Velocity Financial Revenue vs. Cash And Equivalents
| VEL Stock | USD 20.48 0.11 0.54% |
Total Revenue | First Reported 2018-06-30 | Previous Quarter 107.1 M | Current Value 49.3 M | Quarterly Volatility 27.5 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.92 | 0.99 |
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| Net Profit Margin | 0.25 | 0.3969 |
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| Operating Profit Margin | 0.55 | 0.5834 |
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| Pretax Profit Margin | 0.32 | 0.54 |
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| Return On Assets | 0.0069 | 0.0119 |
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| Return On Equity | 0.0673 | 0.1206 |
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For Velocity Financial profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Velocity Financial to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Velocity Financial Llc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Velocity Financial's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Velocity Financial Llc over time as well as its relative position and ranking within its peers.
Velocity |
Is Commercial & Residential Mortgage Finance 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 Velocity Financial. If investors know Velocity 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 Velocity Financial 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 0.265 | Earnings Share 1.84 | Revenue Per Share 4.973 | Quarterly Revenue Growth 0.291 | Return On Assets 0.0139 |
The market value of Velocity Financial Llc is measured differently than its book value, which is the value of Velocity that is recorded on the company's balance sheet. Investors also form their own opinion of Velocity Financial's value that differs from its market value or its book value, called intrinsic value, which is Velocity Financial'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 Velocity Financial's market value can be influenced by many factors that don't directly affect Velocity Financial'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 Velocity Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine if Velocity Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Velocity Financial'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.
Velocity Financial Llc Cash And Equivalents vs. Revenue Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Velocity Financial's current stock value. Our valuation model uses many indicators to compare Velocity Financial value to that of its competitors to determine the firm's financial worth. Velocity Financial Llc is rated below average in revenue category among its peers. It is rated below average in cash and equivalents category among its peers creating about 0.34 of Cash And Equivalents per Revenue. The ratio of Revenue to Cash And Equivalents for Velocity Financial Llc is roughly 2.91 . At this time, Velocity Financial's Total Revenue is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Velocity Financial 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.Velocity Revenue vs. Competition
Velocity Financial Llc is rated below average in revenue category among its peers. Market size based on revenue of Financials industry is at this time estimated at about 1.54 Billion. Velocity Financial holds roughly 131.72 Million in revenue claiming about 9% of equities under Financials industry.
Velocity Cash And Equivalents vs. Revenue
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Velocity Financial |
| = | 131.72 M |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
Velocity Financial |
| = | 45.25 M |
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
Velocity Cash And Equivalents Comparison
Velocity Financial is currently under evaluation in cash and equivalents category among its peers.
Velocity Financial Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Velocity Financial, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Velocity Financial will eventually generate negative long term returns. The profitability progress is the general direction of Velocity Financial's change in net profit over the period of time. It can combine multiple indicators of Velocity Financial, 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 Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -1.2 M | -1.3 M | |
| Operating Income | 65.9 M | 66.9 M | |
| Interest Income | 290.1 M | 146.8 M | |
| Income Before Tax | 71.1 M | 74.7 M | |
| Net Income Applicable To Common Shares | 37 M | 38.9 M | |
| Net Income | 52.3 M | 54.9 M | |
| Net Interest Income | 97.7 M | 68.2 M | |
| Net Income From Continuing Ops | 43.4 M | 26.5 M | |
| Total Other Income Expense Net | 5.2 M | 5.5 M | |
| Income Tax Expense | 18.8 M | 11.7 M | |
| Change To Netincome | 11.7 M | 12.3 M | |
| Net Income Per Share | 1.62 | 1.70 | |
| Income Quality | 0.93 | 0.98 | |
| Net Income Per E B T | 0.73 | 0.56 |
Velocity Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Velocity Financial. 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 Velocity Financial 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 Velocity Financial's important profitability drivers and their relationship over time.
Use Velocity Financial 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 Velocity Financial 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 Velocity Financial will appreciate offsetting losses from the drop in the long position's value.Velocity Financial Pair Trading
Velocity Financial Llc Pair Trading Analysis
The ability to find closely correlated positions to Velocity Financial could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Velocity Financial 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 Velocity Financial - 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 Velocity Financial Llc to buy it.
The correlation of Velocity Financial 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 Velocity Financial moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Velocity Financial Llc 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 Velocity Financial 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 Velocity Financial position
In addition to having Velocity Financial 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?
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Funds or Etfs that invest in fixed income securities issued by national government to finance government spending or to facilitate Federal Reserve monetary policies. The Government Funds 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 Government Funds Theme or any other thematic opportunities.
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To fully project Velocity Financial's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Velocity Financial Llc 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 Velocity Financial's income statement, its balance sheet, and the statement of cash flows.