Reitmans Canada Profitability Analysis

RTMAF -  USA Stock  

USD 0.35  0.00  0.00%

For Reitmans Canada profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Reitmans Canada to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Reitmans Canada utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Reitmans Canada's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Reitmans Canada over time as well as its relative position and ranking within its peers. Additionally, take a look at Your Equity Center.

Search Current Profitability Trends 

 
Refresh
The market value of Reitmans Canada is measured differently than its book value, which is the value of Reitmans that is recorded on the company's balance sheet. Investors also form their own opinion of Reitmans Canada's value that differs from its market value or its book value, called intrinsic value, which is Reitmans Canada's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Reitmans Canada's market value can be influenced by many factors that don't directly affect Reitmans Canada underlying business (such as pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Reitmans Canada's value and its price as these two are different measures arrived at by different means. Investors typically determine Reitmans Canada value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Reitmans Canada's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Reitmans Canada Return On Equity vs. Return On Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Reitmans Canada's current stock value. Our valuation model uses many indicators to compare Reitmans Canada value to that of its competitors to determine the firm's financial worth.
Reitmans Canada is rated below average in return on asset category among related companies. It is rated below average in return on equity category among related companies .

Reitmans Return On Equity vs. Return On Asset

Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Reitmans Canada 
Return on Asset 
 = 
Net Income 
Total Assets 
X
100 
(8.35) %
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
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.
Reitmans Canada 
Return on Equity 
 = 
Net Income 
Total Equity 
X
100 
(76.24) %
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.

Reitmans Return On Equity Comparison

Reitmans Canada is currently under evaluation in return on equity category among related companies.

Reitmans Canada Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Reitmans Canada, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Reitmans Canada will eventually generate negative long term returns. The profitability progress is the general direction of Reitmans Canada's change in net profit over the period of time. It can combine multiple indicators of Reitmans Canada, 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.
Reitmans Limited primarily engages in the retail sale of womens wear apparel in Canada. The companys products include shirts, blouses, pants, dresses, skirts, sweaters, outerwear, activewear, lingerie, footwear, and accessories. It also offers apparel for men. The company serves customers through retail and e-commerce channels. As of October 31, 2020, it operated 418 stores, including 247 Reitmans, 92 Penningtons, and 79 RWCO. The company was founded in 1926 and is based in Montreal, Canada.

Reitmans Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Reitmans Canada. 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 Reitmans Canada 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 Reitmans Canada's important profitability drivers and their relationship over time.

Use Reitmans Canada 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 Reitmans Canada 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 Reitmans Canada will appreciate offsetting losses from the drop in the long position's value.

Reitmans Canada Pair Trading

Reitmans Canada Pair Trading Analysis

Correlation analysis and pair trading evaluation for Reitmans Canada and Amazon Inc. Pair trading can be used as a hedging technique within a particular sector or industry or even over random equities to generate better risk-adjusted return
Run Pair Correlation  

Use Investing Themes to Complement your Reitmans Canada position

In addition to having Reitmans Canada 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 Junk Bonds Thematic Idea Now

Junk Bonds
Junk Bonds Theme
Funds or Etfs that invest most of their assets into speculative (junk) bonds or to other fixed income instruments with interest rates 3 to 4 percentage points above government issues. Junk Bonds theme has 40 constituents.
View All  Next Launch Junk Bonds
Additionally, take a look at Your Equity Center. Note that the Reitmans Canada information on this page should be used as a complementary analysis to other Reitmans Canada's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.

Complementary Tools for Reitmans OTC Stock analysis

When running Reitmans Canada price analysis, check to measure Reitmans Canada'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 Reitmans Canada is operating at the current time. Most of Reitmans Canada's value examination focuses on studying past and present price action to predict the probability of Reitmans Canada's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Reitmans Canada's price. Additionally, you may evaluate how the addition of Reitmans Canada to your portfolios can decrease your overall portfolio volatility.
Bond Directory
Find actively traded corporate debentures issued by US companies
Go
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Go
Competition Analyzer
Analyze and compare many basic indicators for a group of related or unrelated entities
Go
Equity Analysis
Research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities
Go
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Go
Equity Valuation
Check real value of public entities based on technical and fundamental data
Go
To fully project Reitmans Canada's future profitability" href="/future-stock-price/RTMAF">future profitability, investors should examine all historical financial statements" href="/financial-statements/RTMAF">financial statements. These statements provide investors with a comprehensive snapshot of the financial position" href="/financial-statements/RTMAF">financial position of Reitmans Canada at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements" href="/financial-statements/RTMAF">financial statements. These documents include Reitmans Canada's income statement, its balance sheet, and the statement of cash flows.
Potential Reitmans Canada investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Reitmans Canada investors may work on each financial statement separately, they are all related. The changes in Reitmans Canada's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Reitmans Canada's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.