Kavango Resources Return On Equity vs. Current Valuation
| KVGOF Stock | USD 0.01 0.00 0.00% |
For Kavango Resources profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Kavango Resources to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Kavango Resources Plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Kavango Resources's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Kavango Resources Plc over time as well as its relative position and ranking within its peers.
Kavango |
Kavango Resources Plc Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Kavango Resources's current stock value. Our valuation model uses many indicators to compare Kavango Resources value to that of its competitors to determine the firm's financial worth. Kavango Resources Plc is currently regarded as number one stock in return on equity category among its peers. It is rated below average in current valuation category among its peers . 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 Kavango Resources' earnings, one of the primary drivers of an investment's value.Kavango Current Valuation 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.
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| = | -0.26 |
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.
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.
Kavango Resources |
| = | 12.51 M |
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.
Kavango Current Valuation vs Competition
Kavango Resources Plc is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Other Industrial Metals & Mining industry is now estimated at about 331.47 Billion. Kavango Resources adds roughly 12.51 Million in current valuation claiming only tiny portion of all equities under Other Industrial Metals & Mining industry.
Kavango Resources Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Kavango Resources, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Kavango Resources will eventually generate negative long term returns. The profitability progress is the general direction of Kavango Resources' change in net profit over the period of time. It can combine multiple indicators of Kavango 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.
Kavango Resources Plc, together with its subsidiaries, engages in the exploration of base and precious metals in Botswana. Its projects include the Kalahari Suture Zone project that consists of 12 prospecting licenses, which covers an area of 7,554 square kilometers located in the southwest of Botswana the kalahari copper belt project, which comprise of 4 prospecting licenses covering an area of 2,385 square kilometers situated in Botswana and the Ditau project consists of 2 prospecting licenses that covers an area of 1,386 square kilometers. Kavango Resources is traded on OTC Exchange in the United States.
Kavango Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Kavango 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 Kavango 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 Kavango Resources' important profitability drivers and their relationship over time.
Use Kavango 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 Kavango 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 Kavango Resources will appreciate offsetting losses from the drop in the long position's value.Kavango Resources Pair Trading
Kavango Resources Plc Pair Trading Analysis
The ability to find closely correlated positions to Kavango 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 Kavango 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 Kavango 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 Kavango Resources Plc to buy it.
The correlation of Kavango 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 Kavango Resources moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Kavango Resources Plc 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 Kavango 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 Kavango Resources position
In addition to having Kavango 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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Other Information on Investing in Kavango Pink Sheet
To fully project Kavango Resources' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Kavango Resources Plc 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 Kavango Resources' income statement, its balance sheet, and the statement of cash flows.