Naturgy BAN Price To Earning vs. Debt To Equity
| GBAN Stock | ARS 2,295 35.00 1.50% |
For Naturgy BAN profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Naturgy BAN to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Naturgy BAN SA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Naturgy BAN's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Naturgy BAN SA over time as well as its relative position and ranking within its peers.
Naturgy |
Naturgy BAN SA Debt To Equity vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Naturgy BAN's current stock value. Our valuation model uses many indicators to compare Naturgy BAN value to that of its competitors to determine the firm's financial worth. Naturgy BAN SA is one of the top stocks in price to earning category among its peers. It also is one of the top stocks in debt to equity category among its peers fabricating about 3.60 of Debt To Equity per Price To Earning. Comparative valuation analysis is a catch-all model that can be used if you cannot value Naturgy BAN by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Naturgy BAN'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.Naturgy Debt To Equity vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Naturgy BAN |
| = | 2.58 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
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.
Naturgy BAN |
| = | 9.30 % |
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.
Naturgy Debt To Equity Comparison
Naturgy BAN is currently under evaluation in debt to equity category among its peers.
Naturgy BAN Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Naturgy BAN, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Naturgy BAN will eventually generate negative long term returns. The profitability progress is the general direction of Naturgy BAN's change in net profit over the period of time. It can combine multiple indicators of Naturgy BAN, 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.
Naturgy BAN, S.A. engages in natural gas distribution business. The company was formerly known as Gas Natural Ban, S.A. and changed its name to Naturgy BAN, S.A. in January 2019. NATURGY BAN operates under Utilities - Regulated Gas classification in Argentina and is traded on Buenos-Aires Stock Exchange. It employs 490 people.
Naturgy Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Naturgy BAN. 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 Naturgy BAN 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 Naturgy BAN's important profitability drivers and their relationship over time.
Use Naturgy BAN 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 Naturgy BAN 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 Naturgy BAN will appreciate offsetting losses from the drop in the long position's value.Naturgy BAN Pair Trading
Naturgy BAN SA Pair Trading Analysis
The ability to find closely correlated positions to Naturgy BAN could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Naturgy BAN 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 Naturgy BAN - 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 Naturgy BAN SA to buy it.
The correlation of Naturgy BAN 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 Naturgy BAN moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Naturgy BAN 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 Naturgy BAN 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 Naturgy BAN position
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Other Information on Investing in Naturgy Stock
To fully project Naturgy BAN's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Naturgy BAN 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 Naturgy BAN's income statement, its balance sheet, and the statement of cash flows.