Kosmos Energy Price To Earning vs. Return On Asset
| KOS Stock | USD 3.94 0.04 1.03% |
For Kosmos Energy profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Kosmos Energy to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Kosmos Energy utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Kosmos Energy's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Kosmos Energy over time as well as its relative position and ranking within its peers.
Kosmos |
Is Oil & Gas Exploration & Production space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Kosmos Energy. If investors know Kosmos will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Kosmos Energy listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.50) | Earnings Share 0.45 | Revenue Per Share 3.816 | Quarterly Revenue Growth (0.23) | Return On Assets 0.0625 |
The market value of Kosmos Energy is measured differently than its book value, which is the value of Kosmos that is recorded on the company's balance sheet. Investors also form their own opinion of Kosmos Energy's value that differs from its market value or its book value, called intrinsic value, which is Kosmos Energy's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Kosmos Energy's market value can be influenced by many factors that don't directly affect Kosmos Energy's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Kosmos Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Kosmos Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Kosmos Energy's 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.
Kosmos Energy Return On Asset vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Kosmos Energy's current stock value. Our valuation model uses many indicators to compare Kosmos Energy value to that of its competitors to determine the firm's financial worth. Kosmos Energy is rated below average in price to earning category among its peers. It is rated below average in return on asset category among its peers reporting about 0.01 of Return On Asset per Price To Earning. The ratio of Price To Earning to Return On Asset for Kosmos Energy is roughly 110.24 . Return On Assets is likely to gain to 0.05 in 2024. Comparative valuation analysis is a catch-all technique that is used if you cannot value Kosmos Energy by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Kosmos Return On Asset vs. Price To Earning
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.
Kosmos Energy |
| = | 6.89 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.
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.
Kosmos Energy |
| = | 0.0625 |
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.
Kosmos Return On Asset Comparison
Kosmos Energy is currently under evaluation in return on asset category among its peers.
Kosmos Energy Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Kosmos Energy, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Kosmos Energy will eventually generate negative long term returns. The profitability progress is the general direction of Kosmos Energy's change in net profit over the period of time. It can combine multiple indicators of Kosmos Energy, 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 | ||
| Operating Income | 734.6 M | 771.4 M | |
| Income Before Tax | 371.7 M | 390.3 M | |
| Total Other Income Expense Net | -362.9 M | -344.7 M | |
| Net Income | 213.5 M | 224.2 M | |
| Income Tax Expense | 158.2 M | 86.5 M | |
| Net Income From Continuing Ops | 213.5 M | 224.2 M | |
| Non Operating Income Net Other | -250.9 M | -238.3 M | |
| Net Income Applicable To Common Shares | 203.9 M | 214.1 M | |
| Interest Income | 19.5 M | 18.5 M | |
| Net Interest Income | -94.4 M | -99.1 M | |
| Change To Netincome | 220.1 M | 231.1 M | |
| Net Income Per Share | 0.46 | 0.49 | |
| Income Quality | 3.58 | 3.76 | |
| Net Income Per E B T | 0.57 | 0.60 |
Kosmos Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Kosmos Energy. 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 Kosmos Energy 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 Kosmos Energy's important profitability drivers and their relationship over time.
Use Kosmos Energy 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 Kosmos Energy 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 Kosmos Energy will appreciate offsetting losses from the drop in the long position's value.Kosmos Energy Pair Trading
Kosmos Energy Pair Trading Analysis
The ability to find closely correlated positions to Kosmos Energy could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Kosmos Energy 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 Kosmos Energy - 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 Kosmos Energy to buy it.
The correlation of Kosmos Energy 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 Kosmos Energy moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Kosmos 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 Kosmos Energy 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 Kosmos Energy position
In addition to having Kosmos Energy 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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Additional Tools for Kosmos Stock Analysis
When running Kosmos Energy's price analysis, check to measure Kosmos Energy'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 Kosmos Energy is operating at the current time. Most of Kosmos Energy's value examination focuses on studying past and present price action to predict the probability of Kosmos Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Kosmos Energy's price. Additionally, you may evaluate how the addition of Kosmos Energy to your portfolios can decrease your overall portfolio volatility.