Rio2 Shares Owned By Institutions vs. Book Value Per Share

RIOFF Stock  USD 0.51  0.03  5.56%   
Based on the key profitability measurements obtained from Rio2's financial statements, Rio2 Limited may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in March. Profitability indicators assess Rio2's ability to earn profits and add value for shareholders.
For Rio2 profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Rio2 to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Rio2 Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Rio2's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Rio2 Limited over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Rio2's value and its price as these two are different measures arrived at by different means. Investors typically determine if Rio2 is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Rio2's 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.

Rio2 Limited Book Value Per Share vs. Shares Owned By Institutions Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Rio2's current stock value. Our valuation model uses many indicators to compare Rio2 value to that of its competitors to determine the firm's financial worth.
Rio2 Limited is rated fourth in shares owned by institutions category among its peers. It is rated below average in book value per share category among its peers creating about  0.02  of Book Value Per Share per Shares Owned By Institutions. The ratio of Shares Owned By Institutions to Book Value Per Share for Rio2 Limited is roughly  46.99 . 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 Rio2's earnings, one of the primary drivers of an investment's value.

Rio2 Book Value Per Share vs. Shares Owned By Institutions

Shares Owned by Institutions show the percentage of the outstanding shares of stock issued by a company that is currently owned by other institutions such as asset management firms, hedge funds, or investment banks. Many investors like investing in companies with a large percentage of the firm owned by institutions because they believe that larger firms such as banks, pension funds, and mutual funds, will invest when they think that good things are going to happen.

Rio2

Shares Held by Institutions

 = 

Funds and Banks

+

Firms

 = 
14.38 %
Since Institution investors conduct a lot of independent research they tend to be more involved and usually more knowledgeable about entities they invest as compared to amateur investors.
Book Value per Share (B/S) can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. It indicates the level of safety associated with each common share after removing the effects of liabilities. In other words, a shareholder can use this ratio to see how much he or she can sell the stake in the company in the event of a liquidation.

Rio2

Book Value per Share

 = 

Common Equity

Average Shares

 = 
0.31 X
The naive approach to look at Book Value per Share is to compare it to current stock price. If Book Value per Share is higher than the currently traded stock price, the company can be considered undervalued. However, investors must be aware that conventional calculation of Book Value does not include intangible assets such as goodwill, intellectual property, trademarks or brands and may not be an appropriate measure for many firms.

Rio2 Book Value Per Share Comparison

Rio2 is currently under evaluation in book value per share category among its peers.

Rio2 Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Rio2, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Rio2 will eventually generate negative long term returns. The profitability progress is the general direction of Rio2's change in net profit over the period of time. It can combine multiple indicators of Rio2, 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.
Rio2 Limited engages in the exploration, development, and mining of mineral properties in Canada, Peru, and Chile. The company was incorporated in 1990 and is headquartered in Vancouver, Canada. Rio2 operates under Gold classification in the United States and is traded on OTC Exchange.

Rio2 Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Rio2. 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 Rio2 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 Rio2's important profitability drivers and their relationship over time.

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Other Information on Investing in Rio2 OTC Stock

To fully project Rio2's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Rio2 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 Rio2's income statement, its balance sheet, and the statement of cash flows.
Potential Rio2 investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Rio2 investors may work on each financial statement separately, they are all related. The changes in Rio2's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Rio2's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.