AVALON TECHNOLOGIES Return On Asset vs. Operating Margin
| AVALON Stock | 992.50 3.05 0.31% |
For AVALON TECHNOLOGIES profitability analysis, we use financial ratios and fundamental drivers that measure the ability of AVALON TECHNOLOGIES to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well AVALON TECHNOLOGIES LTD utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between AVALON TECHNOLOGIES's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of AVALON TECHNOLOGIES LTD over time as well as its relative position and ranking within its peers.
AVALON |
AVALON TECHNOLOGIES LTD Operating Margin vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining AVALON TECHNOLOGIES's current stock value. Our valuation model uses many indicators to compare AVALON TECHNOLOGIES value to that of its competitors to determine the firm's financial worth. AVALON TECHNOLOGIES LTD is number one stock in return on asset category among its peers. It also is number one stock in operating margin category among its peers reporting about 2.84 of Operating Margin per Return On Asset. Comparative valuation analysis is a catch-all model that can be used if you cannot value AVALON TECHNOLOGIES by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for AVALON TECHNOLOGIES'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.AVALON Operating Margin 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.
AVALON TECHNOLOGIES |
| = | 0.0298 |
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 Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
AVALON TECHNOLOGIES |
| = | 0.08 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
AVALON Operating Margin Comparison
AVALON TECHNOLOGIES is currently under evaluation in operating margin category among its peers.
AVALON TECHNOLOGIES Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in AVALON TECHNOLOGIES, profitability is also one of the essential criteria for including it into their portfolios because, without profit, AVALON TECHNOLOGIES will eventually generate negative long term returns. The profitability progress is the general direction of AVALON TECHNOLOGIES's change in net profit over the period of time. It can combine multiple indicators of AVALON TECHNOLOGIES, 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 Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 5.3 B | 5.6 B | |
| Operating Income | 395.8 M | 667.9 M | |
| Income Before Tax | 380.6 M | 530.9 M | |
| Total Other Income Expense Net | -15.3 M | -16 M | |
| Net Income | 279.9 M | 464.3 M | |
| Income Tax Expense | 100.7 M | 125.9 M |
AVALON Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on AVALON TECHNOLOGIES. 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 AVALON TECHNOLOGIES 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 AVALON TECHNOLOGIES's important profitability drivers and their relationship over time.
Use AVALON TECHNOLOGIES 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 AVALON TECHNOLOGIES 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 AVALON TECHNOLOGIES will appreciate offsetting losses from the drop in the long position's value.AVALON TECHNOLOGIES Pair Trading
AVALON TECHNOLOGIES LTD Pair Trading Analysis
The ability to find closely correlated positions to AVALON TECHNOLOGIES could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace AVALON TECHNOLOGIES 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 AVALON TECHNOLOGIES - 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 AVALON TECHNOLOGIES LTD to buy it.
The correlation of AVALON TECHNOLOGIES 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 AVALON TECHNOLOGIES moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if AVALON TECHNOLOGIES LTD 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 AVALON TECHNOLOGIES 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 AVALON TECHNOLOGIES position
In addition to having AVALON TECHNOLOGIES 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 Aggressive Funds Thematic Idea Now
Aggressive Funds
Funds or Etfs that attempt to achieve high capital gains by investing in companies with high growth potential and above average risk. The Aggressive Funds theme has 43 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 Aggressive Funds Theme or any other thematic opportunities.
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Other Information on Investing in AVALON Stock
To fully project AVALON TECHNOLOGIES's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of AVALON TECHNOLOGIES LTD 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 AVALON TECHNOLOGIES's income statement, its balance sheet, and the statement of cash flows.