Kumba Iron Return On Equity vs. EBITDA
| KIROY Stock | USD 6.60 0.02 0.30% |
For Kumba Iron profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Kumba Iron to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Kumba Iron Ore utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Kumba Iron's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Kumba Iron Ore over time as well as its relative position and ranking within its peers.
Kumba |
Kumba Iron Ore EBITDA vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Kumba Iron's current stock value. Our valuation model uses many indicators to compare Kumba Iron value to that of its competitors to determine the firm's financial worth. Kumba Iron Ore is currently regarded as number one stock in return on equity category among its peers. It also is currently regarded as number one stock in ebitda category among its peers totaling about 132,848,162,476 of EBITDA per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Kumba Iron by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Kumba Iron's Pink Sheet. 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.Kumba EBITDA 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.
Kumba Iron |
| = | 0.41 |
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.
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Kumba Iron |
| = | 54.95 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Kumba EBITDA Comparison
Kumba Iron is currently under evaluation in ebitda category among its peers.
Kumba Iron Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Kumba Iron, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Kumba Iron will eventually generate negative long term returns. The profitability progress is the general direction of Kumba Iron's change in net profit over the period of time. It can combine multiple indicators of Kumba Iron, 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.
Kumba Iron Ore Limited, together with its subsidiaries, engages in the exploration, extraction, beneficiation, marketing, sale, and shipping of iron ore primarily in South Africa. Kumba Iron Ore Limited is a subsidiary of Anglo American plc. Kumba Iron is traded on OTC Exchange in the United States.
Kumba Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Kumba Iron. 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 Kumba Iron 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 Kumba Iron's important profitability drivers and their relationship over time.
Use Kumba Iron 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 Kumba Iron 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 Kumba Iron will appreciate offsetting losses from the drop in the long position's value.Kumba Iron Pair Trading
Kumba Iron Ore Pair Trading Analysis
The ability to find closely correlated positions to Kumba Iron could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Kumba Iron 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 Kumba Iron - 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 Kumba Iron Ore to buy it.
The correlation of Kumba Iron 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 Kumba Iron moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Kumba Iron Ore 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 Kumba Iron 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 Kumba Iron position
In addition to having Kumba Iron 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 Management Thematic Idea Now
Management
Companies providing management services to businesses. The Management theme has 39 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 Management Theme or any other thematic opportunities.
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Additional Tools for Kumba Pink Sheet Analysis
When running Kumba Iron's price analysis, check to measure Kumba Iron's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Kumba Iron is operating at the current time. Most of Kumba Iron's value examination focuses on studying past and present price action to predict the probability of Kumba Iron's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Kumba Iron's price. Additionally, you may evaluate how the addition of Kumba Iron to your portfolios can decrease your overall portfolio volatility.