Nestle India Operating Margin vs. Shares Owned By Institutions
| NESTLEIND | 2,241 22.05 0.99% |
For Nestle India profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Nestle India to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Nestle India Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Nestle India's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Nestle India Limited over time as well as its relative position and ranking within its peers.
Nestle |
Nestle India Limited Shares Owned By Institutions vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Nestle India's current stock value. Our valuation model uses many indicators to compare Nestle India value to that of its competitors to determine the firm's financial worth. Nestle India Limited is considered to be number one stock in operating margin category among its peers. It also is considered to be number one stock in shares owned by institutions category among its peers producing about 69.37 of Shares Owned By Institutions per Operating Margin. Comparative valuation analysis is a catch-all model that can be used if you cannot value Nestle India by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Nestle India's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.Nestle Shares Owned By Institutions vs. Operating Margin
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.
Nestle India |
| = | 0.20 % |
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.
Shares Owned by Institutions show the percentage of the outstanding shares of stock issued by a company that is currently owned by other institutions such as asset management firms, hedge funds, or investment banks. Many investors like investing in companies with a large percentage of the firm owned by institutions because they believe that larger firms such as banks, pension funds, and mutual funds, will invest when they think that good things are going to happen.
Nestle India |
| = | 14.22 % |
Since Institution investors conduct a lot of independent research they tend to be more involved and usually more knowledgeable about entities they invest as compared to amateur investors.
Nestle Shares Owned By Institutions Comparison
Nestle India is currently under evaluation in shares owned by institutions category among its peers.
Nestle India Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Nestle India, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Nestle India will eventually generate negative long term returns. The profitability progress is the general direction of Nestle India's change in net profit over the period of time. It can combine multiple indicators of Nestle India, 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 | 108.5 M | 113.9 M | |
| Operating Income | 74.6 B | 78.4 B | |
| Income Before Tax | 43 B | 45.1 B | |
| Total Other Income Expense Net | -31.6 B | -30.1 B | |
| Net Income | 32 B | 17.9 B | |
| Income Tax Expense | 11 B | 11.6 B | |
| Net Income From Continuing Ops | 29.7 B | 18.2 B | |
| Net Income Applicable To Common Shares | 27.5 B | 16.8 B | |
| Interest Income | 1.8 B | 1.8 B | |
| Net Interest Income | -450.1 M | -427.6 M | |
| Change To Netincome | -233.2 M | -244.8 M |
Nestle Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Nestle India. 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 Nestle India 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 Nestle India's important profitability drivers and their relationship over time.
Use Nestle India 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 Nestle India 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 Nestle India will appreciate offsetting losses from the drop in the long position's value.Nestle India Pair Trading
Nestle India Limited Pair Trading Analysis
The ability to find closely correlated positions to Nestle India could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Nestle India 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 Nestle India - 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 Nestle India Limited to buy it.
The correlation of Nestle India 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 Nestle India moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Nestle India Limited 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 Nestle India 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 Nestle India position
In addition to having Nestle India 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 Momentum Thematic Idea Now
Momentum
Large corporations operating in software, education, financial and car manufacturing industries. The Momentum theme has 40 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 Momentum Theme or any other thematic opportunities.
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Other Information on Investing in Nestle Stock
To fully project Nestle India's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Nestle India Limited 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 Nestle India's income statement, its balance sheet, and the statement of cash flows.