BRF SA Price To Book vs. Total Debt
| P5Y Stock | EUR 4.06 0.04 1.00% |
For BRF SA profitability analysis, we use financial ratios and fundamental drivers that measure the ability of BRF SA to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well BRF SA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between BRF SA's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of BRF SA over time as well as its relative position and ranking within its peers.
BRF |
BRF SA Total Debt vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining BRF SA's current stock value. Our valuation model uses many indicators to compare BRF SA value to that of its competitors to determine the firm's financial worth. BRF SA is regarded fourth in price to book category among its peers. It is rated top company in total debt category among its peers making up about 32,524,060,216 of Total Debt 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 BRF SA's earnings, one of the primary drivers of an investment's value.BRF Total Debt 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.
BRF SA |
| = | 0.68 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.
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
BRF SA |
| = | 22.25 B |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
BRF Total Debt vs Competition
BRF SA is rated top company in total debt category among its peers. Total debt of Packaged Foods industry is at this time estimated at about 23.4 Billion. BRF SA totals roughly 22.25 Billion in total debt claiming about 95% of equities listed under Packaged Foods industry.
BRF SA Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in BRF SA, profitability is also one of the essential criteria for including it into their portfolios because, without profit, BRF SA will eventually generate negative long term returns. The profitability progress is the general direction of BRF SA's change in net profit over the period of time. It can combine multiple indicators of BRF SA, 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.
BRF S.A. focuses on raising, producing, and slaughtering poultry and pork for processing, production, and sale of fresh meat, processed products, pasta, frozen vegetables, and soybean by-products. The company was formerly known as BRF-Brasil Foods S.A. and changed its name to BRF S.A. in April 2013. BRF S is traded on Frankfurt Stock Exchange in Germany.
BRF Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on BRF SA. 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 BRF SA 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 BRF SA's important profitability drivers and their relationship over time.
Use BRF SA 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 BRF SA 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 BRF SA will appreciate offsetting losses from the drop in the long position's value.BRF SA Pair Trading
BRF SA Pair Trading Analysis
The ability to find closely correlated positions to BRF SA could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace BRF SA 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 BRF SA - 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 BRF SA to buy it.
The correlation of BRF SA 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 BRF SA moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if BRF SA 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 BRF SA 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 BRF SA position
In addition to having BRF SA 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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Machinery
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Other Information on Investing in BRF Stock
To fully project BRF SA's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of BRF SA 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 BRF SA's income statement, its balance sheet, and the statement of cash flows.