Hitachi Price To Earning vs. Total Debt
| HTHIF Stock | USD 25.68 1.67 6.96% |
For Hitachi profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hitachi to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hitachi utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hitachi's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hitachi over time as well as its relative position and ranking within its peers.
Hitachi |
Hitachi Total Debt vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Hitachi's current stock value. Our valuation model uses many indicators to compare Hitachi value to that of its competitors to determine the firm's financial worth. Hitachi is one of the top stocks in price to earning category among its peers. It also is rated as one of the top companies in total debt category among its peers making up about 143,558,579,336 of Total Debt per Price To Earning. 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 Hitachi's earnings, one of the primary drivers of an investment's value.Hitachi Total Debt 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.
Hitachi |
| = | 10.84 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.
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.
Hitachi |
| = | 1.56 T |
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.
Hitachi Total Debt vs Competition
Hitachi is rated as one of the top companies in total debt category among its peers. Total debt of Conglomerates industry is currently estimated at about 5 Trillion. Hitachi totals roughly 1.56 Trillion in total debt claiming about 31% of stocks in Conglomerates industry.
Hitachi Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Hitachi, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hitachi will eventually generate negative long term returns. The profitability progress is the general direction of Hitachi's change in net profit over the period of time. It can combine multiple indicators of Hitachi, 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.
Hitachi, Ltd. provides information technology, energy, industry, mobility, and smart life solutions in Japan and internationally. Hitachi, Ltd. was founded in 1910 and is headquartered in Tokyo, Japan. Hitachi operates under Conglomerates classification in the United States and is traded on OTC Exchange. It employs 368247 people.
Hitachi Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Hitachi. 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 Hitachi 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 Hitachi's important profitability drivers and their relationship over time.
Use Hitachi 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 Hitachi 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 Hitachi will appreciate offsetting losses from the drop in the long position's value.Hitachi Pair Trading
Hitachi Pair Trading Analysis
The ability to find closely correlated positions to Hitachi could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hitachi 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 Hitachi - 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 Hitachi to buy it.
The correlation of Hitachi 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 Hitachi moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hitachi 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 Hitachi 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 Hitachi position
In addition to having Hitachi 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 Manufacturing Thematic Idea Now
Manufacturing
Companies that provide goods across residential, commercial and industrial construction such as machinery, tools, or lumber production. The Manufacturing theme has 20 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 Manufacturing Theme or any other thematic opportunities.
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Other Information on Investing in Hitachi Pink Sheet
To fully project Hitachi's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hitachi 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 Hitachi's income statement, its balance sheet, and the statement of cash flows.