KAR Auction Current Valuation vs. Shares Outstanding
| XKR Stock | EUR 18.90 0.10 0.53% |
For KAR Auction profitability analysis, we use financial ratios and fundamental drivers that measure the ability of KAR Auction to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well KAR Auction Services utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between KAR Auction's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of KAR Auction Services over time as well as its relative position and ranking within its peers.
KAR |
KAR Auction Services Shares Outstanding vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining KAR Auction's current stock value. Our valuation model uses many indicators to compare KAR Auction value to that of its competitors to determine the firm's financial worth. KAR Auction Services is rated third in current valuation category among its peers. It is rated first in shares outstanding category among its peers creating about 0.06 of Shares Outstanding per Current Valuation. The ratio of Current Valuation to Shares Outstanding for KAR Auction Services is roughly 16.34 . 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 KAR Auction's earnings, one of the primary drivers of an investment's value.KAR Current Valuation vs. Competition
KAR Auction Services is rated third in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Specialty Retail industry is at this time estimated at about 26.71 Billion. KAR Auction holds roughly 1.78 Billion in current valuation claiming about 7% of equities listed under Specialty Retail industry.
KAR Shares Outstanding vs. Current Valuation
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
KAR Auction |
| = | 1.78 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Outstanding Shares are shares of common stock of a public company that were purchased by investors after they were authorized and issued by the company to the public. Outstanding Shares are typically reported on fully diluted basis, including exotic instruments such as options, or convertibles bonds.
KAR Auction |
| = | 108.91 M |
Outstanding shares that are stated on company Balance Sheet are used when calculating many important valuation and performance indicators including Return on Equity, Market Cap, EPS and many others.
KAR Shares Outstanding Comparison
KAR Auction is currently under evaluation in shares outstanding category among its peers.
KAR Auction Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in KAR Auction, profitability is also one of the essential criteria for including it into their portfolios because, without profit, KAR Auction will eventually generate negative long term returns. The profitability progress is the general direction of KAR Auction's change in net profit over the period of time. It can combine multiple indicators of KAR Auction, 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.
KAR Auction Services, Inc., together with its subsidiaries, provides used vehicle auctions and related vehicle remarketing services for the automotive industry in the United States, Europe, Canada, Mexico, and the United Kingdom. KAR Auction Services, Inc. was founded in 2006 and is headquartered in Carmel, Indiana. KAR AUCTION operates under Specialty Retail classification in Germany and is traded on Frankfurt Stock Exchange. It employs 8800 people.
KAR Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on KAR Auction. 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 KAR Auction 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 KAR Auction's important profitability drivers and their relationship over time.
Use KAR Auction 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 KAR Auction 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 KAR Auction will appreciate offsetting losses from the drop in the long position's value.KAR Auction Pair Trading
KAR Auction Services Pair Trading Analysis
The ability to find closely correlated positions to KAR Auction could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace KAR Auction 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 KAR Auction - 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 KAR Auction Services to buy it.
The correlation of KAR Auction 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 KAR Auction moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if KAR Auction Services 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 KAR Auction 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 KAR Auction position
In addition to having KAR Auction 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 Money Market Funds Thematic Idea Now
Money Market Funds
Funds or Etfs investing in various types of short-term (less than one year) fixed income instruments of high-quality and liquidity. The Money Market Funds theme has 45 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 Money Market Funds Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in KAR Stock
When determining whether KAR Auction Services is a strong investment it is important to analyze KAR Auction's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact KAR Auction's future performance. For an informed investment choice regarding KAR Stock, refer to the following important reports:Check out Your Current Watchlist. You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
To fully project KAR Auction's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of KAR Auction Services 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 KAR Auction's income statement, its balance sheet, and the statement of cash flows.