| EQB Stock | | | CAD 106.73 7.66 7.73% |
Based on the measurements of profitability obtained from Equitable's financial statements, Equitable Group is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in February. Profitability indicators assess Equitable's ability to earn profits and add value for shareholders. At this time, Equitable's
Price To Sales Ratio is very stable compared to the past year. As of the 7th of January 2025,
Price Sales Ratio is likely to grow to 4.44, while
Days Sales Outstanding is likely to drop 642.40. At this time, Equitable's
Operating Income is very stable compared to the past year. As of the 7th of January 2025,
Income Before Tax is likely to grow to about 727.5
M, while
Accumulated Other Comprehensive Income is likely to drop (4.9
M).
For Equitable profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Equitable to generate income relative to revenue, assets, operating costs, and current equity. These
fundamental indicators attest to how well Equitable Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Equitable's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Equitable Group over time as well as its relative position and ranking within its peers.
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Please note, there is a significant difference between Equitable's value and its price as these two are different measures arrived at by different means. Investors typically determine if Equitable is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Equitable'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.
Equitable Group Gross Profit vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Equitable's current stock value. Our valuation model uses many indicators to compare Equitable value to that of its competitors to determine the firm's financial worth.
Equitable Group is rated
# 2 in current valuation category among its peers. It is rated
# 4 in gross profit category among its peers fabricating about
0.04 of Gross Profit per Current Valuation. The ratio of Current Valuation to Gross Profit for Equitable Group is roughly
25.57 . At this time, Equitable's Gross Profit is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Equitable by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Equitable'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.
Equitable Current Valuation vs. Competition
Equitable Group is rated
# 2 in current valuation category among its peers. After adjusting for long-term liabilities,
total market size of
Financials industry is currently estimated at about 108.86 Billion. Equitable retains roughly 19.05 Billion in current valuation claiming about 18% of equities under Financials industry.
Equitable Gross Profit vs. Current Valuation
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.
Equitable | Enterprise Value | = | Market Cap + Debt | - | Cash |
| = | 19.05 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.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Equitable | Gross Profit | = | Revenue | - | Cost of Revenue |
| = | 744.93 M |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Equitable Gross Profit Comparison
Equitable is currently under evaluation in gross profit category among its peers.
Equitable Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Equitable, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Equitable will eventually generate negative long term returns. The profitability progress is the general direction of Equitable's change in net profit over the period of time. It can combine
multiple indicators of Equitable, 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.
Equitable Profitability Driver Comparison
Profitability drivers are factors that can directly affect your
investment outlook on Equitable. 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 Equitable 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 Equitable's important profitability drivers and their relationship over time.
Use Equitable 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 Equitable 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 Equitable will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to Equitable could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Equitable 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 Equitable - 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 Equitable Group to buy it.
The correlation of Equitable 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 Equitable moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Equitable Group 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 Equitable 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 Equitable position
In addition to having Equitable 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.
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.
Other Information on Investing in Equitable Stock
To fully project Equitable's
future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the
financial position of Equitable Group 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 Equitable's income statement, its balance sheet, and the statement of cash flows.
Potential Equitable investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Equitable investors may work on each financial statement separately, they are all related. The changes in Equitable's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Equitable'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.
