GEA GROUP Shares Owned By Insiders vs. Return On Equity
| G1A Stock | EUR 48.16 0.10 0.21% |
For GEA GROUP profitability analysis, we use financial ratios and fundamental drivers that measure the ability of GEA GROUP to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well GEA GROUP utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between GEA GROUP's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of GEA GROUP over time as well as its relative position and ranking within its peers.
GEA |
GEA GROUP Return On Equity vs. Shares Owned By Insiders Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining GEA GROUP's current stock value. Our valuation model uses many indicators to compare GEA GROUP value to that of its competitors to determine the firm's financial worth. GEA GROUP is one of the top stocks in shares owned by insiders category among its peers. It also is one of the top stocks in return on equity category among its peers reporting about 0.02 of Return On Equity per Shares Owned By Insiders. The ratio of Shares Owned By Insiders to Return On Equity for GEA GROUP is roughly 44.27 . 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 GEA GROUP's earnings, one of the primary drivers of an investment's value.GEA Return On Equity 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.
GEA GROUP |
| = | 6.68 % |
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.
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.
GEA GROUP |
| = | 0.15 |
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.
GEA Return On Equity Comparison
GEA GROUP is currently under evaluation in return on equity category among its peers.
GEA GROUP Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in GEA GROUP, profitability is also one of the essential criteria for including it into their portfolios because, without profit, GEA GROUP will eventually generate negative long term returns. The profitability progress is the general direction of GEA GROUP's change in net profit over the period of time. It can combine multiple indicators of GEA GROUP, 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.
GEA Group Aktiengesellschaft engages in the development and production of systems and components for the food processing industry worldwide. GEA Group Aktiengesellschaft was founded in 1881 and is headquartered in Dsseldorf, Germany. GEA GROUP operates under Specialty Industrial Machinery classification in Germany and is traded on Frankfurt Stock Exchange. It employs 18070 people.
GEA Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on GEA GROUP. 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 GEA GROUP 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 GEA GROUP's important profitability drivers and their relationship over time.
Use GEA GROUP 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 GEA GROUP 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 GEA GROUP will appreciate offsetting losses from the drop in the long position's value.GEA GROUP Pair Trading
GEA GROUP Pair Trading Analysis
The ability to find closely correlated positions to GEA GROUP could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace GEA GROUP 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 GEA GROUP - 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 GEA GROUP to buy it.
The correlation of GEA GROUP 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 GEA GROUP moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if GEA GROUP 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 GEA GROUP 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 GEA GROUP position
In addition to having GEA GROUP 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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Other Information on Investing in GEA Stock
To fully project GEA GROUP's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of GEA GROUP 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 GEA GROUP's income statement, its balance sheet, and the statement of cash flows.