5 Mid-Cap Stocks Effectively Using Capital To Generate Profit

  on Aug 16,2012 Posted in Finance ,Investment Ideas ,Premium
 
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Return on investment or simply ROI, expressed usually as a percentage, is a measure of a corporation’s profitability. It is calculated as a fiscal year’s income divided by common stock and preferred stock equity plus long-term debt. The ratio measures how effectively the firm uses its capital to generate income; the higher the ROI, the better.

ROI is not always the same as profit. The ratio deals with the amount you invest in the company and the income you realize on that money based on the earnings of the business. Profit, on the other hand, is used to measure the performance of the business.

Sirius XM Radio Inc (NASDAQ:SIRI) was able to keep return on investment at 55.24% in the trailing twelve months. Its latest closing price was up +24.95% from the average-price of 200 days while it kept its distance from the SMA50 at +24.32% and +14.71% compared with the SMA 20. SIRI provides satellite radio services in the United States and Canada.

Elan Corporation, plc (ADR) (NYSE:ELN) operates as a neuroscience-based biotechnology company in the United States, Ireland, and internationally. Elan Corporation, plc maintained return on investment for the last twelve months at 32.90%. Its latest closing price was down -8.14% from the average-price of 200 days while it maintained a distance from the SMA 50 at -8.79% and +0.34% compared with the SMA 20.

In the last 12 months, Michael Kors Holdings Ltd (NYSE:KORS) generated 43.2% in income from investments. The stock’s latest price traded at 110.08% off 52 week lows after the closing bell yesterday and was 2.56% behind its 52 week high. KORS engages in the design, marketing, distribution, and retail of branded women’s apparel and accessories, and men’s apparel.

Lululemon Athletica inc (NASDAQ:LULU) together with its subsidiaries, designs, manufactures, and distributes athletic apparel for women, men, and female youth. Lululemon Athletica inc over the previous 12 months has kept return on investment at 33.97%. The stock’s latest closing price was -4.70% down from the average-price of 200 days while it kept its distance from the SMA50 at -0.52% and +3.28% compared with the SMA 20.

Fossil, Inc (NASDAQ:FOSL) has been able to maintain return on investment at 25.22% for the last twelve months. The stock was up 38.79% from its 52 week low and was 37.41% below the 52 week high. FOSL designs, develops, markets, and distributes consumer fashion accessories worldwide.

Disclosure: Opinions expressed in this article are those of the authors alone who have no stake in any stocks mentioned, and did not plan to acquire any stake within the next 72 hours.

 



 

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