Fuji Media Return On Asset vs. Return On Equity

FTN Stock  EUR 10.80  0.10  0.93%   
Based on the key profitability measurements obtained from Fuji Media's financial statements, Fuji Media Holdings 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 Fuji Media's ability to earn profits and add value for shareholders.
For Fuji Media profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Fuji Media to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Fuji Media Holdings utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Fuji Media's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Fuji Media Holdings over time as well as its relative position and ranking within its peers.
  
Check out Investing Opportunities.
Please note, there is a significant difference between Fuji Media's value and its price as these two are different measures arrived at by different means. Investors typically determine if Fuji Media is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Fuji Media'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.

Fuji Media Holdings Return On Equity vs. Return On Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Fuji Media's current stock value. Our valuation model uses many indicators to compare Fuji Media value to that of its competitors to determine the firm's financial worth.
Fuji Media Holdings is one of the top stocks in return on asset category among its peers. It also is one of the top stocks in return on equity category among its peers reporting about  1.77  of Return On Equity per Return On Asset. 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 Fuji Media's earnings, one of the primary drivers of an investment's value.

Fuji Return On Equity vs. Return On Asset

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.

Fuji Media

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0134
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.
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.

Fuji Media

Return On Equity

 = 

Net Income

Total Equity

 = 
0.0237
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.

Fuji Return On Equity Comparison

Fuji Media is currently under evaluation in return on equity category among its peers.

Fuji Media Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Fuji Media, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Fuji Media will eventually generate negative long term returns. The profitability progress is the general direction of Fuji Media's change in net profit over the period of time. It can combine multiple indicators of Fuji Media, 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.
Fuji Media Holdings, Inc., through its subsidiaries, engages in the broadcasting activities in Japan. Fuji Media Holdings, Inc. was incorporated in 1957 and is headquartered in Tokyo, Japan. FUJI MEDIA operates under Media - Diversified classification in Germany and is traded on Frankfurt Stock Exchange. It employs 7493 people.

Fuji Profitability Driver Comparison

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

Use Fuji Media 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 Fuji Media 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 Fuji Media will appreciate offsetting losses from the drop in the long position's value.

Fuji Media Pair Trading

Fuji Media Holdings Pair Trading Analysis

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

In addition to having Fuji Media 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 Railroads Thematic Idea Now

Railroads
Railroads Theme
Companies involved in manufacturing and maintenance of freight railroads and passenger trains as well as providing railroad services to public. The Railroads theme has 46 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 Railroads Theme or any other thematic opportunities.
View All  Next Launch

Other Information on Investing in Fuji Stock

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