Sumitomo Electric EBITDA vs. Total Debt
| SMTOY Stock | USD 18.61 0.16 0.85% |
For Sumitomo Electric profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Sumitomo Electric to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Sumitomo Electric Industries utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Sumitomo Electric's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Sumitomo Electric Industries over time as well as its relative position and ranking within its peers.
Sumitomo |
Sumitomo Electric Total Debt vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Sumitomo Electric's current stock value. Our valuation model uses many indicators to compare Sumitomo Electric value to that of its competitors to determine the firm's financial worth. Sumitomo Electric Industries is currently regarded as top stock in ebitda category among its peers. It also is currently regarded number one company in total debt category among its peers making up about 0.92 of Total Debt per EBITDA. The ratio of EBITDA to Total Debt for Sumitomo Electric Industries is roughly 1.09 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Sumitomo Electric by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Sumitomo Electric's Pink Sheet. 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.Sumitomo Total Debt vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
Sumitomo Electric |
| = | 333.44 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.
Sumitomo Electric |
| = | 307.09 B |
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
Sumitomo Total Debt vs Competition
Sumitomo Electric Industries is currently regarded number one company in total debt category among its peers. Total debt of Auto Parts industry is at this time estimated at about 340.52 Billion. Sumitomo Electric totals roughly 307.09 Billion in total debt claiming about 90% of stocks in Auto Parts industry.
Sumitomo Electric Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Sumitomo Electric, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Sumitomo Electric will eventually generate negative long term returns. The profitability progress is the general direction of Sumitomo Electric's change in net profit over the period of time. It can combine multiple indicators of Sumitomo Electric, 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.
Sumitomo Electric Industries, Ltd. manufactures and sells electric wires and cables worldwide. The company was founded in 1897 and is headquartered in Osaka, Japan. Sumitomo Electric operates under Auto Parts classification in the United States and is traded on OTC Exchange. It employs 281075 people.
Sumitomo Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Sumitomo Electric. 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 Sumitomo Electric 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 Sumitomo Electric's important profitability drivers and their relationship over time.
Use Sumitomo Electric 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 Sumitomo Electric 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 Sumitomo Electric will appreciate offsetting losses from the drop in the long position's value.Sumitomo Electric Pair Trading
Sumitomo Electric Industries Pair Trading Analysis
The ability to find closely correlated positions to Sumitomo Electric could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sumitomo Electric 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 Sumitomo Electric - 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 Sumitomo Electric Industries to buy it.
The correlation of Sumitomo Electric 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 Sumitomo Electric moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sumitomo Electric 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 Sumitomo Electric 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 Sumitomo Electric position
In addition to having Sumitomo Electric 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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Additional Tools for Sumitomo Pink Sheet Analysis
When running Sumitomo Electric's price analysis, check to measure Sumitomo Electric'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 Sumitomo Electric is operating at the current time. Most of Sumitomo Electric's value examination focuses on studying past and present price action to predict the probability of Sumitomo Electric's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Sumitomo Electric's price. Additionally, you may evaluate how the addition of Sumitomo Electric to your portfolios can decrease your overall portfolio volatility.