Woolworths Cash And Equivalents vs. Total Debt
| WOW Stock | 30.37 0.19 0.63% |
Cash And Equivalents | First Reported 2010-12-31 | Previous Quarter 1.3 B | Current Value 1.3 B | Quarterly Volatility 308.7 M |
For Woolworths profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Woolworths to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Woolworths utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Woolworths's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Woolworths over time as well as its relative position and ranking within its peers.
Woolworths |
Woolworths Total Debt vs. Cash And Equivalents Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Woolworths's current stock value. Our valuation model uses many indicators to compare Woolworths value to that of its competitors to determine the firm's financial worth. Woolworths is rated first in cash and equivalents category among its peers. It is rated first in total debt category among its peers making up about 14.73 of Total Debt per Cash And Equivalents. At this time, Woolworths' Cash And Equivalents is comparatively stable compared to the past year. 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 Woolworths' earnings, one of the primary drivers of an investment's value.Woolworths Total Debt 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.
Woolworths |
| = | 1.14 B |
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).
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.
Woolworths |
| = | 16.72 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.
Woolworths Total Debt vs Competition
Woolworths is rated first in total debt category among its peers. Total debt of Consumer Staples industry is at this time estimated at about 3.07 Trillion. Woolworths maintains roughly 16.72 Billion in total debt contributing less than 1% to stocks in Consumer Staples industry.
Woolworths Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Woolworths, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Woolworths will eventually generate negative long term returns. The profitability progress is the general direction of Woolworths' change in net profit over the period of time. It can combine multiple indicators of Woolworths, 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 | -7.6 B | -7.2 B | |
| Operating Income | 1.3 B | 2.2 B | |
| Income Before Tax | 876 M | 1.7 B | |
| Total Other Income Expense Net | -430 M | -451.5 M | |
| Income Tax Expense | 759 M | 745.7 M | |
| Net Income | 108 M | 102.6 M | |
| Net Income Applicable To Common Shares | 1.9 B | 1.9 B | |
| Net Income From Continuing Ops | 117 M | 111.2 M | |
| Interest Income | 32 M | 30.4 M | |
| Net Interest Income | -740 M | -703 M | |
| Change To Netincome | 128.7 M | 135.1 M |
Woolworths Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Woolworths. 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 Woolworths 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 Woolworths' important profitability drivers and their relationship over time.
Use Woolworths 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 Woolworths 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 Woolworths will appreciate offsetting losses from the drop in the long position's value.Woolworths Pair Trading
Woolworths Pair Trading Analysis
The ability to find closely correlated positions to Woolworths could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Woolworths 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 Woolworths - 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 Woolworths to buy it.
The correlation of Woolworths 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 Woolworths moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Woolworths 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 Woolworths 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 Woolworths position
In addition to having Woolworths 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 Woolworths Stock Analysis
When running Woolworths' price analysis, check to measure Woolworths' 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 Woolworths is operating at the current time. Most of Woolworths' value examination focuses on studying past and present price action to predict the probability of Woolworths' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Woolworths' price. Additionally, you may evaluate how the addition of Woolworths to your portfolios can decrease your overall portfolio volatility.