Cambium Networks Operating Margin vs. Price To Sales

CMBM Stock  USD 0.72  0.02  2.96%   
Based on Cambium Networks' profitability indicators, Cambium Networks Corp may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in January. Profitability indicators assess Cambium Networks' ability to earn profits and add value for shareholders.

Cambium Networks Operating Profit Margin

(0.26)

At this time, Cambium Networks' Price To Sales Ratio is very stable compared to the past year. As of the 19th of December 2024, EV To Sales is likely to grow to 1.20, while Sales General And Administrative To Revenue is likely to drop 0.07. At this time, Cambium Networks' Net Income Applicable To Common Shares is very stable compared to the past year. As of the 19th of December 2024, Income Tax Expense is likely to grow to about 14.5 M, though Accumulated Other Comprehensive Income is likely to grow to (1.5 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.520.3126
Way Up
Slightly volatile
For Cambium Networks profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Cambium Networks to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Cambium Networks Corp utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Cambium Networks's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Cambium Networks Corp over time as well as its relative position and ranking within its peers.
  
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Is Communications Equipment 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 Cambium Networks. If investors know Cambium 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 Cambium Networks 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
5.686
Earnings Share
(3.54)
Revenue Per Share
6.17
Quarterly Revenue Growth
0.016
Return On Assets
(0.22)
The market value of Cambium Networks Corp is measured differently than its book value, which is the value of Cambium that is recorded on the company's balance sheet. Investors also form their own opinion of Cambium Networks' value that differs from its market value or its book value, called intrinsic value, which is Cambium Networks' 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 Cambium Networks' market value can be influenced by many factors that don't directly affect Cambium Networks' 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 Cambium Networks' value and its price as these two are different measures arrived at by different means. Investors typically determine if Cambium Networks is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Cambium Networks' 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.

Cambium Networks Corp Price To Sales vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Cambium Networks's current stock value. Our valuation model uses many indicators to compare Cambium Networks value to that of its competitors to determine the firm's financial worth.
Cambium Networks Corp is number one stock in operating margin category among its peers. It also is number one stock in price to sales category among its peers . At this time, Cambium Networks' Operating Profit Margin is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Cambium Networks 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.

Cambium Price To Sales 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.

Cambium Networks

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
(0.18) %
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.
Price to Sales ratio is typically used for valuing equity relative to its own past performance as well as to performance of other companies or market indexes. In most cases, the lower the ratio, the better it is for investors. However, it is advisable for investors to exercise caution when looking at price-to-sales ratios across different industries.

Cambium Networks

P/S

 = 

MV Per Share

Revenue Per Share

 = 
0.11 X
The most critical factor to remember is that the price of equity takes a firm's debt into account, whereas the sales indicators do not consider financial leverage. Generally speaking, Price to Sales ratio shows how much market values every dollar of the company's sales.

Cambium Price To Sales Comparison

Cambium Networks is currently under evaluation in price to sales category among its peers.

Cambium Networks Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Cambium Networks, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Cambium Networks will eventually generate negative long term returns. The profitability progress is the general direction of Cambium Networks' change in net profit over the period of time. It can combine multiple indicators of Cambium Networks, 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-1.6 M-1.5 M
Net Interest Income-2.4 M-2.5 M
Interest Income9.3 M7.9 M
Operating Income-60.9 M-57.8 M
Net Loss-14.6 M-13.8 M
Income Before Tax-63.6 M-60.5 M
Total Other Income Expense Net-2.8 M-2.9 M
Net Income Applicable To Common Shares23.2 M24.4 M
Net Loss-77.4 M-73.5 M
Income Tax Expense13.8 M14.5 M
Non Operating Income Net Other-280.6 K-294.6 K
Change To Netincome10.5 M5.9 M
Net Loss(2.81)(2.67)
Income Quality 0.22  0.21 
Net Income Per E B T 1.22  0.91 

Cambium Profitability Driver Comparison

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

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

Cambium Networks Pair Trading

Cambium Networks Corp Pair Trading Analysis

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

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When determining whether Cambium Networks Corp is a strong investment it is important to analyze Cambium Networks' 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 Cambium Networks' future performance. For an informed investment choice regarding Cambium Stock, refer to the following important reports:
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You can also try the Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
To fully project Cambium Networks' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Cambium Networks Corp 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 Cambium Networks' income statement, its balance sheet, and the statement of cash flows.
Potential Cambium Networks investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Cambium Networks investors may work on each financial statement separately, they are all related. The changes in Cambium Networks's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Cambium Networks'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.