Emerita Resources EBITDA vs. Return On Equity
| EMOTF Stock | USD 0.50 0.03 6.38% |
For Emerita Resources profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Emerita Resources to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Emerita Resources Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Emerita Resources's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Emerita Resources Corp over time as well as its relative position and ranking within its peers.
Emerita |
Emerita Resources Corp Return On Equity vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Emerita Resources's current stock value. Our valuation model uses many indicators to compare Emerita Resources value to that of its competitors to determine the firm's financial worth. Emerita Resources Corp is rated below average in ebitda category among its peers. It is rated below average in return on equity category among its peers . 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 Emerita Resources' earnings, one of the primary drivers of an investment's value.Emerita Return On Equity vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Emerita Resources |
| = | (20.69 M) |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
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.
Emerita Resources |
| = | -0.88 |
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.
Emerita Return On Equity Comparison
Emerita Resources is currently under evaluation in return on equity category among its peers.
Emerita Resources Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Emerita Resources, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Emerita Resources will eventually generate negative long term returns. The profitability progress is the general direction of Emerita Resources' change in net profit over the period of time. It can combine multiple indicators of Emerita Resources, 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.
Emerita Resources Corp., a natural resource company, engages in the acquisition, exploration, and development of mineral properties primarily in Spain. The company has interests in three exploration properties comprising Iberia Belt West project, which is located in Huelva Province in southwestern Spain Plaza Norte project that is located in the Reocin Mining Camp in Cantabria, northern Spain and Sierra Alta project, which is located in the Asturias region in northwestern Spain. EMERITA RESOURCES is traded on OTC Exchange in the United States.
Emerita Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Emerita Resources. 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 Emerita Resources 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 Emerita Resources' important profitability drivers and their relationship over time.
Use Emerita Resources 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 Emerita Resources 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 Emerita Resources will appreciate offsetting losses from the drop in the long position's value.Emerita Resources Pair Trading
Emerita Resources Corp Pair Trading Analysis
The ability to find closely correlated positions to Emerita Resources could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Emerita Resources 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 Emerita Resources - 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 Emerita Resources Corp to buy it.
The correlation of Emerita Resources 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 Emerita Resources moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Emerita Resources 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 Emerita Resources 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 Emerita Resources position
In addition to having Emerita Resources 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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Other Information on Investing in Emerita OTC Stock
To fully project Emerita Resources' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Emerita Resources 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 Emerita Resources' income statement, its balance sheet, and the statement of cash flows.