Maxeon Solar Return On Equity vs. Return On Asset

5QJ Stock  EUR 6.90  0.20  2.82%   
Considering Maxeon Solar's profitability and operating efficiency indicators, Maxeon Solar Technologies may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess Maxeon Solar's ability to earn profits and add value for shareholders.
For Maxeon Solar profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Maxeon Solar to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Maxeon Solar Technologies utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Maxeon Solar's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Maxeon Solar Technologies 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 Maxeon Solar's value and its price as these two are different measures arrived at by different means. Investors typically determine if Maxeon Solar is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Maxeon Solar'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.

Maxeon Solar Technologies Return On Asset vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Maxeon Solar's current stock value. Our valuation model uses many indicators to compare Maxeon Solar value to that of its competitors to determine the firm's financial worth.
Maxeon Solar Technologies is number one stock in return on equity category among its peers. It also is number one stock in return on asset category among its peers . 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 Maxeon Solar's earnings, one of the primary drivers of an investment's value.

Maxeon 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.

Maxeon Solar

Return On Equity

 = 

Net Income

Total Equity

 = 
-0.95
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.

Maxeon Solar

Return On Asset

 = 

Net Income

Total Assets

 = 
-0.12
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.

Maxeon Solar Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Maxeon Solar, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Maxeon Solar will eventually generate negative long term returns. The profitability progress is the general direction of Maxeon Solar's change in net profit over the period of time. It can combine multiple indicators of Maxeon Solar, 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.
Maxeon Solar Technologies, Ltd. designs, manufactures, markets, and sells solar panels and related solar system components worldwide. It offers its products to dealers, project developers, system integrators, distributors, resellers, and residential and small-scale commercial customers. MAXEON SOLAR is traded on Frankfurt Stock Exchange in Germany.

Maxeon Profitability Driver Comparison

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

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

Maxeon Solar Pair Trading

Maxeon Solar Technologies Pair Trading Analysis

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

In addition to having Maxeon Solar 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?

Run Entertainment Thematic Idea Now

Entertainment
Entertainment Theme
Companies from entertainment industry including show business, news and media. The Entertainment theme has 47 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 Entertainment Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Maxeon Stock

When determining whether Maxeon Solar Technologies offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Maxeon Solar's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Maxeon Solar Technologies Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Maxeon Solar Technologies Stock:
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You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
To fully project Maxeon Solar's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Maxeon Solar Technologies 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 Maxeon Solar's income statement, its balance sheet, and the statement of cash flows.
Potential Maxeon Solar investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Maxeon Solar investors may work on each financial statement separately, they are all related. The changes in Maxeon Solar's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Maxeon Solar'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.