Japan Tobacco Gross Profit vs. Current Valuation
| JAPAY Stock | USD 13.63 0.10 0.74% |
For Japan Tobacco profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Japan Tobacco to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Japan Tobacco ADR utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Japan Tobacco's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Japan Tobacco ADR over time as well as its relative position and ranking within its peers.
Japan |
Japan Tobacco ADR Current Valuation vs. Gross Profit Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Japan Tobacco's current stock value. Our valuation model uses many indicators to compare Japan Tobacco value to that of its competitors to determine the firm's financial worth. Japan Tobacco ADR is rated second overall in gross profit category among its peers. It is rated third overall in current valuation category among its peers reporting about 0.03 of Current Valuation per Gross Profit. The ratio of Gross Profit to Current Valuation for Japan Tobacco ADR is roughly 36.80 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Japan Tobacco by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Japan Tobacco'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.Japan Current Valuation vs. Gross Profit
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Japan Tobacco |
| = | 1.37 T |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Japan Tobacco |
| = | 37.17 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Japan Current Valuation vs Competition
Japan Tobacco ADR is rated third overall in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Tobacco industry is currently estimated at about 663.22 Billion. Japan Tobacco holds roughly 37.17 Billion in current valuation claiming about 6% of equities listed under Tobacco industry.
Japan Tobacco Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Japan Tobacco, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Japan Tobacco will eventually generate negative long term returns. The profitability progress is the general direction of Japan Tobacco's change in net profit over the period of time. It can combine multiple indicators of Japan Tobacco, 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.
Japan Tobacco Inc., a tobacco company, manufactures and sells tobacco products, prescription drugs, and processed foods in Japan and internationally. Japan Tobacco Inc. was founded in 1898 and is headquartered in Tokyo, Japan. Japan Tob operates under Tobacco classification in the United States and is traded on OTC Exchange. It employs 55381 people.
Japan Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Japan Tobacco. 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 Japan Tobacco 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 Japan Tobacco's important profitability drivers and their relationship over time.
Use Japan Tobacco 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 Japan Tobacco 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 Japan Tobacco will appreciate offsetting losses from the drop in the long position's value.Japan Tobacco Pair Trading
Japan Tobacco ADR Pair Trading Analysis
The ability to find closely correlated positions to Japan Tobacco could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Japan Tobacco 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 Japan Tobacco - 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 Japan Tobacco ADR to buy it.
The correlation of Japan Tobacco 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 Japan Tobacco moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Japan Tobacco ADR 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 Japan Tobacco 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 Japan Tobacco position
In addition to having Japan Tobacco 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 Market Neutral Funds Thematic Idea Now
Market Neutral Funds
Funds or Etfs that invest in both long and short positions of different entities to enhance returns from broad market movements over time. The Market Neutral Funds theme has 41 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 Market Neutral Funds Theme or any other thematic opportunities.
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Additional Tools for Japan Pink Sheet Analysis
When running Japan Tobacco's price analysis, check to measure Japan Tobacco'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 Japan Tobacco is operating at the current time. Most of Japan Tobacco's value examination focuses on studying past and present price action to predict the probability of Japan Tobacco's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Japan Tobacco's price. Additionally, you may evaluate how the addition of Japan Tobacco to your portfolios can decrease your overall portfolio volatility.