Richter Gedeon Gross Profit vs. Revenue

RIG2 Stock  EUR 25.92  0.86  3.21%   
Considering Richter Gedeon's profitability and operating efficiency indicators, Richter Gedeon Vegyszeti 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 Richter Gedeon's ability to earn profits and add value for shareholders.
For Richter Gedeon profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Richter Gedeon to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Richter Gedeon Vegyszeti utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Richter Gedeon's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Richter Gedeon Vegyszeti over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Richter Gedeon's value and its price as these two are different measures arrived at by different means. Investors typically determine if Richter Gedeon is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Richter Gedeon'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.

Richter Gedeon Vegyszeti Revenue vs. Gross Profit Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Richter Gedeon's current stock value. Our valuation model uses many indicators to compare Richter Gedeon value to that of its competitors to determine the firm's financial worth.
Richter Gedeon Vegyszeti is currently regarded as top stock in gross profit category among its peers. It also is currently regarded number one company in revenue category among its peers totaling about  1.81  of Revenue per Gross Profit. 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 Richter Gedeon's earnings, one of the primary drivers of an investment's value.

Richter Revenue vs. Gross Profit

Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

Richter Gedeon

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
349.27 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.

Richter Gedeon

Revenue

 = 

Money Received

-

Discounts and Returns

 = 
630.6 B
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Richter Revenue vs Competition

Richter Gedeon Vegyszeti is currently regarded number one company in revenue category among its peers. Market size based on revenue of Drug Manufacturers - Specialty & Generic industry is at this time estimated at about 1.23 Trillion. Richter Gedeon totals roughly 630.6 Billion in revenue claiming about 51% of equities under Drug Manufacturers - Specialty & Generic industry.

Richter Gedeon Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Richter Gedeon, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Richter Gedeon will eventually generate negative long term returns. The profitability progress is the general direction of Richter Gedeon's change in net profit over the period of time. It can combine multiple indicators of Richter Gedeon, 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.
Richter Gedeon Vegyszeti Gyr Nyilvnosan Mukdo Rt. researches, develops, manufactures, markets, and sells pharmaceutical products worldwide. The company was founded in 1901 and is headquartered in Budapest, Hungary. RICHT GEDE operates under Drug Manufacturers - Specialty Generic classification in Germany and is traded on Frankfurt Stock Exchange. It employs 12869 people.

Richter Profitability Driver Comparison

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

Use Richter Gedeon 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 Richter Gedeon 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 Richter Gedeon will appreciate offsetting losses from the drop in the long position's value.

Richter Gedeon Pair Trading

Richter Gedeon Vegyszeti Pair Trading Analysis

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

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Millennials Best Theme
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Other Information on Investing in Richter Stock

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