Phibro Animal Profitability Analysis
| PAHC Stock | USD 23.76 0.37 1.58% |
Net Income | First Reported 2000-03-31 | Previous Quarter 752 K | Current Value 7 M | Quarterly Volatility 10.1 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.22 | 0.3071 |
|
| |||||
| Operating Profit Margin | 0.0576 | 0.0524 |
|
| |||||
| Pretax Profit Margin | 0.0102 | 0.0107 |
|
|
For Phibro Animal profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Phibro Animal to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Phibro Animal Health utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Phibro Animal's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Phibro Animal Health over time as well as its relative position and ranking within its peers.
Phibro |
Is Pharmaceuticals 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 Phibro Animal. If investors know Phibro 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 Phibro Animal 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) | Dividend Share 0.48 | Earnings Share 0.43 | Revenue Per Share 25.843 | Quarterly Revenue Growth 0.126 |
The market value of Phibro Animal Health is measured differently than its book value, which is the value of Phibro that is recorded on the company's balance sheet. Investors also form their own opinion of Phibro Animal's value that differs from its market value or its book value, called intrinsic value, which is Phibro Animal's 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 Phibro Animal's market value can be influenced by many factors that don't directly affect Phibro Animal's 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 Phibro Animal's value and its price as these two are different measures arrived at by different means. Investors typically determine if Phibro Animal is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Phibro Animal'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.
Phibro Animal Health Return On Asset vs. Return On Equity Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Phibro Animal's current stock value. Our valuation model uses many indicators to compare Phibro Animal value to that of its competitors to determine the firm's financial worth. Phibro Animal Health is rated below average in return on equity category among its peers. It is rated below average in return on asset category among its peers reporting about 0.80 of Return On Asset per Return On Equity. The ratio of Return On Equity to Return On Asset for Phibro Animal Health is roughly 1.25 . At present, Phibro Animal's Return On Equity is projected to slightly decrease based on the last few years of reporting. 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 Phibro Animal's earnings, one of the primary drivers of an investment's value.Phibro Animal's Earnings Breakdown by Geography
Phibro Return On Asset vs. Return On Equity
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.
Phibro Animal |
| = | 0.0655 |
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Phibro Animal |
| = | 0.0526 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Phibro Return On Asset Comparison
Phibro Animal is currently under evaluation in return on asset category among its peers.
Phibro Animal Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Phibro Animal, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Phibro Animal will eventually generate negative long term returns. The profitability progress is the general direction of Phibro Animal's change in net profit over the period of time. It can combine multiple indicators of Phibro Animal, 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 | -123.5 M | -117.4 M | |
| Operating Income | 53.3 M | 51.9 M | |
| Income Before Tax | 10.9 M | 10.4 M | |
| Total Other Income Expense Net | -42.4 M | -40.3 M | |
| Net Income Applicable To Common Shares | 37.5 M | 42.5 M | |
| Net Income | 2.4 M | 2.3 M | |
| Income Tax Expense | 8.5 M | 9.8 M | |
| Net Income From Continuing Ops | 2.4 M | 2.3 M | |
| Non Operating Income Net Other | -2.8 M | -2.7 M | |
| Interest Income | 4.5 M | 2.8 M | |
| Net Interest Income | -18.5 M | -19.5 M | |
| Change To Netincome | -11.6 M | -11 M | |
| Net Income Per Share | 0.06 | 0.06 | |
| Income Quality | 36.26 | 38.07 | |
| Net Income Per E B T | 0.22 | 0.21 |
Phibro Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Phibro Animal. 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 Phibro Animal 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 Phibro Animal's important profitability drivers and their relationship over time.
Phibro Animal Profitability Trends
Phibro Animal profitability trend refers to the progression of profit or loss within a business. An upward trend means that Phibro Animal's profit has generally increased over time, and a downward profitability trend means profits are declining. Recognizing problems early in profitability trends allows investors to address revenue and cost issues in advance. Investors and analysts usually monitor three types of profitability trends: gross, operating, and net. Gross profit is the difference between revenue and costs of goods sold. Operating profit is Phibro Animal's gross profit minus its overhead. After you account for other unusual revenue, expenses, and costs, you get net profit. Gross profit trends are often a good indicator of future profitability. If you have high gross profit margins, you have a better chance to cover overhead and make money.
Phibro Animal Profitability Drivers Correlations
One of the toughest challenges investors face today is learning how to quickly synthesize and read into endless financial statements and information provided by the company, SEC reporting, and various external parties. Understanding the correlation between Phibro Animal different financial indicators related to revenue and profit generation helps investors identify and prioritize their investing strategies towards Phibro Animal in a much-optimized way. Analyzing correlations between profit drivers that are directly associated with dollar figures is the most effective way to break down Phibro Animal's future profitability.
Click cells to compare fundamentals
Use Phibro Animal 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 Phibro Animal 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 Phibro Animal will appreciate offsetting losses from the drop in the long position's value.Phibro Animal Pair Trading
Phibro Animal Health Pair Trading Analysis
The ability to find closely correlated positions to Phibro Animal could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Phibro Animal 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 Phibro Animal - 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 Phibro Animal Health to buy it.
The correlation of Phibro Animal 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 Phibro Animal moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Phibro Animal Health 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 Phibro Animal 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 Phibro Animal position
In addition to having Phibro Animal 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 Rubber and Plastic Products Thematic Idea Now
Rubber and Plastic Products
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Rubber and Plastic Products theme has 27 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 Rubber and Plastic Products Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Your Equity Center. You can also try the Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
To fully project Phibro Animal's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Phibro Animal Health 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 Phibro Animal's income statement, its balance sheet, and the statement of cash flows.