PVR INOX Return On Equity vs. Current Valuation

PVRINOX Stock   1,598  0.60  0.04%   
Based on the key profitability measurements obtained from PVR INOX's financial statements, PVR INOX may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in January. Profitability indicators assess PVR INOX's ability to earn profits and add value for shareholders.
For PVR INOX profitability analysis, we use financial ratios and fundamental drivers that measure the ability of PVR INOX to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well PVR INOX utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between PVR INOX's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of PVR INOX over time as well as its relative position and ranking within its peers.
  
Check out Your Equity Center.
Please note, there is a significant difference between PVR INOX's value and its price as these two are different measures arrived at by different means. Investors typically determine if PVR INOX is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, PVR INOX's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

PVR INOX Current Valuation vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining PVR INOX's current stock value. Our valuation model uses many indicators to compare PVR INOX value to that of its competitors to determine the firm's financial worth.
PVR INOX is considered to be number one stock in return on equity category among its peers. It also is rated top company in current valuation category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value PVR INOX by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for PVR INOX'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.

PVR Current Valuation 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.

PVR INOX

Return On Equity

 = 

Net Income

Total Equity

 = 
-0.0423
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.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

PVR INOX

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
232.15 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.

PVR Current Valuation vs Competition

PVR INOX is rated top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Consumer Discretionary industry is at this time estimated at about 601.82 Billion. PVR INOX totals roughly 232.15 Billion in current valuation claiming about 39% of stocks in Consumer Discretionary industry.

PVR Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on PVR INOX. 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 PVR INOX 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 PVR INOX's important profitability drivers and their relationship over time.

Use PVR INOX 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 PVR INOX 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 PVR INOX will appreciate offsetting losses from the drop in the long position's value.

PVR INOX Pair Trading

PVR INOX Pair Trading Analysis

The ability to find closely correlated positions to PVR INOX could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace PVR INOX 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 PVR INOX - 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 PVR INOX to buy it.
The correlation of PVR INOX 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 PVR INOX moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if PVR INOX 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 PVR INOX 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your PVR INOX position

In addition to having PVR INOX 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 Biotech Thematic Idea Now

Biotech
Biotech Theme
Companies specialized in biotechnology production and delivery of pharmaceuticals services. The Biotech 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 Biotech Theme or any other thematic opportunities.
View All  Next Launch

Additional Tools for PVR Stock Analysis

When running PVR INOX's price analysis, check to measure PVR INOX'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 PVR INOX is operating at the current time. Most of PVR INOX's value examination focuses on studying past and present price action to predict the probability of PVR INOX's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move PVR INOX's price. Additionally, you may evaluate how the addition of PVR INOX to your portfolios can decrease your overall portfolio volatility.