BB Biotech Earnings Per Share vs. Current Valuation
| BBZA Stock | EUR 39.65 0.10 0.25% |
For BB Biotech profitability analysis, we use financial ratios and fundamental drivers that measure the ability of BB Biotech to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well BB Biotech AG utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between BB Biotech's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of BB Biotech AG over time as well as its relative position and ranking within its peers.
BBZA |
BB Biotech AG Current Valuation vs. Earnings Per Share Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining BB Biotech's current stock value. Our valuation model uses many indicators to compare BB Biotech value to that of its competitors to determine the firm's financial worth. BB Biotech AG is number one stock in earnings per share category among its peers. It also 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 BB Biotech's earnings, one of the primary drivers of an investment's value.BBZA Current Valuation vs. Earnings Per Share
Earnings per Share (EPS) denotes the portion of a company's earnings that is allocated to each share of common stock. To calculate Earnings per Share investors will need to take a company's net income, subtract any dividends for preferred stock, and divide it by the number of average outstanding shares. EPS is usually presented in two different ways: basic and diluted. Fully diluted Earnings per Share takes into account effects of warrants, options, and convertible securities and is generally viewed by analysts as a more accurate measure.
BB Biotech |
| = | (6.58) X |
Earnings per Share is one of the most critical measures of the firm's current share price and is used by investors to determine the overall company profitability, especially when compared to the EPS of similar companies.
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.
BB Biotech |
| = | 226.69 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.
BBZA Current Valuation vs Competition
BB Biotech AG is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Biotechnology industry is currently estimated at about 42.42 Billion. BB Biotech maintains roughly 226.69 Million in current valuation contributing less than 1% to stocks in Biotechnology industry.
BBZA Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on BB Biotech. 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 BB Biotech 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 BB Biotech's important profitability drivers and their relationship over time.
Use BB Biotech 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 BB Biotech 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 BB Biotech will appreciate offsetting losses from the drop in the long position's value.BB Biotech Pair Trading
BB Biotech AG Pair Trading Analysis
The ability to find closely correlated positions to BB Biotech could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace BB Biotech 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 BB Biotech - 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 BB Biotech AG to buy it.
The correlation of BB Biotech 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 BB Biotech moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if BB Biotech 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 BB Biotech 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 BB Biotech position
In addition to having BB Biotech 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 Insurance Thematic Idea Now
Insurance
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 BBZA Stock
To fully project BB Biotech's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of BB Biotech AG 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 BB Biotech's income statement, its balance sheet, and the statement of cash flows.