Associated Banc Return On Asset vs. Beta
| ASB-PF Preferred Stock | USD 21.22 0.16 0.76% |
For Associated Banc profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Associated Banc to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Associated Banc Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Associated Banc's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Associated Banc Corp over time as well as its relative position and ranking within its peers.
Associated |
Associated Banc Corp Beta vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Associated Banc's current stock value. Our valuation model uses many indicators to compare Associated Banc value to that of its competitors to determine the firm's financial worth. Associated Banc Corp is rated second in return on asset category among its peers. It also is rated second in beta category among its peers totaling about 102.16 of Beta per Return On Asset. 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 Associated Banc's earnings, one of the primary drivers of an investment's value.Associated Beta 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.
Associated Banc |
| = | 0.0101 |
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.
Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Associated Banc |
| = | 1.03 |
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
Associated Beta Comparison
Associated Banc is currently under evaluation in beta category among its peers.
Beta Analysis
Associated Banc returns are very sensitive to returns on the market. As the market goes up or down, Associated Banc is expected to follow.
Associated Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Associated Banc. 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 Associated Banc 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 Associated Banc's important profitability drivers and their relationship over time.
Use Associated Banc 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 Associated Banc 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 Associated Banc will appreciate offsetting losses from the drop in the long position's value.Associated Banc Pair Trading
Associated Banc Corp Pair Trading Analysis
The ability to find closely correlated positions to Associated Banc could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Associated Banc 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 Associated Banc - 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 Associated Banc Corp to buy it.
The correlation of Associated Banc 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 Associated Banc moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Associated Banc Corp 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 Associated Banc 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 Associated Banc position
In addition to having Associated Banc 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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Cancer Fighters
Biotech and medical diagnostic companies that work on researching drugs or manufacturing of medical and therapeutics equipment that is directly related to the research, treatment, and detection of cancer or cancer related diseases. The Cancer Fighters theme has 60 constituents at this time.
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Other Information on Investing in Associated Preferred Stock
To fully project Associated Banc's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Associated Banc Corp 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 Associated Banc's income statement, its balance sheet, and the statement of cash flows.