Adidas AG Gross Profit vs. Total Debt
| ADS Stock | 234.90 1.50 0.63% |
For Adidas AG profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Adidas AG to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well adidas AG utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Adidas AG's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of adidas AG over time as well as its relative position and ranking within its peers.
Adidas |
adidas AG Total Debt vs. Gross Profit Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Adidas AG's current stock value. Our valuation model uses many indicators to compare Adidas AG value to that of its competitors to determine the firm's financial worth. adidas AG is rated fifth in gross profit category among its peers. It is rated second in total debt category among its peers making up about 0.44 of Total Debt per Gross Profit. The ratio of Gross Profit to Total Debt for adidas AG is roughly 2.28 . 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 Adidas AG's earnings, one of the primary drivers of an investment's value.Adidas Total Debt vs. Gross Profit
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Adidas AG |
| = | 10.77 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
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.
Adidas AG |
| = | 4.73 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.
Adidas Total Debt vs Competition
adidas AG is rated second in total debt category among its peers. Total debt of Footwear & Accessories industry is presently estimated at about 20.14 Billion. Adidas AG totals roughly 4.73 Billion in total debt claiming about 23% of equities under Footwear & Accessories industry.
Adidas Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Adidas AG. 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 Adidas AG 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 Adidas AG's important profitability drivers and their relationship over time.
Use Adidas AG 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 Adidas AG 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 Adidas AG will appreciate offsetting losses from the drop in the long position's value.Adidas AG Pair Trading
adidas AG Pair Trading Analysis
The ability to find closely correlated positions to Adidas AG could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Adidas AG 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 Adidas AG - 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 adidas AG to buy it.
The correlation of Adidas AG 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 Adidas AG moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if adidas AG 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 Adidas AG 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 Adidas AG position
In addition to having Adidas AG 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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Compulsion
Companies involved in research, development, and manufacturing of products with compulsion characteristics such as cigarettes, addictive drugs and alcohol. The Compulsion theme has 40 constituents at this time.
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Additional Tools for Adidas Stock Analysis
When running Adidas AG's price analysis, check to measure Adidas AG'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 Adidas AG is operating at the current time. Most of Adidas AG's value examination focuses on studying past and present price action to predict the probability of Adidas AG's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Adidas AG's price. Additionally, you may evaluate how the addition of Adidas AG to your portfolios can decrease your overall portfolio volatility.