Denison Mines Current Valuation vs. Return On Equity
| DML Stock | CAD 2.97 0.11 3.57% |
For Denison Mines profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Denison Mines to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Denison Mines Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Denison Mines's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Denison Mines Corp over time as well as its relative position and ranking within its peers.
Denison |
Denison Mines Corp Return On Equity vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Denison Mines's current stock value. Our valuation model uses many indicators to compare Denison Mines value to that of its competitors to determine the firm's financial worth. Denison Mines Corp is rated as one of the top companies in current valuation category among its peers. It also is one of the top stocks in return on equity category among its peers . At this time, Denison Mines' Return On Equity is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Denison Mines by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Denison Mines' 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.Denison Current Valuation vs. Competition
Denison Mines Corp is rated as one of the top companies in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Energy industry is currently estimated at about 2.57 Billion. Denison Mines totals roughly 2.51 Billion in current valuation claiming about 98% of equities under Energy industry.
Denison Return On Equity vs. Current Valuation
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.
Denison Mines |
| = | 2.51 B |
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.
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.
Denison Mines |
| = | -0.0491 |
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.
Denison Return On Equity Comparison
Denison Mines is currently under evaluation in return on equity category among its peers.
Denison Mines Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Denison Mines, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Denison Mines will eventually generate negative long term returns. The profitability progress is the general direction of Denison Mines' change in net profit over the period of time. It can combine multiple indicators of Denison Mines, 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 | 1.8 M | 1.9 M | |
| Operating Income | -48.9 M | -46.5 M | |
| Income Before Tax | 87 M | 91.4 M | |
| Total Other Income Expense Net | 135.9 M | 142.7 M | |
| Income Tax Expense | -2.3 M | -2.2 M | |
| Net Income | 89.4 M | 93.8 M | |
| Net Income From Continuing Ops | 89.4 M | 93.8 M | |
| Net Income Applicable To Common Shares | 16.5 M | 17.3 M | |
| Interest Income | 4.2 M | 4.4 M | |
| Net Interest Income | 619 K | 650 K | |
| Change To Netincome | -47.6 M | -45.2 M | |
| Net Income Per Share | 0.11 | 0.11 | |
| Income Quality | (0.34) | (0.33) | |
| Net Income Per E B T | 1.04 | 1.52 |
Denison Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Denison Mines. 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 Denison Mines 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 Denison Mines' important profitability drivers and their relationship over time.
Use Denison Mines 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 Denison Mines 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 Denison Mines will appreciate offsetting losses from the drop in the long position's value.Denison Mines Pair Trading
Denison Mines Corp Pair Trading Analysis
The ability to find closely correlated positions to Denison Mines could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Denison Mines 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 Denison Mines - 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 Denison Mines Corp to buy it.
The correlation of Denison Mines 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 Denison Mines moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Denison Mines Corp 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 Denison Mines 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 Denison Mines position
In addition to having Denison Mines 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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To fully project Denison Mines' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Denison Mines Corp 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 Denison Mines' income statement, its balance sheet, and the statement of cash flows.