HEG Profit Margin vs. Cash And Equivalents
| HEG Stock | 541.55 26.30 4.63% |
For HEG profitability analysis, we use financial ratios and fundamental drivers that measure the ability of HEG to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well HEG Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between HEG's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of HEG Limited over time as well as its relative position and ranking within its peers.
HEG |
HEG Limited Cash And Equivalents vs. Profit Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining HEG's current stock value. Our valuation model uses many indicators to compare HEG value to that of its competitors to determine the firm's financial worth. HEG Limited is one of the top stocks in profit margin category among its peers. It also is one of the top stocks in cash and equivalents category among its peers creating about 77,118,544,601 of Cash And Equivalents per Profit Margin. At present, HEG's Cash And Equivalents is projected to decrease significantly based on the last few years of reporting. 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 HEG's earnings, one of the primary drivers of an investment's value.HEG Cash And Equivalents vs. Profit Margin
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
HEG |
| = | 0.09 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
HEG |
| = | 6.57 B |
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
HEG Cash And Equivalents Comparison
HEG is currently under evaluation in cash and equivalents category among its peers.
HEG Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in HEG, profitability is also one of the essential criteria for including it into their portfolios because, without profit, HEG will eventually generate negative long term returns. The profitability progress is the general direction of HEG's change in net profit over the period of time. It can combine multiple indicators of HEG, 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.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 1.2 B | 1.3 B | |
| Operating Income | 11.5 B | 6 B | |
| Income Before Tax | 4 B | 5.3 B | |
| Total Other Income Expense Net | -7.5 B | -7.1 B | |
| Net Income | 3.1 B | 5.2 B | |
| Income Tax Expense | 837 M | 1.6 B | |
| Net Income From Continuing Ops | 3.1 B | 5.5 B | |
| Net Income Applicable To Common Shares | 6.1 B | 5.7 B | |
| Interest Income | 432 M | 381.4 M | |
| Net Interest Income | -357.4 M | -375.3 M | |
| Change To Netincome | -865 M | -821.8 M |
HEG Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on HEG. 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 HEG 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 HEG's important profitability drivers and their relationship over time.
Use HEG 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 HEG 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 HEG will appreciate offsetting losses from the drop in the long position's value.HEG Pair Trading
HEG Limited Pair Trading Analysis
The ability to find closely correlated positions to HEG could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace HEG 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 HEG - 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 HEG Limited to buy it.
The correlation of HEG 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 HEG moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if HEG Limited 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 HEG 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 HEG position
In addition to having HEG 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 World Allocation Funds Thematic Idea Now
World Allocation Funds
Funds or Etfs investing in stocks, bonds, and cash of domestic markets as well as in markets of Canada, Japan, and Europe. The World Allocation Funds theme has 44 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 World Allocation Funds Theme or any other thematic opportunities.
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Other Information on Investing in HEG Stock
To fully project HEG's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of HEG Limited 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 HEG's income statement, its balance sheet, and the statement of cash flows.