Prime Office Operating Margin vs. Price To Earning

PRIMOF Stock  DKK 176.00  6.00  3.53%   
Based on the measurements of profitability obtained from Prime Office's financial statements, Prime Office AS may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in December. Profitability indicators assess Prime Office's ability to earn profits and add value for shareholders.
For Prime Office profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Prime Office to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Prime Office AS utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Prime Office's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Prime Office AS over time as well as its relative position and ranking within its peers.
  
Check out Your Equity Center.
Please note, there is a significant difference between Prime Office's value and its price as these two are different measures arrived at by different means. Investors typically determine if Prime Office is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Prime Office'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.

Prime Office AS Price To Earning vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Prime Office's current stock value. Our valuation model uses many indicators to compare Prime Office value to that of its competitors to determine the firm's financial worth.
Prime Office AS is considered to be number one stock in operating margin category among its peers. It also is considered to be number one stock in price to earning category among its peers reporting about  10.43  of Price To Earning per Operating Margin. Comparative valuation analysis is a catch-all model that can be used if you cannot value Prime Office by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Prime Office'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.

Prime Price To Earning 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.

Prime Office

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.65 %
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.
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.

Prime Office

P/E

 = 

Market Value Per Share

Earnings Per Share

 = 
6.80 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.

Prime Price To Earning Comparison

Prime Office is currently under evaluation in price to earning category among its peers.

Prime Office Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Prime Office, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Prime Office will eventually generate negative long term returns. The profitability progress is the general direction of Prime Office's change in net profit over the period of time. It can combine multiple indicators of Prime Office, 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.
It primarily invests in centrally located office buildings in Germany. Prime Office operates under Real EstateDevelopment classification in Denmark and is traded on Copenhagen Stock Exchange. It employs 11 people.

Prime Profitability Driver Comparison

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

Use Prime Office 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 Prime Office 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 Prime Office will appreciate offsetting losses from the drop in the long position's value.

Prime Office Pair Trading

Prime Office AS Pair Trading Analysis

The ability to find closely correlated positions to Prime Office could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Prime Office 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 Prime Office - 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 Prime Office AS to buy it.
The correlation of Prime Office 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 Prime Office moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Prime Office AS 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 Prime Office 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.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Prime Office position

In addition to having Prime Office 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 Gold and Gold Mining Thematic Idea Now

Gold and Gold Mining
Gold and Gold Mining Theme
Large and mid-size companies, ETFs and funds that are either investing, exploring or producing, gold or indirectly involved in trading or making gold products. The Gold and Gold Mining theme has 99 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 Gold and Gold Mining Theme or any other thematic opportunities.
View All  Next Launch

Other Information on Investing in Prime Stock

To fully project Prime Office's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Prime Office AS 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 Prime Office's income statement, its balance sheet, and the statement of cash flows.
Potential Prime Office investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Prime Office investors may work on each financial statement separately, they are all related. The changes in Prime Office's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Prime Office'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.