Gemfields Price To Book vs. Total Debt
| GML Stock | 174.00 16.00 10.13% |
For Gemfields profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Gemfields to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Gemfields Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Gemfields's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Gemfields Group over time as well as its relative position and ranking within its peers.
Gemfields |
Gemfields Group Total Debt vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Gemfields's current stock value. Our valuation model uses many indicators to compare Gemfields value to that of its competitors to determine the firm's financial worth. Gemfields Group is rated # 5 in price to book category among its peers. It is rated # 4 in total debt category among its peers making up about 17,873,101 of Total Debt per Price To Book. 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 Gemfields' earnings, one of the primary drivers of an investment's value.Gemfields Total Debt vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Gemfields |
| = | 0.56 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.
Gemfields |
| = | 10 M |
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.
Gemfields Total Debt vs Competition
Gemfields Group is rated # 4 in total debt category among its peers. Total debt of Other Precious Metals & Mining industry is currently estimated at about 67.38 Billion. Gemfields adds roughly 10 Million in total debt claiming only tiny portion of all equities under Other Precious Metals & Mining industry.
Gemfields Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Gemfields. 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 Gemfields 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 Gemfields' important profitability drivers and their relationship over time.
Use Gemfields 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 Gemfields 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 Gemfields will appreciate offsetting losses from the drop in the long position's value.Gemfields Pair Trading
Gemfields Group Pair Trading Analysis
The ability to find closely correlated positions to Gemfields could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Gemfields 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 Gemfields - 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 Gemfields Group to buy it.
The correlation of Gemfields 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 Gemfields moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Gemfields Group 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 Gemfields 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 Gemfields position
In addition to having Gemfields 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 Electronics Thematic Idea Now
Electronics
Companies manufacturing electronic appliances and goods. The Electronics theme has 39 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 Electronics Theme or any other thematic opportunities.
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Other Information on Investing in Gemfields Stock
To fully project Gemfields' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Gemfields Group 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 Gemfields' income statement, its balance sheet, and the statement of cash flows.