EFU General Net Income vs. Cash Flow From Operations

EFUG Stock   126.02  3.98  3.06%   
Taking into consideration EFU General's profitability measurements, EFU General Insurance may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess EFU General's ability to earn profits and add value for shareholders.
For EFU General profitability analysis, we use financial ratios and fundamental drivers that measure the ability of EFU General to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well EFU General Insurance utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between EFU General's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of EFU General Insurance 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 EFU General's value and its price as these two are different measures arrived at by different means. Investors typically determine if EFU General is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, EFU General'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.

EFU General Insurance Cash Flow From Operations vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining EFU General's current stock value. Our valuation model uses many indicators to compare EFU General value to that of its competitors to determine the firm's financial worth.
EFU General Insurance is one of the top stocks in net income category among its peers. It also is one of the top stocks in cash flow from operations category among its peers making about  0.66  of Cash Flow From Operations per Net Income. The ratio of Net Income to Cash Flow From Operations for EFU General Insurance is roughly  1.51 . Comparative valuation analysis is a catch-all model that can be used if you cannot value EFU General by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for EFU General's 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.

EFU Cash Flow From Operations vs. Net Income

Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

EFU General

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
2.78 B
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.

EFU General

Operating Cash Flow

 = 

EBITDA

-

Taxes

 = 
1.84 B
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.

EFU Cash Flow From Operations Comparison

EFU General is currently under evaluation in cash flow from operations category among its peers.

EFU Profitability Driver Comparison

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

Use EFU General 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 EFU General 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 EFU General will appreciate offsetting losses from the drop in the long position's value.

EFU General Pair Trading

EFU General Insurance Pair Trading Analysis

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

In addition to having EFU General 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 Candy and Soda Thematic Idea Now

Candy and Soda
Candy and Soda Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Candy and Soda theme has 13 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 Candy and Soda Theme or any other thematic opportunities.
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Other Information on Investing in EFU Stock

To fully project EFU General's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of EFU General Insurance 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 EFU General's income statement, its balance sheet, and the statement of cash flows.
Potential EFU General investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although EFU General investors may work on each financial statement separately, they are all related. The changes in EFU General's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on EFU General'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.