Methode Electronics Price To Earning vs. Revenue
MEI Stock | USD 10.92 0.19 1.77% |
Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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Gross Profit Margin | 0.23 | 0.1604 |
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For Methode Electronics profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Methode Electronics to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Methode Electronics utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Methode Electronics's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Methode Electronics over time as well as its relative position and ranking within its peers.
Methode |
Methode Electronics' Revenue Breakdown by Earning Segment
Check out Correlation Analysis.
Is Electronic Equipment, Instruments & Components 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 Methode Electronics. If investors know Methode 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 Methode Electronics 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 (0.97) | Dividend Share 0.56 | Earnings Share (4.03) | Revenue Per Share 30.598 | Quarterly Revenue Growth (0.11) |
The market value of Methode Electronics is measured differently than its book value, which is the value of Methode that is recorded on the company's balance sheet. Investors also form their own opinion of Methode Electronics' value that differs from its market value or its book value, called intrinsic value, which is Methode Electronics' 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 Methode Electronics' market value can be influenced by many factors that don't directly affect Methode Electronics' 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 Methode Electronics' value and its price as these two are different measures arrived at by different means. Investors typically determine if Methode Electronics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Methode Electronics' 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.
Methode Electronics Revenue vs. Price To Earning Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Methode Electronics's current stock value. Our valuation model uses many indicators to compare Methode Electronics value to that of its competitors to determine the firm's financial worth. Methode Electronics is regarded fourth in price to earning category among its peers. It is regarded second in revenue category among its peers totaling about 80,527,457 of Revenue per Price To Earning. As of now, Methode Electronics' Total Revenue is increasing as compared to previous years. 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 Methode Electronics' earnings, one of the primary drivers of an investment's value.Methode Electronics' Earnings Breakdown by Geography
Methode Revenue vs. Price To Earning
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.
Methode Electronics |
| = | 13.84 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.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Methode Electronics |
| = | 1.11 B |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Methode Revenue vs Competition
Methode Electronics is regarded second in revenue category among its peers. Market size based on revenue of Information Technology industry is now estimated at about 4.82 Billion. Methode Electronics totals roughly 1.11 Billion in revenue claiming about 23% of equities under Information Technology industry.
Methode Electronics Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Methode Electronics, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Methode Electronics will eventually generate negative long term returns. The profitability progress is the general direction of Methode Electronics' change in net profit over the period of time. It can combine multiple indicators of Methode Electronics, 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 | -36.7 M | 15.7 M | |
Operating Income | -112 M | -111.7 M | |
Income Before Tax | -128.1 M | -110.8 M | |
Total Other Income Expense Net | -16.1 M | -120.1 M | |
Net Loss | -123.3 M | -112.5 M | |
Income Tax Expense | -4.8 M | 1.7 M | |
Net Income Applicable To Common Shares | 88.7 M | 58.7 M | |
Net Loss | -123.3 M | -117.1 M | |
Non Operating Income Net Other | 5.9 M | 3.5 M | |
Interest Income | 3.1 M | 4.5 M | |
Net Interest Income | -16.7 M | -15.9 M | |
Change To Netincome | 15.1 M | 15.8 M | |
Net Income Per Share | (3.48) | 2.74 | |
Income Quality | (0.39) | 0.97 | |
Net Income Per E B T | 0.96 | 0.86 |
Methode Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Methode Electronics. 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 Methode Electronics 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 Methode Electronics' important profitability drivers and their relationship over time.
Use Methode Electronics 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 Methode Electronics 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 Methode Electronics will appreciate offsetting losses from the drop in the long position's value.Methode Electronics Pair Trading
Methode Electronics Pair Trading Analysis
The ability to find closely correlated positions to Methode Electronics could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Methode Electronics 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 Methode Electronics - 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 Methode Electronics to buy it.
The correlation of Methode Electronics 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 Methode Electronics moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Methode Electronics 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 Methode Electronics 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 Methode Electronics position
In addition to having Methode Electronics 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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Check out Correlation Analysis. For more detail on how to invest in Methode Stock please use our How to Invest in Methode Electronics guide.You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
To fully project Methode Electronics' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Methode Electronics 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 Methode Electronics' income statement, its balance sheet, and the statement of cash flows.