Servotronics Gross Profit vs. Operating Margin

SVT Stock  USD 11.43  0.02  0.17%   
Based on Servotronics' profitability indicators, Servotronics may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in December. Profitability indicators assess Servotronics' ability to earn profits and add value for shareholders.
 
Gross Profit  
First Reported
1985-09-30
Previous Quarter
3.1 M
Current Value
2.3 M
Quarterly Volatility
931.6 K
 
Black Monday
 
Oil Shock
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
EV To Sales is likely to gain to 0.76 in 2024, whereas Price To Sales Ratio is likely to drop 0.64 in 2024. At this time, Servotronics' Income Tax Expense is comparatively stable compared to the past year. Net Income Per E B T is likely to gain to 4.62 in 2024, whereas Accumulated Other Comprehensive Income is likely to drop (2.6 M) in 2024.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.30.1789
Way Up
Slightly volatile
For Servotronics profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Servotronics to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Servotronics utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Servotronics's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Servotronics over time as well as its relative position and ranking within its peers.
  

Servotronics' Revenue Breakdown by Earning Segment

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For more information on how to buy Servotronics Stock please use our How to Invest in Servotronics guide.
Is Electrical Components & Equipment 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 Servotronics. If investors know Servotronics 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 Servotronics 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
(0.41)
Earnings Share
0.05
Revenue Per Share
19.098
Quarterly Revenue Growth
0.073
Return On Assets
0.019
The market value of Servotronics is measured differently than its book value, which is the value of Servotronics that is recorded on the company's balance sheet. Investors also form their own opinion of Servotronics' value that differs from its market value or its book value, called intrinsic value, which is Servotronics' 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 Servotronics' market value can be influenced by many factors that don't directly affect Servotronics' 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 Servotronics' value and its price as these two are different measures arrived at by different means. Investors typically determine if Servotronics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Servotronics' 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.

Servotronics Operating Margin vs. Gross Profit Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Servotronics's current stock value. Our valuation model uses many indicators to compare Servotronics value to that of its competitors to determine the firm's financial worth.
Servotronics is rated below average in gross profit category among its peers. It is rated below average in operating margin category among its peers . The ratio of Gross Profit to Operating Margin for Servotronics is about  256,995,708 . At this time, Servotronics' Gross Profit is comparatively stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Servotronics 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.

Servotronics Operating Margin 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.

Servotronics

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
5.99 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.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Servotronics

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.02 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.

Servotronics Operating Margin Comparison

Servotronics is currently under evaluation in operating margin category among its peers.

Servotronics Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Servotronics, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Servotronics will eventually generate negative long term returns. The profitability progress is the general direction of Servotronics' change in net profit over the period of time. It can combine multiple indicators of Servotronics, 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-2.4 M-2.6 M
Operating Income-2.1 M-2 M
Income Before Tax-2.4 M-2.3 M
Net Loss-3.5 M-3.4 M
Income Tax Expense1.1 M1.2 M
Total Other Income Expense Net-336 K-319.2 K
Net Loss-2.4 M-2.3 M
Net Loss-3.5 M-3.4 M
Interest Income276 K151.6 K
Net Interest Income-336 K-319.2 K
Change To Netincome-3.4 M-3.2 M
Net Loss(4.37)(4.15)
Income Quality 1.87  1.05 
Net Income Per E B T 4.40  4.62 

Servotronics Profitability Driver Comparison

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

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In addition to having Servotronics 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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Non-Metallic and Industrial Metal Mining
Non-Metallic and Industrial Metal Mining Theme
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Additional Tools for Servotronics Stock Analysis

When running Servotronics' price analysis, check to measure Servotronics' 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 Servotronics is operating at the current time. Most of Servotronics' value examination focuses on studying past and present price action to predict the probability of Servotronics' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Servotronics' price. Additionally, you may evaluate how the addition of Servotronics to your portfolios can decrease your overall portfolio volatility.