The Return On Equity is a ratio that determines how well a firm generates profit based on investments. This often makes it the ‘mother of all ratios’ in the eyes of traders looking at how well a company is operating. For BSM Technologies Inc. (TSXV:$GPS) the ROE sits at 0.067564.
ROE is not the only ratio available to investors, however. Another popular ratio is the Return on Assets. This ratio is used to indicate how much profit is generated based on the company’s total assets. The number is calculated by dividing net income after tax by the company’s total assets, meaning that a higher ROA would indicate a company that manages their assets well, whereas the opposite would be true for a low ROA. BSM currently sits at an ROA of 0.057544.
Another popular ratio is the Return on Invested Capital. The ROIC is a measure of whether a company is profitable or not and is discovered by dividing the net operating profit by the employed capital. BSM currently has a ROIC of -0.016987. The ROIC Quality of BSM, which is determined by dividing the 5-year ROIC by the 5-year average, currently sits at 1.077104.
BSM also has a Shareholder Yield of 0.78% and a Shareholder Yield (Mebane Faber) of 5.35%. The Shareholder Yield is a helpful way to visualize how much money the firm is giving back to shareholders.
What about the Quant Scores, though?
BSM currently has a Value Composite of 39. This rating runs from 1 to 100 whereas numbers near 1 are considered undervalued, whereas numbers closer to 100 are considered overvalued.
The company also has a Gross Margin score of 58. This score runs from 1 to 100, with 1 indicating positive and 100 indicating negative.
The firm has an MF Rank of 10963. This indicator, developed by Joel Greenblatt, is used to spot high-quality companies that are trading at a good price. In this measurement, lower combined ranks are considered higher quality picks.
Lastly, we can look at the ERP5 Rank. Ths ranking helps investors to spot companies that are undervalued, with lower values being considered better. BSM currently has an ERP5 rank of 10662.
We can also take a look at the Volatility and Price Index.
Stock volatility is a good measure of desirable stocks. BSM currently has a 3-month Volatility of 36.2666, a 6-month Volatility of 37.1931, and a 12-month Volatility of 36.8257. The company also has a 10-month price index of 1.13333. This number is determined by dividing the current share price by the share price of 10 months ago. That would mean that a ratio over 1 indicates a price increase over the time period, while a ratio below 1 indicates the opposite.
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