ITV PLC Gross Profit vs. Current Valuation
| ITV Stock | 72.65 0.15 0.21% |
Gross Profit | First Reported 2003-01-31 | Previous Quarter 224 M | Current Value 200 M | Quarterly Volatility 143.4 M |
For ITV PLC profitability analysis, we use financial ratios and fundamental drivers that measure the ability of ITV PLC to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well ITV PLC utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between ITV PLC's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of ITV PLC over time as well as its relative position and ranking within its peers.
ITV |
ITV PLC Current Valuation vs. Gross Profit Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining ITV PLC's current stock value. Our valuation model uses many indicators to compare ITV PLC value to that of its competitors to determine the firm's financial worth. ITV PLC is currently regarded as number one stock in gross profit category among its peers. It also is considered the number one company in current valuation category among its peers reporting about 4.49 of Current Valuation per Gross Profit. At present, ITV PLC's Gross Profit is projected to decrease significantly 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 ITV PLC's earnings, one of the primary drivers of an investment's value.ITV Current Valuation vs. Gross Profit
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.
ITV PLC |
| = | 721 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.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
ITV PLC |
| = | 3.24 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
ITV Current Valuation vs Competition
ITV PLC is considered the number one company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Communication Services industry is currently estimated at about 103.21 Billion. ITV PLC holds roughly 3.24 Billion in current valuation claiming about 3% of stocks in Communication Services industry.
ITV PLC Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in ITV PLC, profitability is also one of the essential criteria for including it into their portfolios because, without profit, ITV PLC will eventually generate negative long term returns. The profitability progress is the general direction of ITV PLC's change in net profit over the period of time. It can combine multiple indicators of ITV 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.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 287 M | 301.4 M | |
| Operating Income | 238 M | 341.4 M | |
| Income Before Tax | 193 M | 237.8 M | |
| Total Other Income Expense Net | -45 M | -47.2 M | |
| Net Income | 210 M | 224.4 M | |
| Income Tax Expense | -16 M | -15.2 M | |
| Net Income Applicable To Common Shares | 492.2 M | 352.3 M | |
| Net Income From Continuing Ops | 209 M | 322.3 M | |
| Net Interest Income | -40 M | -42 M | |
| Interest Income | 23 M | 24.1 M | |
| Change To Netincome | -107.1 M | -101.7 M |
ITV Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on ITV 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 ITV 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 ITV PLC's important profitability drivers and their relationship over time.
Use ITV 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 ITV 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 ITV PLC will appreciate offsetting losses from the drop in the long position's value.ITV PLC Pair Trading
ITV PLC Pair Trading Analysis
The ability to find closely correlated positions to ITV 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 ITV 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 ITV 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 ITV PLC to buy it.
The correlation of ITV 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 ITV PLC moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if ITV 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 ITV 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.Use Investing Themes to Complement your ITV PLC position
In addition to having ITV 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 Pharmaceutical Products Thematic Idea Now
Pharmaceutical Products
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Pharmaceutical Products theme has 61 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 Pharmaceutical Products Theme or any other thematic opportunities.
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Other Information on Investing in ITV Stock
To fully project ITV PLC's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of ITV 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 ITV PLC's income statement, its balance sheet, and the statement of cash flows.