Hamilton Beach Return On Equity vs. Gross Profit

HBB Stock  USD 19.37  0.44  2.22%   
Considering the key profitability indicators obtained from Hamilton Beach's historical financial statements, Hamilton Beach's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Hamilton Beach's ability to earn profits and add value for shareholders.
 
Return On Equity  
First Reported
2010-12-31
Previous Quarter
0.17140296
Current Value
0.33
Quarterly Volatility
0.08273061
 
Credit Downgrade
 
Yuan Drop
 
Covid
At present, Hamilton Beach's Price To Sales Ratio is projected to slightly decrease based on the last few years of reporting. The current year's EV To Sales is expected to grow to 0.58, whereas Days Sales Outstanding is forecasted to decline to 50.41. At present, Hamilton Beach's Net Income From Continuing Ops is projected to decrease significantly based on the last few years of reporting. The current year's Net Income is expected to grow to about 25.2 M, whereas Accumulated Other Comprehensive Income is forecasted to decline to (11.2 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.250.2293
Significantly Up
Slightly volatile
Net Profit Margin0.02730.0403
Way Down
Slightly volatile
Operating Profit Margin0.04320.0561
Significantly Down
Slightly volatile
Pretax Profit Margin0.03920.0507
Significantly Down
Slightly volatile
Return On Assets0.07330.0656
Moderately Up
Pretty Stable
Return On Equity0.330.1714
Way Up
Very volatile
For Hamilton Beach profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hamilton Beach to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hamilton Beach Brands utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hamilton Beach's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hamilton Beach Brands over time as well as its relative position and ranking within its peers.
  

Hamilton Beach's Revenue Breakdown by Earning Segment

Check out Risk vs Return Analysis.
Is Household Appliances 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 Hamilton Beach. If investors know Hamilton 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 Hamilton Beach 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
(0.81)
Dividend Share
0.45
Earnings Share
1.88
Revenue Per Share
46.2
Quarterly Revenue Growth
0.02
The market value of Hamilton Beach Brands is measured differently than its book value, which is the value of Hamilton that is recorded on the company's balance sheet. Investors also form their own opinion of Hamilton Beach's value that differs from its market value or its book value, called intrinsic value, which is Hamilton Beach'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 Hamilton Beach's market value can be influenced by many factors that don't directly affect Hamilton Beach'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 Hamilton Beach's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hamilton Beach is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hamilton Beach'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.

Hamilton Beach Brands Gross Profit vs. Return On Equity Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Hamilton Beach's current stock value. Our valuation model uses many indicators to compare Hamilton Beach value to that of its competitors to determine the firm's financial worth.
Hamilton Beach Brands is one of the top stocks in return on equity category among its peers. It is rated below average in gross profit category among its peers fabricating about  680,981,013  of Gross Profit per Return On Equity. At present, Hamilton Beach's Return On Equity is projected to increase slightly 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 Hamilton Beach's earnings, one of the primary drivers of an investment's value.

Hamilton 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.

Hamilton Beach

Return On Equity

 = 

Net Income

Total Equity

 = 
0.19
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.

Hamilton Beach

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
129.11 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.

Hamilton Gross Profit Comparison

Hamilton Beach is currently under evaluation in gross profit category among its peers.

Hamilton Beach Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Hamilton Beach, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hamilton Beach will eventually generate negative long term returns. The profitability progress is the general direction of Hamilton Beach's change in net profit over the period of time. It can combine multiple indicators of Hamilton Beach, 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-10.7 M-11.2 M
Interest Income5.3 M2.8 M
Operating Income35.1 M29.3 M
Net Income From Continuing Ops12.8 M17.3 M
Income Before Tax31.7 M26.5 M
Total Other Income Expense Net-3.4 M-3.6 M
Net Income Applicable To Common Shares29.1 M21.8 M
Net Income25.2 M25.2 M
Income Tax Expense6.5 M8.2 M
Net Interest Income-4.3 M-4.6 M
Non Operating Income Net Other-1.6 M-1.5 M
Change To Netincome5.2 M5.4 M
Net Income Per Share 1.80  1.34 
Income Quality 3.51  3.69 
Net Income Per E B T 0.80  0.56 

Hamilton Profitability Driver Comparison

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

Learn to be your own money manager

Our tools can tell you how much better you can do entering a position in Hamilton Beach without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

Did you try this?

Run Volatility Analysis Now

   

Volatility Analysis

Get historical volatility and risk analysis based on latest market data
All  Next Launch Module

Use Investing Themes to Complement your Hamilton Beach position

In addition to having Hamilton Beach 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 Cannabis Thematic Idea Now

Cannabis
Cannabis Theme
Equities that are involved in production and delivery of legal cannabis. This theme is designed for investors that are willing to accept higher levels of market risk inherited by cannabis production and distribution globally. The Cannabis theme has 30 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 Cannabis Theme or any other thematic opportunities.
View All  Next Launch
When determining whether Hamilton Beach Brands offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Hamilton Beach's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Hamilton Beach Brands Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Hamilton Beach Brands Stock:
Check out Risk vs Return Analysis.
You can also try the Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
To fully project Hamilton Beach's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hamilton Beach Brands 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 Hamilton Beach's income statement, its balance sheet, and the statement of cash flows.
Potential Hamilton Beach investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Hamilton Beach investors may work on each financial statement separately, they are all related. The changes in Hamilton Beach's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Hamilton Beach'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.