Spectra Systems Price To Sales vs. Return On Equity
| SPSY Stock | 250.00 4.00 1.63% |
For Spectra Systems profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Spectra Systems to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Spectra Systems Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Spectra Systems's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Spectra Systems Corp over time as well as its relative position and ranking within its peers.
Spectra |
Spectra Systems Corp Return On Equity vs. Price To Sales Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Spectra Systems's current stock value. Our valuation model uses many indicators to compare Spectra Systems value to that of its competitors to determine the firm's financial worth. Spectra Systems Corp is currently regarded as top stock in price to sales category among its peers. It also is currently regarded as top stock in return on equity category among its peers reporting about 0.06 of Return On Equity per Price To Sales. The ratio of Price To Sales to Return On Equity for Spectra Systems Corp is roughly 17.63 . 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 Spectra Systems' earnings, one of the primary drivers of an investment's value.Spectra Return On Equity vs. Price To Sales
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
Spectra Systems |
| = | 3.79 X |
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
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.
Spectra Systems |
| = | 0.22 |
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.
Spectra Return On Equity Comparison
Spectra Systems is currently under evaluation in return on equity category among its peers.
Spectra Systems Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Spectra Systems, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Spectra Systems will eventually generate negative long term returns. The profitability progress is the general direction of Spectra Systems' change in net profit over the period of time. It can combine multiple indicators of Spectra Systems, 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 | -2.8 M | -3 M | |
| Operating Income | 7.2 M | 7.5 M | |
| Income Before Tax | 7.5 M | 7.8 M | |
| Total Other Income Expense Net | 302.9 K | 318 K | |
| Net Income | 6 M | 6.3 M | |
| Income Tax Expense | 1.4 M | 1.5 M | |
| Net Income From Continuing Ops | 6 M | 4 M | |
| Net Income Applicable To Common Shares | 7.1 M | 3.7 M | |
| Net Interest Income | 375.9 K | 394.7 K | |
| Interest Income | 375.9 K | 394.7 K | |
| Change To Netincome | -17.2 K | -16.4 K |
Spectra Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Spectra Systems. 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 Spectra Systems 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 Spectra Systems' important profitability drivers and their relationship over time.
Use Spectra Systems 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 Spectra Systems 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 Spectra Systems will appreciate offsetting losses from the drop in the long position's value.Spectra Systems Pair Trading
Spectra Systems Corp Pair Trading Analysis
The ability to find closely correlated positions to Spectra Systems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Spectra Systems 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 Spectra Systems - 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 Spectra Systems Corp to buy it.
The correlation of Spectra Systems 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 Spectra Systems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Spectra Systems 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 Spectra Systems 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 Spectra Systems position
In addition to having Spectra Systems 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 Computers Thematic Idea Now
Computers
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Computers 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 Computers Theme or any other thematic opportunities.
| View All Next | Launch |
Additional Tools for Spectra Stock Analysis
When running Spectra Systems' price analysis, check to measure Spectra Systems' 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 Spectra Systems is operating at the current time. Most of Spectra Systems' value examination focuses on studying past and present price action to predict the probability of Spectra Systems' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Spectra Systems' price. Additionally, you may evaluate how the addition of Spectra Systems to your portfolios can decrease your overall portfolio volatility.