Independence Realty Return On Asset vs. Net Income

IRT Stock  USD 19.96  0.40  1.96%   
Based on the key profitability measurements obtained from Independence Realty's financial statements, Independence Realty Trust may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Independence Realty's ability to earn profits and add value for shareholders. Sales General And Administrative To Revenue is likely to gain to 0.07 in 2024, whereas Price To Sales Ratio is likely to drop 4.93 in 2024. At this time, Independence Realty's Operating Income is comparatively stable compared to the past year. Net Income Applicable To Common Shares is likely to gain to about 141.6 M in 2024, despite the fact that Net Loss is likely to grow to (16.4 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.240.2532
Notably Down
Slightly volatile
Operating Profit Margin0.290.2237
Significantly Up
Slightly volatile
For Independence Realty profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Independence Realty to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Independence Realty Trust utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Independence Realty's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Independence Realty Trust over time as well as its relative position and ranking within its peers.
  

Independence Realty's Revenue Breakdown by Earning Segment

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Is Multi-Family Residential REITs 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 Independence Realty. If investors know Independence 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 Independence Realty 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
1.856
Dividend Share
0.64
Revenue Per Share
2.856
Quarterly Revenue Growth
(0.05)
Return On Assets
0.0128
The market value of Independence Realty Trust is measured differently than its book value, which is the value of Independence that is recorded on the company's balance sheet. Investors also form their own opinion of Independence Realty's value that differs from its market value or its book value, called intrinsic value, which is Independence Realty'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 Independence Realty's market value can be influenced by many factors that don't directly affect Independence Realty'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 Independence Realty's value and its price as these two are different measures arrived at by different means. Investors typically determine if Independence Realty is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Independence Realty'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.

Independence Realty Trust Net Income vs. Return On Asset Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Independence Realty's current stock value. Our valuation model uses many indicators to compare Independence Realty value to that of its competitors to determine the firm's financial worth.
Independence Realty Trust is rated fourth overall in return on asset category among its peers. It is rated below average in net income category among its peers . At this time, Independence Realty's Net Loss is comparatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Independence Realty 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.

Independence Net Income vs. Return On Asset

Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

Independence Realty

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0128
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Independence Realty

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
(17.23 M)
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.

Independence Net Income Comparison

Independence Realty is currently under evaluation in net income category among its peers.

Independence Realty Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Independence Realty, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Independence Realty will eventually generate negative long term returns. The profitability progress is the general direction of Independence Realty's change in net profit over the period of time. It can combine multiple indicators of Independence Realty, 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 Income25.5 M21.6 M
Operating Income147.8 M155.2 M
Income Before Tax-17.8 M-16.9 M
Net Loss-17.2 M-16.4 M
Income Tax Expense-456 K-433.2 K
Net Income From Continuing Ops58.4 M37.6 M
Total Other Income Expense Net-165.6 M-157.4 M
Net Income Applicable To Common Shares134.8 M141.6 M
Non Operating Income Net Other127.8 M134.2 M
Interest Income100 M105 M
Net Interest Income-89.7 M-85.2 M
Change To Netincome-92.5 M-87.9 M
Net Loss(0.08)(0.07)
Income Quality(15.22)(14.46)
Net Income Per E B T 0.97  0.50 

Independence Profitability Driver Comparison

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

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Technical Analysis

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Healthcare Theme
Companies that provide healthcare goods and services including hospitals, health maintenance organizations, HMOs, or medical aid manufacturers. The Healthcare theme has 20 constituents at this time.
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Additional Tools for Independence Stock Analysis

When running Independence Realty's price analysis, check to measure Independence Realty'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 Independence Realty is operating at the current time. Most of Independence Realty's value examination focuses on studying past and present price action to predict the probability of Independence Realty's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Independence Realty's price. Additionally, you may evaluate how the addition of Independence Realty to your portfolios can decrease your overall portfolio volatility.