USU Software Cash And Equivalents vs. Return On Equity
| OSP2 Stock | EUR 22.20 0.40 1.77% |
For USU Software profitability analysis, we use financial ratios and fundamental drivers that measure the ability of USU Software to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well USU Software AG utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between USU Software's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of USU Software AG over time as well as its relative position and ranking within its peers.
USU |
USU Software AG Return On Equity vs. Cash And Equivalents Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining USU Software's current stock value. Our valuation model uses many indicators to compare USU Software value to that of its competitors to determine the firm's financial worth. USU Software AG is considered to be number one stock in cash and equivalents category among its peers. It also is considered to be number one stock in return on equity category among its peers . The ratio of Cash And Equivalents to Return On Equity for USU Software AG is about 166,867,470 . 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 USU Software's earnings, one of the primary drivers of an investment's value.USU 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.
USU Software |
| = | 16.62 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.
USU Software |
| = | 0.0996 |
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.
USU Return On Equity Comparison
USU Software is currently under evaluation in return on equity category among its peers.
USU Software Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in USU Software, profitability is also one of the essential criteria for including it into their portfolios because, without profit, USU Software will eventually generate negative long term returns. The profitability progress is the general direction of USU Software's change in net profit over the period of time. It can combine multiple indicators of USU Software, 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.
USU Software AG, together with its subsidiaries, provides information technology and knowledge management software solutions for knowledge-based service management in Germany and internationally. USU Software AG was founded in 1977 and is based in Mglingen, Germany. USU SOFTWARE operates under Information Technology Services classification in Germany and is traded on Frankfurt Stock Exchange. It employs 699 people.
USU Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on USU Software. 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 USU Software 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 USU Software's important profitability drivers and their relationship over time.
Use USU Software 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 USU Software 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 USU Software will appreciate offsetting losses from the drop in the long position's value.USU Software Pair Trading
USU Software AG Pair Trading Analysis
The ability to find closely correlated positions to USU Software could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace USU Software 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 USU Software - 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 USU Software AG to buy it.
The correlation of USU Software 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 USU Software moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if USU Software AG 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 USU Software 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 USU Software position
In addition to having USU Software 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 Electrical Equipment Thematic Idea Now
Electrical Equipment
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Electrical Equipment theme has 61 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 Electrical Equipment Theme or any other thematic opportunities.
| View All Next | Launch |
Other Information on Investing in USU Stock
To fully project USU Software's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of USU Software AG 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 USU Software's income statement, its balance sheet, and the statement of cash flows.