TOM Group Return On Asset vs. Net Income

TOCOF Stock  USD 0.07  0.00  0.00%   
Considering TOM Group's profitability and operating efficiency indicators, TOM Group Limited may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in December. Profitability indicators assess TOM Group's ability to earn profits and add value for shareholders.
For TOM Group profitability analysis, we use financial ratios and fundamental drivers that measure the ability of TOM Group to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well TOM Group Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between TOM Group's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of TOM Group Limited over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between TOM Group's value and its price as these two are different measures arrived at by different means. Investors typically determine if TOM Group is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, TOM Group'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.

TOM Group Limited Net Income vs. Return On Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining TOM Group's current stock value. Our valuation model uses many indicators to compare TOM Group value to that of its competitors to determine the firm's financial worth.
TOM Group Limited is currently regarded as top stock in return on asset category among its peers. It also is currently regarded as top stock in net income category among its peers . 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 TOM Group's earnings, one of the primary drivers of an investment's value.

TOM Net Income vs. Return On Asset

Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

TOM Group

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0044
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
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.

TOM Group

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
(114.11 M)
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.

TOM Net Income Comparison

TOM Group is currently under evaluation in net income category among its peers.

TOM Group Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in TOM Group, profitability is also one of the essential criteria for including it into their portfolios because, without profit, TOM Group will eventually generate negative long term returns. The profitability progress is the general direction of TOM Group's change in net profit over the period of time. It can combine multiple indicators of TOM Group, 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.
TOM Group Limited, an investment holding company, operates as a technology and media company in Hong Kong, Mainland China, Taiwan, and other Asian countries. TOM Group Limited was incorporated in 1999 and is headquartered in Wan Chai, Hong Kong. Tom operates under Publishing classification in the United States and is traded on OTC Exchange. It employs 1200 people.

TOM Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on TOM Group. 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 TOM Group 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 TOM Group's important profitability drivers and their relationship over time.

Use TOM Group 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 TOM Group 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 TOM Group will appreciate offsetting losses from the drop in the long position's value.

TOM Group Pair Trading

TOM Group Limited Pair Trading Analysis

The ability to find closely correlated positions to TOM Group could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace TOM Group 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 TOM Group - 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 TOM Group Limited to buy it.
The correlation of TOM Group 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 TOM Group moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if TOM Group Limited 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 TOM Group 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your TOM Group position

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Other Information on Investing in TOM Pink Sheet

To fully project TOM Group's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of TOM Group Limited 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 TOM Group's income statement, its balance sheet, and the statement of cash flows.
Potential TOM Group investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although TOM Group investors may work on each financial statement separately, they are all related. The changes in TOM Group's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on TOM Group's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.