Murata Manufacturing Return On Equity vs. EBITDA
| MRAAY Stock | USD 8.31 0.13 1.59% |
For Murata Manufacturing profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Murata Manufacturing to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Murata Manufacturing utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Murata Manufacturing's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Murata Manufacturing over time as well as its relative position and ranking within its peers.
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Murata Manufacturing EBITDA vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Murata Manufacturing's current stock value. Our valuation model uses many indicators to compare Murata Manufacturing value to that of its competitors to determine the firm's financial worth. Murata Manufacturing is considered to be number one stock in return on equity category among its peers. It also is considered to be number one stock in ebitda category among its peers totaling about 4,783,493,095,045 of EBITDA per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Murata Manufacturing by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Murata Manufacturing's Pink Sheet. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Murata EBITDA 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.
Murata Manufacturing |
| = | 0.12 |
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.
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Murata Manufacturing |
| = | 588.85 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Murata EBITDA Comparison
Murata Manufacturing is currently under evaluation in ebitda category among its peers.
Murata Manufacturing Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Murata Manufacturing, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Murata Manufacturing will eventually generate negative long term returns. The profitability progress is the general direction of Murata Manufacturing's change in net profit over the period of time. It can combine multiple indicators of Murata Manufacturing, 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.
Murata Manufacturing Co., Ltd. designs, manufactures, and sells ceramic-based passive electronic components and solutions in Japan and internationally. Murata Manufacturing Co., Ltd. was founded in 1944 and is headquartered in Nagaokakyo, Japan. Murata Manufacturing operates under Electronic Components classification in the United States and is traded on OTC Exchange. It employs 78076 people.
Murata Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Murata Manufacturing. 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 Murata Manufacturing 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 Murata Manufacturing's important profitability drivers and their relationship over time.
Use Murata Manufacturing 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 Murata Manufacturing 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 Murata Manufacturing will appreciate offsetting losses from the drop in the long position's value.Murata Manufacturing Pair Trading
Murata Manufacturing Pair Trading Analysis
The ability to find closely correlated positions to Murata Manufacturing could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Murata Manufacturing 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 Murata Manufacturing - 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 Murata Manufacturing to buy it.
The correlation of Murata Manufacturing 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 Murata Manufacturing moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Murata Manufacturing 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 Murata Manufacturing 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 Murata Manufacturing position
In addition to having Murata Manufacturing 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 Computers Thematic Idea Now
Computers
Companies that manufacture and distribute personal and business computers. The Computers theme has 41 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 Computers Theme or any other thematic opportunities.
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Additional Tools for Murata Pink Sheet Analysis
When running Murata Manufacturing's price analysis, check to measure Murata Manufacturing'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 Murata Manufacturing is operating at the current time. Most of Murata Manufacturing's value examination focuses on studying past and present price action to predict the probability of Murata Manufacturing's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Murata Manufacturing's price. Additionally, you may evaluate how the addition of Murata Manufacturing to your portfolios can decrease your overall portfolio volatility.