Hyatt Hotels Price To Book vs. Price To Earning
| 1HTA Stock | EUR 148.15 1.25 0.84% |
For Hyatt Hotels profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hyatt Hotels to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hyatt Hotels utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hyatt Hotels's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hyatt Hotels over time as well as its relative position and ranking within its peers.
Hyatt |
Hyatt Hotels Price To Earning vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Hyatt Hotels's current stock value. Our valuation model uses many indicators to compare Hyatt Hotels value to that of its competitors to determine the firm's financial worth. Hyatt Hotels is rated second in price to book category among its peers. It is number one stock in price to earning category among its peers reporting about 5.69 of Price To Earning per Price To Book. 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 Hyatt Hotels' earnings, one of the primary drivers of an investment's value.Hyatt Price To Earning vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Hyatt Hotels |
| = | 3.12 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.
Hyatt Hotels |
| = | 17.74 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.
Hyatt Hotels Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Hyatt Hotels, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hyatt Hotels will eventually generate negative long term returns. The profitability progress is the general direction of Hyatt Hotels' change in net profit over the period of time. It can combine multiple indicators of Hyatt 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.
Hyatt Hotels Corporation, a hospitality company, develops, owns, operates, manages, franchises, licenses, or provides services to hotels, resorts, residential, and other properties. Hyatt Hotels Corporation was founded in 1957 and is headquartered in Chicago, Illinois. HYATT HOTELS operates under Lodging classification in Germany and is traded on Frankfurt Stock Exchange. It employs 54000 people.
Hyatt Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Hyatt 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 Hyatt 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 Hyatt Hotels' important profitability drivers and their relationship over time.
Use Hyatt 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 Hyatt 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 Hyatt Hotels will appreciate offsetting losses from the drop in the long position's value.Hyatt Hotels Pair Trading
Hyatt Hotels Pair Trading Analysis
The ability to find closely correlated positions to Hyatt 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 Hyatt 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 Hyatt 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 Hyatt Hotels to buy it.
The correlation of Hyatt 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 Hyatt Hotels moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hyatt Hotels 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 Hyatt 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 Hyatt Hotels position
In addition to having Hyatt 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?
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Additional Information and Resources on Investing in Hyatt Stock
When determining whether Hyatt Hotels offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Hyatt Hotels' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Hyatt Hotels Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Hyatt Hotels Stock:Check out Trending Equities. For more detail on how to invest in Hyatt Stock please use our How to Invest in Hyatt Hotels guide.You can also try the Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.
To fully project Hyatt Hotels' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hyatt Hotels 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 Hyatt Hotels' income statement, its balance sheet, and the statement of cash flows.