Now Operating Margin vs. EBITDA
| DNOW Stock | USD 15.13 0.01 0.07% |
Now Operating Profit Margin |
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| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.16 | 0.2305 |
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For Now profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Now to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Now Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Now's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Now Inc over time as well as its relative position and ranking within its peers.
Now |
Is Trading Companies & Distributors 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 Now. If investors know Now 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 Now listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.62) | Earnings Share 1.87 | Revenue Per Share 22.136 | Quarterly Revenue Growth 0.031 | Return On Assets 0.0595 |
The market value of Now Inc is measured differently than its book value, which is the value of Now that is recorded on the company's balance sheet. Investors also form their own opinion of Now's value that differs from its market value or its book value, called intrinsic value, which is Now'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 Now's market value can be influenced by many factors that don't directly affect Now'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 Now's value and its price as these two are different measures arrived at by different means. Investors typically determine if Now is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Now'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.
Now Inc EBITDA vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Now's current stock value. Our valuation model uses many indicators to compare Now value to that of its competitors to determine the firm's financial worth. Now Inc is rated below average in operating margin category among its peers. It is rated below average in ebitda category among its peers totaling about 3,009,174,312 of EBITDA per Operating Margin. At this time, Now's Operating Profit Margin is fairly stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Now 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.Now EBITDA vs. Operating Margin
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.
Now |
| = | 0.05 % |
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.
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.
Now |
| = | 164 M |
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.
Now EBITDA Comparison
Now is currently under evaluation in ebitda category among its peers.
Now Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Now, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Now will eventually generate negative long term returns. The profitability progress is the general direction of Now's change in net profit over the period of time. It can combine multiple indicators of Now, 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 | ||
| Accumulated Other Comprehensive Income | -145 M | -152.2 M | |
| Operating Income | 140 M | 147 M | |
| Income Before Tax | 138 M | 144.9 M | |
| Total Other Income Expense Net | -2 M | -2.1 M | |
| Net Income Applicable To Common Shares | 115.2 M | 121 M | |
| Net Income | 248 M | 260.4 M | |
| Income Tax Expense | -110 M | -104.5 M | |
| Net Income From Continuing Ops | 248 M | 260.4 M | |
| Interest Income | 11.5 M | 10.1 M | |
| Non Operating Income Net Other | 9.2 M | 9.7 M | |
| Change To Netincome | 28.8 M | 27.4 M | |
| Net Income Per Share | 2.30 | 2.41 | |
| Income Quality | 0.76 | 0.80 | |
| Net Income Per E B T | 1.79 | 1.88 |
Now Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Now. 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 Now 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 Now's important profitability drivers and their relationship over time.
Use Now 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 Now 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 Now will appreciate offsetting losses from the drop in the long position's value.Now Pair Trading
Now Inc Pair Trading Analysis
The ability to find closely correlated positions to Now could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Now 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 Now - 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 Now Inc to buy it.
The correlation of Now 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 Now moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Now Inc 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 Now 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 Now position
In addition to having Now 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 Hedge Favorites Thematic Idea Now
Hedge Favorites
Hedge Funds pool capital from accredited individuals or institutional investors and invest in a variety of assets, often with complex portfolio-construction and risk-management techniques. The Hedge Favorites theme has 37 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 Hedge Favorites Theme or any other thematic opportunities.
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Additional Tools for Now Stock Analysis
When running Now's price analysis, check to measure Now'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 Now is operating at the current time. Most of Now's value examination focuses on studying past and present price action to predict the probability of Now's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Now's price. Additionally, you may evaluate how the addition of Now to your portfolios can decrease your overall portfolio volatility.