SGHC Gross Profit vs. Price To Book

SGHC Stock  USD 6.08  0.15  2.53%   
Based on the measurements of profitability obtained from SGHC's financial statements, SGHC's profitability may be sliding down. It has an above-average chance of reporting lower numbers next quarter. Profitability indicators assess SGHC's ability to earn profits and add value for shareholders.
 
Gross Profit  
First Reported
2010-12-31
Previous Quarter
666.3 M
Current Value
628.9 M
Quarterly Volatility
178.6 M
 
Credit Downgrade
 
Yuan Drop
 
Covid
The current year's Sales General And Administrative To Revenue is expected to grow to 0.09, whereas Price To Sales Ratio is forecasted to decline to 0.94. At present, SGHC's Interest Income is projected to increase significantly based on the last few years of reporting. The current year's Operating Income is expected to grow to about 104 M, whereas Accumulated Other Comprehensive Income is projected to grow to (7.1 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.610.4639
Significantly Up
Slightly volatile
For SGHC profitability analysis, we use financial ratios and fundamental drivers that measure the ability of SGHC to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well SGHC Limited utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between SGHC's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of SGHC Limited over time as well as its relative position and ranking within its peers.
  
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Is Hotels, Restaurants & Leisure 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 SGHC. If investors know SGHC 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 SGHC 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
(0.16)
Earnings Share
0.01
Revenue Per Share
3.11
Quarterly Revenue Growth
0.129
Return On Assets
0.0587
The market value of SGHC Limited is measured differently than its book value, which is the value of SGHC that is recorded on the company's balance sheet. Investors also form their own opinion of SGHC's value that differs from its market value or its book value, called intrinsic value, which is SGHC'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 SGHC's market value can be influenced by many factors that don't directly affect SGHC'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 SGHC's value and its price as these two are different measures arrived at by different means. Investors typically determine if SGHC is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, SGHC'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.

SGHC Limited Price To Book vs. Gross Profit Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining SGHC's current stock value. Our valuation model uses many indicators to compare SGHC value to that of its competitors to determine the firm's financial worth.
SGHC Limited is rated fourth in gross profit category among its peers. It is rated below average in price to book category among its peers . The ratio of Gross Profit to Price To Book for SGHC Limited is about  59,048,536 . At present, SGHC's Gross Profit is projected to increase significantly 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 SGHC's earnings, one of the primary drivers of an investment's value.

SGHC Price To Book 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.

SGHC

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
312.91 M
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.
Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

SGHC

P/B

 = 

MV Per Share

BV Per Share

 = 
5.30 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.

SGHC Price To Book Comparison

SGHC is currently under evaluation in price to book category among its peers.

SGHC Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in SGHC, profitability is also one of the essential criteria for including it into their portfolios because, without profit, SGHC will eventually generate negative long term returns. The profitability progress is the general direction of SGHC's change in net profit over the period of time. It can combine multiple indicators of SGHC, 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 ReportedProjected for Next Year
Accumulated Other Comprehensive Income-7.4 M-7.1 M
Net Interest Income6.2 M6.5 M
Interest Income8.9 M9.4 M
Operating Income75 M104 M
Net Loss-8.6 M-8.2 M
Income Before Tax16.8 M15.9 M
Total Other Income Expense Net-58.2 M-55.3 M
Net Income Applicable To Common Shares208.7 M150.9 M
Net Loss-8.6 M-8.2 M
Income Tax Expense25.4 M26.7 M
Change To Netincome-80.4 M-76.4 M
Net Loss(0.02)(0.02)
Income Quality(15.44)(14.66)
Net Loss(0.63)(0.60)

SGHC Profitability Driver Comparison

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

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Agriculture Theme
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When determining whether SGHC Limited offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of SGHC's 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 Sghc Limited Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Sghc Limited Stock:
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You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
To fully project SGHC's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of SGHC 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 SGHC's income statement, its balance sheet, and the statement of cash flows.
Potential SGHC investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although SGHC investors may work on each financial statement separately, they are all related. The changes in SGHC's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on SGHC'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.