Locaweb Servios Revenue vs. Return On Asset

LWSA3 Stock  BRL 4.49  0.19  4.42%   
Based on Locaweb Servios' profitability indicators, Locaweb Servios de 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 Locaweb Servios' ability to earn profits and add value for shareholders.
For Locaweb Servios profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Locaweb Servios to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Locaweb Servios de utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Locaweb Servios's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Locaweb Servios de over time as well as its relative position and ranking within its peers.
  
Check out Correlation Analysis.
Please note, there is a significant difference between Locaweb Servios' value and its price as these two are different measures arrived at by different means. Investors typically determine if Locaweb Servios is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Locaweb Servios' 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.

Locaweb Servios de Return On Asset vs. Revenue Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Locaweb Servios's current stock value. Our valuation model uses many indicators to compare Locaweb Servios value to that of its competitors to determine the firm's financial worth.
Locaweb Servios de is considered the number one company in revenue category among its peers. It also is currently regarded as number one stock in return on asset category among its peers . The ratio of Revenue to Return On Asset for Locaweb Servios de is about  105,290,526,316 . 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 Locaweb Servios' earnings, one of the primary drivers of an investment's value.

Locaweb Revenue vs. Competition

Locaweb Servios de is considered the number one company in revenue category among its peers. Market size based on revenue of Software—Infrastructure industry is now estimated at about 46.58 Billion. Locaweb Servios claims roughly 800.21 Million in revenue contributing just under 2% to equities listed under Software—Infrastructure industry.

Locaweb Return On Asset vs. Revenue

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

Locaweb Servios

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
800.21 M
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
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.

Locaweb Servios

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0076
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.

Locaweb Return On Asset Comparison

Locaweb Servios is currently under evaluation in return on asset category among its peers.

Locaweb Servios Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Locaweb Servios, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Locaweb Servios will eventually generate negative long term returns. The profitability progress is the general direction of Locaweb Servios' change in net profit over the period of time. It can combine multiple indicators of Locaweb Servios, 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.
Locaweb Servios de Internet S.A. offers hosting and cloud services in Brazil. The company was founded in 1997 and is headquartered in So Paulo, Brazil. LOCAWEB ON operates under SoftwareInfrastructure classification in Brazil and is traded on Sao Paolo Stock Exchange.

Locaweb Profitability Driver Comparison

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

Use Locaweb Servios 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 Locaweb Servios 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 Locaweb Servios will appreciate offsetting losses from the drop in the long position's value.

Locaweb Servios Pair Trading

Locaweb Servios de Pair Trading Analysis

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

Use Investing Themes to Complement your Locaweb Servios position

In addition to having Locaweb Servios 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.

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Broad Debt ETFs Theme
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Additional Tools for Locaweb Stock Analysis

When running Locaweb Servios' price analysis, check to measure Locaweb Servios' 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 Locaweb Servios is operating at the current time. Most of Locaweb Servios' value examination focuses on studying past and present price action to predict the probability of Locaweb Servios' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Locaweb Servios' price. Additionally, you may evaluate how the addition of Locaweb Servios to your portfolios can decrease your overall portfolio volatility.