Erayak Power Price To Sales vs. Revenue

RAYA Stock   1.18  0.02  1.72%   
Considering Erayak Power's profitability and operating efficiency indicators, Erayak Power Solution may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Erayak Power's ability to earn profits and add value for shareholders.

Erayak Power Price To Sales Ratio

0.62

At present, Erayak Power's Sales General And Administrative To Revenue is projected to increase slightly based on the last few years of reporting. The current year's Operating Cash Flow Sales Ratio is expected to grow to 0.35, whereas Price To Sales Ratio is forecasted to decline to 0.62. At present, Erayak Power's Accumulated Other Comprehensive Income is projected to increase significantly based on the last few years of reporting. The current year's Income Before Tax is expected to grow to about 2.8 M, whereas Net Interest Income is forecasted to decline to (424.2 K).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.290.2431
Fairly Up
Slightly volatile
Net Profit Margin0.0570.06
Notably Down
Very volatile
Operating Profit Margin0.03490.0367
Notably Down
Very volatile
Pretax Profit Margin0.0660.0695
Notably Down
Very volatile
Return On Assets0.03280.0345
Notably Down
Very volatile
Return On Equity0.05730.0603
Notably Down
Slightly volatile
For Erayak Power profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Erayak Power to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Erayak Power Solution utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Erayak Power's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Erayak Power Solution over time as well as its relative position and ranking within its peers.
  
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Is Industrial Machinery & Supplies & Components 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 Erayak Power. If investors know Erayak 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 Erayak Power listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.55)
Earnings Share
(0.01)
Revenue Per Share
1.695
Quarterly Revenue Growth
0.264
Return On Assets
(0.02)
The market value of Erayak Power Solution is measured differently than its book value, which is the value of Erayak that is recorded on the company's balance sheet. Investors also form their own opinion of Erayak Power's value that differs from its market value or its book value, called intrinsic value, which is Erayak Power's 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 Erayak Power's market value can be influenced by many factors that don't directly affect Erayak Power's 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 Erayak Power's value and its price as these two are different measures arrived at by different means. Investors typically determine if Erayak Power is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Erayak Power'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.

Erayak Power Solution Revenue vs. Price To Sales Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Erayak Power's current stock value. Our valuation model uses many indicators to compare Erayak Power value to that of its competitors to determine the firm's financial worth.
Erayak Power Solution is rated second in price to sales category among its peers. It is rated fourth in revenue category among its peers totaling about  14,399,843  of Revenue per Price To Sales. At present, Erayak Power's Price To Sales Ratio is projected to slightly decrease based on the last few years of reporting. 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 Erayak Power's earnings, one of the primary drivers of an investment's value.

Erayak Revenue vs. Price To Sales

Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Erayak Power

P/S

 = 

MV Per Share

Revenue Per Share

 = 
1.41 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

Erayak Power

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
20.32 M
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Erayak Revenue vs Competition

Erayak Power Solution is rated fourth in revenue category among its peers. Market size based on revenue of Industrials industry is at this time estimated at about 6.64 Billion. Erayak Power adds roughly 20.32 Million in revenue claiming only tiny portion of equities under Industrials industry.

Erayak Power Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Erayak Power, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Erayak Power will eventually generate negative long term returns. The profitability progress is the general direction of Erayak Power's change in net profit over the period of time. It can combine multiple indicators of Erayak Power, 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 Income368.6 K427.3 K
Net Interest Income-404 K-424.2 K
Operating Income746.8 K709.4 K
Net Income From Continuing Ops1.2 M1.2 M
Income Before Tax1.4 M2.8 M
Total Other Income Expense Net665.2 K698.5 K
Net Income Applicable To Common Shares3.9 M2.4 M
Net Income1.2 M1.2 M
Income Tax Expense193.2 K324.9 K
Interest Income88.1 K45.3 K
Change To Netincome731.3 K767.9 K
Net Income Per Share 0.10  0.15 
Income Quality 5.52  5.80 
Net Income Per E B T 0.86  0.70 

Erayak Profitability Driver Comparison

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

Use Erayak Power 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 Erayak Power 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 Erayak Power will appreciate offsetting losses from the drop in the long position's value.

Erayak Power Pair Trading

Erayak Power Solution Pair Trading Analysis

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

In addition to having Erayak Power 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 Office Supplies Thematic Idea Now

Office Supplies
Office Supplies Theme
Companies producing and selling office supplies, and accessories. The Office Supplies theme has 40 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 Office Supplies Theme or any other thematic opportunities.
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When determining whether Erayak Power Solution offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Erayak Power's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Erayak Power Solution Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Erayak Power Solution Stock:
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You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
To fully project Erayak Power's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Erayak Power Solution 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 Erayak Power's income statement, its balance sheet, and the statement of cash flows.
Potential Erayak Power investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Erayak Power investors may work on each financial statement separately, they are all related. The changes in Erayak Power's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Erayak Power'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.