LVMH Mot Price To Book vs. Return On Asset
| MOH Stock | 628.70 0.70 0.11% |
For LVMH Mot profitability analysis, we use financial ratios and fundamental drivers that measure the ability of LVMH Mot to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well LVMH Mot Hennessy utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between LVMH Mot's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of LVMH Mot Hennessy over time as well as its relative position and ranking within its peers.
LVMH |
LVMH Mot Hennessy Return On Asset vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining LVMH Mot's current stock value. Our valuation model uses many indicators to compare LVMH Mot value to that of its competitors to determine the firm's financial worth. LVMH Mot Hennessy is considered to be number one stock in price to book category among its peers. It also is considered to be number one stock in return on asset category among its peers reporting about 0.01 of Return On Asset per Price To Book. The ratio of Price To Book to Return On Asset for LVMH Mot Hennessy is roughly 71.29 . 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 LVMH Mot's earnings, one of the primary drivers of an investment's value.LVMH Return On Asset 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.
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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 Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
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Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
LVMH Return On Asset Comparison
LVMH Mot is currently under evaluation in return on asset category among its peers.
LVMH Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on LVMH Mot. 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 LVMH Mot 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 LVMH Mot's important profitability drivers and their relationship over time.
Use LVMH Mot 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 LVMH Mot 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 LVMH Mot will appreciate offsetting losses from the drop in the long position's value.LVMH Mot Pair Trading
LVMH Mot Hennessy Pair Trading Analysis
The ability to find closely correlated positions to LVMH Mot could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LVMH Mot 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 LVMH Mot - 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 LVMH Mot Hennessy to buy it.
The correlation of LVMH Mot 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 LVMH Mot moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LVMH Mot Hennessy 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 LVMH Mot 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 LVMH Mot position
In addition to having LVMH Mot 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 Sport Products Thematic Idea Now
Sport Products
Companies manufacturing sporting goods and accessories. The Sport Products 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 Sport Products Theme or any other thematic opportunities.
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Additional Tools for LVMH Stock Analysis
When running LVMH Mot's price analysis, check to measure LVMH Mot's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy LVMH Mot is operating at the current time. Most of LVMH Mot's value examination focuses on studying past and present price action to predict the probability of LVMH Mot's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move LVMH Mot's price. Additionally, you may evaluate how the addition of LVMH Mot to your portfolios can decrease your overall portfolio volatility.