British Land Return On Equity vs. Return On Asset

BRLAF Stock  USD 5.69  0.00  0.00%   
Based on the measurements of profitability obtained from British Land's financial statements, British Land may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess British Land's ability to earn profits and add value for shareholders.
For British Land profitability analysis, we use financial ratios and fundamental drivers that measure the ability of British Land to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well British Land utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between British Land's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of British Land over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between British Land's value and its price as these two are different measures arrived at by different means. Investors typically determine if British Land is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, British Land's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

British Land Return On Asset vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining British Land's current stock value. Our valuation model uses many indicators to compare British Land value to that of its competitors to determine the firm's financial worth.
British Land is number one stock in return on equity category among its peers. It also is number one stock in return on asset category among its peers reporting about  0.29  of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for British Land is roughly  3.47 . 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 British Land's earnings, one of the primary drivers of an investment's value.

British Return On Asset vs. Return On Equity

Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

British Land

Return On Equity

 = 

Net Income

Total Equity

 = 
0.0864
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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.

British Land

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0249
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.

British Return On Asset Comparison

British Land is currently under evaluation in return on asset category among its peers.

British Land Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in British Land, profitability is also one of the essential criteria for including it into their portfolios because, without profit, British Land will eventually generate negative long term returns. The profitability progress is the general direction of British Land's change in net profit over the period of time. It can combine multiple indicators of British Land, 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.
Our portfolio of high quality UK commercial property is focused on London Offices and Retail around the UK. In April 2016 British Land received the Queens Award for Enterprise Sustainable Development, the UKs highest accolade for business success for economic, social and environmental achievements over a period of five years. British Land operates under REITDiversified classification in the United States and is traded on OTC Exchange. It employs 636 people.

British Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on British Land. 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 British Land 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 British Land's important profitability drivers and their relationship over time.

Use British Land 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 British Land 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 British Land will appreciate offsetting losses from the drop in the long position's value.

British Land Pair Trading

British Land Pair Trading Analysis

The ability to find closely correlated positions to British Land could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace British Land 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 British Land - 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 British Land to buy it.
The correlation of British Land 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 British Land moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if British Land 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 British Land 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your British Land position

In addition to having British Land 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 Banks - Regional Thematic Idea Now

Banks - Regional
Banks - Regional Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Banks - Regional theme has 19 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 Banks - Regional Theme or any other thematic opportunities.
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Other Information on Investing in British Pink Sheet

To fully project British Land's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of British Land 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 British Land's income statement, its balance sheet, and the statement of cash flows.
Potential British Land investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although British Land investors may work on each financial statement separately, they are all related. The changes in British Land's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on British Land's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.