Eaton Plc Stock Operating Margin
ETN Stock | USD 377.41 6.46 1.74% |
Eaton PLC fundamentals help investors to digest information that contributes to Eaton PLC's financial success or failures. It also enables traders to predict the movement of Eaton Stock. The fundamental analysis module provides a way to measure Eaton PLC's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Eaton PLC stock.
Last Reported | Projected for Next Year | ||
Operating Profit Margin | 0.09 | 0.07 |
Eaton | Operating Margin |
Eaton PLC Company Operating Margin Analysis
Eaton PLC's 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.
Current Eaton PLC Operating Margin | 0.19 % |
Most of Eaton PLC's fundamental indicators, such as Operating Margin, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Eaton PLC is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Eaton Operating Margin Driver Correlations
Understanding the fundamental principles of building solid financial models for Eaton PLC is extremely important. It helps to project a fair market value of Eaton Stock properly, considering its historical fundamentals such as Operating Margin. Since Eaton PLC's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Eaton PLC's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Eaton PLC's interrelated accounts and indicators.
Click cells to compare fundamentals
Eaton Operating Margin Historical Pattern
Today, most investors in Eaton PLC Stock are looking for potential investment opportunities by analyzing not only static indicators but also various Eaton PLC's growth ratios. Consistent increases or drops in fundamental ratios usually indicate a possible pattern that can be successfully translated into profits. However, when comparing two companies, knowing each company's operating margin growth rates may not be enough to decide which company is a better investment. That's why investors frequently use a static breakdown of Eaton PLC operating margin as a starting point in their analysis.
Eaton PLC Operating Margin |
Timeline |
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.
Competition |
Eaton Pretax Profit Margin
Pretax Profit Margin |
|
Based on the recorded statements, Eaton PLC has an Operating Margin of 0.1923%. This is 96.43% lower than that of the Electrical Equipment sector and significantly higher than that of the Industrials industry. The operating margin for all United States stocks is 103.49% lower than that of the firm.
Eaton Operating Margin Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Eaton PLC's direct or indirect competition against its Operating Margin to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Eaton PLC could also be used in its relative valuation, which is a method of valuing Eaton PLC by comparing valuation metrics of similar companies.Eaton PLC is currently under evaluation in operating margin category among its peers.
Eaton PLC ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Eaton PLC's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Eaton PLC's managers, analysts, and investors.Environmental | Governance | Social |
Eaton Fundamentals
Return On Equity | 0.2 | ||||
Return On Asset | 0.074 | ||||
Profit Margin | 0.15 % | ||||
Operating Margin | 0.19 % | ||||
Current Valuation | 157.23 B | ||||
Shares Outstanding | 395.2 M | ||||
Shares Owned By Insiders | 0.19 % | ||||
Shares Owned By Institutions | 84.79 % | ||||
Number Of Shares Shorted | 2.84 M | ||||
Price To Earning | 29.09 X | ||||
Price To Book | 7.80 X | ||||
Price To Sales | 6.06 X | ||||
Revenue | 23.2 B | ||||
Gross Profit | 6.89 B | ||||
EBITDA | 3.82 B | ||||
Net Income | 3.22 B | ||||
Cash And Equivalents | 518 M | ||||
Cash Per Share | 1.30 X | ||||
Total Debt | 9.94 B | ||||
Debt To Equity | 0.59 % | ||||
Current Ratio | 1.28 X | ||||
Book Value Per Share | 48.37 X | ||||
Cash Flow From Operations | 3.62 B | ||||
Short Ratio | 1.86 X | ||||
Earnings Per Share | 9.40 X | ||||
Price To Earnings To Growth | 3.26 X | ||||
Target Price | 368.59 | ||||
Number Of Employees | 94 K | ||||
Beta | 1.01 | ||||
Market Capitalization | 149.15 B | ||||
Total Asset | 38.43 B | ||||
Retained Earnings | 10.3 B | ||||
Working Capital | 3.93 B | ||||
Current Asset | 6.62 B | ||||
Current Liabilities | 4.62 B | ||||
Annual Yield | 0.01 % | ||||
Five Year Return | 2.78 % | ||||
Net Asset | 38.43 B | ||||
Last Dividend Paid | 3.68 |
About Eaton PLC Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Eaton PLC's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Eaton PLC using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Eaton PLC based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Eaton PLC
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 Eaton PLC 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 Eaton PLC will appreciate offsetting losses from the drop in the long position's value.Moving together with Eaton Stock
Moving against Eaton Stock
The ability to find closely correlated positions to Eaton PLC could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Eaton PLC 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 Eaton PLC - 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 Eaton PLC to buy it.
The correlation of Eaton PLC 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 Eaton PLC moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Eaton 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 Eaton PLC 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.Check out Eaton PLC Piotroski F Score and Eaton PLC Altman Z Score analysis. To learn how to invest in Eaton Stock, please use our How to Invest in Eaton PLC guide.You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Is Electrical Components & 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 Eaton PLC. If investors know Eaton 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 Eaton PLC 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 0.14 | Dividend Share 3.68 | Earnings Share 9.4 | Revenue Per Share 61.686 | Quarterly Revenue Growth 0.079 |
The market value of Eaton PLC is measured differently than its book value, which is the value of Eaton that is recorded on the company's balance sheet. Investors also form their own opinion of Eaton PLC's value that differs from its market value or its book value, called intrinsic value, which is Eaton PLC'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 Eaton PLC's market value can be influenced by many factors that don't directly affect Eaton PLC'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 Eaton PLC's value and its price as these two are different measures arrived at by different means. Investors typically determine if Eaton PLC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Eaton PLC'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.