Consensus Cloud Return On Equity vs. Return On Asset

CCSI Stock  USD 24.49  0.74  3.12%   
Based on the measurements of profitability obtained from Consensus Cloud's financial statements, Consensus Cloud Solutions is yielding more profit at the present time then in previous quarter. It has a moderate chance of reporting better profitability numbers in December. Profitability indicators assess Consensus Cloud's ability to earn profits and add value for shareholders.
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
(0.44)
Current Value
(0.42)
Quarterly Volatility
0.3746559
 
Credit Downgrade
 
Yuan Drop
 
Covid
As of now, Consensus Cloud's Days Of Sales Outstanding is decreasing as compared to previous years. The Consensus Cloud's current Price Sales Ratio is estimated to increase to 1.42, while EV To Sales is projected to decrease to 2.59. As of now, Consensus Cloud's Net Income Applicable To Common Shares is decreasing as compared to previous years. The Consensus Cloud's current Net Income is estimated to increase to about 103.1 M, while Accumulated Other Comprehensive Income is projected to decrease to (13.8 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.650.8116
Significantly Down
Pretty Stable
Net Profit Margin0.320.213
Way Up
Very volatile
Operating Profit Margin0.440.4061
Significantly Up
Pretty Stable
Pretax Profit Margin0.340.2845
Fairly Up
Pretty Stable
Return On Assets0.150.1193
Significantly Up
Pretty Stable
For Consensus Cloud profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Consensus Cloud to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Consensus Cloud Solutions utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Consensus Cloud's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Consensus Cloud Solutions over time as well as its relative position and ranking within its peers.
  

Consensus Cloud's Revenue Breakdown by Earning Segment

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Is Application Software 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 Consensus Cloud. If investors know Consensus 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 Consensus Cloud 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
(0.11)
Earnings Share
4.56
Revenue Per Share
18.248
Quarterly Revenue Growth
(0.03)
Return On Assets
0.1424
The market value of Consensus Cloud Solutions is measured differently than its book value, which is the value of Consensus that is recorded on the company's balance sheet. Investors also form their own opinion of Consensus Cloud's value that differs from its market value or its book value, called intrinsic value, which is Consensus Cloud'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 Consensus Cloud's market value can be influenced by many factors that don't directly affect Consensus Cloud'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 Consensus Cloud's value and its price as these two are different measures arrived at by different means. Investors typically determine if Consensus Cloud is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Consensus Cloud'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.

Consensus Cloud Solutions Return On Asset vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Consensus Cloud's current stock value. Our valuation model uses many indicators to compare Consensus Cloud value to that of its competitors to determine the firm's financial worth.
Consensus Cloud Solutions is number one stock in return on equity category among its peers. It also is number one stock in return on asset category among its peers reporting about  1.12  of Return On Asset per Return On Equity. As of now, Consensus Cloud's Return On Equity is decreasing as compared to previous years. 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 Consensus Cloud's earnings, one of the primary drivers of an investment's value.

Consensus Cloud's Earnings Breakdown by Geography

Consensus Return On Asset vs. Return On Equity

Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

Consensus Cloud

Return On Equity

 = 

Net Income

Total Equity

 = 
0.13
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

Consensus Cloud

Return On Asset

 = 

Net Income

Total Assets

 = 
0.14
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.

Consensus Return On Asset Comparison

Consensus Cloud is currently under evaluation in return on asset category among its peers.

Consensus Cloud Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Consensus Cloud, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Consensus Cloud will eventually generate negative long term returns. The profitability progress is the general direction of Consensus Cloud's change in net profit over the period of time. It can combine multiple indicators of Consensus Cloud, 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
Accumulated Other Comprehensive Income-13.2 M-13.8 M
Net Interest Income-47.7 M-50 M
Operating Income147.2 M149.1 M
Net Income From Continuing Ops77.4 M103.1 M
Income Before Tax103.2 M116.8 M
Total Other Income Expense Net-44.1 M-46.3 M
Net Income Applicable To Common Shares65.2 M111.9 M
Net Income77.2 M103.1 M
Income Tax Expense25.9 M25.1 M
Interest Income2.2 M2.3 M
Non Operating Income Net Other144 K128 K
Change To Netincome24.7 M18.9 M
Net Income Per Share 3.94  7.13 
Income Quality 1.48  1.22 
Net Income Per E B T 0.75  0.98 

Consensus Profitability Driver Comparison

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

Use Consensus Cloud 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 Consensus Cloud 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 Consensus Cloud will appreciate offsetting losses from the drop in the long position's value.

Consensus Cloud Pair Trading

Consensus Cloud Solutions Pair Trading Analysis

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

In addition to having Consensus Cloud 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 Utilities - Regulated Electric Thematic Idea Now

Utilities - Regulated Electric
Utilities - Regulated Electric Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Utilities - Regulated Electric theme has 7 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 Utilities - Regulated Electric Theme or any other thematic opportunities.
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When determining whether Consensus Cloud Solutions offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Consensus Cloud'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 Consensus Cloud Solutions Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Consensus Cloud Solutions Stock:
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You can also try the Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
To fully project Consensus Cloud's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Consensus Cloud Solutions 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 Consensus Cloud's income statement, its balance sheet, and the statement of cash flows.
Potential Consensus Cloud investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Consensus Cloud investors may work on each financial statement separately, they are all related. The changes in Consensus Cloud's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Consensus Cloud'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.