Senmiao Technology Return On Equity vs. Return On Asset
| AIHS Stock | USD 2.15 0.18 7.73% |
For Senmiao Technology profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Senmiao Technology to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Senmiao Technology utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Senmiao Technology's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Senmiao Technology over time as well as its relative position and ranking within its peers.
Check out Trending Equities. Is Consumer Finance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Senmiao Technology. If investors know Senmiao will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Senmiao Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Senmiao Technology is measured differently than its book value, which is the value of Senmiao that is recorded on the company's balance sheet. Investors also form their own opinion of Senmiao Technology's value that differs from its market value or its book value, called intrinsic value, which is Senmiao Technology'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 Senmiao Technology's market value can be influenced by many factors that don't directly affect Senmiao Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Senmiao Technology's value and its price as these two are different measures arrived at by different means. Investors typically determine if Senmiao Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Senmiao Technology'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.
Senmiao Technology Return On Asset vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Senmiao Technology's current stock value. Our valuation model uses many indicators to compare Senmiao Technology value to that of its competitors to determine the firm's financial worth. Senmiao Technology is rated second in return on equity category among its peers. It also is rated second in return on asset category among its peers . Comparative valuation analysis is a catch-all technique that is used if you cannot value Senmiao Technology by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Senmiao Return On Asset 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.
Senmiao Technology |
| = | -1.42 |
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.
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.
Senmiao Technology |
| = | -0.31 |
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.
Senmiao Return On Asset Comparison
Senmiao Technology is currently under evaluation in return on asset category among its peers.
Senmiao Technology Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Senmiao Technology, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Senmiao Technology will eventually generate negative long term returns. The profitability progress is the general direction of Senmiao Technology's change in net profit over the period of time. It can combine multiple indicators of Senmiao Technology, 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.
Senmiao Technology Limited engages in the automobile transaction and related services business in the Peoples Republic of China. The company was founded in 2014 and is headquartered in Chengdu, the Peoples Republic of China. Senmiao Technology operates under Credit Services classification in the United States and is traded on NASDAQ Exchange. It employs 151 people.
Senmiao Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Senmiao Technology. 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 Senmiao Technology 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 Senmiao Technology's important profitability drivers and their relationship over time.
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Computers
Companies that manufacture and distribute personal and business computers. The Computers theme has 37 constituents at this time.
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Additional Tools for Senmiao Stock Analysis
When running Senmiao Technology's price analysis, check to measure Senmiao Technology'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 Senmiao Technology is operating at the current time. Most of Senmiao Technology's value examination focuses on studying past and present price action to predict the probability of Senmiao Technology's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Senmiao Technology's price. Additionally, you may evaluate how the addition of Senmiao Technology to your portfolios can decrease your overall portfolio volatility.