Dividend Growth Operating Margin vs. Return On Asset

DGS Stock  CAD 7.25  0.07  0.97%   
Considering the key profitability indicators obtained from Dividend Growth's historical financial statements, Dividend Growth Split is yielding more profit at this time then in previous quarter. It has a moderate probability of reporting better profitability numbers in December. Profitability indicators assess Dividend Growth's ability to earn profits and add value for shareholders.

Dividend Growth Operating Profit Margin

0.93

As of the 26th of November 2024, Operating Cash Flow Sales Ratio is likely to grow to 1.34, while Price To Sales Ratio is likely to drop 3.59. At this time, Dividend Growth's Change To Netincome is very stable compared to the past year. As of the 26th of November 2024, Income Quality is likely to grow to 2.53, though Total Other Income Expense Net is likely to grow to (24.4 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.730.9303
Significantly Down
Slightly volatile
For Dividend Growth profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Dividend Growth to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Dividend Growth Split utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Dividend Growth's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Dividend Growth Split 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 Dividend Growth's value and its price as these two are different measures arrived at by different means. Investors typically determine if Dividend Growth is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dividend Growth'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.

Dividend Growth Split Return On Asset vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Dividend Growth's current stock value. Our valuation model uses many indicators to compare Dividend Growth value to that of its competitors to determine the firm's financial worth.
Dividend Growth Split is rated # 2 in operating margin category among its peers. It is one of the top stocks in return on asset category among its peers reporting about  0.08  of Return On Asset per Operating Margin. The ratio of Operating Margin to Return On Asset for Dividend Growth Split is roughly  13.28 . At this time, Dividend Growth's Operating Profit Margin is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Dividend Growth by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Dividend Growth'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.

Dividend 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.

Dividend Growth

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.96 %
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.

Dividend Growth

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0721
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.

Dividend Return On Asset Comparison

Dividend Growth is currently under evaluation in return on asset category among its peers.

Dividend Growth Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Dividend Growth, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Dividend Growth will eventually generate negative long term returns. The profitability progress is the general direction of Dividend Growth's change in net profit over the period of time. It can combine multiple indicators of Dividend Growth, 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
Operating Income59.4 M62.4 M
Income Before Tax59.4 M62.4 M
Total Other Income Expense Net-25.6 M-24.4 M
Net Income34 M35.7 M
Income Tax Expense34 M35.7 M
Net Income From Continuing Ops59.4 M31.1 M
Net Loss-41.7 M-39.6 M
Net Interest Income149 K156.4 K
Interest Income149 K156.4 K
Change To Netincome20.7 M21.7 M
Net Income Per Share 0.72  0.58 
Income Quality 2.41  2.53 
Net Income Per E B T 1.15  1.03 

Dividend Profitability Driver Comparison

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

Use Dividend Growth 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 Dividend Growth 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 Dividend Growth will appreciate offsetting losses from the drop in the long position's value.

Dividend Growth Pair Trading

Dividend Growth Split Pair Trading Analysis

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

In addition to having Dividend Growth 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 Beers Thematic Idea Now

Beers
Beers Theme
Companies involved in production and distribution of domestic and international beer. The Beers theme has 39 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 Beers Theme or any other thematic opportunities.
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Other Information on Investing in Dividend Stock

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