Phillips Net Income vs. Current Valuation
| R66 Stock | EUR 105.40 0.64 0.60% |
For Phillips profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Phillips to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Phillips 66 utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Phillips's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Phillips 66 over time as well as its relative position and ranking within its peers.
Phillips |
Phillips 66 Current Valuation vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Phillips's current stock value. Our valuation model uses many indicators to compare Phillips value to that of its competitors to determine the firm's financial worth. Phillips 66 is currently regarded as top stock in net income category among its peers. It also is currently regarded number one company in current valuation category among its peers reporting about 5.32 of Current Valuation per Net Income. 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 Phillips' earnings, one of the primary drivers of an investment's value.Phillips Current Valuation vs. Net Income
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.
Phillips |
| = | 11.02 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.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Phillips |
| = | 58.62 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Phillips Current Valuation vs Competition
Phillips 66 is currently regarded number one company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Oil & Gas Refining & Marketing industry is at this time estimated at about 210.49 Billion. Phillips totals roughly 58.62 Billion in current valuation claiming about 28% of all equities under Oil & Gas Refining & Marketing industry.
Phillips Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Phillips, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Phillips will eventually generate negative long term returns. The profitability progress is the general direction of Phillips' change in net profit over the period of time. It can combine multiple indicators of Phillips, 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.
Phillips 66 operates as an energy manufacturing and logistics company. Phillips 66 was founded in 1875 and is headquartered in Houston, Texas. Phillips operates under Oil Gas Refining Marketing classification in Germany and is traded on Frankfurt Stock Exchange. It employs 14200 people.
Phillips Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Phillips. 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 Phillips 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 Phillips' important profitability drivers and their relationship over time.
Use Phillips 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 Phillips 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 Phillips will appreciate offsetting losses from the drop in the long position's value.Phillips Pair Trading
Phillips 66 Pair Trading Analysis
The ability to find closely correlated positions to Phillips could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Phillips 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 Phillips - 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 Phillips 66 to buy it.
The correlation of Phillips 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 Phillips moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Phillips 66 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 Phillips 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 Phillips position
In addition to having Phillips 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?
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Wireless
Companies providing wireless technology and communication services. The Wireless theme has 43 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 Wireless Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in Phillips Stock
When determining whether Phillips 66 offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Phillips' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Phillips 66 Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Phillips 66 Stock:Check out Your Equity Center. You can also try the Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.
To fully project Phillips' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Phillips 66 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 Phillips' income statement, its balance sheet, and the statement of cash flows.