Mitek Systems Price To Sales vs. Operating Margin

MITK Stock  USD 9.66  0.21  2.13%   
Based on Mitek Systems' profitability indicators, Mitek Systems is yielding more profit at the present time then in previous quarter. It has a moderate chance of reporting better profitability numbers in March. Profitability indicators assess Mitek Systems' ability to earn profits and add value for shareholders.

Mitek Systems Price To Sales Ratio

2.86

At this time, Mitek Systems' Price To Sales Ratio is quite stable compared to the past year. EV To Sales is expected to rise to 2.85 this year, although the value of Days Of Sales Outstanding will most likely fall to 100.71. At this time, Mitek Systems' Net Income Per Share is quite stable compared to the past year. Income Quality is expected to rise to 9.14 this year, although the value of Income Before Tax will most likely fall to (1.1 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.580.9
Way Down
Pretty Stable
For Mitek Systems profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Mitek Systems to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Mitek Systems utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Mitek Systems's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Mitek Systems over time as well as its relative position and ranking within its peers.
  

Mitek Systems' Revenue Breakdown by Earning Segment

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Is Application Software 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 Mitek Systems. If investors know Mitek 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 Mitek Systems 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
(0.94)
Earnings Share
0.1
Revenue Per Share
3.725
Quarterly Revenue Growth
0.009
Return On Assets
0.0133
The market value of Mitek Systems is measured differently than its book value, which is the value of Mitek that is recorded on the company's balance sheet. Investors also form their own opinion of Mitek Systems' value that differs from its market value or its book value, called intrinsic value, which is Mitek Systems' 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 Mitek Systems' market value can be influenced by many factors that don't directly affect Mitek Systems' 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 Mitek Systems' value and its price as these two are different measures arrived at by different means. Investors typically determine if Mitek Systems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Mitek Systems' 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.

Mitek Systems Operating Margin vs. Price To Sales Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Mitek Systems's current stock value. Our valuation model uses many indicators to compare Mitek Systems value to that of its competitors to determine the firm's financial worth.
Mitek Systems is rated below average in price to sales category among its peers. It also is rated below average in operating margin category among its peers . At this time, Mitek Systems' Price To Sales Ratio is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Mitek Systems by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Mitek Operating Margin vs. Price To Sales

Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Mitek Systems

P/S

 = 

MV Per Share

Revenue Per Share

 = 
2.60 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Mitek Systems

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
(0.06) %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.

Mitek Operating Margin Comparison

Mitek Systems is currently under evaluation in operating margin category among its peers.

Mitek Systems Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Mitek Systems, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Mitek Systems will eventually generate negative long term returns. The profitability progress is the general direction of Mitek Systems' change in net profit over the period of time. It can combine multiple indicators of Mitek Systems, 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-2.1 M-2.2 M
Operating Income2.6 M2.7 M
Net Income3.8 MM
Income Tax Expense-3.8 M-3.6 M
Income Before Tax-1 M-1.1 M
Total Other Income Expense Net-2.8 M-2.7 M
Net Income Applicable To Common Shares9.7 M10.2 M
Net Income From Continuing Ops3.8 MM
Non Operating Income Net Other752.1 K789.7 K
Interest Income82.3 K73.2 K
Net Interest Income-8.3 M-8.7 M
Change To Netincome11.2 M6.1 M
Net Income Per Share 0.06  0.07 
Income Quality 8.70  9.14 
Net Loss(4.15)(3.94)

Mitek Profitability Driver Comparison

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

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When determining whether Mitek Systems is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Mitek Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Mitek Systems Stock. Highlighted below are key reports to facilitate an investment decision about Mitek Systems Stock:
Check out Correlation Analysis.
For more information on how to buy Mitek Stock please use our How to buy in Mitek Stock guide.
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To fully project Mitek Systems' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Mitek Systems 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 Mitek Systems' income statement, its balance sheet, and the statement of cash flows.
Potential Mitek Systems investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Mitek Systems investors may work on each financial statement separately, they are all related. The changes in Mitek Systems's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Mitek Systems'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.