Richmond Minerals Current Ratio vs. Price To Earning
| RMD Stock | CAD 0.03 0.00 0.00% |
For Richmond Minerals profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Richmond Minerals to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Richmond Minerals utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Richmond Minerals's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Richmond Minerals over time as well as its relative position and ranking within its peers.
Richmond |
Richmond Minerals Price To Earning vs. Current Ratio Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Richmond Minerals's current stock value. Our valuation model uses many indicators to compare Richmond Minerals value to that of its competitors to determine the firm's financial worth. Richmond Minerals is rated fourth in current ratio category among its peers. It is rated third in price to earning category among its peers . 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 Richmond Minerals' earnings, one of the primary drivers of an investment's value.Richmond Price To Earning vs. Current Ratio
Current Ratio is calculated by dividing the Current Assets of a company by its Current Liabilities. It measures whether or not a company has enough cash or liquid assets to pay its current liability over the next fiscal year. The ratio is regarded as a test of liquidity for a company.
Richmond Minerals |
| = | 0.32 X |
Typically, short-term creditors will prefer a high current ratio because it reduces their overall risk. However, investors may prefer a lower current ratio since they are more concerned about growing the business using assets of the company. Acceptable current ratios may vary from one sector to another, but the generally accepted benchmark is to have current assets at least as twice as current liabilities (i.e., Current Ration of 2 to 1).
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Richmond Minerals |
| = | (12.22) X |
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Richmond Price To Earning Comparison
Richmond Minerals is currently under evaluation in price to earning category among its peers.
Richmond Minerals Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Richmond Minerals, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Richmond Minerals will eventually generate negative long term returns. The profitability progress is the general direction of Richmond Minerals' change in net profit over the period of time. It can combine multiple indicators of Richmond Minerals, 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.
| Last Reported | Projected for Next Year | ||
| Operating Income | -214.2 K | -224.9 K | |
| Net Loss | -760 K | -722 K | |
| Income Before Tax | -792.5 K | -752.9 K | |
| Total Other Income Expense Net | -566.6 K | -538.3 K | |
| Net Loss | -183 K | -192.2 K | |
| Net Loss | -760 K | -722 K | |
| Income Tax Expense | -2.6 K | -2.8 K | |
| Net Interest Income | -11.7 K | -11.1 K | |
| Change To Netincome | -2.8 K | -2.6 K |
Richmond Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Richmond Minerals. 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 Richmond Minerals 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 Richmond Minerals' important profitability drivers and their relationship over time.
Use Richmond Minerals 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 Richmond Minerals 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 Richmond Minerals will appreciate offsetting losses from the drop in the long position's value.Richmond Minerals Pair Trading
Richmond Minerals Pair Trading Analysis
The ability to find closely correlated positions to Richmond Minerals could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Richmond Minerals 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 Richmond Minerals - 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 Richmond Minerals to buy it.
The correlation of Richmond Minerals 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 Richmond Minerals moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Richmond Minerals 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 Richmond Minerals 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 Richmond Minerals position
In addition to having Richmond Minerals 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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Additional Tools for Richmond Stock Analysis
When running Richmond Minerals' price analysis, check to measure Richmond Minerals' 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 Richmond Minerals is operating at the current time. Most of Richmond Minerals' value examination focuses on studying past and present price action to predict the probability of Richmond Minerals' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Richmond Minerals' price. Additionally, you may evaluate how the addition of Richmond Minerals to your portfolios can decrease your overall portfolio volatility.