Roche Holding Price To Earning vs. Net Income
| ROGN Stock | MXN 5,945 33.19 0.56% |
For Roche Holding profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Roche Holding to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Roche Holding AG utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Roche Holding's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Roche Holding AG over time as well as its relative position and ranking within its peers.
Roche |
Roche Holding AG Net Income vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Roche Holding's current stock value. Our valuation model uses many indicators to compare Roche Holding value to that of its competitors to determine the firm's financial worth. Roche Holding AG is currently regarded as top stock in price to earning category among its peers. It also is currently regarded as top stock in net income category among its peers making up about 33,065,110 of Net Income per Price To Earning. Comparative valuation analysis is a catch-all model that can be used if you cannot value Roche Holding by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Roche Holding's Stock. 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.Roche Net Income vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Roche Holding |
| = | 421.29 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
Roche Holding |
| = | 13.93 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Roche Net Income Comparison
Roche Holding is currently under evaluation in net income category among its peers.
Roche Holding Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Roche Holding, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Roche Holding will eventually generate negative long term returns. The profitability progress is the general direction of Roche Holding's change in net profit over the period of time. It can combine multiple indicators of Roche Holding, 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.
Roche Holding AG engages in the diagnostics and prescription pharmaceuticals businesses in Switzerland, Germany, and internationally. The company was founded in 1896 and is headquartered in Basel, Switzerland. ROCHE HOLDINGS operates under Drug Manufacturers - Major classification in Mexico and is traded on Mexico Stock Exchange. It employs 82089 people.
Roche Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Roche Holding. 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 Roche Holding 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 Roche Holding's important profitability drivers and their relationship over time.
Use Roche Holding 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 Roche Holding 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 Roche Holding will appreciate offsetting losses from the drop in the long position's value.Roche Holding Pair Trading
Roche Holding AG Pair Trading Analysis
The ability to find closely correlated positions to Roche Holding could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Roche Holding 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 Roche Holding - 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 Roche Holding AG to buy it.
The correlation of Roche Holding 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 Roche Holding moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Roche Holding AG 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 Roche Holding 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 Roche Holding position
In addition to having Roche Holding 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 Precious Metals Thematic Idea Now
Precious Metals
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Precious Metals theme has 61 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 Precious Metals Theme or any other thematic opportunities.
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Additional Tools for Roche Stock Analysis
When running Roche Holding's price analysis, check to measure Roche Holding'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 Roche Holding is operating at the current time. Most of Roche Holding's value examination focuses on studying past and present price action to predict the probability of Roche Holding's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Roche Holding's price. Additionally, you may evaluate how the addition of Roche Holding to your portfolios can decrease your overall portfolio volatility.