Covestro ADR Return On Equity vs. Price To Sales

COVTY Stock  USD 30.42  0.14  0.46%   
Considering Covestro ADR's profitability and operating efficiency indicators, Covestro ADR 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 Covestro ADR's ability to earn profits and add value for shareholders.
For Covestro ADR profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Covestro ADR to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Covestro ADR utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Covestro ADR's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Covestro ADR 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 Covestro ADR's value and its price as these two are different measures arrived at by different means. Investors typically determine if Covestro ADR is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Covestro ADR'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.

Covestro ADR Price To Sales vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Covestro ADR's current stock value. Our valuation model uses many indicators to compare Covestro ADR value to that of its competitors to determine the firm's financial worth.
Covestro ADR is rated third in return on equity category among its peers. It is rated fifth in price to sales category among its peers fabricating about  3.46  of Price To Sales per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Covestro ADR by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Covestro ADR's Pink Sheet. 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.

Covestro Price To Sales 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.

Covestro ADR

Return On Equity

 = 

Net Income

Total Equity

 = 
0.12
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.
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Covestro ADR

P/S

 = 

MV Per Share

Revenue Per Share

 = 
0.40 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.

Covestro Price To Sales Comparison

Covestro ADR is currently under evaluation in price to sales category among its peers.

Covestro ADR Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Covestro ADR, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Covestro ADR will eventually generate negative long term returns. The profitability progress is the general direction of Covestro ADR's change in net profit over the period of time. It can combine multiple indicators of Covestro ADR, 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.
Covestro AG supplies high-tech polymer materials and related application solutions. The company was founded in 1863 and is headquartered in Leverkusen, Germany. Covestro is traded on OTC Exchange in the United States.

Covestro Profitability Driver Comparison

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

Learn to be your own money manager

Our tools can tell you how much better you can do entering a position in Covestro ADR without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Analyze and compare many basic indicators for a group of related or unrelated entities
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Use Investing Themes to Complement your Covestro ADR position

In addition to having Covestro ADR 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.

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Diversified Assets Theme
Pablicly traded close-end funds and other entities backed by different types of diversified investments. The Diversified Assets theme has 39 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 Diversified Assets Theme or any other thematic opportunities.
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Additional Tools for Covestro Pink Sheet Analysis

When running Covestro ADR's price analysis, check to measure Covestro ADR's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Covestro ADR is operating at the current time. Most of Covestro ADR's value examination focuses on studying past and present price action to predict the probability of Covestro ADR's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Covestro ADR's price. Additionally, you may evaluate how the addition of Covestro ADR to your portfolios can decrease your overall portfolio volatility.