Iluka Resources Book Value Per Share vs. Return On Equity
| ILU Stock | 5.55 0.13 2.40% |
For Iluka Resources profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Iluka Resources to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Iluka Resources utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Iluka Resources's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Iluka Resources over time as well as its relative position and ranking within its peers.
Iluka |
Iluka Resources Return On Equity vs. Book Value Per Share Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Iluka Resources's current stock value. Our valuation model uses many indicators to compare Iluka Resources value to that of its competitors to determine the firm's financial worth. Iluka Resources is currently regarded as number one stock in book value per share category among its peers. It also is currently regarded as number one stock in return on equity category among its peers reporting about 0.02 of Return On Equity per Book Value Per Share. The ratio of Book Value Per Share to Return On Equity for Iluka Resources is roughly 42.16 . 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 Iluka Resources' earnings, one of the primary drivers of an investment's value.Iluka Return On Equity vs. Book Value Per Share
Book Value per Share (B/S) can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. It indicates the level of safety associated with each common share after removing the effects of liabilities. In other words, a shareholder can use this ratio to see how much he or she can sell the stake in the company in the event of a liquidation.
Iluka Resources |
| = | 5.34 X |
The naive approach to look at Book Value per Share is to compare it to current stock price. If Book Value per Share is higher than the currently traded stock price, the company can be considered undervalued. However, investors must be aware that conventional calculation of Book Value does not include intangible assets such as goodwill, intellectual property, trademarks or brands and may not be an appropriate measure for many firms.
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.
Iluka Resources |
| = | 0.13 |
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.
Iluka Return On Equity Comparison
Iluka Resources is currently under evaluation in return on equity category among its peers.
Iluka Resources Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Iluka Resources, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Iluka Resources will eventually generate negative long term returns. The profitability progress is the general direction of Iluka Resources' change in net profit over the period of time. It can combine multiple indicators of Iluka Resources, 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.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 21.4 M | 25 M | |
| Operating Income | 657 M | 689.9 M | |
| Income Before Tax | 444.2 M | 466.4 M | |
| Total Other Income Expense Net | -212.8 M | -202.2 M | |
| Income Tax Expense | 128.9 M | 66 M | |
| Net Income | 342.6 M | 359.7 M | |
| Net Income Applicable To Common Shares | 672.2 M | 705.8 M | |
| Net Income From Continuing Ops | 342.6 M | 359.7 M | |
| Interest Income | 18.4 M | 10.9 M | |
| Net Interest Income | 10.6 M | 11.1 M | |
| Change To Netincome | -13.3 M | -14 M |
Iluka Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Iluka Resources. 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 Iluka Resources 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 Iluka Resources' important profitability drivers and their relationship over time.
Use Iluka Resources 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 Iluka Resources 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 Iluka Resources will appreciate offsetting losses from the drop in the long position's value.Iluka Resources Pair Trading
Iluka Resources Pair Trading Analysis
The ability to find closely correlated positions to Iluka Resources could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Iluka Resources 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 Iluka Resources - 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 Iluka Resources to buy it.
The correlation of Iluka Resources 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 Iluka Resources moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Iluka Resources 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 Iluka Resources 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 Iluka Resources position
In addition to having Iluka Resources 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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Compulsion
Companies involved in research, development, and manufacturing of products with compulsion characteristics such as cigarettes, addictive drugs and alcohol. The Compulsion theme has 40 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 Compulsion Theme or any other thematic opportunities.
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Additional Tools for Iluka Stock Analysis
When running Iluka Resources' price analysis, check to measure Iluka Resources' 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 Iluka Resources is operating at the current time. Most of Iluka Resources' value examination focuses on studying past and present price action to predict the probability of Iluka Resources' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Iluka Resources' price. Additionally, you may evaluate how the addition of Iluka Resources to your portfolios can decrease your overall portfolio volatility.