DR Net Income vs. Price To Book

301177 Stock   24.86  0.06  0.24%   
Considering DR's profitability and operating efficiency indicators, DR Limited 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 DR's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
2010-12-31
Previous Quarter
69 M
Current Value
65.5 M
Quarterly Volatility
308 M
 
Credit Downgrade
 
Yuan Drop
 
Covid
For DR profitability analysis, we use financial ratios and fundamental drivers that measure the ability of DR to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well DR Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between DR's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of DR Limited 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 DR's value and its price as these two are different measures arrived at by different means. Investors typically determine if DR is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, DR'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.

DR Limited Price To Book vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining DR's current stock value. Our valuation model uses many indicators to compare DR value to that of its competitors to determine the firm's financial worth.
DR Limited is number one stock in net income category among its peers. It also is number one stock in price to book category among its peers . The ratio of Net Income to Price To Book for DR Limited is about  43,583,345 . At present, DR's Net Income 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 DR by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for DR'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.

DR Price To Book 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.

DR

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
68.96 M
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.
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

DR

P/B

 = 

MV Per Share

BV Per Share

 = 
1.58 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.

DR Price To Book Comparison

DR is currently under evaluation in price to book category among its peers.

DR Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in DR, profitability is also one of the essential criteria for including it into their portfolios because, without profit, DR will eventually generate negative long term returns. The profitability progress is the general direction of DR's change in net profit over the period of time. It can combine multiple indicators of DR, 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
Net Interest Income-24.4 M-25.6 M
Interest Income8.3 M12.1 M
Operating IncomeM3.8 M
Net Income From Continuing Ops69 M65.5 M
Income Before Tax112.8 M107.2 M
Net Income69 M65.5 M

DR Profitability Driver Comparison

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

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

DR Pair Trading

DR Limited Pair Trading Analysis

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

In addition to having DR 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 Trading Thematic Idea Now

Trading
Trading Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Trading 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 Trading Theme or any other thematic opportunities.
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Other Information on Investing in DR Stock

To fully project DR's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of DR Limited 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 DR's income statement, its balance sheet, and the statement of cash flows.
Potential DR investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although DR investors may work on each financial statement separately, they are all related. The changes in DR's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on DR'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.