First Ottawa Operating Margin vs. Return On Asset
FOTB Stock | USD 120.01 0.01 0.01% |
For First Ottawa profitability analysis, we use financial ratios and fundamental drivers that measure the ability of First Ottawa to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well First Ottawa Bancshares utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between First Ottawa's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of First Ottawa Bancshares over time as well as its relative position and ranking within its peers.
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First Ottawa Bancshares Return On Asset vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining First Ottawa's current stock value. Our valuation model uses many indicators to compare First Ottawa value to that of its competitors to determine the firm's financial worth. First Ottawa Bancshares is one of the top stocks in operating margin category among its peers. It is rated below average in return on asset category among its peers reporting about 0.01 of Return On Asset per Operating Margin. The ratio of Operating Margin to Return On Asset for First Ottawa Bancshares is roughly 87.05 . Comparative valuation analysis is a catch-all model that can be used if you cannot value First Ottawa by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for First Ottawa's Pink Sheet. 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.First Return On Asset vs. Operating Margin
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
First Ottawa |
| = | 0.37 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
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.
First Ottawa |
| = | 0.0043 |
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.
First Return On Asset Comparison
First Ottawa is currently under evaluation in return on asset category among its peers.
First Ottawa Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in First Ottawa, profitability is also one of the essential criteria for including it into their portfolios because, without profit, First Ottawa will eventually generate negative long term returns. The profitability progress is the general direction of First Ottawa's change in net profit over the period of time. It can combine multiple indicators of First Ottawa, 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.
First Ottawa Bancshares, Inc. operates as the bank holding company for American Commercial Bank Trust, National Association that provides a range of banking and financial services to individual and corporate customers in LaSalle, Grundy, Cook, and surrounding counties in Illinois. First Ottawa Bancshares, Inc. was founded in 1865 and is based in Ottawa, Illinois. First Ottawa operates under BanksRegional classification in the United States and is traded on OTC Exchange.
First Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on First Ottawa. 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 First Ottawa 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 First Ottawa's important profitability drivers and their relationship over time.
Use First Ottawa 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 First Ottawa 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 First Ottawa will appreciate offsetting losses from the drop in the long position's value.First Ottawa Pair Trading
First Ottawa Bancshares Pair Trading Analysis
The ability to find closely correlated positions to First Ottawa could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace First Ottawa 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 First Ottawa - 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 First Ottawa Bancshares to buy it.
The correlation of First Ottawa 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 First Ottawa moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if First Ottawa Bancshares 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 First Ottawa 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 First Ottawa position
In addition to having First Ottawa 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 Pharmaceutical Products Thematic Idea Now
Pharmaceutical Products
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Pharmaceutical Products 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 Pharmaceutical Products Theme or any other thematic opportunities.
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Other Information on Investing in First Pink Sheet
To fully project First Ottawa's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of First Ottawa Bancshares 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 First Ottawa's income statement, its balance sheet, and the statement of cash flows.