Stanley Black EBITDA vs. Net Income

SWK Stock  USD 84.58  0.68  0.81%   
Taking into consideration Stanley Black's profitability measurements, Stanley Black's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess Stanley Black's ability to earn profits and add value for shareholders.
 
EBITDA  
First Reported
2010-12-31
Previous Quarter
802.7 M
Current Value
B
Quarterly Volatility
660.1 M
 
Credit Downgrade
 
Yuan Drop
 
Covid
At this time, Stanley Black's Price To Sales Ratio is quite stable compared to the past year. EV To Sales is expected to rise to 1.05 this year, although the value of Days Of Sales Outstanding will most likely fall to 28.96. At this time, Stanley Black's Operating Income is quite stable compared to the past year. Net Income Per E B T is expected to rise to 4.25 this year, although the value of Accumulated Other Comprehensive Income is projected to rise to (2 B).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.40.29
Significantly Up
Pretty Stable
Net Profit Margin0.00860.009
Notably Down
Slightly volatile
Operating Profit Margin0.110.0649
Way Up
Pretty Stable
Pretax Profit Margin0.00240.0026
Notably Down
Slightly volatile
Return On Assets0.00750.0078
Notably Down
Slightly volatile
Return On Equity0.01920.0202
Notably Down
Slightly volatile
For Stanley Black profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Stanley Black to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Stanley Black Decker utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Stanley Black's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Stanley Black Decker over time as well as its relative position and ranking within its peers.
  
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Is Industrial Machinery & Supplies & Components 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 Stanley Black. If investors know Stanley 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 Stanley Black 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
19
Dividend Share
3.25
Earnings Share
(1.24)
Revenue Per Share
102.347
Quarterly Revenue Growth
(0.05)
The market value of Stanley Black Decker is measured differently than its book value, which is the value of Stanley that is recorded on the company's balance sheet. Investors also form their own opinion of Stanley Black's value that differs from its market value or its book value, called intrinsic value, which is Stanley Black'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 Stanley Black's market value can be influenced by many factors that don't directly affect Stanley Black'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 Stanley Black's value and its price as these two are different measures arrived at by different means. Investors typically determine if Stanley Black is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Stanley Black'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.

Stanley Black Decker Net Income vs. EBITDA Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Stanley Black's current stock value. Our valuation model uses many indicators to compare Stanley Black value to that of its competitors to determine the firm's financial worth.
Stanley Black Decker is rated third in ebitda category among its peers. It is rated below average in net income category among its peers . At this time, Stanley Black's EBITDA is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Stanley Black 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.

Stanley Net Income vs. EBITDA

EBITDA stands for earnings before interest, taxes, depreciation, and amortization. It is a measure of a company operating cash flow based on data from the company income statement and is a very good way to compare companies within industries or across different sectors. However, unlike Operating Cash Flow, EBITDA does not include the effects of changes in working capital.

Stanley Black

EBITDA

 = 

Revenue

-

Basic Expenses

 = 
802.7 M
In a nutshell, EBITDA is calculated by adding back each of the excluded items to the post-tax profit, and can be used to compare companies with very different capital structures.
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.

Stanley Black

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
(310.5 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.

Stanley Net Income Comparison

Stanley Black is currently under evaluation in net income category among its peers.

Stanley Black Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Stanley Black, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Stanley Black will eventually generate negative long term returns. The profitability progress is the general direction of Stanley Black's change in net profit over the period of time. It can combine multiple indicators of Stanley Black, 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-2.1 B-2 B
Operating Income620.3 M667.6 M
Income Before Tax-375.7 M-356.9 M
Total Other Income Expense Net-996 M-946.2 M
Net Loss-310.5 M-295 M
Income Tax Expense-94 M-89.3 M
Net Income Applicable To Common Shares1.2 B662.8 M
Net Loss-106 M-100.7 M
Non Operating Income Net Other53.2 M48.3 M
Interest Income165.2 M144.3 M
Net Interest Income-368.8 M-350.4 M
Change To Netincome-213.4 M-202.7 M
Net Income Per Share 1.03  0.98 
Income Quality(1.58)(1.50)
Net Income Per E B T 4.04  4.25 

Stanley Profitability Driver Comparison

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

Use Stanley Black 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 Stanley Black 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 Stanley Black will appreciate offsetting losses from the drop in the long position's value.

Stanley Black Pair Trading

Stanley Black Decker Pair Trading Analysis

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

In addition to having Stanley Black 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.

Did You Try This Idea?

Run Heavy Metals Thematic Idea Now

Heavy Metals
Heavy Metals Theme
Companies involved in mining, production, and distribution of various industrial metals and minerals. The Heavy Metals theme has 37 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Heavy Metals Theme or any other thematic opportunities.
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When determining whether Stanley Black Decker is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Stanley Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Stanley Black Decker Stock. Highlighted below are key reports to facilitate an investment decision about Stanley Black Decker Stock:
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You can also try the ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
To fully project Stanley Black's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Stanley Black Decker 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 Stanley Black's income statement, its balance sheet, and the statement of cash flows.
Potential Stanley Black investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Stanley Black investors may work on each financial statement separately, they are all related. The changes in Stanley Black's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Stanley Black'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.