ARNC34 Return On Equity vs. Operating Margin
| ARNC34 Stock | BRL 674.59 8.84 1.29% |
For ARNC34 profitability analysis, we use financial ratios and fundamental drivers that measure the ability of ARNC34 to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well ARNC34 utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between ARNC34's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of ARNC34 over time as well as its relative position and ranking within its peers.
ARNC34 |
ARNC34 Operating Margin vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining ARNC34's current stock value. Our valuation model uses many indicators to compare ARNC34 value to that of its competitors to determine the firm's financial worth. ARNC34 is number one stock in return on equity category among its peers. It also is number one stock in operating margin category among its peers reporting about 3.06 of Operating Margin per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value ARNC34 by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for ARNC34's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.ARNC34 Operating Margin 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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| = | 5.16 |
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.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
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| = | 15.78 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
ARNC34 Operating Margin Comparison
ARNC34 is currently under evaluation in operating margin category among its peers.
ARNC34 Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in ARNC34, profitability is also one of the essential criteria for including it into their portfolios because, without profit, ARNC34 will eventually generate negative long term returns. The profitability progress is the general direction of ARNC34's change in net profit over the period of time. It can combine multiple indicators of ARNC34, 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.
Howmet Aerospace Inc. provides advanced engineered solutions for the aerospace and transportation industries in the United States, Japan, France, Germany, the United Kingdom, Mexico, Italy, Canada, Poland, China, and internationally. The company was founded in 1888 and is based in Pittsburgh, Pennsylvania. ARCONIC DRN operates under Specialty Industrial Machinery classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 19700 people.
ARNC34 Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on ARNC34. 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 ARNC34 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 ARNC34's important profitability drivers and their relationship over time.
Use ARNC34 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 ARNC34 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 ARNC34 will appreciate offsetting losses from the drop in the long position's value.ARNC34 Pair Trading
ARNC34 Pair Trading Analysis
The ability to find closely correlated positions to ARNC34 could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace ARNC34 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 ARNC34 - 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 ARNC34 to buy it.
The correlation of ARNC34 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 ARNC34 moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if ARNC34 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 ARNC34 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 ARNC34 position
In addition to having ARNC34 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 Health Management Thematic Idea Now
Health Management
Major hospitals and healthcare providers. The Health Management theme has 41 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 Health Management Theme or any other thematic opportunities.
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Other Information on Investing in ARNC34 Stock
To fully project ARNC34's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of ARNC34 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 ARNC34's income statement, its balance sheet, and the statement of cash flows.