Ryerson Holding Return On Equity vs. Current Valuation
| RYI Stock | USD 25.79 0.41 1.62% |
Return On Equity | First Reported 2010-12-31 | Previous Quarter 0.16083453 | Current Value 0.17 | Quarterly Volatility 0.73302981 |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.14 | 0.2 |
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| Operating Profit Margin | 0.026 | 0.0446 |
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For Ryerson Holding profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Ryerson Holding to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Ryerson Holding Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Ryerson Holding's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Ryerson Holding Corp over time as well as its relative position and ranking within its peers.
Ryerson |
Is Metals & Mining space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ryerson Holding. If investors know Ryerson will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ryerson Holding listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.73) | Dividend Share 0.748 | Earnings Share 0.63 | Revenue Per Share 139.339 | Quarterly Revenue Growth (0.1) |
The market value of Ryerson Holding Corp is measured differently than its book value, which is the value of Ryerson that is recorded on the company's balance sheet. Investors also form their own opinion of Ryerson Holding's value that differs from its market value or its book value, called intrinsic value, which is Ryerson Holding's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ryerson Holding's market value can be influenced by many factors that don't directly affect Ryerson Holding's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ryerson Holding's value and its price as these two are different measures arrived at by different means. Investors typically determine if Ryerson Holding is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ryerson Holding'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.
Ryerson Holding Corp Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Ryerson Holding's current stock value. Our valuation model uses many indicators to compare Ryerson Holding value to that of its competitors to determine the firm's financial worth. Ryerson Holding Corp is rated below average in return on equity category among its peers. It is rated below average in current valuation category among its peers reporting about 63,071,205,644 of Current Valuation per Return On Equity. As of now, Ryerson Holding's Return On Equity is increasing as compared to previous years. 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 Ryerson Holding's earnings, one of the primary drivers of an investment's value.Ryerson Holding's Earnings Breakdown by Geography
Ryerson Current Valuation 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.
Ryerson Holding |
| = | 0.0264 |
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.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Ryerson Holding |
| = | 1.67 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Ryerson Current Valuation vs Competition
Ryerson Holding Corp is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Materials industry is at this time estimated at about 49.01 Billion. Ryerson Holding holds roughly 1.67 Billion in current valuation claiming about 3% of all equities under Materials industry.
Ryerson Holding Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Ryerson Holding, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Ryerson Holding will eventually generate negative long term returns. The profitability progress is the general direction of Ryerson Holding's change in net profit over the period of time. It can combine multiple indicators of Ryerson 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.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -140 M | -147 M | |
| Operating Income | 228.1 M | 153.6 M | |
| Income Before Tax | 193.7 M | 203.4 M | |
| Net Income Applicable To Common Shares | 449.6 M | 472.1 M | |
| Net Income | 146.4 M | 153.7 M | |
| Income Tax Expense | 47.3 M | 49.7 M | |
| Total Other Income Expense Net | -34.4 M | -36.1 M | |
| Net Income From Continuing Ops | 146.4 M | 95.7 M | |
| Non Operating Income Net Other | -1.5 M | -1.4 M | |
| Interest Income | 29.9 M | 28.4 M | |
| Net Interest Income | -34.7 M | -36.4 M | |
| Change To Netincome | 98.7 M | 103.7 M | |
| Net Income Per Share | 4.17 | 4.38 | |
| Income Quality | 2.49 | 2.62 | |
| Net Income Per E B T | 0.75 | 1.41 |
Ryerson Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Ryerson 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 Ryerson 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 Ryerson Holding's important profitability drivers and their relationship over time.
Use Ryerson 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 Ryerson 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 Ryerson Holding will appreciate offsetting losses from the drop in the long position's value.Ryerson Holding Pair Trading
Ryerson Holding Corp Pair Trading Analysis
The ability to find closely correlated positions to Ryerson 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 Ryerson 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 Ryerson 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 Ryerson Holding Corp to buy it.
The correlation of Ryerson 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 Ryerson Holding moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ryerson Holding 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 Ryerson 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 Ryerson Holding position
In addition to having Ryerson 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 Investor Favorites Thematic Idea Now
Investor Favorites
Macroaxis most traded equities with largest long positions over the last 2 years. The Investor Favorites theme has 21 constituents at this time.
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To fully project Ryerson Holding's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Ryerson Holding 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 Ryerson Holding's income statement, its balance sheet, and the statement of cash flows.