88 Energy Current Valuation vs. Cash Flow From Operations
| EEENF Stock | USD 0 0.0001 9.09% |
For 88 Energy profitability analysis, we use financial ratios and fundamental drivers that measure the ability of 88 Energy to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well 88 Energy Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between 88 Energy's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of 88 Energy Limited over time as well as its relative position and ranking within its peers.
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88 Energy Limited Cash Flow From Operations vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining 88 Energy's current stock value. Our valuation model uses many indicators to compare 88 Energy value to that of its competitors to determine the firm's financial worth. 88 Energy Limited is rated # 2 in current valuation category among its peers. It is rated below average in cash flow from operations category among its peers . 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 88 Energy's earnings, one of the primary drivers of an investment's value.EEENF Current Valuation vs. Competition
88 Energy Limited is rated # 2 in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Oil & Gas E&P industry is currently estimated at about 1.02 Billion. 88 Energy retains roughly 113.42 Million in current valuation claiming about 11% of all equities under Oil & Gas E&P industry.
EEENF Cash Flow From Operations vs. Current Valuation
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
88 Energy |
| = | 113.42 M |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.
88 Energy |
| = | (5.65 M) |
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.
EEENF Cash Flow From Operations Comparison
88 Energy is currently under evaluation in cash flow from operations category among its peers.
88 Energy Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in 88 Energy, profitability is also one of the essential criteria for including it into their portfolios because, without profit, 88 Energy will eventually generate negative long term returns. The profitability progress is the general direction of 88 Energy's change in net profit over the period of time. It can combine multiple indicators of 88 Energy, 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.
88 Energy Limited explores for oil and gas properties in the United States. The company was formerly known as Tangiers Petroleum Limited and changed its name to 88 Energy Limited in February 2015. 88 Energy Limited was incorporated in 1996 and is based in Subiaco, Australia. 88 Energy operates under Oil Gas EP classification in the United States and is traded on OTC Exchange. It employs 10 people.
EEENF Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on 88 Energy. 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 88 Energy 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 88 Energy's important profitability drivers and their relationship over time.
Use 88 Energy 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 88 Energy 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 88 Energy will appreciate offsetting losses from the drop in the long position's value.88 Energy Pair Trading
88 Energy Limited Pair Trading Analysis
The ability to find closely correlated positions to 88 Energy could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace 88 Energy 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 88 Energy - 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 88 Energy Limited to buy it.
The correlation of 88 Energy 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 88 Energy moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if 88 Energy Limited 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 88 Energy 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 88 Energy position
In addition to having 88 Energy 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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ESG Investing
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Other Information on Investing in EEENF Pink Sheet
To fully project 88 Energy's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of 88 Energy Limited 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 88 Energy's income statement, its balance sheet, and the statement of cash flows.