Kesko Oyj Return On Equity vs. Revenue
| KESKOB Stock | EUR 19.16 0.10 0.52% |
For Kesko Oyj profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Kesko Oyj to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Kesko Oyj utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Kesko Oyj's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Kesko Oyj over time as well as its relative position and ranking within its peers.
Kesko |
Kesko Oyj Revenue vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Kesko Oyj's current stock value. Our valuation model uses many indicators to compare Kesko Oyj value to that of its competitors to determine the firm's financial worth. Kesko Oyj is currently regarded as number one stock in return on equity category among its peers. It also is considered the number one company in revenue category among its peers totaling about 48,834,053,587 of Revenue per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Kesko Oyj by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Kesko Oyj'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.Kesko Revenue vs. Return On Equity
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.
Kesko Oyj |
| = | 0.23 |
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.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Kesko Oyj |
| = | 11.3 B |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Kesko Revenue vs Competition
Kesko Oyj is considered the number one company in revenue category among its peers. Market size based on revenue of Consumer Staples industry is now estimated at about 150.16 Billion. Kesko Oyj holds roughly 11.3 Billion in revenue claiming about 8% of stocks in Consumer Staples industry.
Kesko Oyj Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Kesko Oyj, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Kesko Oyj will eventually generate negative long term returns. The profitability progress is the general direction of Kesko Oyj's change in net profit over the period of time. It can combine multiple indicators of Kesko Oyj, 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.
The company operates through Grocery Trade, Building and Technical Trade, and Car Trade segments. The company was founded in 1940 and is headquartered in Helsinki, Finland. Kesko B operates under Grocery Stores classification in Finland and is traded on Helsinki Exchange. It employs 17120 people.
Kesko Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Kesko Oyj. 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 Kesko Oyj 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 Kesko Oyj's important profitability drivers and their relationship over time.
Use Kesko Oyj 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 Kesko Oyj 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 Kesko Oyj will appreciate offsetting losses from the drop in the long position's value.Kesko Oyj Pair Trading
Kesko Oyj Pair Trading Analysis
The ability to find closely correlated positions to Kesko Oyj could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Kesko Oyj 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 Kesko Oyj - 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 Kesko Oyj to buy it.
The correlation of Kesko Oyj 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 Kesko Oyj moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Kesko Oyj 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 Kesko Oyj 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 Kesko Oyj position
In addition to having Kesko Oyj 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 Kesko Stock
To fully project Kesko Oyj's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Kesko Oyj 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 Kesko Oyj's income statement, its balance sheet, and the statement of cash flows.