China Shenhua Profit Margin vs. EBITDA
| IKF Stock | EUR 4.13 0.09 2.23% |
For China Shenhua profitability analysis, we use financial ratios and fundamental drivers that measure the ability of China Shenhua to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well China Shenhua Energy utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between China Shenhua's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of China Shenhua Energy over time as well as its relative position and ranking within its peers.
China |
China Shenhua Energy EBITDA vs. Profit Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining China Shenhua's current stock value. Our valuation model uses many indicators to compare China Shenhua value to that of its competitors to determine the firm's financial worth. China Shenhua Energy is currently regarded as number one stock in profit margin category among its peers. It also is currently regarded as number one stock in ebitda category among its peers totaling about 480,535,714,286 of EBITDA per Profit Margin. 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 China Shenhua's earnings, one of the primary drivers of an investment's value.China EBITDA vs. Profit Margin
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
China Shenhua |
| = | 0.21 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
China Shenhua |
| = | 99.57 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
China EBITDA Comparison
China Shenhua is currently under evaluation in ebitda category among its peers.
China Shenhua Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in China Shenhua, profitability is also one of the essential criteria for including it into their portfolios because, without profit, China Shenhua will eventually generate negative long term returns. The profitability progress is the general direction of China Shenhua's change in net profit over the period of time. It can combine multiple indicators of China Shenhua, 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.
China Shenhua Energy Company Limited, together with its subsidiaries, engages in coal, power, railway, port, shipping, and coal chemical businesses in the Peoples Republic of China and internationally. China Shenhua Energy Company Limited is a subsidiary of Shenhua Group Corporation Limited. CHINA SHENHUA operates under Coal classification in Germany and is traded on Frankfurt Stock Exchange. It employs 86856 people.
China Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on China Shenhua. 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 China Shenhua 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 China Shenhua's important profitability drivers and their relationship over time.
Use China Shenhua 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 China Shenhua 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 China Shenhua will appreciate offsetting losses from the drop in the long position's value.China Shenhua Pair Trading
China Shenhua Energy Pair Trading Analysis
The ability to find closely correlated positions to China Shenhua could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace China Shenhua 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 China Shenhua - 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 China Shenhua Energy to buy it.
The correlation of China Shenhua 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 China Shenhua moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if China Shenhua Energy 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 China Shenhua 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 China Shenhua position
In addition to having China Shenhua 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 Impulse Thematic Idea Now
Impulse
Large corporations operating in retail, broadcasting, energy, airlines and telecom sectors. The Impulse theme has 49 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 Impulse Theme or any other thematic opportunities.
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Other Information on Investing in China Stock
To fully project China Shenhua's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of China Shenhua Energy 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 China Shenhua's income statement, its balance sheet, and the statement of cash flows.