Major Drilling Cash And Equivalents vs. Return On Equity
| MDI Stock | CAD 8.64 0.12 1.37% |
Cash And Equivalents | First Reported 2010-12-31 | Previous Quarter 25.7 M | Current Value 34.2 M | Quarterly Volatility 9 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.29 | 0.2146 |
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For Major Drilling profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Major Drilling to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Major Drilling Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Major Drilling's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Major Drilling Group over time as well as its relative position and ranking within its peers.
Major |
Major Drilling Group Return On Equity vs. Cash And Equivalents Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Major Drilling's current stock value. Our valuation model uses many indicators to compare Major Drilling value to that of its competitors to determine the firm's financial worth. Major Drilling Group is regarded second in cash and equivalents category among its peers. It is regarded fourth in return on equity category among its peers . The ratio of Cash And Equivalents to Return On Equity for Major Drilling Group is about 301,243,523 . At this time, Major Drilling's Cash And Equivalents is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Major Drilling by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Major Drilling's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Major Return On Equity vs. Cash And Equivalents
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.
Major Drilling |
| = | 29.07 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).
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.
Major Drilling |
| = | 0.0965 |
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.
Major Return On Equity Comparison
Major Drilling is regarded third in return on equity category among its peers.
Major Drilling Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Major Drilling, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Major Drilling will eventually generate negative long term returns. The profitability progress is the general direction of Major Drilling's change in net profit over the period of time. It can combine multiple indicators of Major Drilling, 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 | 79.4 M | 83.4 M | |
| Operating Income | 83.5 M | 87.7 M | |
| Income Before Tax | 71 M | 74.6 M | |
| Total Other Income Expense Net | -12.5 M | -13.2 M | |
| Net Income | 53.1 M | 55.7 M | |
| Income Tax Expense | 17.9 M | 11.5 M | |
| Net Income From Continuing Ops | 53.1 M | 55.7 M | |
| Net Income Applicable To Common Shares | 86.2 M | 90.5 M | |
| Interest Income | 2.2 M | 1.5 M | |
| Net Interest Income | 2.2 M | 2.3 M | |
| Change To Netincome | -2.6 M | -2.5 M | |
| Net Income Per Share | 0.64 | 0.68 | |
| Income Quality | 2.11 | 2.22 | |
| Net Income Per E B T | 0.75 | 0.51 |
Major Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Major Drilling. 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 Major Drilling 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 Major Drilling's important profitability drivers and their relationship over time.
Use Major Drilling 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 Major Drilling 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 Major Drilling will appreciate offsetting losses from the drop in the long position's value.Major Drilling Pair Trading
Major Drilling Group Pair Trading Analysis
The ability to find closely correlated positions to Major Drilling could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Major Drilling 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 Major Drilling - 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 Major Drilling Group to buy it.
The correlation of Major Drilling 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 Major Drilling moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Major Drilling 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 Major Drilling 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 Major Drilling position
In addition to having Major Drilling 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 Major Stock
To fully project Major Drilling's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Major Drilling 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 Major Drilling's income statement, its balance sheet, and the statement of cash flows.