GEM EBITDA vs. Operating Margin
| 002340 Stock | 6.66 0.03 0.45% |
EBITDA | First Reported 2010-12-31 | Previous Quarter 3.9 B | Current Value 2.6 B | Quarterly Volatility 661.9 M |
For GEM profitability analysis, we use financial ratios and fundamental drivers that measure the ability of GEM to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well GEM Co utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between GEM's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of GEM Co over time as well as its relative position and ranking within its peers.
GEM |
GEM Co Operating Margin vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining GEM's current stock value. Our valuation model uses many indicators to compare GEM value to that of its competitors to determine the firm's financial worth. GEM Co is number one stock in ebitda category among its peers. It also is number one stock in operating margin category among its peers . The ratio of EBITDA to Operating Margin for GEM Co is about 38,323,728,424 . At present, GEM's EBITDA is projected to increase significantly based on the last few years of reporting. Comparative valuation analysis is a catch-all model that can be used if you cannot value GEM by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for GEM's Stock. 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.GEM Operating Margin vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
GEM |
| = | 2.75 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
GEM |
| = | 0.07 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
GEM Operating Margin Comparison
GEM is currently under evaluation in operating margin category among its peers.
GEM Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in GEM, profitability is also one of the essential criteria for including it into their portfolios because, without profit, GEM will eventually generate negative long term returns. The profitability progress is the general direction of GEM's change in net profit over the period of time. It can combine multiple indicators of GEM, 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.
| Last Reported | Projected for Next Year | ||
| Operating Income | 1.7 B | 854.8 M | |
| Income Before Tax | 1.4 B | 1.4 B | |
| Net Income Applicable To Common Shares | 1.1 B | 1.1 B | |
| Net Income | 934.5 M | 981.2 M | |
| Income Tax Expense | 221 M | 232.1 M | |
| Net Income From Continuing Ops | 1.2 B | 804.4 M | |
| Total Other Income Expense Net | 10.1 M | 10.6 M | |
| Net Interest Income | -632.5 M | -664.1 M | |
| Interest Income | 70.1 M | 53.6 M | |
| Change To Netincome | 789.2 M | 686.6 M |
GEM Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on GEM. 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 GEM 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 GEM's important profitability drivers and their relationship over time.
Use GEM 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 GEM 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 GEM will appreciate offsetting losses from the drop in the long position's value.GEM Pair Trading
GEM Co Pair Trading Analysis
The ability to find closely correlated positions to GEM could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace GEM 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 GEM - 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 GEM Co to buy it.
The correlation of GEM 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 GEM moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if GEM Co 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 GEM 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 GEM position
In addition to having GEM 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 Money Funds Thematic Idea Now
Money Funds
Funds or Etfs that invest most if their asset in companies from financial sector such as commercial banks, insurance companies, investment funds, and real estate. The Money Funds theme has 32 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 Money Funds Theme or any other thematic opportunities.
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Other Information on Investing in GEM Stock
To fully project GEM's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of GEM Co 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 GEM's income statement, its balance sheet, and the statement of cash flows.