Purple Innovation Return On Equity vs. Revenue
| PRPL Stock | USD 1.01 0.03 3.06% |
Return On Equity | First Reported 2010-12-31 | Previous Quarter (1.05) | Current Value (0.99) | Quarterly Volatility 2.41893449 |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.3 | 0.3366 |
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For Purple Innovation profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Purple Innovation to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Purple Innovation utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Purple Innovation's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Purple Innovation over time as well as its relative position and ranking within its peers.
Purple |
Is Household Appliances 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 Purple Innovation. If investors know Purple 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 Purple Innovation 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 (0.60) | Earnings Share (1.02) | Revenue Per Share 4.734 | Quarterly Revenue Growth (0.15) | Return On Assets (0.12) |
The market value of Purple Innovation is measured differently than its book value, which is the value of Purple that is recorded on the company's balance sheet. Investors also form their own opinion of Purple Innovation's value that differs from its market value or its book value, called intrinsic value, which is Purple Innovation'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 Purple Innovation's market value can be influenced by many factors that don't directly affect Purple Innovation'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 Purple Innovation's value and its price as these two are different measures arrived at by different means. Investors typically determine if Purple Innovation is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Purple Innovation'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.
Purple Innovation Revenue vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Purple Innovation's current stock value. Our valuation model uses many indicators to compare Purple Innovation value to that of its competitors to determine the firm's financial worth. Purple Innovation is rated below average in return on equity category among its peers. It also is rated below average in revenue category among its peers . At this time, Purple Innovation's Return On Equity is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Purple Innovation 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.Purple Revenue vs. Return On Equity
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Purple Innovation |
| = | -1.34 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
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.
Purple Innovation |
| = | 510.54 M |
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.
Purple Revenue vs Competition
Purple Innovation is rated below average in revenue category among its peers. Market size based on revenue of Consumer Discretionary industry is at this time estimated at about 32.82 Billion. Purple Innovation claims roughly 510.54 Million in revenue contributing just under 2% to stocks in Consumer Discretionary industry.
Purple Innovation Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Purple Innovation, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Purple Innovation will eventually generate negative long term returns. The profitability progress is the general direction of Purple Innovation's change in net profit over the period of time. It can combine multiple indicators of Purple Innovation, 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 Reported | Projected for Next Year | ||
| Operating Income | -113.7 M | -108 M | |
| Net Loss | -171.8 M | -163.2 M | |
| Income Before Tax | -121.2 M | -115.1 M | |
| Total Other Income Expense Net | -7.5 M | -7.9 M | |
| Net Loss | -80.7 M | -76.7 M | |
| Net Loss | -120.8 M | -114.7 M | |
| Income Tax Expense | 8 K | 7.6 K | |
| Interest Income | 6 M | 6.3 M | |
| Net Interest Income | -2.2 M | -2.3 M | |
| Non Operating Income Net Other | 187.7 M | 197.1 M | |
| Change To Netincome | 281.8 M | 295.9 M | |
| Net Loss | (1.17) | (1.11) | |
| Income Quality | 0.45 | 0.48 | |
| Net Income Per E B T | 1.00 | 1.05 |
Purple Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Purple Innovation. 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 Purple Innovation 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 Purple Innovation's important profitability drivers and their relationship over time.
Use Purple Innovation 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 Purple Innovation 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 Purple Innovation will appreciate offsetting losses from the drop in the long position's value.Purple Innovation Pair Trading
Purple Innovation Pair Trading Analysis
The ability to find closely correlated positions to Purple Innovation could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Purple Innovation 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 Purple Innovation - 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 Purple Innovation to buy it.
The correlation of Purple Innovation 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 Purple Innovation moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Purple Innovation 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 Purple Innovation 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 Purple Innovation position
In addition to having Purple Innovation 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?
Run Stores Thematic Idea Now
Stores
Companies providing different types of retail and wholesale services. The Stores theme has 43 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 Stores Theme or any other thematic opportunities.
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Check out Your Equity Center. For more information on how to buy Purple Stock please use our How to buy in Purple Stock guide.You can also try the Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
To fully project Purple Innovation's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Purple Innovation 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 Purple Innovation's income statement, its balance sheet, and the statement of cash flows.