ARCA Biopharma Return On Asset vs. Current Valuation
Based on the key profitability measurements obtained from ARCA Biopharma's financial statements, ARCA Biopharma 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 ARCA Biopharma's ability to earn profits and add value for shareholders.
Check out Trending Equities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
For ARCA Biopharma profitability analysis, we use financial ratios and fundamental drivers that measure the ability of ARCA Biopharma to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well ARCA Biopharma utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between ARCA Biopharma's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of ARCA Biopharma over time as well as its relative position and ranking within its peers.
ARCA |
ARCA Biopharma Current Valuation vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining ARCA Biopharma's current stock value. Our valuation model uses many indicators to compare ARCA Biopharma value to that of its competitors to determine the firm's financial worth. ARCA Biopharma is rated fourth in return on asset category among its peers. It is the top company in current valuation 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 ARCA Biopharma's earnings, one of the primary drivers of an investment's value.ARCA Current Valuation 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.
ARCA Biopharma |
| = | -0.14 |
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.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
ARCA Biopharma |
| = | 393.23 M |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
ARCA Current Valuation vs Competition
ARCA Biopharma is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Health Care industry is presently estimated at about 583.87 Million. ARCA Biopharma totals roughly 393.23 Million in current valuation claiming about 67% of equities under Health Care industry.
ARCA Biopharma Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in ARCA Biopharma, profitability is also one of the essential criteria for including it into their portfolios because, without profit, ARCA Biopharma will eventually generate negative long term returns. The profitability progress is the general direction of ARCA Biopharma's change in net profit over the period of time. It can combine multiple indicators of ARCA Biopharma, 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.
ARCA biopharma, Inc., a clinical-stage biopharmaceutical company, develops and commercializes genetically targeted therapies for cardiovascular diseases. The company was incorporated in 2004 and is headquartered in Westminster, Colorado. Arca Biopharma operates under Biotechnology classification in the United States and is traded on NASDAQ Exchange. It employs 17 people.
ARCA Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on ARCA Biopharma. 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 ARCA Biopharma 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 ARCA Biopharma's important profitability drivers and their relationship over time.
Use ARCA Biopharma 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 ARCA Biopharma 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 ARCA Biopharma will appreciate offsetting losses from the drop in the long position's value.ARCA Biopharma Pair Trading
ARCA Biopharma Pair Trading Analysis
The ability to find closely correlated positions to ARCA Biopharma could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace ARCA Biopharma 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 ARCA Biopharma - 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 ARCA Biopharma to buy it.
The correlation of ARCA Biopharma 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 ARCA Biopharma moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if ARCA Biopharma 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 ARCA Biopharma 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 ARCA Biopharma position
In addition to having ARCA Biopharma 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 Real Estate Thematic Idea Now
Real Estate
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Real Estate 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 Real Estate Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Trending Equities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. You can also try the Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Consideration for investing in ARCA Stock
If you are still planning to invest in ARCA Biopharma check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the ARCA Biopharma's history and understand the potential risks before investing.
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Global Markets Map Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device |