Star Equity Net Income vs. Return On Equity

STRR Stock  USD 3.04  0.24  8.57%   
Based on the key profitability measurements obtained from Star Equity's financial statements, Star Equity's profitability may be sliding down. It has an above-average odds of reporting lower numbers next quarter. Profitability indicators assess Star Equity's ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
2003-03-31
Previous Quarter
-3.8 M
Current Value
-2.5 M
Quarterly Volatility
4.9 M
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
At this time, Star Equity's Days Sales Outstanding is relatively stable compared to the past year. As of 11/29/2024, Sales General And Administrative To Revenue is likely to grow to 0.20, while EV To Sales is likely to drop 0.03. At this time, Star Equity's Total Other Income Expense Net is relatively stable compared to the past year. As of 11/29/2024, Net Income is likely to grow to about 26.4 M, while Operating Income is likely to drop (4.6 M).
For Star Equity profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Star Equity to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Star Equity Holdings utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Star Equity's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Star Equity Holdings over time as well as its relative position and ranking within its peers.
  
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Is Biotechnology 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 Star Equity. If investors know Star 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 Star Equity 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
(0.22)
Earnings Share
(1.96)
Revenue Per Share
14.765
Quarterly Revenue Growth
0.516
Return On Assets
(0.07)
The market value of Star Equity Holdings is measured differently than its book value, which is the value of Star that is recorded on the company's balance sheet. Investors also form their own opinion of Star Equity's value that differs from its market value or its book value, called intrinsic value, which is Star Equity'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 Star Equity's market value can be influenced by many factors that don't directly affect Star Equity'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 Star Equity's value and its price as these two are different measures arrived at by different means. Investors typically determine if Star Equity is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Star Equity'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.

Star Equity Holdings Return On Equity vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Star Equity's current stock value. Our valuation model uses many indicators to compare Star Equity value to that of its competitors to determine the firm's financial worth.
Star Equity Holdings is currently regarded as top stock in net income category among its peers. It is rated third in return on equity category among its peers . At this time, Star Equity's Net Income is relatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Star Equity by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.

Star Return On Equity 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.

Star Equity

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
25.13 M
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.
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.

Star Equity

Return On Equity

 = 

Net Income

Total Equity

 = 
-0.1
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.

Star Return On Equity Comparison

Star Equity is currently under evaluation in return on equity category among its peers.

Star Equity Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Star Equity, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Star Equity will eventually generate negative long term returns. The profitability progress is the general direction of Star Equity's change in net profit over the period of time. It can combine multiple indicators of Star Equity, 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-2 K-2.1 K
Operating Income-4.3 M-4.6 M
Income Before Tax-2.5 M-2.6 M
Total Other Income Expense Net1.8 M1.9 M
Net Income25.1 M26.4 M
Income Tax Expense-614 K-583.3 K
Net Loss-6.5 M-6.8 M
Net Interest Income-6 K-6.3 K
Net Loss-2.3 M-2.4 M
Change To Netincome3.3 M3.7 M
Net Income Per Share 8.04  8.44 
Income Quality 0.11  0.10 
Net Loss(9.97)(9.47)

Star Profitability Driver Comparison

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

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Our tools can tell you how much better you can do entering a position in Star Equity without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Additional Tools for Star Stock Analysis

When running Star Equity's price analysis, check to measure Star Equity's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Star Equity is operating at the current time. Most of Star Equity's value examination focuses on studying past and present price action to predict the probability of Star Equity's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Star Equity's price. Additionally, you may evaluate how the addition of Star Equity to your portfolios can decrease your overall portfolio volatility.