SIFCO Industries Return On Equity vs. Return On Asset
| SIF Stock | USD 3.75 0.10 2.60% |
Return On Equity | First Reported 2010-12-31 | Previous Quarter (0.29) | Current Value (0.28) | Quarterly Volatility 0.16976517 |
For SIFCO Industries profitability analysis, we use financial ratios and fundamental drivers that measure the ability of SIFCO Industries to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well SIFCO Industries utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between SIFCO Industries's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of SIFCO Industries over time as well as its relative position and ranking within its peers.
SIFCO |
SIFCO Industries' Revenue Breakdown by Earning Segment
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Is Aerospace & Defense space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of SIFCO Industries. If investors know SIFCO will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about SIFCO Industries listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.90) | Earnings Share (1.35) | Revenue Per Share 16.974 | Quarterly Revenue Growth 0.339 | Return On Assets (0.03) |
The market value of SIFCO Industries is measured differently than its book value, which is the value of SIFCO that is recorded on the company's balance sheet. Investors also form their own opinion of SIFCO Industries' value that differs from its market value or its book value, called intrinsic value, which is SIFCO Industries' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because SIFCO Industries' market value can be influenced by many factors that don't directly affect SIFCO Industries' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between SIFCO Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine if SIFCO Industries is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, SIFCO Industries' 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.
SIFCO Industries Return On Asset vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining SIFCO Industries's current stock value. Our valuation model uses many indicators to compare SIFCO Industries value to that of its competitors to determine the firm's financial worth. SIFCO Industries is rated below average in return on equity category among its peers. It also is rated below average in return on asset category among its peers . At this time, SIFCO Industries' Return On Equity is most likely to slightly decrease in the upcoming years. Comparative valuation analysis is a catch-all technique that is used if you cannot value SIFCO Industries by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.SIFCO Return On Asset 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.
SIFCO Industries |
| = | -0.24 |
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.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
SIFCO Industries |
| = | -0.0256 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
SIFCO Return On Asset Comparison
SIFCO Industries is currently under evaluation in return on asset category among its peers.
SIFCO Industries Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in SIFCO Industries, profitability is also one of the essential criteria for including it into their portfolios because, without profit, SIFCO Industries will eventually generate negative long term returns. The profitability progress is the general direction of SIFCO Industries' change in net profit over the period of time. It can combine multiple indicators of SIFCO Industries, 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 | ||
| Accumulated Other Comprehensive Income | -7.7 M | -8 M | |
| Operating Income | -6.1 M | -5.8 M | |
| Income Before Tax | -7.7 M | -7.3 M | |
| Total Other Income Expense Net | -1.6 M | -1.5 M | |
| Net Loss | -7.8 M | -7.4 M | |
| Income Tax Expense | 182.8 K | 173.7 K | |
| Net Loss | -8.7 M | -8.2 M | |
| Net Loss | -7.8 M | -7.4 M | |
| Non Operating Income Net Other | -249.3 K | -236.8 K | |
| Interest Income | 759 K | 435.3 K | |
| Net Interest Income | -1.6 M | -1.6 M | |
| Change To Netincome | -2.2 M | -2.1 M | |
| Net Loss | (1.69) | (1.60) | |
| Income Quality | 0.18 | 0.17 | |
| Net Income Per E B T | 0.92 | 0.60 |
SIFCO Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on SIFCO Industries. 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 SIFCO Industries 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 SIFCO Industries' important profitability drivers and their relationship over time.
Use SIFCO Industries 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 SIFCO Industries 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 SIFCO Industries will appreciate offsetting losses from the drop in the long position's value.SIFCO Industries Pair Trading
SIFCO Industries Pair Trading Analysis
The ability to find closely correlated positions to SIFCO Industries could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace SIFCO Industries 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 SIFCO Industries - 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 SIFCO Industries to buy it.
The correlation of SIFCO Industries 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 SIFCO Industries moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SIFCO Industries 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 SIFCO Industries 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 SIFCO Industries position
In addition to having SIFCO Industries 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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Electronic Equipment
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Electronic Equipment theme has 61 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 Electronic Equipment Theme or any other thematic opportunities.
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Check out World Market Map. For more detail on how to invest in SIFCO Stock please use our How to Invest in SIFCO Industries guide.You can also try the Equity Valuation module to check real value of public entities based on technical and fundamental data.
To fully project SIFCO Industries' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of SIFCO Industries 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 SIFCO Industries' income statement, its balance sheet, and the statement of cash flows.