APPLIED MATERIALS Z Score vs. Price To Book
| AP2 Stock | 163.82 0.60 0.37% |
For APPLIED MATERIALS profitability analysis, we use financial ratios and fundamental drivers that measure the ability of APPLIED MATERIALS to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well APPLIED MATERIALS utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between APPLIED MATERIALS's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of APPLIED MATERIALS over time as well as its relative position and ranking within its peers.
APPLIED |
APPLIED MATERIALS Price To Book vs. Z Score Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining APPLIED MATERIALS's current stock value. Our valuation model uses many indicators to compare APPLIED MATERIALS value to that of its competitors to determine the firm's financial worth. APPLIED MATERIALS is rated below average in z score category among its peers. It also is rated below average in price to book category among its peers fabricating about 0.58 of Price To Book per Z Score. The ratio of Z Score to Price To Book for APPLIED MATERIALS is roughly 1.72 . 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 APPLIED MATERIALS's earnings, one of the primary drivers of an investment's value.APPLIED Price To Book vs. Z Score
Z-Score is a simple linear, multi-factor model that measures the financial health and economic stability of a company. The score is used to predict the probability of a firm going into bankruptcy within next 24 months or two fiscal years from the day stated on the accounting statements used to calculate it. The model uses five fundamental business ratios that are weighted according to algorithm of Professor Edward Altman who developed it in the late 1960s at New York University..
APPLIED MATERIALS |
| = | 13.2 |
To calculate a Z-Score, one would need to know a company's current working capital, its total assets and liabilities, and the amount of its latest earnings as well as earnings before interest and tax. Z-Scores can be used to compare the odds of bankruptcy of companies in a similar line of business or firms operating in the same industry. Companies with Z-Scores above 3.1 are generally considered to be stable and healthy with a low probability of bankruptcy. Scores that fall between 1.8 and 3.1 lie in a so-called 'grey area,' with scores of less than 1 indicating the highest probability of distress. Z Score is a used widely measure by financial auditors, accountants, money managers, loan processors, wealth advisers, and day traders. In the last 25 years, many financial models that utilize z-scores proved it to be successful as a predictor of corporate bankruptcy.
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.
APPLIED MATERIALS |
| = | 7.68 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.
APPLIED Price To Book Comparison
APPLIED MATERIALS is currently under evaluation in price to book category among its peers.
APPLIED Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on APPLIED MATERIALS. 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 APPLIED MATERIALS 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 APPLIED MATERIALS's important profitability drivers and their relationship over time.
Use APPLIED MATERIALS 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 APPLIED MATERIALS 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 APPLIED MATERIALS will appreciate offsetting losses from the drop in the long position's value.APPLIED MATERIALS Pair Trading
APPLIED MATERIALS Pair Trading Analysis
The ability to find closely correlated positions to APPLIED MATERIALS could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace APPLIED MATERIALS 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 APPLIED MATERIALS - 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 APPLIED MATERIALS to buy it.
The correlation of APPLIED MATERIALS 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 APPLIED MATERIALS moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if APPLIED MATERIALS 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 APPLIED MATERIALS 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 APPLIED MATERIALS position
In addition to having APPLIED MATERIALS 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 Steel Works Etc Thematic Idea Now
Steel Works Etc
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Steel Works Etc theme has 54 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 Steel Works Etc Theme or any other thematic opportunities.
| View All Next | Launch |
Additional Tools for APPLIED Stock Analysis
When running APPLIED MATERIALS's price analysis, check to measure APPLIED MATERIALS'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 APPLIED MATERIALS is operating at the current time. Most of APPLIED MATERIALS's value examination focuses on studying past and present price action to predict the probability of APPLIED MATERIALS's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move APPLIED MATERIALS's price. Additionally, you may evaluate how the addition of APPLIED MATERIALS to your portfolios can decrease your overall portfolio volatility.