Sulzer AG Price To Earning vs. Price To Sales
SUN Stock | CHF 137.20 3.00 2.24% |
For Sulzer AG profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Sulzer AG to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Sulzer AG utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Sulzer AG's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Sulzer AG over time as well as its relative position and ranking within its peers.
Sulzer |
Sulzer AG Price To Sales vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Sulzer AG's current stock value. Our valuation model uses many indicators to compare Sulzer AG value to that of its competitors to determine the firm's financial worth. Sulzer AG is currently regarded as top stock in price to earning category among its peers. It is rated second in price to sales category among its peers fabricating about 0.02 of Price To Sales per Price To Earning. The ratio of Price To Earning to Price To Sales for Sulzer AG is roughly 40.58 . 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 Sulzer AG's earnings, one of the primary drivers of an investment's value.Sulzer Price To Sales 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.
Sulzer AG |
| = | 30.23 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.
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.
Sulzer AG |
| = | 0.74 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.
Sulzer Price To Sales Comparison
Sulzer AG is currently under evaluation in price to sales category among its peers.
Sulzer AG Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Sulzer AG, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Sulzer AG will eventually generate negative long term returns. The profitability progress is the general direction of Sulzer AG's change in net profit over the period of time. It can combine multiple indicators of Sulzer AG, 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.
Sulzer Ltd provides products and services for the oil and gas, power, water, and other markets in Switzerland and internationally. Sulzer Ltd was founded in 1834 and is headquartered in Winterthur, Switzerland. Sulzer Ltd operates under Diversified Industrials classification in Switzerland and is traded on Switzerland Exchange. It employs 15572 people.
Sulzer Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Sulzer AG. 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 Sulzer AG 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 Sulzer AG's important profitability drivers and their relationship over time.
Use Sulzer AG 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 Sulzer AG 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 Sulzer AG will appreciate offsetting losses from the drop in the long position's value.Sulzer AG Pair Trading
Sulzer AG Pair Trading Analysis
The ability to find closely correlated positions to Sulzer AG could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sulzer AG 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 Sulzer AG - 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 Sulzer AG to buy it.
The correlation of Sulzer AG 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 Sulzer AG moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sulzer 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 Sulzer AG 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 Sulzer AG position
In addition to having Sulzer AG 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?
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Asset Allocation ETFs
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Additional Tools for Sulzer Stock Analysis
When running Sulzer AG's price analysis, check to measure Sulzer AG'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 Sulzer AG is operating at the current time. Most of Sulzer AG's value examination focuses on studying past and present price action to predict the probability of Sulzer AG's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Sulzer AG's price. Additionally, you may evaluate how the addition of Sulzer AG to your portfolios can decrease your overall portfolio volatility.