Hawthorn Bancshares Price To Book vs. Profit Margin

HWBK Stock  USD 28.61  0.10  0.35%   
Based on Hawthorn Bancshares' profitability indicators, Hawthorn Bancshares may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in April. Profitability indicators assess Hawthorn Bancshares' ability to earn profits and add value for shareholders.
For Hawthorn Bancshares profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hawthorn Bancshares to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hawthorn Bancshares utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hawthorn Bancshares's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hawthorn Bancshares over time as well as its relative position and ranking within its peers.
  
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Is Regional Banks 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 Hawthorn Bancshares. If investors know Hawthorn 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 Hawthorn Bancshares listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Hawthorn Bancshares is measured differently than its book value, which is the value of Hawthorn that is recorded on the company's balance sheet. Investors also form their own opinion of Hawthorn Bancshares' value that differs from its market value or its book value, called intrinsic value, which is Hawthorn Bancshares' 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 Hawthorn Bancshares' market value can be influenced by many factors that don't directly affect Hawthorn Bancshares' 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 Hawthorn Bancshares' value and its price as these two are different measures arrived at by different means. Investors typically determine if Hawthorn Bancshares is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hawthorn Bancshares' 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.

Hawthorn Bancshares Profit Margin vs. Price To Book Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Hawthorn Bancshares's current stock value. Our valuation model uses many indicators to compare Hawthorn Bancshares value to that of its competitors to determine the firm's financial worth.
Hawthorn Bancshares is rated # 3 in price to book category among its peers. It is rated # 2 in profit margin category among its peers fabricating about  0.19  of Profit Margin per Price To Book. The ratio of Price To Book to Profit Margin for Hawthorn Bancshares is roughly  5.32 . Comparative valuation analysis is a catch-all technique that is used if you cannot value Hawthorn Bancshares 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.

Hawthorn Profit Margin vs. Price To Book

Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

Hawthorn Bancshares

P/B

 = 

MV Per Share

BV Per Share

 = 
1.35 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.

Hawthorn Bancshares

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
0.25 %
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.

Hawthorn Profit Margin Comparison

Hawthorn Bancshares is currently under evaluation in profit margin category among its peers.

Hawthorn Bancshares Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Hawthorn Bancshares, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hawthorn Bancshares will eventually generate negative long term returns. The profitability progress is the general direction of Hawthorn Bancshares' change in net profit over the period of time. It can combine multiple indicators of Hawthorn Bancshares, 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.
Hawthorn Bancshares, Inc. operates as the bank holding company for Hawthorn Bank that provides commercial and personal banking services. Hawthorn Bancshares, Inc. was founded in 1865 and is headquartered in Jefferson City, Missouri. Hawthorn Bancshares operates under BanksRegional classification in the United States and is traded on NASDAQ Exchange. It employs 299 people.

Hawthorn Profitability Driver Comparison

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

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When determining whether Hawthorn Bancshares is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Hawthorn Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Hawthorn Bancshares Stock. Highlighted below are key reports to facilitate an investment decision about Hawthorn Bancshares Stock:
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For more information on how to buy Hawthorn Stock please use our How to buy in Hawthorn Stock guide.
You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
To fully project Hawthorn Bancshares' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hawthorn Bancshares 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 Hawthorn Bancshares' income statement, its balance sheet, and the statement of cash flows.
Potential Hawthorn Bancshares investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Hawthorn Bancshares investors may work on each financial statement separately, they are all related. The changes in Hawthorn Bancshares's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Hawthorn Bancshares'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.