Fortis Revenue vs. Operating Margin

FTS Stock  CAD 60.19  0.80  1.31%   
Based on Fortis' profitability indicators, Fortis' profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Fortis' ability to earn profits and add value for shareholders.
 
Total Revenue  
First Reported
1997-03-31
Previous Quarter
2.7 B
Current Value
2.8 B
Quarterly Volatility
934.4 M
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
At this time, Fortis' Days Sales Outstanding is very stable compared to the past year. As of the 12th of December 2024, Days Of Sales Outstanding is likely to grow to 61.45, while Price To Sales Ratio is likely to drop 1.30. At this time, Fortis' Income Quality is very stable compared to the past year.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.470.4217
Moderately Up
Very volatile
Net Profit Margin0.07760.1366
Way Down
Slightly volatile
Operating Profit Margin0.180.2678
Way Down
Slightly volatile
Pretax Profit Margin0.10.1797
Way Down
Slightly volatile
Return On Assets0.02780.0239
Fairly Up
Pretty Stable
Return On Equity0.0880.0731
Fairly Up
Pretty Stable
For Fortis profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Fortis to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Fortis Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Fortis's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Fortis Inc 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 Fortis' value and its price as these two are different measures arrived at by different means. Investors typically determine if Fortis is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Fortis' 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.

Fortis Inc Operating Margin vs. Revenue Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Fortis's current stock value. Our valuation model uses many indicators to compare Fortis value to that of its competitors to determine the firm's financial worth.
Fortis Inc is rated as one of the top companies in revenue category among its peers. It also is one of the top stocks in operating margin category among its peers . The ratio of Revenue to Operating Margin for Fortis Inc is about  38,313,373,253 . At this time, Fortis' Total Revenue is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Fortis by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Fortis' 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.

Fortis Revenue vs. Competition

Fortis Inc is rated as one of the top companies in revenue category among its peers. Market size based on revenue of Utilities industry is currently estimated at about 118.48 Billion. Fortis holds roughly 11.52 Billion in revenue claiming about 10% of Utilities industry.

Fortis Operating Margin vs. Revenue

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

Fortis

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
11.52 B
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
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.

Fortis

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.30 %
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.

Fortis Operating Margin Comparison

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

Fortis Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Fortis, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Fortis will eventually generate negative long term returns. The profitability progress is the general direction of Fortis' change in net profit over the period of time. It can combine multiple indicators of Fortis, 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 ReportedProjected for Next Year
Accumulated Other Comprehensive Income653 M685.6 M
Operating Income3.1 B3.2 B
Income Before Tax2.1 B2.2 B
Total Other Income Expense Net-1 B-963.3 M
Net Income1.6 B1.7 B
Income Tax Expense360 M378 M
Net Income From Continuing Ops1.7 B1.3 B
Net Income Applicable To Common Shares1.5 BB
Interest Income76 M72.2 M
Net Interest Income-1.2 B-1.3 B
Change To Netincome378.4 M232.1 M
Net Income Per Share 3.23  3.40 
Income Quality 2.25  2.45 
Net Income Per E B T 0.76  0.58 

Fortis Profitability Driver Comparison

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

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

Fortis Pair Trading

Fortis Inc Pair Trading Analysis

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

In addition to having Fortis 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.

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Disruptive Technologies
Disruptive Technologies Theme
New or established technology companies and funds across multiple sectors that are involved in development or marketing of products or services that experience disruptive trends and that are at the forefront of discussions on Wall Street. The Disruptive Technologies theme has 64 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 Disruptive Technologies Theme or any other thematic opportunities.
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When determining whether Fortis Inc is a strong investment it is important to analyze Fortis' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Fortis' future performance. For an informed investment choice regarding Fortis Stock, refer to the following important reports:
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You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
To fully project Fortis' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Fortis Inc 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 Fortis' income statement, its balance sheet, and the statement of cash flows.
Potential Fortis investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Fortis investors may work on each financial statement separately, they are all related. The changes in Fortis's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Fortis'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.