Harmony Gold Total Debt vs. Return On Equity
| HMY Stock | ARS 10,150 210.00 2.11% |
For Harmony Gold profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Harmony Gold to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Harmony Gold Mining utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Harmony Gold's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Harmony Gold Mining over time as well as its relative position and ranking within its peers.
Harmony |
Harmony Gold Mining Return On Equity vs. Total Debt Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Harmony Gold's current stock value. Our valuation model uses many indicators to compare Harmony Gold value to that of its competitors to determine the firm's financial worth. Harmony Gold Mining is rated as one of the top companies in total debt category among its peers. It also is one of the top stocks in return on equity category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value Harmony Gold by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Harmony Gold'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.Harmony Total Debt vs. Competition
Harmony Gold Mining is rated as one of the top companies in total debt category among its peers. Total debt of Gold industry is currently estimated at about 52.27 Billion. Harmony Gold holds roughly 3.18 Billion in total debt claiming about 6% of equities under Gold industry.
Harmony Return On Equity vs. Total Debt
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
Harmony Gold |
| = | 3.18 B |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
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.
Harmony Gold |
| = | -0.033 |
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.
Harmony Return On Equity Comparison
Harmony Gold is currently under evaluation in return on equity category among its peers.
Harmony Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Harmony Gold. 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 Harmony Gold 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 Harmony Gold's important profitability drivers and their relationship over time.
Use Harmony Gold 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 Harmony Gold 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 Harmony Gold will appreciate offsetting losses from the drop in the long position's value.Harmony Gold Pair Trading
Harmony Gold Mining Pair Trading Analysis
The ability to find closely correlated positions to Harmony Gold could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Harmony Gold 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 Harmony Gold - 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 Harmony Gold Mining to buy it.
The correlation of Harmony Gold 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 Harmony Gold moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Harmony Gold Mining 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 Harmony Gold 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 Harmony Gold position
In addition to having Harmony Gold 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 Broad Commodities ETFs Thematic Idea Now
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ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Broad Commodities ETFs theme has 26 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 Broad Commodities ETFs Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Harmony Stock
When determining whether Harmony Gold Mining offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Harmony Gold's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Harmony Gold Mining Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Harmony Gold Mining Stock:Check out Risk vs Return Analysis. You can also try the Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
To fully project Harmony Gold's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Harmony Gold Mining 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 Harmony Gold's income statement, its balance sheet, and the statement of cash flows.