Ginkgo Bioworks Return On Equity vs. Gross Profit
| DNA Stock | USD 8.70 0.44 5.33% |
Return On Equity | First Reported 2010-12-31 | Previous Quarter (0.81) | Current Value (0.85) | Quarterly Volatility 0.37062645 |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.76 | 0.7852 |
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For Ginkgo Bioworks profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Ginkgo Bioworks to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Ginkgo Bioworks Holdings utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Ginkgo Bioworks's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Ginkgo Bioworks Holdings over time as well as its relative position and ranking within its peers.
Ginkgo |
Is Biotechnology 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 Ginkgo Bioworks. If investors know Ginkgo 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 Ginkgo Bioworks listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (12.89) | Revenue Per Share 4.291 | Quarterly Revenue Growth 0.606 | Return On Assets (0.21) | Return On Equity (0.64) |
The market value of Ginkgo Bioworks Holdings is measured differently than its book value, which is the value of Ginkgo that is recorded on the company's balance sheet. Investors also form their own opinion of Ginkgo Bioworks' value that differs from its market value or its book value, called intrinsic value, which is Ginkgo Bioworks' 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 Ginkgo Bioworks' market value can be influenced by many factors that don't directly affect Ginkgo Bioworks' 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 Ginkgo Bioworks' value and its price as these two are different measures arrived at by different means. Investors typically determine if Ginkgo Bioworks is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ginkgo Bioworks' 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.
Ginkgo Bioworks Holdings Gross Profit vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Ginkgo Bioworks's current stock value. Our valuation model uses many indicators to compare Ginkgo Bioworks value to that of its competitors to determine the firm's financial worth. Ginkgo Bioworks Holdings is rated # 2 in return on equity category among its peers. It is one of the top stocks in gross profit category among its peers . At present, Ginkgo Bioworks' Return On Equity is projected to slightly decrease based on the last few years of reporting. 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 Ginkgo Bioworks' earnings, one of the primary drivers of an investment's value.Ginkgo Gross Profit 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.
Ginkgo Bioworks |
| = | -0.64 |
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.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.
Ginkgo Bioworks |
| = | 273.49 M |
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Ginkgo Bioworks Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Ginkgo Bioworks, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Ginkgo Bioworks will eventually generate negative long term returns. The profitability progress is the general direction of Ginkgo Bioworks' change in net profit over the period of time. It can combine multiple indicators of Ginkgo Bioworks, 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 Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 1.5 M | 1.6 M | |
| Net Interest Income | 55.2 M | 58 M | |
| Interest Income | 57.2 M | 60.1 M | |
| Operating Income | -864.4 M | -907.6 M | |
| Net Loss | -854.3 M | -897 M | |
| Income Before Tax | -892.9 M | -937.6 M | |
| Total Other Income Expense Net | -28.5 M | -27.1 M | |
| Net Loss | -1.9 B | -1.8 B | |
| Net Loss | -892.9 M | -937.5 M | |
| Income Tax Expense | -71 K | -74.5 K | |
| Non Operating Income Net Other | 78.8 M | 70 M | |
| Change To Netincome | 2.1 B | 2.2 B | |
| Net Loss | (18.37) | (19.29) | |
| Income Quality | 0.33 | 0.39 | |
| Net Income Per E B T | 1.00 | 1.10 |
Ginkgo Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Ginkgo Bioworks. 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 Ginkgo Bioworks 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 Ginkgo Bioworks' important profitability drivers and their relationship over time.
Use Ginkgo Bioworks 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 Ginkgo Bioworks 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 Ginkgo Bioworks will appreciate offsetting losses from the drop in the long position's value.Ginkgo Bioworks Pair Trading
Ginkgo Bioworks Holdings Pair Trading Analysis
The ability to find closely correlated positions to Ginkgo Bioworks could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Ginkgo Bioworks 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 Ginkgo Bioworks - 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 Ginkgo Bioworks Holdings to buy it.
The correlation of Ginkgo Bioworks 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 Ginkgo Bioworks moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Ginkgo Bioworks Holdings 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 Ginkgo Bioworks 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 Ginkgo Bioworks position
In addition to having Ginkgo Bioworks 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?
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To fully project Ginkgo Bioworks' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Ginkgo Bioworks Holdings 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 Ginkgo Bioworks' income statement, its balance sheet, and the statement of cash flows.