JD Sports Book Value Per Share vs. Profit Margin
| JD Stock | 93.98 0.94 0.99% |
For JD Sports profitability analysis, we use financial ratios and fundamental drivers that measure the ability of JD Sports to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well JD Sports Fashion utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between JD Sports's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of JD Sports Fashion over time as well as its relative position and ranking within its peers.
JD Sports |
JD Sports Fashion Profit Margin vs. Book Value Per Share Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining JD Sports's current stock value. Our valuation model uses many indicators to compare JD Sports value to that of its competitors to determine the firm's financial worth. JD Sports Fashion is currently regarded as number one stock in book value per share category among its peers. It also is currently regarded as number one stock in profit margin category among its peers fabricating about 0.07 of Profit Margin per Book Value Per Share. The ratio of Book Value Per Share to Profit Margin for JD Sports Fashion is roughly 14.70 . 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 JD Sports' earnings, one of the primary drivers of an investment's value.JD Sports Profit Margin vs. Book Value Per Share
Book Value per Share (B/S) can be calculated by subtracting liabilities from assets, and then dividing it by the total number of currently outstanding shares. It indicates the level of safety associated with each common share after removing the effects of liabilities. In other words, a shareholder can use this ratio to see how much he or she can sell the stake in the company in the event of a liquidation.
JD Sports |
| = | 0.47 X |
The naive approach to look at Book Value per Share is to compare it to current stock price. If Book Value per Share is higher than the currently traded stock price, the company can be considered undervalued. However, investors must be aware that conventional calculation of Book Value does not include intangible assets such as goodwill, intellectual property, trademarks or brands and may not be an appropriate measure for many firms.
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.
JD Sports |
| = | 0.03 % |
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.
JD Sports Profit Margin Comparison
JD Sports is currently under evaluation in profit margin category among its peers.
JD Sports Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in JD Sports, profitability is also one of the essential criteria for including it into their portfolios because, without profit, JD Sports will eventually generate negative long term returns. The profitability progress is the general direction of JD Sports' change in net profit over the period of time. It can combine multiple indicators of JD Sports, 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 | -227.6 M | -21.6 M | |
| Operating Income | 927.2 M | 18 M | |
| Income Before Tax | 811.2 M | 10.8 M | |
| Total Other Income Expense Net | -116 M | 7.2 M | |
| Net Income | 605 M | 6.8 M | |
| Income Tax Expense | 206.2 M | 4 M | |
| Net Income Applicable To Common Shares | 15.9 M | 26.1 M | |
| Net Income From Continuing Ops | 605 M | 337.5 M | |
| Net Interest Income | -62.7 M | -65.8 M | |
| Interest Income | 39.2 M | 41.2 M | |
| Change To Netincome | 33.4 M | 26.1 M |
JD Sports Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on JD Sports. 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 JD Sports 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 JD Sports' important profitability drivers and their relationship over time.
Use JD Sports 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 JD Sports 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 JD Sports will appreciate offsetting losses from the drop in the long position's value.JD Sports Pair Trading
JD Sports Fashion Pair Trading Analysis
The ability to find closely correlated positions to JD Sports could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace JD Sports 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 JD Sports - 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 JD Sports Fashion to buy it.
The correlation of JD Sports 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 JD Sports moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if JD Sports Fashion 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 JD Sports 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 JD Sports position
In addition to having JD Sports 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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Other Information on Investing in JD Sports Stock
To fully project JD Sports' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of JD Sports Fashion 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 JD Sports' income statement, its balance sheet, and the statement of cash flows.