Wah Hong Return On Equity vs. Total Debt
| 8240 Stock | TWD 42.70 0.40 0.93% |
For Wah Hong profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Wah Hong to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Wah Hong Industrial utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Wah Hong's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Wah Hong Industrial over time as well as its relative position and ranking within its peers.
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Wah Hong Industrial Total Debt vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Wah Hong's current stock value. Our valuation model uses many indicators to compare Wah Hong value to that of its competitors to determine the firm's financial worth. Wah Hong Industrial is number one stock in return on equity category among its peers. It is rated fourth in total debt category among its peers making up about 4,449,881,456 of Total Debt 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 Wah Hong's earnings, one of the primary drivers of an investment's value.Wah Total Debt 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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| = | 0.12 |
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.
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
Wah Hong |
| = | 525.53 M |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
Wah Total Debt vs Competition
Wah Hong Industrial is rated fourth in total debt category among its peers. Total debt of Electronic Components industry is presently estimated at about 7.5 Billion. Wah Hong holds roughly 525.53 Million in total debt claiming about 7% of equities under Electronic Components industry.
Wah Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Wah Hong. 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 Wah Hong 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 Wah Hong's important profitability drivers and their relationship over time.
Use Wah Hong 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 Wah Hong 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 Wah Hong will appreciate offsetting losses from the drop in the long position's value.Wah Hong Pair Trading
Wah Hong Industrial Pair Trading Analysis
The ability to find closely correlated positions to Wah Hong could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Wah Hong 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 Wah Hong - 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 Wah Hong Industrial to buy it.
The correlation of Wah Hong 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 Wah Hong moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Wah Hong Industrial 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 Wah Hong 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 Wah Hong position
In addition to having Wah Hong 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 Oil And Gas Thematic Idea Now
Oil And Gas
Companies involved in drilling, production, and distribution of oil and gas pipelines. The Oil And Gas theme has 37 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 Oil And Gas Theme or any other thematic opportunities.
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Additional Tools for Wah Stock Analysis
When running Wah Hong's price analysis, check to measure Wah Hong's 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 Wah Hong is operating at the current time. Most of Wah Hong's value examination focuses on studying past and present price action to predict the probability of Wah Hong's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Wah Hong's price. Additionally, you may evaluate how the addition of Wah Hong to your portfolios can decrease your overall portfolio volatility.