WesBanco Operating Margin vs. Cash And Equivalents

WSBC Stock  USD 35.34  0.11  0.31%   
Considering WesBanco's profitability and operating efficiency indicators, WesBanco's profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess WesBanco's ability to earn profits and add value for shareholders.

WesBanco Operating Profit Margin

0.46

At present, WesBanco's Operating Cash Flow Sales Ratio is projected to slightly decrease based on the last few years of reporting. The current year's Days Of Sales Outstanding is expected to grow to 52.83, whereas Price To Sales Ratio is forecasted to decline to 2.94. At present, WesBanco's Income Tax Expense is projected to increase significantly based on the last few years of reporting. The current year's Income Before Tax is expected to grow to about 203.8 M, whereas Accumulated Other Comprehensive Income is projected to grow to (217.3 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.690.886
Significantly Down
Very volatile
Net Profit Margin0.20.2674
Way Down
Slightly volatile
Operating Profit Margin0.460.4827
Sufficiently Down
Slightly volatile
Pretax Profit Margin0.360.3263
Significantly Up
Slightly volatile
Return On Assets0.01160.009
Significantly Up
Pretty Stable
Return On Equity0.09590.0628
Way Up
Pretty Stable
For WesBanco profitability analysis, we use financial ratios and fundamental drivers that measure the ability of WesBanco to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well WesBanco utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between WesBanco's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of WesBanco over time as well as its relative position and ranking within its peers.
  

WesBanco's Revenue Breakdown by Earning Segment

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For information on how to trade WesBanco Stock refer to our How to Trade WesBanco Stock guide.
Is Regional Banks 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 WesBanco. If investors know WesBanco 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 WesBanco 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
(0.07)
Dividend Share
1.44
Earnings Share
2.09
Revenue Per Share
9.341
Quarterly Revenue Growth
0.026
The market value of WesBanco is measured differently than its book value, which is the value of WesBanco that is recorded on the company's balance sheet. Investors also form their own opinion of WesBanco's value that differs from its market value or its book value, called intrinsic value, which is WesBanco'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 WesBanco's market value can be influenced by many factors that don't directly affect WesBanco'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 WesBanco's value and its price as these two are different measures arrived at by different means. Investors typically determine if WesBanco is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, WesBanco'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.

WesBanco Cash And Equivalents vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining WesBanco's current stock value. Our valuation model uses many indicators to compare WesBanco value to that of its competitors to determine the firm's financial worth.
WesBanco is rated below average in operating margin category among its peers. It is rated below average in cash and equivalents category among its peers creating about  1,054,191,033  of Cash And Equivalents per Operating Margin. At present, WesBanco's Operating Profit Margin is projected to slightly decrease based on the last few years of reporting. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the WesBanco's earnings, one of the primary drivers of an investment's value.

WesBanco Cash And Equivalents vs. Operating Margin

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.

WesBanco

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.36 %
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.
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.

WesBanco

Cash

 = 

Bank Deposits

+

Liquidities

 = 
378.56 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).

WesBanco Cash And Equivalents Comparison

WesBanco is currently under evaluation in cash and equivalents category among its peers.

WesBanco Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in WesBanco, profitability is also one of the essential criteria for including it into their portfolios because, without profit, WesBanco will eventually generate negative long term returns. The profitability progress is the general direction of WesBanco's change in net profit over the period of time. It can combine multiple indicators of WesBanco, 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-228.7 M-217.3 M
Operating Income287 M161.6 M
Net Income159 M167 M
Income Tax Expense35 M36.8 M
Income Before Tax194 M203.8 M
Total Other Income Expense Net-93 M-97.6 M
Net Income Applicable To Common Shares209.3 M219.8 M
Net Income From Continuing Ops176.3 M128.9 M
Net Interest Income493.5 M419.6 M
Interest Income669.1 M487.5 M
Change To Netincome13.7 M14.3 M
Net Income Per Share 2.68  1.42 
Income Quality 1.06  1.75 
Net Income Per E B T 0.82  0.62 

WesBanco Profitability Driver Comparison

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

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

WesBanco Pair Trading

WesBanco Pair Trading Analysis

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

In addition to having WesBanco 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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When determining whether WesBanco offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of WesBanco's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Wesbanco Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Wesbanco Stock:
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For information on how to trade WesBanco Stock refer to our How to Trade WesBanco Stock guide.
You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
To fully project WesBanco's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of WesBanco 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 WesBanco's income statement, its balance sheet, and the statement of cash flows.
Potential WesBanco investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although WesBanco investors may work on each financial statement separately, they are all related. The changes in WesBanco's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on WesBanco'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.