Arima Communications Price To Sales vs. Current Valuation
| 8101 Stock | TWD 23.55 2.60 9.94% |
For Arima Communications profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Arima Communications to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Arima Communications Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Arima Communications's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Arima Communications Corp over time as well as its relative position and ranking within its peers.
Arima |
Arima Communications Corp Current Valuation vs. Price To Sales Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Arima Communications's current stock value. Our valuation model uses many indicators to compare Arima Communications value to that of its competitors to determine the firm's financial worth. Arima Communications Corp is rated below average in price to sales category among its peers. It is rated below average in current valuation category among its peers reporting about 517,289,594 of Current Valuation per Price To Sales. 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 Arima Communications' earnings, one of the primary drivers of an investment's value.Arima Current Valuation vs. Price To Sales
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.
Arima Communications |
| = | 1.16 X |
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
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.
Arima Communications |
| = | 601.97 M |
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.
Arima Current Valuation vs Competition
Arima Communications Corp is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Information Technology industry is presently estimated at about (577.71 Billion). Arima Communications adds roughly 601.97 Million in current valuation claiming only tiny portion of equities under Information Technology industry.
Arima Communications Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Arima Communications, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Arima Communications will eventually generate negative long term returns. The profitability progress is the general direction of Arima Communications' change in net profit over the period of time. It can combine multiple indicators of Arima Communications, 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.
Arima Communications Corp. researches, develops, designs, manufactures, and sells mobile communication and Internet of Things products primarily in Taiwan. Arima Communications Corp. was incorporated in 1999 and is based in New Taipei City, Taiwan. ARIMA COMMUNICATION is traded on Taiwan Stock Exchange in Taiwan.
Arima Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Arima Communications. 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 Arima Communications 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 Arima Communications' important profitability drivers and their relationship over time.
Use Arima Communications 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 Arima Communications 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 Arima Communications will appreciate offsetting losses from the drop in the long position's value.Arima Communications Pair Trading
Arima Communications Corp Pair Trading Analysis
The ability to find closely correlated positions to Arima Communications could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Arima Communications 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 Arima Communications - 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 Arima Communications Corp to buy it.
The correlation of Arima Communications 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 Arima Communications moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Arima Communications Corp 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 Arima Communications 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 Arima Communications position
In addition to having Arima Communications 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 Consumption Thematic Idea Now
Consumption
Companies that deliver final goods such as cars or clothing for consumption by consumers. The Consumption theme has 19 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 Consumption Theme or any other thematic opportunities.
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Additional Tools for Arima Stock Analysis
When running Arima Communications' price analysis, check to measure Arima Communications' 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 Arima Communications is operating at the current time. Most of Arima Communications' value examination focuses on studying past and present price action to predict the probability of Arima Communications' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Arima Communications' price. Additionally, you may evaluate how the addition of Arima Communications to your portfolios can decrease your overall portfolio volatility.