Kangxin New Return On Asset vs. Cash Flow From Operations

600076 Stock   2.73  0.11  4.20%   
Based on the key profitability measurements obtained from Kangxin New's financial statements, Kangxin New Materials 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 Kangxin New's ability to earn profits and add value for shareholders.
For Kangxin New profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Kangxin New to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Kangxin New Materials utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Kangxin New's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Kangxin New Materials 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 Kangxin New's value and its price as these two are different measures arrived at by different means. Investors typically determine if Kangxin New is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Kangxin New'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.

Kangxin New Materials Cash Flow From Operations vs. Return On Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Kangxin New's current stock value. Our valuation model uses many indicators to compare Kangxin New value to that of its competitors to determine the firm's financial worth.
Kangxin New Materials is rated below average in return on asset category among its peers. It is rated below average in cash flow from operations category among its peers . Comparative valuation analysis is a catch-all model that can be used if you cannot value Kangxin New by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Kangxin New'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.

Kangxin Cash Flow From Operations vs. Return On Asset

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.

Kangxin New

Return On Asset

 = 

Net Income

Total Assets

 = 
-0.0175
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.
Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.

Kangxin New

Operating Cash Flow

 = 

EBITDA

-

Taxes

 = 
(94.12 M)
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.

Kangxin Cash Flow From Operations Comparison

Kangxin New is currently under evaluation in cash flow from operations category among its peers.

Kangxin New Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Kangxin New, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Kangxin New will eventually generate negative long term returns. The profitability progress is the general direction of Kangxin New's change in net profit over the period of time. It can combine multiple indicators of Kangxin New, 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 Income-513.7 M-539.4 M
Operating Income-127.8 M-121.4 M
Income Before Tax-284.8 M-270.6 M
Total Other Income Expense Net-153.3 M-145.6 M
Net Loss-297.1 M-282.2 M
Income Tax Expense1.7 M1.6 M
Net Income Applicable To Common Shares35 M33.3 M
Net Loss-295.2 M-280.4 M
Net Interest Income-72.2 M-75.9 M
Interest Income6.9 MM
Change To Netincome77.8 M72.3 M

Kangxin Profitability Driver Comparison

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

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

Kangxin New Pair Trading

Kangxin New Materials Pair Trading Analysis

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

In addition to having Kangxin New 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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Insurance
Insurance Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Insurance 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 Insurance Theme or any other thematic opportunities.
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Other Information on Investing in Kangxin Stock

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