Konecranes Plc Return On Equity vs. Current Valuation
| KNCRF Stock | USD 59.10 6.60 12.57% |
For Konecranes Plc profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Konecranes Plc to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Konecranes Plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Konecranes Plc's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Konecranes Plc over time as well as its relative position and ranking within its peers.
Konecranes |
Konecranes Plc Current Valuation vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Konecranes Plc's current stock value. Our valuation model uses many indicators to compare Konecranes Plc value to that of its competitors to determine the firm's financial worth. Konecranes Plc is rated third overall in return on equity category among related companies. It is considered the number one company in current valuation category among related companies reporting about 32,194,654,163 of Current Valuation per Return On Equity. Comparative valuation analysis is a catch-all model that can be used if you cannot value Konecranes Plc by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Konecranes Plc'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. 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 Konecranes Plc's earnings, one of the primary drivers of an investment's value.Konecranes Current Valuation vs. Return On Equity
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.
Konecranes Plc |
| = | 0.0992 |
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.
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.
Konecranes Plc |
| = | 3.19 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.
Konecranes Current Valuation vs Competition
Konecranes Plc is considered the number one company in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Farm & Heavy Construction Machinery industry is now estimated at about 9.13 Billion. Konecranes Plc totals roughly 3.19 Billion in current valuation claiming about 35% of equities under Farm & Heavy Construction Machinery industry.
Konecranes Plc Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Konecranes Plc, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Konecranes Plc will eventually generate negative long term returns. The profitability progress is the general direction of Konecranes Plc's change in net profit over the period of time. It can combine multiple indicators of Konecranes Plc, 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.
Konecranes Plc manufactures, sells, and services cranes, lifting equipment, and machine tools worldwide. Konecranes Plc was founded in 1910 and is headquartered in Hyvink, Finland. Konecranes Plc operates under Farm Heavy Construction Machinery classification in the United States and is traded on OTC Exchange. It employs 16610 people.
Konecranes Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Konecranes Plc. 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 Konecranes Plc 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 Konecranes Plc's important profitability drivers and their relationship over time.
Use Konecranes Plc 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 Konecranes Plc 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 Konecranes Plc will appreciate offsetting losses from the drop in the long position's value.Konecranes Plc Pair Trading
Konecranes Plc Pair Trading Analysis
The ability to find closely correlated positions to Konecranes Plc could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Konecranes Plc 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 Konecranes Plc - 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 Konecranes Plc to buy it.
The correlation of Konecranes Plc 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 Konecranes Plc moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Konecranes Plc 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 Konecranes Plc 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 Konecranes Plc position
In addition to having Konecranes Plc 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 Cryptocurrency Thematic Idea Now
Cryptocurrency
Dynamically computed list of top cryptocurrencies sorted bymarket capitalization. The Cryptocurrency theme has 50 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 Cryptocurrency Theme or any other thematic opportunities.
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Check out Correlation Analysis. You can also try the Equity Valuation module to check real value of public entities based on technical and fundamental data.
Complementary Tools for Konecranes Pink Sheet analysis
When running Konecranes Plc's price analysis, check to measure Konecranes Plc'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 Konecranes Plc is operating at the current time. Most of Konecranes Plc's value examination focuses on studying past and present price action to predict the probability of Konecranes Plc's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Konecranes Plc's price. Additionally, you may evaluate how the addition of Konecranes Plc to your portfolios can decrease your overall portfolio volatility.
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To fully project Konecranes Plc's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Konecranes Plc 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 Konecranes Plc's income statement, its balance sheet, and the statement of cash flows.