Brighthouse Financial Current Ratio vs. Total Debt
| BHFAO Preferred Stock | USD 25.03 0.59 2.41% |
For Brighthouse Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Brighthouse Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Brighthouse Financial utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Brighthouse Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Brighthouse Financial over time as well as its relative position and ranking within its peers.
Brighthouse |
Brighthouse Financial Total Debt vs. Current Ratio Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Brighthouse Financial's current stock value. Our valuation model uses many indicators to compare Brighthouse Financial value to that of its competitors to determine the firm's financial worth. Brighthouse Financial is rated second in current ratio category among its peers. It is the top company in total debt category among its peers making up about 4,575,362,319 of Total Debt per Current Ratio. Comparative valuation analysis is a catch-all model that can be used if you cannot value Brighthouse Financial by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Brighthouse Financial's Preferred 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.Brighthouse Total Debt vs. Current Ratio
Current Ratio is calculated by dividing the Current Assets of a company by its Current Liabilities. It measures whether or not a company has enough cash or liquid assets to pay its current liability over the next fiscal year. The ratio is regarded as a test of liquidity for a company.
Brighthouse Financial |
| = | 0.69 X |
Typically, short-term creditors will prefer a high current ratio because it reduces their overall risk. However, investors may prefer a lower current ratio since they are more concerned about growing the business using assets of the company. Acceptable current ratios may vary from one sector to another, but the generally accepted benchmark is to have current assets at least as twice as current liabilities (i.e., Current Ration of 2 to 1).
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.
Brighthouse Financial |
| = | 3.16 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.
Brighthouse Total Debt vs Competition
Brighthouse Financial is the top company in total debt category among its peers. Total debt of Insurance—Life industry is currently estimated at about 24.75 Billion. Brighthouse Financial retains roughly 3.16 Billion in total debt claiming about 13% of equities under Insurance—Life industry.
Brighthouse Financial Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Brighthouse Financial, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Brighthouse Financial will eventually generate negative long term returns. The profitability progress is the general direction of Brighthouse Financial's change in net profit over the period of time. It can combine multiple indicators of Brighthouse Financial, 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.
Brighthouse Financial, Inc. provides annuity and life insurance products in the United States. The company was incorporated in 2016 and is based in Charlotte, North Carolina. Brighthouse Financial operates under InsuranceLife classification in the United States and is traded on NASDAQ Exchange. It employs 1500 people.
Brighthouse Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Brighthouse Financial. 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 Brighthouse Financial 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 Brighthouse Financial's important profitability drivers and their relationship over time.
Use Brighthouse Financial 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 Brighthouse Financial 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 Brighthouse Financial will appreciate offsetting losses from the drop in the long position's value.Brighthouse Financial Pair Trading
Brighthouse Financial Pair Trading Analysis
The ability to find closely correlated positions to Brighthouse Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Brighthouse Financial 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 Brighthouse Financial - 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 Brighthouse Financial to buy it.
The correlation of Brighthouse Financial 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 Brighthouse Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Brighthouse Financial 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 Brighthouse Financial 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 Brighthouse Financial position
In addition to having Brighthouse Financial 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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ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Small Cap ETFs theme has 167 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 Small Cap ETFs Theme or any other thematic opportunities.
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Other Information on Investing in Brighthouse Preferred Stock
To fully project Brighthouse Financial's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Brighthouse Financial 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 Brighthouse Financial's income statement, its balance sheet, and the statement of cash flows.