Atlas Corp Current Ratio vs. Operating Margin

ATCO-PH Preferred Stock  USD 25.06  0.02  0.08%   
Considering Atlas Corp's profitability and operating efficiency indicators, Atlas Corp may not be well positioned to generate adequate gross income at this time. It has a very high risk of underperforming in January. Profitability indicators assess Atlas Corp's ability to earn profits and add value for shareholders.
For Atlas Corp profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Atlas Corp to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Atlas Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Atlas Corp's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Atlas Corp over time as well as its relative position and ranking within its peers.
  
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For more detail on how to invest in Atlas Preferred Stock please use our How to Invest in Atlas Corp guide.
Please note, there is a significant difference between Atlas Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Atlas Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Atlas Corp'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.

Atlas Corp Operating Margin vs. Current Ratio Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Atlas Corp's current stock value. Our valuation model uses many indicators to compare Atlas Corp value to that of its competitors to determine the firm's financial worth.
Atlas Corp is number one stock in current ratio category among its peers. It also is number one stock in operating margin category among its peers reporting about  0.76  of Operating Margin per Current Ratio. The ratio of Current Ratio to Operating Margin for Atlas Corp is roughly  1.32 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Atlas Corp by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Atlas Corp's Preferred 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.

Atlas Operating Margin vs. Current Ratio

Current Ratio is calculated by dividing the Current Assets of a company by its Current Liabilities. It measures whether or not a company has enough cash or liquid assets to pay its current liability over the next fiscal year. The ratio is regarded as a test of liquidity for a company.

Atlas Corp

Current Ratio

 = 

Current Asset

Current Liabilities

 = 
0.62 X
Typically, short-term creditors will prefer a high current ratio because it reduces their overall risk. However, investors may prefer a lower current ratio since they are more concerned about growing the business using assets of the company. Acceptable current ratios may vary from one sector to another, but the generally accepted benchmark is to have current assets at least as twice as current liabilities (i.e., Current Ration of 2 to 1).
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.

Atlas Corp

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.47 %
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.

Atlas Operating Margin Comparison

Atlas Corp is currently under evaluation in operating margin category among its peers.

Atlas Corp Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Atlas Corp, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Atlas Corp will eventually generate negative long term returns. The profitability progress is the general direction of Atlas Corp's change in net profit over the period of time. It can combine multiple indicators of Atlas Corp, 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.
The company, through its subsidiaries, operates as an independent charter owner and manager of containerships. Atlas Corp. was incorporated in 2019 and is based in Vancouver, Canada. Atlas Corp is traded on New York Stock Exchange in the United States.

Atlas Profitability Driver Comparison

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

Use Atlas Corp 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 Atlas Corp 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 Atlas Corp will appreciate offsetting losses from the drop in the long position's value.

Atlas Corp Pair Trading

Atlas Corp Pair Trading Analysis

The ability to find closely correlated positions to Atlas Corp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Atlas Corp 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 Atlas Corp - 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 Atlas Corp to buy it.
The correlation of Atlas Corp 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 Atlas Corp moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Atlas Corp 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 Atlas Corp 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Atlas Corp position

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Treasury ETFs Theme
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Other Information on Investing in Atlas Preferred Stock

To fully project Atlas Corp's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Atlas Corp 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 Atlas Corp's income statement, its balance sheet, and the statement of cash flows.
Potential Atlas Corp investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Atlas Corp investors may work on each financial statement separately, they are all related. The changes in Atlas Corp's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Atlas Corp'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.