Appfolio Shares Owned By Institutions vs. Return On Asset

APPF Stock  USD 252.67  3.62  1.45%   
Considering Appfolio's profitability and operating efficiency indicators, Appfolio is yielding more profit at the present time then in previous quarter. It has a moderate chance of reporting better profitability numbers in January. Profitability indicators assess Appfolio's ability to earn profits and add value for shareholders. The current Price To Sales Ratio is estimated to decrease to 8.53. The current Days Sales Outstanding is estimated to decrease to 8.59. At this time, Appfolio's Income Before Tax is most likely to increase significantly in the upcoming years. The Appfolio's current Income Tax Expense is estimated to increase to about 5.6 M, while Net Income is projected to decrease to roughly 2.6 M.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.460.6163
Way Down
Slightly volatile
For Appfolio profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Appfolio to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Appfolio utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Appfolio's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Appfolio over time as well as its relative position and ranking within its peers.
  

Appfolio's Revenue Breakdown by Earning Segment

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For more detail on how to invest in Appfolio Stock please use our How to Invest in Appfolio guide.
Is Application Software 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 Appfolio. If investors know Appfolio 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 Appfolio 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
0.25
Earnings Share
3.61
Revenue Per Share
21.111
Quarterly Revenue Growth
0.244
Return On Assets
0.1953
The market value of Appfolio is measured differently than its book value, which is the value of Appfolio that is recorded on the company's balance sheet. Investors also form their own opinion of Appfolio's value that differs from its market value or its book value, called intrinsic value, which is Appfolio'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 Appfolio's market value can be influenced by many factors that don't directly affect Appfolio'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 Appfolio's value and its price as these two are different measures arrived at by different means. Investors typically determine if Appfolio is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Appfolio'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.

Appfolio Return On Asset vs. Shares Owned By Institutions Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Appfolio's current stock value. Our valuation model uses many indicators to compare Appfolio value to that of its competitors to determine the firm's financial worth.
Appfolio is rated second in shares owned by institutions category among its peers. It is number one stock in return on asset category among its peers . The ratio of Shares Owned By Institutions to Return On Asset for Appfolio is about  432.46 . The Appfolio's current Return On Assets is estimated to increase to 0.01. Comparative valuation analysis is a catch-all technique that is used if you cannot value Appfolio 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.

Appfolio Return On Asset vs. Shares Owned By Institutions

Shares Owned by Institutions show the percentage of the outstanding shares of stock issued by a company that is currently owned by other institutions such as asset management firms, hedge funds, or investment banks. Many investors like investing in companies with a large percentage of the firm owned by institutions because they believe that larger firms such as banks, pension funds, and mutual funds, will invest when they think that good things are going to happen.

Appfolio

Shares Held by Institutions

 = 

Funds and Banks

+

Firms

 = 
84.46 %
Since Institution investors conduct a lot of independent research they tend to be more involved and usually more knowledgeable about entities they invest as compared to amateur investors.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

Appfolio

Return On Asset

 = 

Net Income

Total Assets

 = 
0.2
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.

Appfolio Return On Asset Comparison

Appfolio is currently under evaluation in return on asset category among its peers.

Appfolio Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Appfolio, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Appfolio will eventually generate negative long term returns. The profitability progress is the general direction of Appfolio's change in net profit over the period of time. It can combine multiple indicators of Appfolio, 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 Income99 K104 K
Operating Income963 KM
Income Before TaxM13.5 M
Total Other Income Expense NetM6.7 M
Net Income2.7 M2.6 M
Income Tax Expense5.3 M5.6 M
Net Loss-47.3 M-44.9 M
Net Loss-78.3 M-74.4 M
Interest IncomeM7.4 M
Non Operating Income Net Other5.1 M4.9 M
Net Interest Income5.2 M5.4 M
Change To Netincome54.3 M57 M
Net Income Per Share 0.08  0.07 
Income Quality 22.31  23.43 
Net Income Per E B T 0.34  0.32 

Appfolio Profitability Driver Comparison

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

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

Appfolio Pair Trading

Appfolio Pair Trading Analysis

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

In addition to having Appfolio 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 Chemicals Thematic Idea Now

Chemicals
Chemicals Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Chemicals theme has 61 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 Chemicals Theme or any other thematic opportunities.
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When determining whether Appfolio is a strong investment it is important to analyze Appfolio's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Appfolio's future performance. For an informed investment choice regarding Appfolio Stock, refer to the following important reports:
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For more detail on how to invest in Appfolio Stock please use our How to Invest in Appfolio guide.
You can also try the Insider Screener module to find insiders across different sectors to evaluate their impact on performance.
To fully project Appfolio's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Appfolio 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 Appfolio's income statement, its balance sheet, and the statement of cash flows.
Potential Appfolio investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Appfolio investors may work on each financial statement separately, they are all related. The changes in Appfolio's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Appfolio'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.