Cresco Labs Cash And Equivalents vs. Profit Margin

CRLBF Stock  USD 1.15  0.06  5.50%   
Based on Cresco Labs' profitability indicators, Cresco Labs may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in December. Profitability indicators assess Cresco Labs' ability to earn profits and add value for shareholders.
For Cresco Labs profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Cresco Labs to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Cresco Labs utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Cresco Labs's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Cresco Labs over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Cresco Labs' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cresco Labs is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cresco Labs' 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.

Cresco Labs Profit Margin vs. Cash And Equivalents Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Cresco Labs's current stock value. Our valuation model uses many indicators to compare Cresco Labs value to that of its competitors to determine the firm's financial worth.
Cresco Labs is rated third in cash and equivalents category among its peers. It is rated fifth in profit 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 Cresco Labs' earnings, one of the primary drivers of an investment's value.

Cresco Profit Margin vs. Cash And Equivalents

Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.

Cresco Labs

Cash

 = 

Bank Deposits

+

Liquidities

 = 
130.04 M
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
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.

Cresco Labs

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
(0.08) %
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.

Cresco Profit Margin Comparison

Cresco Labs is currently under evaluation in profit margin category among its peers.

Cresco Labs Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Cresco Labs, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Cresco Labs will eventually generate negative long term returns. The profitability progress is the general direction of Cresco Labs' change in net profit over the period of time. It can combine multiple indicators of Cresco Labs, 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.
Cresco Labs Inc., together with its subsidiaries, cultivates, manufactures, and sells retail and medical cannabis products in the United States. The company was founded in 2013 and is headquartered in Chicago, Illinois. Cresco Labs operates under Drug ManufacturersSpecialty Generic classification in the United States and is traded on OTC Exchange. It employs 3300 people.

Cresco Profitability Driver Comparison

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

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Other Information on Investing in Cresco OTC Stock

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