LVMH Mot EBITDA vs. Net Income
| MOH Stock | EUR 631.80 4.20 0.67% |
For LVMH Mot profitability analysis, we use financial ratios and fundamental drivers that measure the ability of LVMH Mot to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well LVMH Mot Hennessy utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between LVMH Mot's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of LVMH Mot Hennessy over time as well as its relative position and ranking within its peers.
LVMH |
LVMH Mot Hennessy Net Income vs. EBITDA Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining LVMH Mot's current stock value. Our valuation model uses many indicators to compare LVMH Mot value to that of its competitors to determine the firm's financial worth. LVMH Mot Hennessy is considered to be number one stock in ebitda category among its peers. It is regarded second in net income category among its peers making up about 0.53 of Net Income per EBITDA. The ratio of EBITDA to Net Income for LVMH Mot Hennessy is roughly 1.90 . 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 LVMH Mot's earnings, one of the primary drivers of an investment's value.LVMH Net Income vs. EBITDA
EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.
LVMH Mot |
| = | 26.72 B |
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
LVMH Mot |
| = | 14.08 B |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
LVMH Net Income Comparison
LVMH Mot is currently under evaluation in net income category among its peers.
LVMH Mot Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in LVMH Mot, profitability is also one of the essential criteria for including it into their portfolios because, without profit, LVMH Mot will eventually generate negative long term returns. The profitability progress is the general direction of LVMH Mot's change in net profit over the period of time. It can combine multiple indicators of LVMH Mot, 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.
LVMH Mot Hennessy - Louis Vuitton, Socit Europenne operates as a luxury products company. LVMH Mot Hennessy - Louis Vuitton, Socit Europenne was incorporated in 1923 and is headquartered in Paris, France. LVMH EO operates under Luxury Goods classification in Germany and is traded on Frankfurt Stock Exchange. It employs 148343 people.
LVMH Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on LVMH Mot. 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 LVMH Mot 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 LVMH Mot's important profitability drivers and their relationship over time.
Use LVMH Mot 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 LVMH Mot 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 LVMH Mot will appreciate offsetting losses from the drop in the long position's value.LVMH Mot Pair Trading
LVMH Mot Hennessy Pair Trading Analysis
The ability to find closely correlated positions to LVMH Mot could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LVMH Mot 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 LVMH Mot - 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 LVMH Mot Hennessy to buy it.
The correlation of LVMH Mot 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 LVMH Mot moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LVMH Mot Hennessy 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 LVMH Mot 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 LVMH Mot position
In addition to having LVMH Mot 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 Chemicals Thematic Idea Now
Chemicals
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Chemicals 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 Chemicals Theme or any other thematic opportunities.
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Other Information on Investing in LVMH Stock
To fully project LVMH Mot's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of LVMH Mot Hennessy 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 LVMH Mot's income statement, its balance sheet, and the statement of cash flows.