RF Industries Price To Sales vs. Profit Margin

RFIL Stock  USD 4.29  0.10  2.39%   
Based on RF Industries' profitability indicators, RF Industries 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 RF Industries' ability to earn profits and add value for shareholders.

RF Industries Price To Sales Ratio

0.46

At this time, RF Industries' EV To Sales is quite stable compared to the past year. Operating Cash Flow Sales Ratio is expected to rise to 0.08 this year, although the value of Price To Sales Ratio will most likely fall to 0.46. Operating Income is expected to rise to about (3.2 M) this year. Income Before Tax is expected to rise to about (4.6 M) this year.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.460.31
Way Up
Slightly volatile
For RF Industries profitability analysis, we use financial ratios and fundamental drivers that measure the ability of RF Industries to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well RF Industries utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between RF Industries's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of RF Industries over time as well as its relative position and ranking within its peers.
  

RF Industries' Revenue Breakdown by Earning Segment

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Is Electronic Equipment, Instruments & Components 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 RF Industries. If investors know RFIL 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 RF Industries 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
0.134
Earnings Share
(0.69)
Revenue Per Share
5.969
Quarterly Revenue Growth
0.076
Return On Assets
(0.02)
The market value of RF Industries is measured differently than its book value, which is the value of RFIL that is recorded on the company's balance sheet. Investors also form their own opinion of RF Industries' value that differs from its market value or its book value, called intrinsic value, which is RF Industries' 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 RF Industries' market value can be influenced by many factors that don't directly affect RF Industries' 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 RF Industries' value and its price as these two are different measures arrived at by different means. Investors typically determine if RF Industries is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, RF Industries' 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.

RF Industries Profit Margin vs. Price To Sales Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining RF Industries's current stock value. Our valuation model uses many indicators to compare RF Industries value to that of its competitors to determine the firm's financial worth.
RF Industries is rated third in price to sales category among its peers. It is rated fifth in profit margin category among its peers . At this time, RF Industries' Price To Sales Ratio is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value RF Industries 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.

RFIL Profit Margin vs. Price To Sales

Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

RF Industries

P/S

 = 

MV Per Share

Revenue Per Share

 = 
0.72 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
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.

RF Industries

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
(0.12) %
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.

RFIL Profit Margin Comparison

RF Industries is currently under evaluation in profit margin category among its peers.

RF Industries Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in RF Industries, profitability is also one of the essential criteria for including it into their portfolios because, without profit, RF Industries will eventually generate negative long term returns. The profitability progress is the general direction of RF Industries' change in net profit over the period of time. It can combine multiple indicators of RF Industries, 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
Operating Income-3.4 M-3.2 M
Income Before Tax-4.9 M-4.6 M
Total Other Income Expense Net-407.7 K-387.3 K
Net Loss-3.5 M-3.4 M
Income Tax Expense-1.1 M-1 M
Net Income Applicable To Common Shares1.7 M1.6 M
Net Loss-2.8 M-2.6 M
Non Operating Income Net Other-40.5 K-38.5 K
Change To Netincome-669.6 K-636.1 K
Net Loss(0.27)(0.26)
Income Quality(1.56)(1.64)
Net Income Per E B T 0.65  0.51 

RFIL Profitability Driver Comparison

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

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

RF Industries Pair Trading

RF Industries Pair Trading Analysis

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

In addition to having RF Industries 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 Adviser Favorites Thematic Idea Now

Adviser Favorites
Adviser Favorites Theme
Financial advisors frequently recommend that individuals diversify their investment portfolios with a mix of different types of stocks. These can include blue-chip stocks, growth stocks, and dividend stocks. The Adviser Favorites theme has 17 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 Adviser Favorites Theme or any other thematic opportunities.
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When determining whether RF Industries is a strong investment it is important to analyze RF Industries' 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 RF Industries' future performance. For an informed investment choice regarding RFIL Stock, refer to the following important reports:
Check out Your Equity Center.
For more information on how to buy RFIL Stock please use our How to buy in RFIL Stock guide.
You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
To fully project RF Industries' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of RF Industries 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 RF Industries' income statement, its balance sheet, and the statement of cash flows.
Potential RF Industries investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although RF Industries investors may work on each financial statement separately, they are all related. The changes in RF Industries's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on RF Industries'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.