Considering Capital Power's profitability and operating efficiency indicators, Capital Power is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in January. Profitability indicators assess Capital Power's ability to earn profits and add value for shareholders.
For Capital Power profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Capital Power to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Capital Power utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Capital Power's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Capital Power over time as well as its relative position and ranking within its peers.
Please note, there is a significant difference between Capital Power's value and its price as these two are different measures arrived at by different means. Investors typically determine if Capital Power is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Capital Power's 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.
Capital Power Shares Owned By Insiders vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Capital Power's current stock value. Our valuation model uses many indicators to compare Capital Power value to that of its competitors to determine the firm's financial worth.
Capital Power is number one stock in operating margin category among its peers. It is rated third in shares owned by insiders category among its peers making about 0.59 of Shares Owned By Insiders per Operating Margin. The ratio of Operating Margin to Shares Owned By Insiders for Capital Power is roughly 1.70 . At this time, Capital Power's Operating Profit Margin is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Capital Power by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Capital Power'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.
Capital Shares Owned By Insiders vs. Operating Margin
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.
Capital Power
Operating Margin
=
Operating Income
Revenue
X
100
=
0.29 %
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.
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.
Capital Power
Insiders Shares
=
Executives Shares
+
Employees
=
0.17 %
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.
Capital Shares Owned By Insiders Comparison
Capital Power is currently under evaluation in shares owned by insiders category among its peers.
Capital Power Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Capital Power, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Capital Power will eventually generate negative long term returns. The profitability progress is the general direction of Capital Power's change in net profit over the period of time. It can combine multiple indicators of Capital Power, 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.
Profitability drivers are factors that can directly affect your investment outlook on Capital Power. 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 Capital Power 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 Capital Power's important profitability drivers and their relationship over time.
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 Capital Power 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 Capital Power will appreciate offsetting losses from the drop in the long position's value.
Capital Power Pair Trading
Capital Power Pair Trading Analysis
The ability to find closely correlated positions to Capital Power could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Capital Power 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 Capital Power - 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 Capital Power to buy it.
The correlation of Capital Power 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 Capital Power moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Capital Power 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 Capital Power 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 Capital Power position
In addition to having Capital Power 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?
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Precious Metals Funds
Funds or Etfs that invest in entities that are involved in mining, processing or dealing of precious metals. The Precious Metals Funds theme has 31 constituents at this time.
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To fully project Capital Power's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Capital Power 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 Capital Power's income statement, its balance sheet, and the statement of cash flows.
Potential Capital Power investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Capital Power investors may work on each financial statement separately, they are all related. The changes in Capital Power's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Capital Power'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.
