Atlassian Corp Operating Margin vs. Return On Asset

TEAM Stock  USD 262.46  0.23  0.09%   
Considering Atlassian Corp's profitability and operating efficiency indicators, Atlassian Corp Plc may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in December. Profitability indicators assess Atlassian Corp's ability to earn profits and add value for shareholders.

Atlassian Corp Operating Profit Margin

(0.0255)

As of the 28th of November 2024, Price To Sales Ratio is likely to grow to 20.83. Also, Days Sales Outstanding is likely to grow to 55.22. At this time, Atlassian Corp's Total Other Income Expense Net is very stable compared to the past year. As of the 28th of November 2024, Income Tax Expense is likely to grow to about 225.9 M, though Operating Income is likely to grow to (111.2 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.660.8157
Significantly Down
Very volatile
For Atlassian Corp profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Atlassian Corp to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Atlassian Corp Plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Atlassian Corp's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Atlassian Corp Plc over time as well as its relative position and ranking within its peers.
  

Atlassian Corp's Revenue Breakdown by Earning Segment

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Is Application Software 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 Atlassian Corp. If investors know Atlassian 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 Atlassian Corp 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
1.722
Earnings Share
(1.52)
Revenue Per Share
17.587
Quarterly Revenue Growth
0.215
Return On Assets
(0.02)
The market value of Atlassian Corp Plc is measured differently than its book value, which is the value of Atlassian that is recorded on the company's balance sheet. Investors also form their own opinion of Atlassian Corp's value that differs from its market value or its book value, called intrinsic value, which is Atlassian Corp'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 Atlassian Corp's market value can be influenced by many factors that don't directly affect Atlassian Corp'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 Atlassian Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Atlassian Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Atlassian Corp'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.

Atlassian Corp Plc Return On Asset vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Atlassian Corp's current stock value. Our valuation model uses many indicators to compare Atlassian Corp value to that of its competitors to determine the firm's financial worth.
Atlassian Corp Plc is rated below average in operating margin category among its peers. It also is rated below average in return on asset category among its peers . At this time, Atlassian Corp's Operating Profit Margin is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Atlassian Corp 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.

Atlassian Return On Asset 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.

Atlassian Corp

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
(0.03) %
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.
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.

Atlassian Corp

Return On Asset

 = 

Net Income

Total Assets

 = 
-0.0179
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.

Atlassian Return On Asset Comparison

Atlassian Corp is currently under evaluation in return on asset category among its peers.

Atlassian Corp Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Atlassian Corp, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Atlassian Corp will eventually generate negative long term returns. The profitability progress is the general direction of Atlassian Corp's change in net profit over the period of time. It can combine multiple indicators of Atlassian Corp, 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 Income25.3 M24 M
Operating Income-117.1 M-111.2 M
Income Before Tax-85.4 M-89.7 M
Total Other Income Expense Net31.7 M33.3 M
Net Loss-300.5 M-315.5 M
Income Tax Expense215.1 M225.9 M
Net Loss-300.5 M-315.5 M
Net Loss-438.1 M-460 M
Interest Income96.7 M101.5 M
Net Interest Income62.6 M65.7 M
Change To Netincome1.1 B1.2 B
Net Loss(1.16)(1.22)
Income Quality(4.82)(5.06)
Net Income Per E B T 3.52  3.69 

Atlassian Profitability Driver Comparison

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

Use Atlassian Corp 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 Atlassian Corp 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 Atlassian Corp will appreciate offsetting losses from the drop in the long position's value.

Atlassian Corp Pair Trading

Atlassian Corp Plc Pair Trading Analysis

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

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When determining whether Atlassian Corp Plc is a strong investment it is important to analyze Atlassian Corp's 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 Atlassian Corp's future performance. For an informed investment choice regarding Atlassian Stock, refer to the following important reports:
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You can also try the Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
To fully project Atlassian Corp's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Atlassian Corp Plc 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 Atlassian Corp's income statement, its balance sheet, and the statement of cash flows.
Potential Atlassian Corp investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Atlassian Corp investors may work on each financial statement separately, they are all related. The changes in Atlassian Corp's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Atlassian Corp'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.