Adyen NV Operating Margin vs. Profit Margin
| ADYEN Stock | 1,385 58.80 4.43% |
For Adyen NV profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Adyen NV to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Adyen NV utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Adyen NV's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Adyen NV over time as well as its relative position and ranking within its peers.
Adyen |
Adyen NV Profit Margin vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Adyen NV's current stock value. Our valuation model uses many indicators to compare Adyen NV value to that of its competitors to determine the firm's financial worth. Adyen NV is number one stock in operating margin category among its peers. It also is number one stock in profit margin category among its peers fabricating about 0.85 of Profit Margin per Operating Margin. The ratio of Operating Margin to Profit Margin for Adyen NV is roughly 1.18 . Comparative valuation analysis is a catch-all model that can be used if you cannot value Adyen NV by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Adyen NV'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.Adyen Profit Margin vs. Operating Margin
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.
Adyen NV |
| = | 0.07 % |
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.
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
Adyen NV |
| = | 0.06 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
Adyen Profit Margin Comparison
Adyen NV is currently under evaluation in profit margin category among its peers.
Adyen Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Adyen NV. 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 Adyen NV 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 Adyen NV's important profitability drivers and their relationship over time.
Use Adyen NV 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 Adyen NV 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 Adyen NV will appreciate offsetting losses from the drop in the long position's value.Adyen NV Pair Trading
Adyen NV Pair Trading Analysis
The ability to find closely correlated positions to Adyen NV could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Adyen NV 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 Adyen NV - 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 Adyen NV to buy it.
The correlation of Adyen NV 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 Adyen NV moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Adyen NV 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 Adyen NV 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 Adyen NV position
In addition to having Adyen NV 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 Consumption Thematic Idea Now
Consumption
Companies that deliver final goods such as cars or clothing for consumption by consumers. The Consumption theme has 19 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 Consumption Theme or any other thematic opportunities.
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Other Information on Investing in Adyen Stock
To fully project Adyen NV's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Adyen NV 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 Adyen NV's income statement, its balance sheet, and the statement of cash flows.