Vallourec Return On Equity vs. Price To Earning
| VK Stock | EUR 16.63 0.04 0.24% |
For Vallourec profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Vallourec to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Vallourec utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Vallourec's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Vallourec over time as well as its relative position and ranking within its peers.
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Vallourec Price To Earning vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Vallourec's current stock value. Our valuation model uses many indicators to compare Vallourec value to that of its competitors to determine the firm's financial worth. Vallourec is rated first in return on equity category among its peers. It is rated first in price to earning category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value Vallourec by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Vallourec'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.Vallourec Price To Earning 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.
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| = | -0.2 |
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.
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.
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| = | (3.80) 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.
Vallourec Price To Earning Comparison
Vallourec is currently under evaluation in price to earning category among its peers.
Vallourec Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Vallourec, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Vallourec will eventually generate negative long term returns. The profitability progress is the general direction of Vallourec's change in net profit over the period of time. It can combine multiple indicators of Vallourec, 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.
Vallourec S.A., through its subsidiaries, provides tubular solutions for oil and gas, industry, and power generation in Europe, North America, South America, Asia, the Middle East, and internationally. Vallourec S.A. was founded in 1899 and is headquartered in Boulogne-Billancourt, France. VALLOUREC operates under Steel Production And Products classification in France and is traded on Paris Stock Exchange. It employs 17000 people.
Vallourec Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Vallourec. 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 Vallourec 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 Vallourec's important profitability drivers and their relationship over time.
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Our tools can tell you how much better you can do entering a position in Vallourec without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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Use Investing Themes to Complement your Vallourec position
In addition to having Vallourec 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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Manufacturing
Companies that provide goods across residential, commercial and industrial construction such as machinery, tools, or lumber production. The Manufacturing theme has 20 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 Manufacturing Theme or any other thematic opportunities.
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Other Information on Investing in Vallourec Stock
To fully project Vallourec's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Vallourec 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 Vallourec's income statement, its balance sheet, and the statement of cash flows.