Dixons Carphone Profit Margin vs. Current Valuation
| DSITF Stock | USD 1.18 0.01 0.85% |
For Dixons Carphone profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Dixons Carphone to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Dixons Carphone plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Dixons Carphone's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Dixons Carphone plc over time as well as its relative position and ranking within its peers.
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Dixons Carphone plc Current Valuation vs. Profit Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Dixons Carphone's current stock value. Our valuation model uses many indicators to compare Dixons Carphone value to that of its competitors to determine the firm's financial worth. Dixons Carphone plc is one of the top stocks in profit margin category among its peers. It also is rated as one of the top companies in current valuation category among its peers . The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Dixons Carphone's earnings, one of the primary drivers of an investment's value.Dixons Current Valuation vs. Profit Margin
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
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| = | (0.05) % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Dixons Carphone |
| = | 2.5 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Dixons Current Valuation vs Competition
Dixons Carphone plc is rated as one of the top companies in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Specialty Retail industry is currently estimated at about 78.16 Billion. Dixons Carphone holds roughly 2.5 Billion in current valuation claiming about 3% of equities listed under Specialty Retail industry.
Dixons Carphone Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Dixons Carphone, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Dixons Carphone will eventually generate negative long term returns. The profitability progress is the general direction of Dixons Carphone's change in net profit over the period of time. It can combine multiple indicators of Dixons Carphone, 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.
Dixons Carphone plc operates as a consumer electrical and mobile retailer and service company. Dixons Carphone plc was founded in 1937 and is headquartered in London, the United Kingdom. Dixons Carphone is traded on OTC Exchange in the United States.
Dixons Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Dixons Carphone. 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 Dixons Carphone 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 Dixons Carphone's important profitability drivers and their relationship over time.
Use Dixons Carphone 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 Dixons Carphone 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 Dixons Carphone will appreciate offsetting losses from the drop in the long position's value.Dixons Carphone Pair Trading
Dixons Carphone plc Pair Trading Analysis
The ability to find closely correlated positions to Dixons Carphone could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Dixons Carphone 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 Dixons Carphone - 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 Dixons Carphone plc to buy it.
The correlation of Dixons Carphone 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 Dixons Carphone moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Dixons Carphone plc 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 Dixons Carphone 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 Dixons Carphone position
In addition to having Dixons Carphone 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?
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ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Sector ETFs theme has 439 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 Sector ETFs Theme or any other thematic opportunities.
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Other Information on Investing in Dixons Pink Sheet
To fully project Dixons Carphone's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Dixons Carphone plc 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 Dixons Carphone's income statement, its balance sheet, and the statement of cash flows.