BJs Wholesale Current Valuation vs. Profit Margin
| 8BJ Stock | EUR 92.00 2.00 2.22% |
For BJs Wholesale profitability analysis, we use financial ratios and fundamental drivers that measure the ability of BJs Wholesale to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well BJs Wholesale Club utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between BJs Wholesale's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of BJs Wholesale Club over time as well as its relative position and ranking within its peers.
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BJs Wholesale Club Profit Margin vs. Current Valuation Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining BJs Wholesale's current stock value. Our valuation model uses many indicators to compare BJs Wholesale value to that of its competitors to determine the firm's financial worth. BJs Wholesale Club is the top company in current valuation category among its peers. It also is number one stock in profit margin category among its peers . The ratio of Current Valuation to Profit Margin for BJs Wholesale Club is about 455,463,389,008 . 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 BJs Wholesale's earnings, one of the primary drivers of an investment's value.BJs Current Valuation vs. Competition
BJs Wholesale Club is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Discount Stores industry is presently estimated at about 694.8 Billion. BJs Wholesale claims roughly 11.93 Billion in current valuation contributing just under 2% to equities under Discount Stores industry.
BJs Profit Margin vs. Current Valuation
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
BJs Wholesale |
| = | 11.93 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
BJs Wholesale |
| = | 0.03 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
BJs Profit Margin Comparison
BJs Wholesale is currently under evaluation in profit margin category among its peers.
BJs Wholesale Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in BJs Wholesale, profitability is also one of the essential criteria for including it into their portfolios because, without profit, BJs Wholesale will eventually generate negative long term returns. The profitability progress is the general direction of BJs Wholesale's change in net profit over the period of time. It can combine multiple indicators of BJs Wholesale, 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.
BJs Wholesale Club Holdings, Inc., together with its subsidiaries, operates warehouse clubs on the east coast of the United States. BJs Wholesale Club Holdings, Inc. was founded in 1984 and is headquartered in Westborough, Massachusetts. BJS WHOLESALE operates under Discount Stores classification in Germany and is traded on Frankfurt Stock Exchange. It employs 32000 people.
BJs Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on BJs Wholesale. 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 BJs Wholesale 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 BJs Wholesale's important profitability drivers and their relationship over time.
Use BJs Wholesale 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 BJs Wholesale 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 BJs Wholesale will appreciate offsetting losses from the drop in the long position's value.BJs Wholesale Pair Trading
BJs Wholesale Club Pair Trading Analysis
The ability to find closely correlated positions to BJs Wholesale could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace BJs Wholesale 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 BJs Wholesale - 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 BJs Wholesale Club to buy it.
The correlation of BJs Wholesale 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 BJs Wholesale moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if BJs Wholesale Club 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 BJs Wholesale 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 BJs Wholesale position
In addition to having BJs Wholesale 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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Additional Information and Resources on Investing in BJs Stock
When determining whether BJs Wholesale Club 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 BJs 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 Bjs Wholesale Club Stock. Highlighted below are key reports to facilitate an investment decision about Bjs Wholesale Club Stock:Check out Trending Equities. You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
To fully project BJs Wholesale's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of BJs Wholesale Club 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 BJs Wholesale's income statement, its balance sheet, and the statement of cash flows.