Zip Co Price To Book vs. Cash Flow From Operations
| ZIP Stock | 3.06 0.15 5.15% |
For Zip Co profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Zip Co to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Zip Co Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Zip Co's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Zip Co Limited over time as well as its relative position and ranking within its peers.
Zip |
Zip Co Limited Cash Flow From Operations vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Zip Co's current stock value. Our valuation model uses many indicators to compare Zip Co value to that of its competitors to determine the firm's financial worth. Zip Co Limited is rated below average in price to book category among its peers. It is rated first in cash flow from operations category among its peers making about 27,187,092 of Cash Flow From Operations per Price To Book. 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 Zip Co's earnings, one of the primary drivers of an investment's value.Zip Cash Flow From Operations vs. Price To Book
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.
Zip Co |
| = | 10.02 X |
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
Operating Cash Flow reveals the quality of a company's reported earnings and is calculated by deducting company's income taxes from earnings before interest, taxes, and depreciation (EBITDA). In other words, Operating Cash Flow refers to the amount of cash a firm generates from the sales or products or from rendering services. Operating Cash Flow typically excludes costs associated with long-term investments or investment in marketable securities and is usually used by investors or analysts to check on the quality of a company's earnings.
Zip Co |
| = | 272.54 M |
Operating Cash Flow shows the difference between reported income and actual cash flows of the company. If a firm does not have enough cash or cash equivalents to cover its current liabilities, then both investors and management should be concerned about the company having enough liquid resources to meet current and long term debt obligations.
Zip Cash Flow From Operations Comparison
Zip Co is currently under evaluation in cash flow from operations category among its peers.
Zip Co Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Zip Co, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Zip Co will eventually generate negative long term returns. The profitability progress is the general direction of Zip Co's change in net profit over the period of time. It can combine multiple indicators of Zip Co, 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 | 319.2 M | 335.1 M | |
| Operating Income | 454.5 M | 477.2 M | |
| Income Before Tax | 25.1 M | 26.4 M | |
| Total Other Income Expense Net | -429.4 M | -407.9 M | |
| Net Income | 5.7 M | 5.9 M | |
| Income Tax Expense | 19.4 M | 20.4 M | |
| Interest Income | 168.3 K | 159.9 K | |
| Net Income From Continuing Ops | 5.7 M | 5.9 M | |
| Net Loss | -339.3 M | -356.3 M | |
| Net Interest Income | -271.3 M | -257.7 M | |
| Change To Netincome | 255.2 M | 158.4 M |
Zip Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Zip Co. 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 Zip Co 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 Zip Co's important profitability drivers and their relationship over time.
Use Zip Co 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 Zip Co 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 Zip Co will appreciate offsetting losses from the drop in the long position's value.Zip Co Pair Trading
Zip Co Limited Pair Trading Analysis
The ability to find closely correlated positions to Zip Co could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Zip Co 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 Zip Co - 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 Zip Co Limited to buy it.
The correlation of Zip Co 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 Zip Co moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Zip Co Limited 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 Zip Co 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 Zip Co position
In addition to having Zip Co 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 Insurance Thematic Idea Now
Insurance
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Insurance theme has 61 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 Insurance Theme or any other thematic opportunities.
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Additional Tools for Zip Stock Analysis
When running Zip Co's price analysis, check to measure Zip Co's 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 Zip Co is operating at the current time. Most of Zip Co's value examination focuses on studying past and present price action to predict the probability of Zip Co's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Zip Co's price. Additionally, you may evaluate how the addition of Zip Co to your portfolios can decrease your overall portfolio volatility.