SOFI TECHNOLOGIES Book Value Per Share vs. Operating Margin
| 6B0 Stock | 15.64 0.17 1.10% |
For SOFI TECHNOLOGIES profitability analysis, we use financial ratios and fundamental drivers that measure the ability of SOFI TECHNOLOGIES to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well SOFI TECHNOLOGIES utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between SOFI TECHNOLOGIES's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of SOFI TECHNOLOGIES over time as well as its relative position and ranking within its peers.
SOFI |
SOFI TECHNOLOGIES Operating Margin vs. Book Value Per Share Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining SOFI TECHNOLOGIES's current stock value. Our valuation model uses many indicators to compare SOFI TECHNOLOGIES value to that of its competitors to determine the firm's financial worth. SOFI TECHNOLOGIES is number one stock in book value per share category among its peers. It also is number one stock in operating margin category among its peers . 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 SOFI TECHNOLOGIES's earnings, one of the primary drivers of an investment's value.SOFI Operating Margin vs. Book Value Per Share
Book Value per Share (B/S) can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. It indicates the level of safety associated with each common share after removing the effects of liabilities. In other words, a shareholder can use this ratio to see how much he or she can sell the stake in the company in the event of a liquidation.
SOFI TECHNOLOGIES |
| = | 5.62 X |
The naive approach to look at Book Value per Share is to compare it to current stock price. If Book Value per Share is higher than the currently traded stock price, the company can be considered undervalued. However, investors must be aware that conventional calculation of Book Value does not include intangible assets such as goodwill, intellectual property, trademarks or brands and may not be an appropriate measure for many firms.
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.
SOFI TECHNOLOGIES |
| = | (0.21) % |
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.
SOFI Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on SOFI TECHNOLOGIES. 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 SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES's important profitability drivers and their relationship over time.
Use SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES will appreciate offsetting losses from the drop in the long position's value.SOFI TECHNOLOGIES Pair Trading
SOFI TECHNOLOGIES Pair Trading Analysis
The ability to find closely correlated positions to SOFI TECHNOLOGIES could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES - 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 SOFI TECHNOLOGIES to buy it.
The correlation of SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES position
In addition to having SOFI TECHNOLOGIES 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 Broad Market ETFs Thematic Idea Now
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ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Broad Market ETFs theme has 58 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 Broad Market ETFs Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in SOFI Stock
When determining whether SOFI TECHNOLOGIES offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of SOFI TECHNOLOGIES's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Sofi Technologies Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Sofi Technologies Stock:Check out Trending Equities. For more detail on how to invest in SOFI Stock please use our How to Invest in SOFI TECHNOLOGIES guide.You can also try the Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.
To fully project SOFI TECHNOLOGIES's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of SOFI TECHNOLOGIES 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 SOFI TECHNOLOGIES's income statement, its balance sheet, and the statement of cash flows.