Dominion Energy Operating Margin vs. Return On Asset

D Stock  USD 58.31  0.06  0.10%   
Based on the key profitability measurements obtained from Dominion Energy's financial statements, Dominion Energy's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Dominion Energy's ability to earn profits and add value for shareholders.

Dominion Energy Operating Profit Margin

0.17

At present, Dominion Energy's Operating Cash Flow Sales Ratio is projected to increase slightly based on the last few years of reporting. The current year's Days Of Sales Outstanding is expected to grow to 67.10, whereas EV To Sales is forecasted to decline to 3.27. At present, Dominion Energy's Non Operating Income Net Other is projected to increase significantly based on the last few years of reporting.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.630.5269
Fairly Up
Slightly volatile
Net Profit Margin0.0880.1457
Way Down
Pretty Stable
Operating Profit Margin0.170.2495
Way Down
Pretty Stable
Pretax Profit Margin0.130.1996
Way Down
Very volatile
Return On Assets0.03060.0183
Way Up
Pretty Stable
Return On Equity0.0880.0724
Fairly Up
Pretty Stable
For Dominion Energy profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Dominion Energy to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Dominion Energy utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Dominion Energy's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Dominion Energy over time as well as its relative position and ranking within its peers.
  

Dominion Energy's Revenue Breakdown by Earning Segment

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Is Multi-Utilities 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 Dominion Energy. If investors know Dominion 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 Dominion Energy 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
5.846
Dividend Share
2.67
Earnings Share
2.71
Revenue Per Share
17.411
Quarterly Revenue Growth
0.034
The market value of Dominion Energy is measured differently than its book value, which is the value of Dominion that is recorded on the company's balance sheet. Investors also form their own opinion of Dominion Energy's value that differs from its market value or its book value, called intrinsic value, which is Dominion Energy'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 Dominion Energy's market value can be influenced by many factors that don't directly affect Dominion Energy'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 Dominion Energy's value and its price as these two are different measures arrived at by different means. Investors typically determine if Dominion Energy is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dominion Energy'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.

Dominion Energy Return On Asset vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Dominion Energy's current stock value. Our valuation model uses many indicators to compare Dominion Energy value to that of its competitors to determine the firm's financial worth.
Dominion Energy is rated # 4 in operating margin category among its peers. It is rated below average in return on asset category among its peers reporting about  0.07  of Return On Asset per Operating Margin. The ratio of Operating Margin to Return On Asset for Dominion Energy is roughly  13.89 . At present, Dominion Energy's Operating Profit Margin is projected to slightly decrease based on the last few years of reporting. Comparative valuation analysis is a catch-all technique that is used if you cannot value Dominion Energy by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Dominion Return On Asset 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.

Dominion Energy

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.36 %
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.
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.

Dominion Energy

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0259
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.

Dominion Return On Asset Comparison

Dominion Energy is currently under evaluation in return on asset category among its peers.

Dominion Energy Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Dominion Energy, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Dominion Energy will eventually generate negative long term returns. The profitability progress is the general direction of Dominion Energy's change in net profit over the period of time. It can combine multiple indicators of Dominion Energy, 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-1.5 B-1.4 B
Operating Income3.4 BB
Net Income2.2 B1.5 B
Income Tax Expense575 M359.9 M
Income Before Tax2.7 B2.2 B
Total Other Income Expense Net-682 M-647.9 M
Net Income Applicable To Common SharesB1.7 B
Net Income From Continuing Ops2.2 B1.6 B
Non Operating Income Net Other486.4 M661.3 M
Interest Income1.7 B1.6 B
Net Interest Income-1.7 B-1.8 B
Change To Netincome419.4 M265.2 M
Net Income Per Share 2.48  1.62 
Income Quality 3.05  2.68 
Net Income Per E B T 0.73  0.54 

Dominion Profitability Driver Comparison

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

Use Dominion Energy 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 Dominion Energy 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 Dominion Energy will appreciate offsetting losses from the drop in the long position's value.

Dominion Energy Pair Trading

Dominion Energy Pair Trading Analysis

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

In addition to having Dominion Energy 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.

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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 47 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.
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For information on how to trade Dominion Stock refer to our How to Trade Dominion Stock guide.
You can also try the Commodity Directory module to find actively traded commodities issued by global exchanges.
To fully project Dominion Energy's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Dominion Energy 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 Dominion Energy's income statement, its balance sheet, and the statement of cash flows.
Potential Dominion Energy investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Dominion Energy investors may work on each financial statement separately, they are all related. The changes in Dominion Energy's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Dominion Energy'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.