Invinity Energy Profitability Analysis
Invinity Energy Systems Return On Asset vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Invinity Energy's current stock value. Our valuation model uses many indicators to compare Invinity Energy value to that of its competitors to determine the firm's financial worth. Invinity Energy Systems is rated fifth overall in return on equity category among its peers. It also is rated fifth overall in return on asset category among its peers . 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 Invinity Energy's earnings, one of the primary drivers of an investment's value.Invinity Return On Asset vs. Return On Equity
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.
Invinity Energy |
| = | -0.46 |
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.
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.
Invinity Energy |
| = | -0.23 |
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.
Invinity Return On Asset Comparison
Invinity Energy is currently under evaluation in return on asset category among its peers.
Invinity Energy Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Invinity Energy, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Invinity Energy will eventually generate negative long term returns. The profitability progress is the general direction of Invinity Energy's change in net profit over the period of time. It can combine multiple indicators of Invinity Energy, 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.
Invinity Energy Systems plc manufactures and sells vanadium flow batteries for energy storage solutions in the United Kingdom, Canada, the United States, Australia, and China. Invinity Energy Systems plc was incorporated in 2006 and is based in Saint Helier, the United Kingdom. Invinity Energy operates under UtilitiesRenewable classification in the United States and is traded on OTC Exchange. It employs 149 people.
Invinity Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Invinity Energy. 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 Invinity Energy 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 Invinity Energy's important profitability drivers and their relationship over time.
Invinity Energy Earnings per Share Projection vs Actual
Use Invinity Energy 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 Invinity Energy 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 Invinity Energy will appreciate offsetting losses from the drop in the long position's value.Invinity Energy Pair Trading
Invinity Energy Systems Pair Trading Analysis
The ability to find closely correlated positions to Invinity Energy could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Invinity Energy 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 Invinity Energy - 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 Invinity Energy Systems to buy it.
The correlation of Invinity Energy 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 Invinity Energy moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Invinity Energy Systems 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 Invinity Energy 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 Invinity Energy position
In addition to having Invinity Energy 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?
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World Allocation Funds
Funds or Etfs investing in stocks, bonds, and cash of domestic markets as well as in markets of Canada, Japan, and Europe. The World Allocation Funds theme has 48 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 World Allocation Funds Theme or any other thematic opportunities.
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Other Information on Investing in Invinity OTC Stock
To fully project Invinity Energy's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Invinity Energy Systems 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 Invinity Energy's income statement, its balance sheet, and the statement of cash flows.