SSC Technologies Profit Margin vs. Return On Equity

SSNC Stock  USD 76.87  0.75  0.99%   
Based on SSC Technologies' profitability indicators, SSC Technologies' profitability may be sliding down. It has an above-average chance of reporting lower numbers next quarter. Profitability indicators assess SSC Technologies' ability to earn profits and add value for shareholders.

SSC Technologies Net Profit Margin

0.08

At present, SSC Technologies' Days Sales Outstanding is projected to increase significantly based on the last few years of reporting. The current year's EV To Sales is expected to grow to 5.94, whereas Operating Cash Flow Sales Ratio is forecasted to decline to 0.20. At present, SSC Technologies' Net Income Applicable To Common Shares is projected to increase significantly based on the last few years of reporting. The current year's Net Income is expected to grow to about 637.5 M, whereas Accumulated Other Comprehensive Income is projected to grow to (405 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.520.4819
Significantly Up
Very volatile
Net Profit Margin0.080.1103
Way Down
Pretty Stable
Operating Profit Margin0.240.2254
Notably Up
Very volatile
Return On Assets0.0230.0335
Way Down
Pretty Stable
Return On Equity0.05120.0958
Way Down
Slightly volatile
For SSC Technologies profitability analysis, we use financial ratios and fundamental drivers that measure the ability of SSC Technologies to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well SSC Technologies Holdings utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between SSC Technologies's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of SSC Technologies Holdings over time as well as its relative position and ranking within its peers.
  

SSC Technologies' Revenue Breakdown by Earning Segment

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Is Application Software 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 SSC Technologies. If investors know SSC 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 SSC Technologies 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
0.066
Dividend Share
0.97
Earnings Share
2.79
Revenue Per Share
23.383
Quarterly Revenue Growth
0.073
The market value of SSC Technologies Holdings is measured differently than its book value, which is the value of SSC that is recorded on the company's balance sheet. Investors also form their own opinion of SSC Technologies' value that differs from its market value or its book value, called intrinsic value, which is SSC Technologies' 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 SSC Technologies' market value can be influenced by many factors that don't directly affect SSC Technologies' 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 SSC Technologies' value and its price as these two are different measures arrived at by different means. Investors typically determine if SSC Technologies is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, SSC Technologies' 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.

SSC Technologies Holdings Return On Equity vs. Profit Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining SSC Technologies's current stock value. Our valuation model uses many indicators to compare SSC Technologies value to that of its competitors to determine the firm's financial worth.
SSC Technologies Holdings is rated below average in profit margin category among its peers. It is rated below average in return on equity category among its peers reporting about  0.88  of Return On Equity per Profit Margin. The ratio of Profit Margin to Return On Equity for SSC Technologies Holdings is roughly  1.13 . At present, SSC Technologies' Net Profit Margin is projected to increase slightly 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 SSC Technologies' earnings, one of the primary drivers of an investment's value.

SSC Technologies' Earnings Breakdown by Geography

SSC Return On Equity vs. Profit Margin

Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.

SSC Technologies

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
0.12 %
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
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.

SSC Technologies

Return On Equity

 = 

Net Income

Total Equity

 = 
0.11
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.

SSC Return On Equity Comparison

SSC Technologies is currently under evaluation in return on equity category among its peers.

SSC Technologies Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in SSC Technologies, profitability is also one of the essential criteria for including it into their portfolios because, without profit, SSC Technologies will eventually generate negative long term returns. The profitability progress is the general direction of SSC Technologies' change in net profit over the period of time. It can combine multiple indicators of SSC Technologies, 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-426.3 M-405 M
Income Before Tax857.7 M900.6 M
Net Income Applicable To Common Shares747.7 M785.1 M
Net Income607.1 M637.5 M
Income Tax Expense249.1 M261.6 M
Operating Income1.2 B1.3 B
Total Other Income Expense Net-382.5 M-363.4 M
Net Income From Continuing Ops621.3 M345.8 M
Non Operating Income Net Other460 K483 K
Interest Income6.5 M10 M
Net Interest Income-455.4 M-432.6 M
Change To Netincome12.3 M12.9 M
Net Income Per Share 2.45  2.57 
Income Quality 2.00  1.90 
Net Income Per E B T 0.71  0.58 

SSC Profitability Driver Comparison

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

Use SSC Technologies 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 SSC Technologies 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 SSC Technologies will appreciate offsetting losses from the drop in the long position's value.

SSC Technologies Pair Trading

SSC Technologies Holdings Pair Trading Analysis

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

In addition to having SSC Technologies 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.

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World Allocation Funds
World Allocation Funds Theme
Funds or Etfs investing in stocks, bonds, and cash of domestic markets as well as in markets of Canada, Japan, and Europe. The World Allocation Funds theme has 37 constituents at this time.
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When determining whether SSC Technologies Holdings offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of SSC Technologies' 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 Ssc Technologies Holdings Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Ssc Technologies Holdings Stock:
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You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
To fully project SSC Technologies' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of SSC Technologies Holdings 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 SSC Technologies' income statement, its balance sheet, and the statement of cash flows.
Potential SSC Technologies investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although SSC Technologies investors may work on each financial statement separately, they are all related. The changes in SSC Technologies's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on SSC Technologies'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.