Truworths International Current Valuation vs. Cash Flow From Operations
| TRU Stock | 10,518 58.00 0.55% |
For Truworths International profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Truworths International to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Truworths International utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Truworths International's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Truworths International over time as well as its relative position and ranking within its peers.
Truworths |
Truworths International Cash Flow From Operations vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Truworths International's current stock value. Our valuation model uses many indicators to compare Truworths International value to that of its competitors to determine the firm's financial worth. Truworths International is rated below average in current valuation category among its peers. It also is rated below average in cash flow from operations category among its peers making about 0.08 of Cash Flow From Operations per Current Valuation. The ratio of Current Valuation to Cash Flow From Operations for Truworths International is roughly 12.83 . 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 Truworths International's earnings, one of the primary drivers of an investment's value.Truworths Current Valuation vs. Competition
Truworths International is rated below average in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Apparel Retail industry is at this time estimated at about 118.56 Billion. Truworths International totals roughly 24.4 Billion in current valuation claiming about 21% of stocks in Apparel Retail industry.
Truworths Cash Flow From Operations vs. Current Valuation
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Truworths International |
| = | 24.4 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.
Truworths International |
| = | 1.9 B |
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.
Truworths Cash Flow From Operations Comparison
Truworths International is rated below average in cash flow from operations category among its peers.
Truworths Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Truworths International. 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 Truworths International 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 Truworths International's important profitability drivers and their relationship over time.
Use Truworths International 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 Truworths International 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 Truworths International will appreciate offsetting losses from the drop in the long position's value.Truworths International Pair Trading
Truworths International Pair Trading Analysis
The ability to find closely correlated positions to Truworths International could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Truworths International 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 Truworths International - 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 Truworths International to buy it.
The correlation of Truworths International 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 Truworths International moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Truworths International 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 Truworths International 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 Truworths International position
In addition to having Truworths International 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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Market Neutral Funds
Funds or Etfs that invest in both long and short positions of different entities to enhance returns from broad market movements over time. The Market Neutral Funds theme has 41 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 Market Neutral Funds Theme or any other thematic opportunities.
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Other Information on Investing in Truworths Stock
To fully project Truworths International's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Truworths International 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 Truworths International's income statement, its balance sheet, and the statement of cash flows.