Sequans Communications Operating Margin vs. Revenue
| SQNS Stock | USD 2.89 0.04 1.40% |
For Sequans Communications profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Sequans Communications to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Sequans Communications SA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Sequans Communications's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Sequans Communications SA over time as well as its relative position and ranking within its peers.
Sequans |
Is Semiconductors & Semiconductor Equipment 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 Sequans Communications. If investors know Sequans 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 Sequans Communications 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 Sequans Communications is measured differently than its book value, which is the value of Sequans that is recorded on the company's balance sheet. Investors also form their own opinion of Sequans Communications' value that differs from its market value or its book value, called intrinsic value, which is Sequans Communications' 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 Sequans Communications' market value can be influenced by many factors that don't directly affect Sequans Communications' 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 Sequans Communications' value and its price as these two are different measures arrived at by different means. Investors typically determine if Sequans Communications is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sequans Communications' 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.
Sequans Communications Revenue vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Sequans Communications's current stock value. Our valuation model uses many indicators to compare Sequans Communications value to that of its competitors to determine the firm's financial worth. Sequans Communications SA is rated below average in operating margin category among its peers. It also is rated below average in revenue category among its peers . Comparative valuation analysis is a catch-all technique that is used if you cannot value Sequans Communications 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.Sequans Revenue vs. Operating Margin
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.
Sequans Communications |
| = | (0.91) % |
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.
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.
Sequans Communications |
| = | 33.62 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.
Sequans Revenue vs Competition
Sequans Communications SA is rated below average in revenue category among its peers. Market size based on revenue of Information Technology industry is at this time estimated at about 12.25 Billion. Sequans Communications adds roughly 33.62 Million in revenue claiming only tiny portion of equities under Information Technology industry.
Sequans Communications Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Sequans Communications, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Sequans Communications will eventually generate negative long term returns. The profitability progress is the general direction of Sequans Communications' change in net profit over the period of time. It can combine multiple indicators of Sequans Communications, 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.
Sequans Communications S.A. designs, develops, and supplies cellular semiconductor solutions for massive and broadband Internet of Things markets in Taiwan, South Korea, China, rest of Asia, the United States, and internationally. Sequans Communications S.A. was incorporated in 2003 and is headquartered in Paris, France. Sequans Communications operates under Semiconductors classification in the United States and is traded on New York Stock Exchange. It employs 262 people.
Sequans Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Sequans Communications. 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 Sequans Communications 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 Sequans Communications' important profitability drivers and their relationship over time.
Use Sequans Communications 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 Sequans Communications 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 Sequans Communications will appreciate offsetting losses from the drop in the long position's value.Sequans Communications Pair Trading
Sequans Communications SA Pair Trading Analysis
The ability to find closely correlated positions to Sequans Communications could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sequans Communications 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 Sequans Communications - 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 Sequans Communications SA to buy it.
The correlation of Sequans Communications 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 Sequans Communications moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sequans Communications 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 Sequans Communications 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 Sequans Communications position
In addition to having Sequans Communications 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?
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Consumption
Companies that deliver final goods such as cars or clothing for consumption by consumers. The Consumption theme has 19 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 Consumption Theme or any other thematic opportunities.
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Additional Tools for Sequans Stock Analysis
When running Sequans Communications' price analysis, check to measure Sequans Communications' 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 Sequans Communications is operating at the current time. Most of Sequans Communications' value examination focuses on studying past and present price action to predict the probability of Sequans Communications' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Sequans Communications' price. Additionally, you may evaluate how the addition of Sequans Communications to your portfolios can decrease your overall portfolio volatility.