Park Hotels Return On Equity vs. Current Valuation
| 0KFU Stock | 15.08 0.25 1.69% |
For Park Hotels profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Park Hotels to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Park Hotels Resorts utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Park Hotels's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Park Hotels Resorts over time as well as its relative position and ranking within its peers.
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Park Hotels Resorts Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Park Hotels's current stock value. Our valuation model uses many indicators to compare Park Hotels value to that of its competitors to determine the firm's financial worth. Park Hotels Resorts is number one stock in return on equity category among its peers. It also is the top company in current valuation category among its peers reporting about 82,140,676,592 of Current Valuation per Return On Equity. 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 Park Hotels' earnings, one of the primary drivers of an investment's value.Park Current Valuation 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.
Park Hotels |
| = | 0.0892 |
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.
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.
Park Hotels |
| = | 7.33 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.
Park Current Valuation vs Competition
Park Hotels Resorts is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Industrials industry is presently estimated at about 19.61 Billion. Park Hotels totals roughly 7.33 Billion in current valuation claiming about 37% of equities under Industrials industry.
Park Hotels Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Park Hotels, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Park Hotels will eventually generate negative long term returns. The profitability progress is the general direction of Park Hotels' change in net profit over the period of time. It can combine multiple indicators of Park Hotels, 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 | 3.8 B | 4 B | |
| Operating Income | 343 M | 178.3 M | |
| Income Before Tax | 144 M | 151.2 M | |
| Total Other Income Expense Net | -199 M | -208.9 M | |
| Net Income | 106 M | 185.9 M | |
| Income Tax Expense | 38 M | 39.9 M | |
| Interest Income | 267.9 M | 158.2 M | |
| Net Income Applicable To Common Shares | 145.8 M | 204.3 M | |
| Change To Netincome | -90.8 M | -95.4 M |
Park Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Park Hotels. 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 Park Hotels 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 Park Hotels' important profitability drivers and their relationship over time.
Use Park Hotels 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 Park Hotels 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 Park Hotels will appreciate offsetting losses from the drop in the long position's value.Park Hotels Pair Trading
Park Hotels Resorts Pair Trading Analysis
The ability to find closely correlated positions to Park Hotels could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Park Hotels 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 Park Hotels - 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 Park Hotels Resorts to buy it.
The correlation of Park Hotels 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 Park Hotels moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Park Hotels Resorts 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 Park Hotels 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 Park Hotels position
In addition to having Park Hotels 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 Sport Products Thematic Idea Now
Sport Products
Companies manufacturing sporting goods and accessories. The Sport Products theme has 44 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 Sport Products Theme or any other thematic opportunities.
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Additional Tools for Park Stock Analysis
When running Park Hotels' price analysis, check to measure Park Hotels' 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 Park Hotels is operating at the current time. Most of Park Hotels' value examination focuses on studying past and present price action to predict the probability of Park Hotels' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Park Hotels' price. Additionally, you may evaluate how the addition of Park Hotels to your portfolios can decrease your overall portfolio volatility.