Ekadharma International Price To Earning vs. Return On Asset
| EKAD Stock | IDR 218.00 2.00 0.91% |
For Ekadharma International profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Ekadharma International to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Ekadharma International Tbk utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Ekadharma International's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Ekadharma International Tbk over time as well as its relative position and ranking within its peers.
Ekadharma |
Ekadharma International Return On Asset vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Ekadharma International's current stock value. Our valuation model uses many indicators to compare Ekadharma International value to that of its competitors to determine the firm's financial worth. Ekadharma International Tbk is one of the top stocks in price to earning category among its peers. It also is one of the top stocks in return on asset category among its peers reporting about 0.02 of Return On Asset per Price To Earning. The ratio of Price To Earning to Return On Asset for Ekadharma International Tbk is roughly 42.36 . 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 Ekadharma International's earnings, one of the primary drivers of an investment's value.Ekadharma Return On Asset vs. Price To Earning
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Ekadharma International |
| = | 2.58 X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Ekadharma International |
| = | 0.0609 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Ekadharma Return On Asset Comparison
Ekadharma International is currently under evaluation in return on asset category among its peers.
Ekadharma International Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Ekadharma International, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Ekadharma International will eventually generate negative long term returns. The profitability progress is the general direction of Ekadharma International's change in net profit over the period of time. It can combine multiple indicators of Ekadharma International, 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.
PT Ekadharma International Tbk, together with its subsidiaries, manufactures and markets self-adhesive tapes in Indonesia and Malaysia. PT Ekadharma International Tbk is a subsidiary of PT Ekadharma Inti Perkasa. Ekadharma International operates under Specialty Chemicals classification in Indonesia and is traded on Jakarta Stock Exchange. It employs 587 people.
Ekadharma Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Ekadharma International. 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 Ekadharma International 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 Ekadharma International's important profitability drivers and their relationship over time.
Use Ekadharma International 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 Ekadharma International 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 Ekadharma International will appreciate offsetting losses from the drop in the long position's value.Ekadharma International Pair Trading
Ekadharma International Tbk Pair Trading Analysis
The ability to find closely correlated positions to Ekadharma International could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Ekadharma International 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 Ekadharma International - 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 Ekadharma International Tbk to buy it.
The correlation of Ekadharma International 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 Ekadharma International moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ekadharma International 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 Ekadharma International 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 Ekadharma International position
In addition to having Ekadharma International 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 SRI Sustainable Growth Thematic Idea Now
SRI Sustainable Growth
Socially responsible investments that include companies making a positive, sustainable or social impact and exclude those making a negative impact. The SRI Sustainable Growth theme has 47 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 SRI Sustainable Growth Theme or any other thematic opportunities.
| View All Next | Launch |
Other Information on Investing in Ekadharma Stock
To fully project Ekadharma International's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Ekadharma International 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 Ekadharma International's income statement, its balance sheet, and the statement of cash flows.