Kane Biotech Price To Book vs. Return On Equity

KNBIF Stock  USD 0.08  0  3.23%   
Considering the key profitability indicators obtained from Kane Biotech's historical financial statements, Kane Biotech 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 Kane Biotech's ability to earn profits and add value for shareholders.
For Kane Biotech profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Kane Biotech to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Kane Biotech utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Kane Biotech's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Kane Biotech over time as well as its relative position and ranking within its peers.
  
Check out Correlation Analysis.
Please note, there is a significant difference between Kane Biotech's value and its price as these two are different measures arrived at by different means. Investors typically determine if Kane Biotech is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Kane Biotech's 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.

Kane Biotech Return On Equity vs. Price To Book Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Kane Biotech's current stock value. Our valuation model uses many indicators to compare Kane Biotech value to that of its competitors to determine the firm's financial worth.
Kane Biotech is currently regarded as number one stock in price to book category among its peers. It is rated second overall in return on equity category among its peers . 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 Kane Biotech's earnings, one of the primary drivers of an investment's value.

Kane Return On Equity 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.

Kane Biotech

P/B

 = 

MV Per Share

BV Per Share

 = 
102.61 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.
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.

Kane Biotech

Return On Equity

 = 

Net Income

Total Equity

 = 
-5.97
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.

Kane Return On Equity Comparison

Kane Biotech is currently under evaluation in return on equity category among its peers.

Kane Biotech Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Kane Biotech, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Kane Biotech will eventually generate negative long term returns. The profitability progress is the general direction of Kane Biotech's change in net profit over the period of time. It can combine multiple indicators of Kane Biotech, 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.
Kane Biotech Inc., a biotechnology company, engages in the research, development, and commercialization of technologies and products that prevent and remove microbial biofilms in Canada and internationally. Kane Biotech Inc. was incorporated in 2001 and is based in Winnipeg, Canada. Kane Biotech is traded on OTC Exchange in the United States.

Kane Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Kane Biotech. 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 Kane Biotech 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 Kane Biotech's important profitability drivers and their relationship over time.

Use Kane Biotech 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 Kane Biotech 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 Kane Biotech will appreciate offsetting losses from the drop in the long position's value.

Kane Biotech Pair Trading

Kane Biotech Pair Trading Analysis

The ability to find closely correlated positions to Kane Biotech could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Kane Biotech 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 Kane Biotech - 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 Kane Biotech to buy it.
The correlation of Kane Biotech 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 Kane Biotech moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Kane Biotech 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 Kane Biotech 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Kane Biotech position

In addition to having Kane Biotech 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 Macroaxis Picks Thematic Idea Now

Macroaxis Picks
Macroaxis Picks Theme
Daily selected watch list of stocks of large companies handpicked by Macroaxis Team based on their diversification potential. The Macroaxis Picks theme has 50 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 Macroaxis Picks Theme or any other thematic opportunities.
View All  Next Launch

Other Information on Investing in Kane OTC Stock

To fully project Kane Biotech's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Kane Biotech 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 Kane Biotech's income statement, its balance sheet, and the statement of cash flows.
Potential Kane Biotech investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Kane Biotech investors may work on each financial statement separately, they are all related. The changes in Kane Biotech's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Kane Biotech's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.