| HMM-A Stock | | | CAD 9.99 0.31 3.20% |
Considering the key profitability indicators obtained from Hammond Manufacturing's historical financial statements, Hammond Manufacturing is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in December. Profitability indicators assess Hammond Manufacturing's ability to earn profits and add value for shareholders.
Price To Sales Ratio is likely to gain to 0.41 in 2024.
Days Sales Outstanding is likely to gain to 53.89 in 2024. At this time, Hammond Manufacturing's
Operating Income is comparatively stable compared to the past year.
Income Before Tax is likely to gain to about 26.2
M in 2024, whereas
Net Income Applicable To Common Shares is likely to drop slightly above 7.4
M in 2024.
For Hammond Manufacturing profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hammond Manufacturing to generate income relative to revenue, assets, operating costs, and current equity. These
fundamental indicators attest to how well Hammond Manufacturing utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hammond Manufacturing's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hammond Manufacturing over time as well as its relative position and ranking within its peers.
Check out
Risk vs Return Analysis.
Please note, there is a significant difference between Hammond Manufacturing's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hammond Manufacturing is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hammond Manufacturing'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.
Hammond Manufacturing Return On Asset vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Hammond Manufacturing's current stock value. Our valuation model uses many indicators to compare Hammond Manufacturing value to that of its competitors to determine the firm's financial worth.
Hammond Manufacturing is rated
below average in price to earning category among its peers. It is one of the top stocks in return on asset category among its peers reporting about
0.02 of Return On Asset per Price To Earning. The ratio of Price To Earning to Return On Asset for Hammond Manufacturing is roughly
54.01 .
Return On Assets is likely to gain to 0.10 in 2024. 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 Hammond Manufacturing's earnings, one of the primary drivers of an investment's value.
Hammond Return On Asset 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.
Hammond Manufacturing | P/E | = | Market Value Per ShareEarnings Per Share |
| = | 4.78 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.
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.
Hammond Manufacturing | Return On Asset | = | Net IncomeTotal Assets |
| = | 0.0885 |
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.
Hammond Return On Asset Comparison
Hammond Manufacturing is currently under evaluation in return on asset category among its peers.
Hammond Manufacturing Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Hammond Manufacturing, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hammond Manufacturing will eventually generate negative long term returns. The profitability progress is the general direction of Hammond Manufacturing's change in net profit over the period of time. It can combine
multiple indicators of Hammond Manufacturing, 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.
Hammond Profitability Driver Comparison
Profitability drivers are factors that can directly affect your
investment outlook on Hammond Manufacturing. 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 Hammond Manufacturing 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 Hammond Manufacturing's important profitability drivers and their relationship over time.
Use Hammond Manufacturing 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 Hammond Manufacturing 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 Hammond Manufacturing will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to Hammond Manufacturing could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hammond Manufacturing 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 Hammond Manufacturing - 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 Hammond Manufacturing to buy it.
The correlation of Hammond Manufacturing 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 Hammond Manufacturing moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hammond Manufacturing 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 Hammond Manufacturing 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 Hammond Manufacturing position
In addition to having Hammond Manufacturing 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.
Consumer Goods
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Consumer Goods 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
Consumer Goods Theme or any other
thematic opportunities.
Additional Tools for Hammond Stock Analysis
When running Hammond Manufacturing's price analysis, check to
measure Hammond Manufacturing's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Hammond Manufacturing is operating at the current time. Most of Hammond Manufacturing's value examination focuses on studying past and present price action to
predict the probability of Hammond Manufacturing's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hammond Manufacturing's price. Additionally, you may evaluate how the addition of Hammond Manufacturing to your portfolios can decrease your overall portfolio volatility.
