| VBNK Stock | | | 24.40 0.70 2.95% |
Taking into consideration VersaBank's profitability measurements, VersaBank 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 VersaBank's ability to earn profits and add value for shareholders. At this time, VersaBank's
Price To Sales Ratio is very stable compared to the past year. As of the 26th of November 2024,
Days Sales Outstanding is likely to grow to 72.38, while
Sales General And Administrative To Revenue is likely to drop 0.15. At this time, VersaBank's
Income Quality is very stable compared to the past year.
For VersaBank profitability analysis, we use financial ratios and fundamental drivers that measure the ability of VersaBank to generate income relative to revenue, assets, operating costs, and current equity. These
fundamental indicators attest to how well VersaBank utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between VersaBank's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of VersaBank over time as well as its relative position and ranking within its peers.
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To learn how to invest in VersaBank Stock, please use our
How to Invest in VersaBank guide.
Please note, there is a significant difference between VersaBank's value and its price as these two are different measures arrived at by different means. Investors typically determine if VersaBank is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, VersaBank'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.
VersaBank Net Income vs. Price To Book Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining VersaBank's current stock value. Our valuation model uses many indicators to compare VersaBank value to that of its competitors to determine the firm's financial worth.
VersaBank is rated
second in price to book category among its peers. It is rated
first in net income category among its peers making up about
26,270,796 of Net Income per Price To Book. At this time, VersaBank's Net Income is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value VersaBank by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for VersaBank's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.
VersaBank Net Income vs. Price To Book
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.
VersaBank | P/B | = | MV Per ShareBV Per Share |
| = | 1.60 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.
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.
VersaBank | Net Income | = | (Rev + Gain) | - | (Exp + Loss) |
| = | 42.16 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.
VersaBank Net Income Comparison
VersaBank is currently under evaluation in net income category among its peers.
VersaBank Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in VersaBank, profitability is also one of the essential criteria for including it into their portfolios because, without profit, VersaBank will eventually generate negative long term returns. The profitability progress is the general direction of VersaBank's change in net profit over the period of time. It can combine
multiple indicators of VersaBank, 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.
VersaBank Profitability Driver Comparison
Profitability drivers are factors that can directly affect your
investment outlook on VersaBank. 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 VersaBank 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 VersaBank's important profitability drivers and their relationship over time.
Use VersaBank 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 VersaBank 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 VersaBank will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to VersaBank could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace VersaBank 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 VersaBank - 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 VersaBank to buy it.
The correlation of VersaBank 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 VersaBank moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if VersaBank 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 VersaBank 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.
Use Investing Themes to Complement your VersaBank position
In addition to having VersaBank 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.
Books
Companies involved in publishing of books, newspapers, periodicals and other mass publications. The Books theme has 47 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
Books Theme or any other
thematic opportunities.
When determining whether VersaBank 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 VersaBank 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 Versabank Stock.
Highlighted below are key reports to facilitate an investment decision about Versabank Stock: To fully project VersaBank's
future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the
financial position of VersaBank 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 VersaBank's income statement, its balance sheet, and the statement of cash flows.
Potential VersaBank investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although VersaBank investors may work on each financial statement separately, they are all related. The changes in VersaBank's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on VersaBank'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.
