Lea Bank Price To Sales vs. Beta
| LEA Stock | 8.75 0.10 1.13% |
For Lea Bank profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Lea Bank to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Lea Bank ASA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Lea Bank's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Lea Bank ASA over time as well as its relative position and ranking within its peers.
Lea |
Lea Bank ASA Beta vs. Price To Sales Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Lea Bank's current stock value. Our valuation model uses many indicators to compare Lea Bank value to that of its competitors to determine the firm's financial worth. Lea Bank ASA is rated below average in price to sales category among its peers. It is rated below average in beta category among its peers totaling about 0.26 of Beta per Price To Sales. The ratio of Price To Sales to Beta for Lea Bank ASA is roughly 3.88 . 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 Lea Bank's earnings, one of the primary drivers of an investment's value.Lea Beta vs. Price To Sales
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
Lea Bank |
| = | 2.31 X |
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Lea Bank |
| = | 0.59 |
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
Lea Beta Comparison
Lea Bank is rated fifth overall in beta category among its peers.
Beta Analysis
As returns on the market increase, Lea Bank's returns are expected to increase less than the market. However, during the bear market, the loss of holding Lea Bank is expected to be smaller as well.
Lea Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Lea Bank. 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 Lea Bank 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 Lea Bank's important profitability drivers and their relationship over time.
Use Lea Bank 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 Lea Bank 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 Lea Bank will appreciate offsetting losses from the drop in the long position's value.Lea Bank Pair Trading
Lea Bank ASA Pair Trading Analysis
The ability to find closely correlated positions to Lea Bank could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Lea Bank 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 Lea Bank - 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 Lea Bank ASA to buy it.
The correlation of Lea Bank 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 Lea Bank moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Lea Bank ASA 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 Lea Bank 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 Lea Bank position
In addition to having Lea Bank 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 Long/short ETFs Thematic Idea Now
Long/short ETFs
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Long/short ETFs theme has 24 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 Long/short ETFs Theme or any other thematic opportunities.
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Other Information on Investing in Lea Stock
To fully project Lea Bank's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Lea Bank ASA 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 Lea Bank's income statement, its balance sheet, and the statement of cash flows.