Cathay Financial (Taiwan) Performance
| 2882 Stock | TWD 65.40 0.40 0.62% |
The firm shows a Beta (market volatility) of -0.0887, which signifies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Cathay Financial are expected to decrease at a much lower rate. During the bear market, Cathay Financial is likely to outperform the market. At this point, Cathay Financial Holding has a negative expected return of -0.0938%. Please make sure to confirm Cathay Financial's total risk alpha, maximum drawdown, potential upside, as well as the relationship between the treynor ratio and value at risk , to decide if Cathay Financial Holding performance from the past will be repeated at some point in the near future.
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Over the last 90 days Cathay Financial Holding has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly stable basic indicators, Cathay Financial is not utilizing all of its potentials. The latest stock price fuss, may contribute to near-short-term losses for the sophisticated investors. ...more
| Begin Period Cash Flow | 657.8 B | |
| Total Cashflows From Investing Activities | -12.9 B |
Cathay |
Cathay Financial Relative Risk vs. Return Landscape
If you would invest 6,870 in Cathay Financial Holding on December 26, 2024 and sell it today you would lose (370.00) from holding Cathay Financial Holding or give up 5.39% of portfolio value over 90 days. Cathay Financial Holding is generating negative expected returns and assumes 1.1684% volatility on return distribution over the 90 days horizon. Simply put, 10% of stocks are less volatile than Cathay, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Cathay Financial Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Cathay Financial's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Cathay Financial Holding, and traders can use it to determine the average amount a Cathay Financial's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = -0.0803
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| Negative Returns | 2882 |
Estimated Market Risk
| 1.17 actual daily | 10 90% of assets are more volatile |
Expected Return
| -0.09 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.08 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Cathay Financial is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Cathay Financial by adding Cathay Financial to a well-diversified portfolio.
Cathay Financial Fundamentals Growth
Cathay Stock prices reflect investors' perceptions of the future prospects and financial health of Cathay Financial, and Cathay Financial fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Cathay Stock performance.
| Return On Equity | 0.12 | |||
| Return On Asset | -0.0129 | |||
| Profit Margin | 0.13 % | |||
| Operating Margin | (0.42) % | |||
| Current Valuation | (1.27 T) | |||
| Shares Outstanding | 14.67 B | |||
| Price To Earning | 10.43 X | |||
| Price To Book | 1.96 X | |||
| Price To Sales | 0.94 X | |||
| Revenue | 621.86 B | |||
| EBITDA | (235.56 B) | |||
| Cash And Equivalents | 591.17 B | |||
| Cash Per Share | 47.06 X | |||
| Total Debt | 272.56 B | |||
| Debt To Equity | 0.59 % | |||
| Book Value Per Share | 21.23 X | |||
| Cash Flow From Operations | 72.52 B | |||
| Earnings Per Share | 5.11 X | |||
| Total Asset | 11.59 T | |||
About Cathay Financial Performance
Evaluating Cathay Financial's performance through its fundamental ratios, provides valuable insights into its operational efficiency and profitability. For instance, if Cathay Financial has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Cathay Financial has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements. Please also refer to our technical analysis and fundamental analysis pages.
Cathay Financial Holding Co., Ltd., through its subsidiaries, provides various financial services in Taiwan. Cathay Financial Holding Co., Ltd. was founded in 2001 and is based in Taipei City, Taiwan. CATHAY FINANCIAL operates under Asset Management classification in Taiwan and is traded on Taiwan Stock Exchange. It employs 54520 people.Things to note about Cathay Financial Holding performance evaluation
Checking the ongoing alerts about Cathay Financial for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Cathay Financial Holding help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| Cathay Financial generated a negative expected return over the last 90 days | |
| Cathay Financial Holding has accumulated 272.56 B in total debt with debt to equity ratio (D/E) of 0.59, which is about average as compared to similar companies. Cathay Financial Holding has a current ratio of 0.59, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Cathay Financial until it has trouble settling it off, either with new capital or with free cash flow. So, Cathay Financial's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Cathay Financial Holding sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Cathay to invest in growth at high rates of return. When we think about Cathay Financial's use of debt, we should always consider it together with cash and equity. | |
| About 36.0% of Cathay Financial shares are owned by insiders or employees |
- Analyzing Cathay Financial's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Cathay Financial's stock is overvalued or undervalued compared to its peers.
- Examining Cathay Financial's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating Cathay Financial's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Cathay Financial's management team can help you assess the Company's leadership.
- Pay attention to analyst opinions and ratings of Cathay Financial's stock. These opinions can provide insight into Cathay Financial's potential for growth and whether the stock is currently undervalued or overvalued.
Additional Tools for Cathay Stock Analysis
When running Cathay Financial's price analysis, check to measure Cathay Financial'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 Cathay Financial is operating at the current time. Most of Cathay Financial's value examination focuses on studying past and present price action to predict the probability of Cathay Financial's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cathay Financial's price. Additionally, you may evaluate how the addition of Cathay Financial to your portfolios can decrease your overall portfolio volatility.