IGO Return On Equity vs. Return On Asset
| IIDDY Stock | USD 6.80 0.00 0.00% |
For IGO profitability analysis, we use financial ratios and fundamental drivers that measure the ability of IGO to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well IGO Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between IGO's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of IGO Limited over time as well as its relative position and ranking within its peers.
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IGO Limited Return On Asset vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining IGO's current stock value. Our valuation model uses many indicators to compare IGO value to that of its competitors to determine the firm's financial worth. IGO Limited is rated third overall in return on equity category among its peers. It is currently regarded as number one stock in return on asset category among its peers reporting about 0.18 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for IGO Limited is roughly 5.46 . Comparative valuation analysis is a catch-all model that can be used if you cannot value IGO by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for IGO's Pink Sheet. 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.IGO 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.
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| = | 0.23 |
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.
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| = | 0.0427 |
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.
IGO Return On Asset Comparison
IGO is currently under evaluation in return on asset category among its peers.
IGO Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in IGO, profitability is also one of the essential criteria for including it into their portfolios because, without profit, IGO will eventually generate negative long term returns. The profitability progress is the general direction of IGO's change in net profit over the period of time. It can combine multiple indicators of IGO, 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.
IGO Limited operates as an exploration and mining company that engages in discovering, developing, and operating assets focused on metals to enable clean energy in Australia. IGO Limited was incorporated in 2000 and is headquartered in Perth, Australia. IGO operates under Other Industrial Metals Mining classification in the United States and is traded on OTC Exchange.
IGO Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on IGO. 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 IGO 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 IGO's important profitability drivers and their relationship over time.
Use IGO 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 IGO 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 IGO will appreciate offsetting losses from the drop in the long position's value.IGO Pair Trading
IGO Limited Pair Trading Analysis
The ability to find closely correlated positions to IGO could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace IGO 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 IGO - 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 IGO Limited to buy it.
The correlation of IGO 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 IGO moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if IGO Limited 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 IGO 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 IGO position
In addition to having IGO 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 Investing Thematic Idea Now
Investing
Companies involved in money management and investment banking services. The Investing theme has 45 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 Investing Theme or any other thematic opportunities.
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Additional Tools for IGO Pink Sheet Analysis
When running IGO's price analysis, check to measure IGO'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 IGO is operating at the current time. Most of IGO's value examination focuses on studying past and present price action to predict the probability of IGO's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move IGO's price. Additionally, you may evaluate how the addition of IGO to your portfolios can decrease your overall portfolio volatility.