Wuhan Xianglong Price To Sales vs. Operating Margin

600769 Stock   11.70  1.95  14.29%   
Considering the key profitability indicators obtained from Wuhan Xianglong's historical financial statements, Wuhan Xianglong Power may not be well positioned to generate adequate gross income at the present time. It has a very high likelihood of underperforming in January. Profitability indicators assess Wuhan Xianglong's ability to earn profits and add value for shareholders.
For Wuhan Xianglong profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Wuhan Xianglong to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Wuhan Xianglong Power utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Wuhan Xianglong's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Wuhan Xianglong Power over time as well as its relative position and ranking within its peers.
  
Check out Trending Equities.
Please note, there is a significant difference between Wuhan Xianglong's value and its price as these two are different measures arrived at by different means. Investors typically determine if Wuhan Xianglong is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Wuhan Xianglong'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.

Wuhan Xianglong Power Operating Margin vs. Price To Sales Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Wuhan Xianglong's current stock value. Our valuation model uses many indicators to compare Wuhan Xianglong value to that of its competitors to determine the firm's financial worth.
Wuhan Xianglong Power is number one stock in price to sales category among its peers. It also is number one stock in operating margin category among its peers . The ratio of Price To Sales to Operating Margin for Wuhan Xianglong Power is about  268.20 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Wuhan Xianglong by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Wuhan Xianglong's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

Wuhan Operating Margin vs. Price To Sales

Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Wuhan Xianglong

P/S

 = 

MV Per Share

Revenue Per Share

 = 
61.02 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
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.

Wuhan Xianglong

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.23 %
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.

Wuhan Operating Margin Comparison

Wuhan Xianglong is currently under evaluation in operating margin category among its peers.

Wuhan Xianglong Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Wuhan Xianglong, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Wuhan Xianglong will eventually generate negative long term returns. The profitability progress is the general direction of Wuhan Xianglong's change in net profit over the period of time. It can combine multiple indicators of Wuhan Xianglong, 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
Operating Income16 M16.8 M
Income Before Tax16.9 M29.2 M
Net Income Applicable To Common Shares9.6 M9.1 M
Net Income12.2 M11.6 M
Income Tax Expense3.7 M3.9 M
Net Income From Continuing Ops12.2 M6.9 M
Total Other Income Expense Net3.6 M4.9 M
Net Interest Income920.4 K966.4 K
Interest Income1.1 M1.1 M
Change To Netincome-414.8 K-435.6 K

Wuhan Profitability Driver Comparison

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

Use Wuhan Xianglong 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 Wuhan Xianglong 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 Wuhan Xianglong will appreciate offsetting losses from the drop in the long position's value.

Wuhan Xianglong Pair Trading

Wuhan Xianglong Power Pair Trading Analysis

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

In addition to having Wuhan Xianglong 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 Money Market Funds Thematic Idea Now

Money Market Funds
Money Market Funds Theme
Funds or Etfs investing in various types of short-term (less than one year) fixed income instruments of high-quality and liquidity. The Money Market Funds theme has 38 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 Money Market Funds Theme or any other thematic opportunities.
View All  Next Launch

Other Information on Investing in Wuhan Stock

To fully project Wuhan Xianglong's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Wuhan Xianglong Power 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 Wuhan Xianglong's income statement, its balance sheet, and the statement of cash flows.
Potential Wuhan Xianglong investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Wuhan Xianglong investors may work on each financial statement separately, they are all related. The changes in Wuhan Xianglong's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Wuhan Xianglong'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.