MAG Silver Return On Asset vs. Price To Book
| MQ8 Stock | EUR 13.14 0.08 0.61% |
For MAG Silver profitability analysis, we use financial ratios and fundamental drivers that measure the ability of MAG Silver to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well MAG Silver Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between MAG Silver's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of MAG Silver Corp over time as well as its relative position and ranking within its peers.
MAG |
MAG Silver Corp Price To Book vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining MAG Silver's current stock value. Our valuation model uses many indicators to compare MAG Silver value to that of its competitors to determine the firm's financial worth. MAG Silver Corp is considered to be number one stock in return on asset category among its peers. It also is considered to be number one stock in price to book 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 MAG Silver's earnings, one of the primary drivers of an investment's value.MAG Price To Book vs. Return On Asset
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.
MAG Silver |
| = | -0.0377 |
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.
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
MAG Silver |
| = | 3.74 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
MAG Price To Book Comparison
MAG Silver is currently under evaluation in price to book category among its peers.
MAG Silver Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in MAG Silver, profitability is also one of the essential criteria for including it into their portfolios because, without profit, MAG Silver will eventually generate negative long term returns. The profitability progress is the general direction of MAG Silver's change in net profit over the period of time. It can combine multiple indicators of MAG Silver, 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.
MAG Silver Corp. focuses on acquiring, exploring, and development of mineral properties in Mexico. MAG Silver Corp. was incorporated in 1999 and is headquartered in Vancouver, Canada. MAG SILVER operates under Silver classification in Germany and is traded on Frankfurt Stock Exchange. It employs 7 people.
MAG Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on MAG Silver. 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 MAG Silver 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 MAG Silver's important profitability drivers and their relationship over time.
Use MAG Silver 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 MAG Silver 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 MAG Silver will appreciate offsetting losses from the drop in the long position's value.MAG Silver Pair Trading
MAG Silver Corp Pair Trading Analysis
The ability to find closely correlated positions to MAG Silver could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace MAG Silver 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 MAG Silver - 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 MAG Silver Corp to buy it.
The correlation of MAG Silver 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 MAG Silver moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if MAG Silver Corp 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 MAG Silver 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 MAG Silver position
In addition to having MAG Silver 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 Cars Thematic Idea Now
Cars
Domestic and international companies involved in manufacturing and serving automobiles and trucks. The Cars theme has 47 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 Cars Theme or any other thematic opportunities.
| View All Next | Launch |
Additional Information and Resources on Investing in MAG Stock
When determining whether MAG Silver Corp is a strong investment it is important to analyze MAG Silver's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact MAG Silver's future performance. For an informed investment choice regarding MAG Stock, refer to the following important reports:Check out Correlation Analysis. You can also try the Commodity Directory module to find actively traded commodities issued by global exchanges.
To fully project MAG Silver's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of MAG Silver Corp 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 MAG Silver's income statement, its balance sheet, and the statement of cash flows.