Lesaka Technologies Return On Equity vs. Cash And Equivalents

LSAK Stock  USD 5.45  0.06  1.11%   
Based on Lesaka Technologies' profitability indicators, Lesaka Technologies may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in February. Profitability indicators assess Lesaka Technologies' ability to earn profits and add value for shareholders.
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
0.71261424
Current Value
0.7
Quarterly Volatility
0.33119636
 
Credit Downgrade
 
Yuan Drop
 
Covid
At this time, Lesaka Technologies' Price Sales Ratio is quite stable compared to the past year. Change To Netincome is expected to rise to about 49.7 M this year, although the value of Accumulated Other Comprehensive Income is projected to rise to (161 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.610.9563
Way Down
Slightly volatile
For Lesaka Technologies profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Lesaka Technologies to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Lesaka Technologies utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Lesaka Technologies's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Lesaka Technologies over time as well as its relative position and ranking within its peers.
  

Lesaka Technologies' Revenue Breakdown by Earning Segment

Check out Correlation Analysis.
For more information on how to buy Lesaka Stock please use our How to buy in Lesaka Stock guide.
Is Application Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Lesaka Technologies. If investors know Lesaka will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Lesaka Technologies listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.25)
Revenue Per Share
9.314
Quarterly Revenue Growth
0.069
Return On Assets
0.0086
Return On Equity
(0.09)
The market value of Lesaka Technologies is measured differently than its book value, which is the value of Lesaka that is recorded on the company's balance sheet. Investors also form their own opinion of Lesaka Technologies' value that differs from its market value or its book value, called intrinsic value, which is Lesaka Technologies' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Lesaka Technologies' market value can be influenced by many factors that don't directly affect Lesaka Technologies' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Lesaka Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if Lesaka Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Lesaka Technologies' 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.

Lesaka Technologies Cash And Equivalents vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Lesaka Technologies's current stock value. Our valuation model uses many indicators to compare Lesaka Technologies value to that of its competitors to determine the firm's financial worth.
Lesaka Technologies is rated below average in return on equity category among its peers. It is rated below average in cash and equivalents category among its peers . At this time, Lesaka Technologies' Return On Equity is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Lesaka Technologies by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Lesaka Cash And Equivalents 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.

Lesaka Technologies

Return On Equity

 = 

Net Income

Total Equity

 = 
-0.0909
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.
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.

Lesaka Technologies

Cash

 = 

Bank Deposits

+

Liquidities

 = 
43.94 M
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).

Lesaka Cash And Equivalents Comparison

Lesaka Technologies is currently under evaluation in cash and equivalents category among its peers.

Lesaka Technologies Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Lesaka Technologies, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Lesaka Technologies will eventually generate negative long term returns. The profitability progress is the general direction of Lesaka Technologies' change in net profit over the period of time. It can combine multiple indicators of Lesaka Technologies, 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 ReportedProjected for Next Year
Accumulated Other Comprehensive Income-169.5 M-161 M
Operating Income3.2 M3.1 M
Net Loss-15.7 M-14.9 M
Income Tax ExpenseM2.9 M
Income Before Tax-11.5 M-10.9 M
Total Other Income Expense Net-14.7 M-15.5 M
Net Interest Income-15 M-14.2 M
Interest Income2.1 MM
Net Loss-20.1 M-21.1 M
Net Loss-38.4 M-40.3 M
Non Operating Income Net Other1.6 M1.4 M
Change To Netincome27.7 M49.7 M
Net Loss(0.06)(0.06)
Income Quality 0.22  0.21 
Net Income Per E B T 1.23  0.62 

Lesaka Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Lesaka Technologies. 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 Lesaka Technologies 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 Lesaka Technologies' important profitability drivers and their relationship over time.
Return On Equity vs Return On Asset
Profit Margin vs Cash And Equivalents
Return On Equity vs Operating Margin
Current Valuation vs Cash And Equivalents
Return On Equity vs Shares Outstanding
Shares Owned By Insiders vs Cash And Equivalents
Return On Equity vs Shares Owned By Institutions