SMU SA Price To Book vs. Cash And Equivalents
| SMU Stock | CLP 157.85 1.38 0.88% |
For SMU SA profitability analysis, we use financial ratios and fundamental drivers that measure the ability of SMU SA to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well SMU SA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between SMU SA's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of SMU SA over time as well as its relative position and ranking within its peers.
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SMU SA Cash And Equivalents vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining SMU SA's current stock value. Our valuation model uses many indicators to compare SMU SA value to that of its competitors to determine the firm's financial worth. SMU SA is currently regarded as top stock in price to book category among its peers. It also is currently regarded as top stock in cash and equivalents category among its peers creating about 122,120,750,888 of Cash And Equivalents per Price To Book. Comparative valuation analysis is a catch-all model that can be used if you cannot value SMU SA by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for SMU SA'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.SMU Cash And Equivalents vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
SMU SA |
| = | 0.79 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
SMU SA |
| = | 96.28 B |
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
SMU Cash And Equivalents Comparison
SMU SA is currently under evaluation in cash and equivalents category among its peers.
SMU SA Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in SMU SA, profitability is also one of the essential criteria for including it into their portfolios because, without profit, SMU SA will eventually generate negative long term returns. The profitability progress is the general direction of SMU SA's change in net profit over the period of time. It can combine multiple indicators of SMU SA, 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.
The company offers fresh items, such as fruits and vegetables, white and red meats, and dairy products, as well as dry goods, wine and spirits, frozen and cleaning products, and various non-food items and ready meals, chocolates, beverages, pastries, bread, and tobacco products. SMU S.A. was founded in 2007 and is based in Las Condes, Chile. SMU SA is traded on Commodity Exchange in Exotistan.
SMU Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on SMU SA. 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 SMU SA 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 SMU SA's important profitability drivers and their relationship over time.
Use SMU SA 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 SMU SA 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 SMU SA will appreciate offsetting losses from the drop in the long position's value.SMU SA Pair Trading
SMU SA Pair Trading Analysis
The ability to find closely correlated positions to SMU SA could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace SMU SA 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 SMU SA - 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 SMU SA to buy it.
The correlation of SMU SA 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 SMU SA moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SMU SA 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 SMU SA 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 SMU SA position
In addition to having SMU SA 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 Railroads Thematic Idea Now
Railroads
Companies involved in manufacturing and maintenance of freight railroads and passenger trains as well as providing railroad services to public. The Railroads theme has 43 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 Railroads Theme or any other thematic opportunities.
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Other Information on Investing in SMU Stock
To fully project SMU SA's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of SMU SA 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 SMU SA's income statement, its balance sheet, and the statement of cash flows.