BAE Systems Shares Owned By Insiders vs. Total Debt

BA Stock   1,158  1.50  0.13%   
Based on BAE Systems' profitability indicators, BAE Systems plc may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in January. Profitability indicators assess BAE Systems' ability to earn profits and add value for shareholders.
For BAE Systems profitability analysis, we use financial ratios and fundamental drivers that measure the ability of BAE Systems to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well BAE Systems plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between BAE Systems's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of BAE Systems plc over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between BAE Systems' value and its price as these two are different measures arrived at by different means. Investors typically determine if BAE Systems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, BAE Systems' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

BAE Systems plc Total Debt vs. Shares Owned By Insiders Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining BAE Systems's current stock value. Our valuation model uses many indicators to compare BAE Systems value to that of its competitors to determine the firm's financial worth.
BAE Systems plc is rated second in shares owned by insiders category among its peers. It is the top company in total debt category among its peers making up about  46,278,571,429  of Total Debt per Shares Owned By Insiders. 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 BAE Systems' earnings, one of the primary drivers of an investment's value.

BAE Total Debt vs. Shares Owned By Insiders

Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.

BAE Systems

Insiders Shares

 = 

Executives Shares

+

Employees

 = 
0.14 %
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.
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.

BAE Systems

Total Debt

 = 

Bonds

+

Notes

 = 
6.48 B
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.

BAE Total Debt vs Competition

BAE Systems plc is the top company in total debt category among its peers. Total debt of Industrials industry is currently estimated at about 237.41 Trillion. BAE Systems adds roughly 6.48 Billion in total debt claiming only tiny portion of equities under Industrials industry.
Total debt  Workforce  Revenue  Capitalization  Valuation

BAE Systems Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in BAE Systems, profitability is also one of the essential criteria for including it into their portfolios because, without profit, BAE Systems will eventually generate negative long term returns. The profitability progress is the general direction of BAE Systems' change in net profit over the period of time. It can combine multiple indicators of BAE Systems, 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.
Last ReportedProjected for Next Year
Accumulated Other Comprehensive Income6.2 B6.5 B
Operating Income2.6 B2.7 B
Income Before Tax2.1 B2.2 B
Total Other Income Expense Net-455 M-477.8 M
Net Income1.9 B1.9 B
Income Tax Expense386 M405.3 M
Net Income Applicable To Common Shares1.8 B1.2 B
Net Income From Continuing Ops1.9 B1.3 B
Net Interest Income-190 M-199.5 M
Interest Income172 M180.6 M
Change To Netincome144.9 M152.1 M

BAE Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on BAE Systems. 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 BAE Systems 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 BAE Systems' important profitability drivers and their relationship over time.

Use BAE Systems 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 BAE Systems 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 BAE Systems will appreciate offsetting losses from the drop in the long position's value.

BAE Systems Pair Trading

BAE Systems plc Pair Trading Analysis

The ability to find closely correlated positions to BAE Systems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace BAE Systems 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 BAE Systems - 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 BAE Systems plc to buy it.
The correlation of BAE Systems 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 BAE Systems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if BAE Systems plc 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 BAE Systems 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your BAE Systems position

In addition to having BAE Systems 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.

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Consumer Funds
Consumer Funds Theme
Funds or Etfs that invest in consumer products such as packaged goods, clothing, food, beverages and retail services. The Consumer Funds theme has 46 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 Consumer Funds Theme or any other thematic opportunities.
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Other Information on Investing in BAE Stock

To fully project BAE Systems' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of BAE Systems plc 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 BAE Systems' income statement, its balance sheet, and the statement of cash flows.
Potential BAE Systems investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although BAE Systems investors may work on each financial statement separately, they are all related. The changes in BAE Systems's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on BAE Systems's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.