Nova Minerals Return On Equity vs. Debt To Equity
| QM3 Stock | EUR 0.19 0.03 18.75% |
For Nova Minerals profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Nova Minerals to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Nova Minerals Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Nova Minerals's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Nova Minerals Limited over time as well as its relative position and ranking within its peers.
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Nova Minerals Limited Debt To Equity vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Nova Minerals's current stock value. Our valuation model uses many indicators to compare Nova Minerals value to that of its competitors to determine the firm's financial worth. Nova Minerals Limited is currently regarded as top stock in return on equity category among its peers. It also is currently regarded as top stock in debt to equity category among its peers fabricating about 0.16 of Debt To Equity per Return On Equity. The ratio of Return On Equity to Debt To Equity for Nova Minerals Limited is roughly 6.09 . 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 Nova Minerals' earnings, one of the primary drivers of an investment's value.Nova Debt To Equity 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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| = | 0.44 |
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.
Debt to Equity is calculated by dividing the Total Debt of a company by its Equity. If the debt exceeds equity of a company, then the creditors have more stakes in a firm than the stockholders. In other words, Debt to Equity ratio provides analysts with insights about composition of both equity and debt, and its influence on the valuation of the company.
Nova Minerals |
| = | 0.07 % |
High Debt to Equity ratio typically indicates that a firm has been borrowing aggressively to finance its growth and as a result may experience a burden of additional interest expense. This may reduce earnings or future growth. On the other hand a small D/E ratio may indicate that a company is not taking enough advantage from financial leverage. Debt to Equity ratio measures how the company is leveraging borrowing against the capital invested by the owners.
Nova Debt To Equity Comparison
Nova Minerals is currently under evaluation in debt to equity category among its peers.
Nova Minerals Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Nova Minerals, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Nova Minerals will eventually generate negative long term returns. The profitability progress is the general direction of Nova Minerals' change in net profit over the period of time. It can combine multiple indicators of Nova Minerals, 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.
Nova Minerals Limited engages in the mineral exploration activities in the United States, Australia, and Canada. Nova Minerals Limited was incorporated in 1987 and is based in Melbourne, Australia. NOVA MINERALS operates under Other Industrial Metals Mining classification in Germany and is traded on Frankfurt Stock Exchange.
Nova Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Nova Minerals. 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 Nova Minerals 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 Nova Minerals' important profitability drivers and their relationship over time.
Use Nova Minerals 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 Nova Minerals 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 Nova Minerals will appreciate offsetting losses from the drop in the long position's value.Nova Minerals Pair Trading
Nova Minerals Limited Pair Trading Analysis
The ability to find closely correlated positions to Nova Minerals could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Nova Minerals 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 Nova Minerals - 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 Nova Minerals Limited to buy it.
The correlation of Nova Minerals 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 Nova Minerals moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Nova Minerals Limited 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 Nova Minerals 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 Nova Minerals position
In addition to having Nova Minerals 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 Junk Bonds Funds Thematic Idea Now
Junk Bonds Funds
Funds or Etfs that invest most of their assets into speculative (junk) bonds or to other fixed income instruments with interest rates 3 to 4 percentage points above government issues. The Junk Bonds Funds theme has 38 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 Junk Bonds Funds Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Nova Stock
When determining whether Nova Minerals Limited is a strong investment it is important to analyze Nova Minerals' 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 Nova Minerals' future performance. For an informed investment choice regarding Nova Stock, refer to the following important reports:Check out Your Equity Center. You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
To fully project Nova Minerals' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Nova Minerals Limited 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 Nova Minerals' income statement, its balance sheet, and the statement of cash flows.