Servicios Corporativos Return On Equity vs. Price To Earning

JAVER Stock  MXN 11.51  0.00  0.00%   
Based on Servicios Corporativos' profitability indicators, Servicios Corporativos Javer may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in December. Profitability indicators assess Servicios Corporativos' ability to earn profits and add value for shareholders.
For Servicios Corporativos profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Servicios Corporativos to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Servicios Corporativos Javer utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Servicios Corporativos's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Servicios Corporativos Javer over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Servicios Corporativos' value and its price as these two are different measures arrived at by different means. Investors typically determine if Servicios Corporativos is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Servicios Corporativos' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Servicios Corporativos Price To Earning vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Servicios Corporativos's current stock value. Our valuation model uses many indicators to compare Servicios Corporativos value to that of its competitors to determine the firm's financial worth.
Servicios Corporativos Javer is currently regarded as number one stock in return on equity category among its peers. It also is currently regarded as number one stock in price to earning category among its peers reporting about  398.66  of Price To Earning per Return On Equity. 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 Servicios Corporativos' earnings, one of the primary drivers of an investment's value.

Servicios Price To Earning 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.

Servicios Corporativos

Return On Equity

 = 

Net Income

Total Equity

 = 
0.1
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.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

Servicios Corporativos

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
41.62 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.

Servicios Price To Earning Comparison

Servicios Corporativos is currently under evaluation in price to earning category among its peers.

Servicios Corporativos Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Servicios Corporativos, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Servicios Corporativos will eventually generate negative long term returns. The profitability progress is the general direction of Servicios Corporativos' change in net profit over the period of time. It can combine multiple indicators of Servicios Corporativos, 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.
Servicios Corporativos Javer, S.A.B. de C.V., together with its subsidiaries, operates as a housing developer in Mexico. The company was founded in 1973 and is headquartered in Monterrey, Mexico. SERVICIOS CORPORATIVOS operates under Residential Construction classification in Mexico and is traded on Mexico Stock Exchange. It employs 1269 people.

Servicios Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Servicios Corporativos. 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 Servicios Corporativos 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 Servicios Corporativos' important profitability drivers and their relationship over time.

Use Servicios Corporativos 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 Servicios Corporativos 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 Servicios Corporativos will appreciate offsetting losses from the drop in the long position's value.

Servicios Corporativos Pair Trading

Servicios Corporativos Javer Pair Trading Analysis

The ability to find closely correlated positions to Servicios Corporativos could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Servicios Corporativos 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 Servicios Corporativos - 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 Servicios Corporativos Javer to buy it.
The correlation of Servicios Corporativos 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 Servicios Corporativos moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Servicios Corporativos 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 Servicios Corporativos 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.
Pair CorrelationCorrelation Matching

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Other Information on Investing in Servicios Stock

To fully project Servicios Corporativos' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Servicios Corporativos 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 Servicios Corporativos' income statement, its balance sheet, and the statement of cash flows.
Potential Servicios Corporativos investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Servicios Corporativos investors may work on each financial statement separately, they are all related. The changes in Servicios Corporativos's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Servicios Corporativos's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.