Gossan Resources Current Ratio vs. Beta
| GSSRF Stock | USD 0.01 0.00 0.00% |
For Gossan Resources profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Gossan Resources to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Gossan Resources Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Gossan Resources's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Gossan Resources Limited over time as well as its relative position and ranking within its peers.
Gossan |
Gossan Resources Beta vs. Current Ratio Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Gossan Resources's current stock value. Our valuation model uses many indicators to compare Gossan Resources value to that of its competitors to determine the firm's financial worth. Gossan Resources Limited is one of the top stocks in current ratio category among its peers. It also is one of the top stocks in beta category among its peers totaling about 0.45 of Beta per Current Ratio. The ratio of Current Ratio to Beta for Gossan Resources Limited is roughly 2.23 . 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 Gossan Resources' earnings, one of the primary drivers of an investment's value.Gossan Beta vs. Current Ratio
Current Ratio is calculated by dividing the Current Assets of a company by its Current Liabilities. It measures whether or not a company has enough cash or liquid assets to pay its current liability over the next fiscal year. The ratio is regarded as a test of liquidity for a company.
Gossan Resources |
| = | 3.79 X |
Typically, short-term creditors will prefer a high current ratio because it reduces their overall risk. However, investors may prefer a lower current ratio since they are more concerned about growing the business using assets of the company. Acceptable current ratios may vary from one sector to another, but the generally accepted benchmark is to have current assets at least as twice as current liabilities (i.e., Current Ration of 2 to 1).
Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Gossan Resources |
| = | 1.7 |
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
Gossan Beta Comparison
Gossan Resources is currently under evaluation in beta category among its peers.
Beta Analysis
As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Gossan Resources will likely underperform.
Gossan Resources Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Gossan Resources, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Gossan Resources will eventually generate negative long term returns. The profitability progress is the general direction of Gossan Resources' change in net profit over the period of time. It can combine multiple indicators of Gossan 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.
Gossan Resources Limited, an exploration and evaluation stage company, engages in the acquisition, exploration, and development of resource properties in Canada. Gossan Resources Limited was incorporated in 1980 and is headquartered in Winnipeg, Canada. Gossan Resources operates under Other Industrial Metals Mining classification in the United States and is traded on OTC Exchange.
Gossan Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Gossan 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 Gossan 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 Gossan Resources' important profitability drivers and their relationship over time.
Use Gossan 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 Gossan 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 Gossan Resources will appreciate offsetting losses from the drop in the long position's value.Gossan Resources Pair Trading
Gossan Resources Limited Pair Trading Analysis
The ability to find closely correlated positions to Gossan 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 Gossan 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 Gossan 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 Gossan Resources Limited to buy it.
The correlation of Gossan 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 Gossan Resources moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Gossan 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 Gossan 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 Gossan Resources position
In addition to having Gossan 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 Gossan Pink Sheet
To fully project Gossan Resources' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Gossan 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 Gossan Resources' income statement, its balance sheet, and the statement of cash flows.