First Farmers Return On Equity vs. Return On Asset

FFMR Stock  USD 66.99  0.00  0.00%   
Based on First Farmers' profitability indicators, First Farmers Financial 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 First Farmers' ability to earn profits and add value for shareholders.
For First Farmers profitability analysis, we use financial ratios and fundamental drivers that measure the ability of First Farmers to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well First Farmers Financial utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between First Farmers's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of First Farmers Financial 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 First Farmers' value and its price as these two are different measures arrived at by different means. Investors typically determine if First Farmers is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, First Farmers' 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.

First Farmers Financial Return On Asset vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining First Farmers's current stock value. Our valuation model uses many indicators to compare First Farmers value to that of its competitors to determine the firm's financial worth.
First Farmers Financial is one of the top stocks in return on equity category among its peers. It also is one of the top stocks in return on asset category among its peers reporting about  0.10  of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for First Farmers Financial is roughly  10.01 . 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 First Farmers' earnings, one of the primary drivers of an investment's value.

First Return On Asset 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.

First Farmers

Return On Equity

 = 

Net Income

Total Equity

 = 
0.16
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.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

First Farmers

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0155
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.

First Return On Asset Comparison

First Farmers is currently under evaluation in return on asset category among its peers.

First Farmers Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in First Farmers, profitability is also one of the essential criteria for including it into their portfolios because, without profit, First Farmers will eventually generate negative long term returns. The profitability progress is the general direction of First Farmers' change in net profit over the period of time. It can combine multiple indicators of First Farmers, 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.
First Farmers Financial Corporation operates as the financial holding company for First Farmers Bank Trust that provides banking products and services to individuals, families, and businesses. First Farmers Financial Corporation was founded in 1885 and is headquartered in Converse, Indiana. First Farmers is traded on OTC Exchange in the United States.

First Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on First Farmers. 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 First Farmers 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 First Farmers' 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 First Farmers 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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Use Investing Themes to Complement your First Farmers position

In addition to having First Farmers 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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Money Market Funds
Money Market Funds Theme
Funds or Etfs investing in various types of short-term (less than one year) fixed income instruments of high-quality and liquidity. The Money Market Funds theme has 43 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 Money Market Funds Theme or any other thematic opportunities.
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Additional Tools for First OTC Stock Analysis

When running First Farmers' price analysis, check to measure First Farmers' 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 First Farmers is operating at the current time. Most of First Farmers' value examination focuses on studying past and present price action to predict the probability of First Farmers' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move First Farmers' price. Additionally, you may evaluate how the addition of First Farmers to your portfolios can decrease your overall portfolio volatility.