Holmen AB Return On Asset vs. Gross Profit
| HOLM-B Stock | SEK 410.80 6.20 1.53% |
For Holmen AB profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Holmen AB to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Holmen AB utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Holmen AB's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Holmen AB over time as well as its relative position and ranking within its peers.
Holmen |
Holmen AB Gross Profit vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Holmen AB's current stock value. Our valuation model uses many indicators to compare Holmen AB value to that of its competitors to determine the firm's financial worth. Holmen AB is one of the top stocks in return on asset category among its peers. It also is one of the top stocks in gross profit category among its peers fabricating about 225,904,436,860 of Gross Profit per Return On Asset. Comparative valuation analysis is a catch-all model that can be used if you cannot value Holmen AB by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Holmen AB'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.Holmen Gross Profit 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.
Holmen AB |
| = | 0.0586 |
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.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Holmen AB |
| = | 13.24 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Holmen Gross Profit Comparison
Holmen AB is currently under evaluation in gross profit category among its peers.
Holmen AB Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Holmen AB, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Holmen AB will eventually generate negative long term returns. The profitability progress is the general direction of Holmen AB's change in net profit over the period of time. It can combine multiple indicators of Holmen AB, 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.
Holmen Aktiebolag manufactures and sells papers, paperboards, and wood products worldwide. The company was founded in 1609 and is headquartered in Stockholm, Sweden. Holmen AB operates under Paper Products classification in Sweden and is traded on Stockholm Stock Exchange. It employs 3000 people.
Holmen Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Holmen AB. 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 Holmen AB 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 Holmen AB's important profitability drivers and their relationship over time.
Use Holmen AB 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 Holmen AB 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 Holmen AB will appreciate offsetting losses from the drop in the long position's value.Holmen AB Pair Trading
Holmen AB Pair Trading Analysis
The ability to find closely correlated positions to Holmen AB could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Holmen AB 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 Holmen AB - 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 Holmen AB to buy it.
The correlation of Holmen AB 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 Holmen AB moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Holmen AB 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 Holmen AB 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 Holmen AB position
In addition to having Holmen AB 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 Restaraunts Hotels Motels Thematic Idea Now
Restaraunts Hotels Motels
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Restaraunts Hotels Motels 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 Restaraunts Hotels Motels Theme or any other thematic opportunities.
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Other Information on Investing in Holmen Stock
To fully project Holmen AB's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Holmen AB 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 Holmen AB's income statement, its balance sheet, and the statement of cash flows.