Huagong Tech Gross Profit vs. Book Value Per Share

000988 Stock   39.97  0.03  0.07%   
Considering the key profitability indicators obtained from Huagong Tech's historical financial statements, Huagong Tech Co may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Huagong Tech's ability to earn profits and add value for shareholders.
 
Gross Profit  
First Reported
2001-09-30
Previous Quarter
680 M
Current Value
669.8 M
Quarterly Volatility
185.3 M
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
For Huagong Tech profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Huagong Tech to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Huagong Tech Co utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Huagong Tech's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Huagong Tech Co over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Huagong Tech's value and its price as these two are different measures arrived at by different means. Investors typically determine if Huagong Tech is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Huagong Tech'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.

Huagong Tech Book Value Per Share vs. Gross Profit Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Huagong Tech's current stock value. Our valuation model uses many indicators to compare Huagong Tech value to that of its competitors to determine the firm's financial worth.
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Huagong Tech Co is number one stock in gross profit category among its peers. It also is number one stock in book value per share category among its peers . The ratio of Gross Profit to Book Value Per Share for Huagong Tech Co is about  229,074,953 . At present, Huagong Tech's Gross Profit is projected to increase significantly based on the last few years of reporting. Comparative valuation analysis is a catch-all model that can be used if you cannot value Huagong Tech by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Huagong Tech'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.

Huagong Book Value Per Share vs. Gross Profit

Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

Huagong Tech

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
2.26 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Book Value per Share (B/S) can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. It indicates the level of safety associated with each common share after removing the effects of liabilities. In other words, a shareholder can use this ratio to see how much he or she can sell the stake in the company in the event of a liquidation.

Huagong Tech

Book Value per Share

 = 

Common Equity

Average Shares

 = 
9.86 X
The naive approach to look at Book Value per Share is to compare it to current stock price. If Book Value per Share is higher than the currently traded stock price, the company can be considered undervalued. However, investors must be aware that conventional calculation of Book Value does not include intangible assets such as goodwill, intellectual property, trademarks or brands and may not be an appropriate measure for many firms.

Huagong Book Value Per Share Comparison

Huagong Tech is currently under evaluation in book value per share category among its peers.

Huagong Tech Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Huagong Tech, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Huagong Tech will eventually generate negative long term returns. The profitability progress is the general direction of Huagong Tech's change in net profit over the period of time. It can combine multiple indicators of Huagong Tech, 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 ReportedProjected for Next Year
Accumulated Other Comprehensive Income288.8 M268.2 M
Operating Income590.5 M620 M
Income Before Tax969.8 MB
Total Other Income Expense Net379.3 M398.3 M
Net IncomeB1.1 B
Income Tax Expense106 M111.3 M
Net Income Applicable To Common SharesB1.1 B
Net Income From Continuing Ops998.6 M568.7 M
Net Interest Income98.8 M103.7 M
Interest Income194.5 M204.3 M
Change To Netincome-154 M-146.3 M

Huagong Profitability Driver Comparison

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

Use Huagong Tech 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 Huagong Tech 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 Huagong Tech will appreciate offsetting losses from the drop in the long position's value.

Huagong Tech Pair Trading

Huagong Tech Co Pair Trading Analysis

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

In addition to having Huagong Tech 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.

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Run Money Funds Thematic Idea Now

Money Funds
Money Funds Theme
Funds or Etfs that invest most if their asset in companies from financial sector such as commercial banks, insurance companies, investment funds, and real estate. The Money Funds theme has 32 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 Money Funds Theme or any other thematic opportunities.
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Other Information on Investing in Huagong Stock

To fully project Huagong Tech's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Huagong Tech 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 Huagong Tech's income statement, its balance sheet, and the statement of cash flows.
Potential Huagong Tech investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Huagong Tech investors may work on each financial statement separately, they are all related. The changes in Huagong Tech's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Huagong Tech's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.

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