China Steel Net Income vs. Total Debt
| 2002A Stock | TWD 41.65 0.20 0.48% |
For China Steel profitability analysis, we use financial ratios and fundamental drivers that measure the ability of China Steel to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well China Steel Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between China Steel's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of China Steel Corp over time as well as its relative position and ranking within its peers.
China |
China Steel Corp Total Debt vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining China Steel's current stock value. Our valuation model uses many indicators to compare China Steel value to that of its competitors to determine the firm's financial worth. China Steel Corp is number one stock in net income category among its peers. It also is the top company in total debt category among its peers making up about 1.66 of Total Debt per Net Income. 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 China Steel's earnings, one of the primary drivers of an investment's value.China Total Debt vs. Net Income
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
China Steel |
| = | 62.05 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
China Steel |
| = | 103.17 B |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
China Total Debt vs Competition
China Steel Corp is the top company in total debt category among its peers. Total debt of Steel industry is presently estimated at about 163.71 Billion. China Steel totals roughly 103.17 Billion in total debt claiming about 63% of equities listed under Steel industry.
China Steel Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in China Steel, profitability is also one of the essential criteria for including it into their portfolios because, without profit, China Steel will eventually generate negative long term returns. The profitability progress is the general direction of China Steel's change in net profit over the period of time. It can combine multiple indicators of China Steel, 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.
China Steel Corporation manufactures and sells steel products primarily in Taiwan, Vietnam, Malaysia, China, India, and internationally. The company was founded in 1971 and is headquartered in Kaohsiung, Taiwan. CHINA STEEL operates under Steel classification in Taiwan and is traded on Taiwan Stock Exchange. It employs 28782 people.
China Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on China Steel. 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 China Steel 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 China Steel's important profitability drivers and their relationship over time.
Use China Steel 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 China Steel 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 China Steel will appreciate offsetting losses from the drop in the long position's value.China Steel Pair Trading
China Steel Corp Pair Trading Analysis
The ability to find closely correlated positions to China Steel could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace China Steel 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 China Steel - 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 China Steel Corp to buy it.
The correlation of China Steel 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 China Steel moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if China Steel Corp 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 China Steel 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 China Steel position
In addition to having China Steel 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 China Stock Analysis
When running China Steel's price analysis, check to measure China Steel'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 China Steel is operating at the current time. Most of China Steel's value examination focuses on studying past and present price action to predict the probability of China Steel's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move China Steel's price. Additionally, you may evaluate how the addition of China Steel to your portfolios can decrease your overall portfolio volatility.