GTL Profitability Analysis
| GTL Stock | 11.84 0.05 0.42% |
Net Income | First Reported 2011-12-31 | Previous Quarter 1.4 B | Current Value 128.9 M | Quarterly Volatility 1.5 B |
For GTL profitability analysis, we use financial ratios and fundamental drivers that measure the ability of GTL to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well GTL Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between GTL's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of GTL Limited over time as well as its relative position and ranking within its peers.
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GTL Limited Profit Margin vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining GTL's current stock value. Our valuation model uses many indicators to compare GTL value to that of its competitors to determine the firm's financial worth. GTL Limited is one of the top stocks in return on asset category among its peers. It also is one of the top stocks in profit margin category among its peers fabricating about 5.18 of Profit Margin per Return On Asset. 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 GTL's earnings, one of the primary drivers of an investment's value.GTL Profit Margin vs. Return On Asset
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.
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| = | 0.19 |
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.
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.
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| = | 1.00 % |
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.
GTL Profit Margin Comparison
GTL is currently under evaluation in profit margin category among its peers.
GTL Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in GTL, profitability is also one of the essential criteria for including it into their portfolios because, without profit, GTL will eventually generate negative long term returns. The profitability progress is the general direction of GTL's change in net profit over the period of time. It can combine multiple indicators of GTL, 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 | -61.8 B | -58.7 B | |
| Operating Income | 715.2 M | 490.7 M | |
| Income Before Tax | 2.1 B | 2.2 B | |
| Income Tax Expense | 52.2 M | 54.8 M | |
| Total Other Income Expense Net | 1.4 B | 1.5 B | |
| Net Income | 376.1 M | 394.9 M | |
| Net Loss | -16.4 B | -15.5 B | |
| Net Income From Continuing Ops | 2.1 B | 2.2 B | |
| Interest Income | 9.4 B | 7.7 B | |
| Net Interest Income | -288.7 M | -303.1 M | |
| Change To Netincome | 81.3 M | 77.2 M |
GTL Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on GTL. 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 GTL 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 GTL's important profitability drivers and their relationship over time.
Use GTL 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 GTL 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 GTL will appreciate offsetting losses from the drop in the long position's value.GTL Pair Trading
GTL Limited Pair Trading Analysis
The ability to find closely correlated positions to GTL could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace GTL 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 GTL - 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 GTL Limited to buy it.
The correlation of GTL 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 GTL moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if GTL Limited 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 GTL 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 GTL position
In addition to having GTL 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 Long Short Funds Thematic Idea Now
Long Short Funds
Funds or Etfs that are designed to hedge away market risk by investing in combination of bonds, stocks, derivative instruments as well as short positions to maximize returns irrespective of market conditions. The Long Short Funds theme has 40 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 Long Short Funds Theme or any other thematic opportunities.
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Other Information on Investing in GTL Stock
To fully project GTL's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of GTL Limited 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 GTL's income statement, its balance sheet, and the statement of cash flows.