MSA Safety Profit Margin vs. Price To Earning

M07 Stock  EUR 156.00  3.00  1.96%   
Based on the key profitability measurements obtained from MSA Safety's financial statements, MSA Safety Incorporated may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in February. Profitability indicators assess MSA Safety's ability to earn profits and add value for shareholders.
For MSA Safety profitability analysis, we use financial ratios and fundamental drivers that measure the ability of MSA Safety to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well MSA Safety Incorporated utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between MSA Safety's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of MSA Safety Incorporated over time as well as its relative position and ranking within its peers.
  
Check out Correlation Analysis.
For more detail on how to invest in MSA Stock please use our How to Invest in MSA Safety guide.
Please note, there is a significant difference between MSA Safety's value and its price as these two are different measures arrived at by different means. Investors typically determine if MSA Safety is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, MSA Safety'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.

MSA Safety Price To Earning vs. Profit Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining MSA Safety's current stock value. Our valuation model uses many indicators to compare MSA Safety value to that of its competitors to determine the firm's financial worth.
MSA Safety Incorporated is considered to be number one stock in profit margin category among its peers. It also is considered to be number one stock in price to earning category among its peers reporting about  453.32  of Price To Earning per Profit Margin. 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 MSA Safety's earnings, one of the primary drivers of an investment's value.

MSA Price To Earning vs. Profit Margin

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.

MSA Safety

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
0.12 %
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.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investors monitor daily. Holding a low PE stock is less risky because when a company's profitability falls, it is likely that earnings will also go down as well. In other words, if you start from a lower position, your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.

MSA Safety

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
53.31 X
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.

MSA Price To Earning Comparison

MSA Safety is currently under evaluation in price to earning category among its peers.

MSA Safety Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in MSA Safety, profitability is also one of the essential criteria for including it into their portfolios because, without profit, MSA Safety will eventually generate negative long term returns. The profitability progress is the general direction of MSA Safety's change in net profit over the period of time. It can combine multiple indicators of MSA Safety, 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.
MSA Safety Incorporated develops, manufactures, and supplies safety products that protect people and facility infrastructures in the oil, gas, petrochemical, fire service, construction, industrial manufacturing applications, utilities, military, and mining industries in North America, Latin America, and internationally. MSA Safety Incorporated was founded in 1914 and is based in Cranberry Township, Pennsylvania. MSA SAFETY operates under Security Protection Services classification in Germany and is traded on Frankfurt Stock Exchange. It employs 5200 people.

MSA Profitability Driver Comparison

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

Use MSA Safety 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 MSA Safety 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 MSA Safety will appreciate offsetting losses from the drop in the long position's value.

MSA Safety Pair Trading

MSA Safety Incorporated Pair Trading Analysis

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

In addition to having MSA Safety 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 Books Thematic Idea Now

Books
Books Theme
Companies involved in publishing of books, newspapers, periodicals and other mass publications. The Books 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 Books Theme or any other thematic opportunities.
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Other Information on Investing in MSA Stock

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