Inchcape Plc Price To Book vs. Cash And Equivalents
| IJCA Stock | EUR 9.39 0.11 1.19% |
For Inchcape Plc profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Inchcape Plc to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Inchcape plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Inchcape Plc's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Inchcape plc over time as well as its relative position and ranking within its peers.
Inchcape |
Inchcape plc Cash And Equivalents vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Inchcape Plc's current stock value. Our valuation model uses many indicators to compare Inchcape Plc value to that of its competitors to determine the firm's financial worth. Inchcape plc is rated fifth overall in price to book category among its peers. It is rated second overall in cash and equivalents category among its peers creating about 473,742,196 of Cash And Equivalents per Price To Book. 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 Inchcape Plc's earnings, one of the primary drivers of an investment's value.Inchcape Cash And Equivalents vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Inchcape Plc |
| = | 2.72 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
Inchcape Plc |
| = | 1.29 B |
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
Inchcape Cash And Equivalents Comparison
Inchcape Plc is currently regarded as number one stock in cash and equivalents category among its peers.
Inchcape Plc Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Inchcape Plc, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Inchcape Plc will eventually generate negative long term returns. The profitability progress is the general direction of Inchcape Plc's change in net profit over the period of time. It can combine multiple indicators of Inchcape Plc, 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.
Inchcape plc operates as an automotive distributor and retailer in the premium and luxury automotive sectors. Inchcape plc was founded in 1847 and is headquartered in London, the United Kingdom. Inchcape plc operates under Auto Truck Dealerships classification in Germany and is traded on Frankfurt Stock Exchange. It employs 18734 people.
Inchcape Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Inchcape Plc. 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 Inchcape Plc 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 Inchcape Plc's important profitability drivers and their relationship over time.
Use Inchcape Plc 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 Inchcape Plc 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 Inchcape Plc will appreciate offsetting losses from the drop in the long position's value.Inchcape Plc Pair Trading
Inchcape plc Pair Trading Analysis
The ability to find closely correlated positions to Inchcape Plc could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Inchcape Plc 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 Inchcape Plc - 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 Inchcape plc to buy it.
The correlation of Inchcape Plc 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 Inchcape Plc moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Inchcape 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 Inchcape Plc 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 Inchcape Plc position
In addition to having Inchcape Plc 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 Inchcape Stock
To fully project Inchcape Plc's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Inchcape 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 Inchcape Plc's income statement, its balance sheet, and the statement of cash flows.