicator of the overall financial health of a company. Value investors often compare this ratio to the current stock quote, and if it exceeds the stock price they would invest in it.
Ferrum SA |
| = | 0.13 X |
Companies with high Cash per Share ratio will be considered as an attractive investment by most investors. In most industries if you can single out an equity instrument trading below its cash per share value, you have a bargain and should consider buying it. Finding the stocks traded below their cash value, therefore, can be a good starting point for investors using strategies based on fundamentals.
Ferrum Cash Per Share Comparison
Ferrum SA is currently under evaluation in cash per share category among its peers.
Ferrum SA Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Ferrum SA, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Ferrum SA will eventually generate negative long term returns. The profitability progress is the general direction of Ferrum SA's change in net profit over the period of time. It can combine multiple indicators of Ferrum SA, 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.
Ferrum Sociedad Anonima de Ceramica y Metalurgia offers sanitary ware products. It offers tapas and seats, public spaces, laundry products, sinks and lavatories, bathroom accessories, vanitories, bathtubs, screens, receptacles, cabins, and spare parts. FERRUM SA is traded on Buenos-Aires Stock Exchange in Argentina.
Ferrum Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Ferrum SA. 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 Ferrum SA 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 Ferrum SA's important profitability drivers and their relationship over time.
Use Ferrum SA 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 Ferrum SA 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 Ferrum SA will appreciate offsetting losses from the drop in the long position's value.Ferrum SA Pair Trading
Ferrum SA Pair Trading Analysis
The ability to find closely correlated positions to Ferrum SA could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Ferrum SA 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 Ferrum SA - 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 Ferrum SA to buy it.
The correlation of Ferrum SA 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 Ferrum SA moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ferrum SA 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 Ferrum SA 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 Ferrum SA position
In addition to having Ferrum SA 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?
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Other Information on Investing in Ferrum Stock
To fully project Ferrum SA's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Ferrum SA 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 Ferrum SA's income statement, its balance sheet, and the statement of cash flows.