Exxaro Resources Total Debt vs. Gross Profit
| EXX Stock | 15,958 128.00 0.81% |
For Exxaro Resources profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Exxaro Resources to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Exxaro Resources utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Exxaro Resources's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Exxaro Resources over time as well as its relative position and ranking within its peers.
Exxaro |
Exxaro Resources Gross Profit vs. Total Debt Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Exxaro Resources's current stock value. Our valuation model uses many indicators to compare Exxaro Resources value to that of its competitors to determine the firm's financial worth. Exxaro Resources is rated # 5 in total debt category among its peers. It is rated below average in gross profit category among its peers fabricating about 2.50 of Gross Profit per Total Debt. 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 Exxaro Resources' earnings, one of the primary drivers of an investment's value.Exxaro Total Debt vs. Competition
Exxaro Resources is rated # 5 in total debt category among its peers. Total debt of Thermal Coal industry is currently estimated at about 34.27 Billion. Exxaro Resources totals roughly 9.26 Billion in total debt claiming about 27% of equities listed under Thermal Coal industry.
Exxaro Gross Profit vs. Total Debt
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
Exxaro Resources |
| = | 9.26 B |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Exxaro Resources |
| = | 23.12 B |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Exxaro Gross Profit Comparison
Exxaro Resources is rated below average in gross profit category among its peers.
Exxaro Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Exxaro 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 Exxaro 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 Exxaro Resources' important profitability drivers and their relationship over time.
Use Exxaro 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 Exxaro 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 Exxaro Resources will appreciate offsetting losses from the drop in the long position's value.Exxaro Resources Pair Trading
Exxaro Resources Pair Trading Analysis
The ability to find closely correlated positions to Exxaro 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 Exxaro 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 Exxaro 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 Exxaro Resources to buy it.
The correlation of Exxaro 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 Exxaro Resources moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Exxaro Resources 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 Exxaro 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 Exxaro Resources position
In addition to having Exxaro 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 Exxaro Stock
To fully project Exxaro Resources' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Exxaro Resources 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 Exxaro Resources' income statement, its balance sheet, and the statement of cash flows.