Hays Plc Net Income vs. Operating Margin

HAY Stock  EUR 0.97  0.03  3.19%   
Based on the measurements of profitability obtained from Hays Plc's financial statements, Hays plc may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess Hays Plc's ability to earn profits and add value for shareholders.
For Hays Plc profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hays Plc to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hays plc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hays Plc's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hays plc over time as well as its relative position and ranking within its peers.
  
Check out Risk vs Return Analysis.
Please note, there is a significant difference between Hays Plc's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hays Plc is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hays Plc'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.

Hays plc Operating Margin vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Hays Plc's current stock value. Our valuation model uses many indicators to compare Hays Plc value to that of its competitors to determine the firm's financial worth.
Hays plc is one of the top stocks in net income category among its peers. It also is one of the top stocks in operating margin category among its peers . The ratio of Net Income to Operating Margin for Hays plc is about  5,410,526,316 . 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 Hays Plc's earnings, one of the primary drivers of an investment's value.

Hays Operating Margin vs. Net Income

Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.

Hays Plc

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
154.2 M
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
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.

Hays Plc

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.03 %
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.

Hays Operating Margin Comparison

Hays Plc is currently under evaluation in operating margin category among its peers.

Hays Plc Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Hays Plc, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hays Plc will eventually generate negative long term returns. The profitability progress is the general direction of Hays Plc's change in net profit over the period of time. It can combine multiple indicators of Hays Plc, 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.
Hays plc operates as a recruitment company in Australia, New Zealand, Germany, the United Kingdom, Ireland, and internationally. Hays plc was founded in 1968 and is based in London, the United Kingdom. Hays plc operates under Staffing Outsourcing Services classification in Germany and is traded on Frankfurt Stock Exchange. It employs 11700 people.

Hays Profitability Driver Comparison

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

Use Hays Plc 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 Hays Plc 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 Hays Plc will appreciate offsetting losses from the drop in the long position's value.

Hays Plc Pair Trading

Hays plc Pair Trading Analysis

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

In addition to having Hays Plc 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 Corporate Bonds Funds Thematic Idea Now

Corporate Bonds Funds
Corporate Bonds Funds Theme
Funds or Etfs investing in different types of corporate debt instruments. The Corporate Bonds Funds theme has 46 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 Corporate Bonds Funds Theme or any other thematic opportunities.
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Other Information on Investing in Hays Stock

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