Welspun Investments EBITDA vs. Return On Equity
| WELINV Stock | 919.30 27.55 3.09% |
EBITDA | First Reported 2010-12-31 | Previous Quarter 37.2 M | Current Value 39 M | Quarterly Volatility 49.7 M |
For Welspun Investments profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Welspun Investments to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Welspun Investments and utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Welspun Investments's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Welspun Investments and over time as well as its relative position and ranking within its peers.
Welspun |
Welspun Investments and Return On Equity vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Welspun Investments's current stock value. Our valuation model uses many indicators to compare Welspun Investments value to that of its competitors to determine the firm's financial worth. Welspun Investments and is rated first in ebitda category among its peers. It is rated first in return on equity category among its peers . The ratio of EBITDA to Return On Equity for Welspun Investments and is about 5,546,119,403 . At present, Welspun Investments' EBITDA is projected to increase significantly based on the last few years of reporting. Comparative valuation analysis is a catch-all model that can be used if you cannot value Welspun Investments by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Welspun Investments' Stock. 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.Welspun Return On Equity 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.
Welspun Investments |
| = | 37.16 M |
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.
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.
Welspun Investments |
| = | 0.0067 |
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.
Welspun Return On Equity Comparison
Welspun Investments is currently under evaluation in return on equity category among its peers.
Welspun Investments Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Welspun Investments, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Welspun Investments will eventually generate negative long term returns. The profitability progress is the general direction of Welspun Investments' change in net profit over the period of time. It can combine multiple indicators of Welspun Investments, 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 Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 4.3 B | 4.5 B | |
| Operating Income | 40.3 M | 42.4 M | |
| Income Before Tax | 37.2 M | 39 M | |
| Total Other Income Expense Net | -3.2 M | -3 M | |
| Net Income | 27.8 M | 29.1 M | |
| Income Tax Expense | 9.4 M | 4.7 M | |
| Net Income From Continuing Ops | 27.8 M | 29.1 M | |
| Net Income Applicable To Common Shares | 28.4 M | 29.8 M | |
| Net Interest Income | 1.4 M | 1.3 M | |
| Interest Income | 1.4 M | 1.3 M | |
| Change To Netincome | -34.1 M | -32.4 M |
Welspun Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Welspun Investments. 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 Welspun Investments 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 Welspun Investments' important profitability drivers and their relationship over time.
Use Welspun Investments 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 Welspun Investments 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 Welspun Investments will appreciate offsetting losses from the drop in the long position's value.Welspun Investments Pair Trading
Welspun Investments and Pair Trading Analysis
The ability to find closely correlated positions to Welspun Investments could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Welspun Investments 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 Welspun Investments - 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 Welspun Investments and to buy it.
The correlation of Welspun Investments 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 Welspun Investments moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Welspun Investments and 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 Welspun Investments 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 Welspun Investments position
In addition to having Welspun Investments 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 Measuring and Control Equipment Thematic Idea Now
Measuring and Control Equipment
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Measuring and Control 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 Measuring and Control Equipment Theme or any other thematic opportunities.
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Other Information on Investing in Welspun Stock
To fully project Welspun Investments' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Welspun Investments and 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 Welspun Investments' income statement, its balance sheet, and the statement of cash flows.