Vardhman Holdings Gross Profit vs. Operating Margin
| VHL Stock | 4,771 47.00 0.98% |
Gross Profit | First Reported 2011-09-30 | Previous Quarter 69 M | Current Value 21.6 M | Quarterly Volatility 103.6 M |
For Vardhman Holdings profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Vardhman Holdings to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Vardhman Holdings Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Vardhman Holdings's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Vardhman Holdings Limited over time as well as its relative position and ranking within its peers.
Vardhman |
Vardhman Holdings Operating Margin vs. Gross Profit Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Vardhman Holdings's current stock value. Our valuation model uses many indicators to compare Vardhman Holdings value to that of its competitors to determine the firm's financial worth. Vardhman Holdings Limited is rated first in gross profit category among its peers. It is rated first in operating margin category among its peers . The ratio of Gross Profit to Operating Margin for Vardhman Holdings Limited is about 94,674,896 . At present, Vardhman Holdings' Gross Profit is projected to decrease significantly based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Vardhman Holdings' earnings, one of the primary drivers of an investment's value.Vardhman Operating Margin vs. Gross Profit
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Vardhman Holdings |
| = | 77.46 M |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
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.
Vardhman Holdings |
| = | 0.82 % |
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.
Vardhman Operating Margin Comparison
Vardhman Holdings is currently under evaluation in operating margin category among its peers.
Vardhman Holdings Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Vardhman Holdings, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Vardhman Holdings will eventually generate negative long term returns. The profitability progress is the general direction of Vardhman Holdings' change in net profit over the period of time. It can combine multiple indicators of Vardhman Holdings, 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 | ||
| Accumulated Other Comprehensive Income | 1.9 B | 2 B | |
| Operating Income | 134.3 M | 127.6 M | |
| Income Before Tax | 1.9 B | 1.3 B | |
| Total Other Income Expense Net | 1.8 B | 1.1 B | |
| Net Income | 1.8 B | 1.2 B | |
| Income Tax Expense | 93.6 M | 98.3 M | |
| Net Income From Continuing Ops | 1.8 B | 2 B | |
| Net Income Applicable To Common Shares | 2.6 B | 2 B | |
| Interest Income | 2.6 B | 2.3 B | |
| Net Interest Income | 610.6 K | 641.2 K | |
| Change To Netincome | -2.1 B | -2.2 B |
Vardhman Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Vardhman Holdings. 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 Vardhman Holdings 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 Vardhman Holdings' important profitability drivers and their relationship over time.
Use Vardhman Holdings 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 Vardhman Holdings 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 Vardhman Holdings will appreciate offsetting losses from the drop in the long position's value.Vardhman Holdings Pair Trading
Vardhman Holdings Limited Pair Trading Analysis
The ability to find closely correlated positions to Vardhman Holdings could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Vardhman Holdings 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 Vardhman Holdings - 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 Vardhman Holdings Limited to buy it.
The correlation of Vardhman Holdings 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 Vardhman Holdings moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Vardhman Holdings 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 Vardhman Holdings 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 Vardhman Holdings position
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Other Information on Investing in Vardhman Stock
To fully project Vardhman Holdings' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Vardhman Holdings 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 Vardhman Holdings' income statement, its balance sheet, and the statement of cash flows.