DT Midstream Price To Sales vs. Return On Equity

DTM Stock  USD 101.50  3.27  3.33%   
Taking into consideration DT Midstream's profitability measurements, DT Midstream is yielding more profit at this time then in previous quarter. It has a moderate risk of reporting better profitability numbers in January. Profitability indicators assess DT Midstream's ability to earn profits and add value for shareholders.

DT Midstream Price To Sales Ratio

7.13

At this time, DT Midstream's Price To Sales Ratio is very stable compared to the past year. As of the 12th of December 2024, Days Sales Outstanding is likely to grow to 96.40, while Operating Cash Flow Sales Ratio is likely to drop 0.62. At this time, DT Midstream's Operating Income is very stable compared to the past year. As of the 12th of December 2024, Total Other Income Expense Net is likely to grow to about 34.6 M, while Net Interest Income is likely to drop (138.9 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.750.5369
Significantly Up
Slightly volatile
Net Profit Margin0.450.4165
Significantly Up
Slightly volatile
Operating Profit Margin0.650.5065
Significantly Up
Pretty Stable
Pretax Profit Margin0.630.5423
Fairly Up
Slightly volatile
Return On Assets0.03110.0428
Way Down
Slightly volatile
Return On Equity0.06740.0928
Way Down
Slightly volatile
For DT Midstream profitability analysis, we use financial ratios and fundamental drivers that measure the ability of DT Midstream to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well DT Midstream utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between DT Midstream's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of DT Midstream over time as well as its relative position and ranking within its peers.
  

DT Midstream's Revenue Breakdown by Earning Segment

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To learn how to invest in DTM Stock, please use our How to Invest in DT Midstream guide.
Is Oil & Gas Storage & Transportation 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 DT Midstream. If investors know DTM 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 DT Midstream 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
(0.04)
Dividend Share
2.895
Earnings Share
4.11
Revenue Per Share
10.057
Quarterly Revenue Growth
0.06
The market value of DT Midstream is measured differently than its book value, which is the value of DTM that is recorded on the company's balance sheet. Investors also form their own opinion of DT Midstream's value that differs from its market value or its book value, called intrinsic value, which is DT Midstream'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 DT Midstream's market value can be influenced by many factors that don't directly affect DT Midstream'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 DT Midstream's value and its price as these two are different measures arrived at by different means. Investors typically determine if DT Midstream is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, DT Midstream'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.

DT Midstream Return On Equity vs. Price To Sales Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining DT Midstream's current stock value. Our valuation model uses many indicators to compare DT Midstream value to that of its competitors to determine the firm's financial worth.
DT Midstream is one of the top stocks in price to sales category among its peers. It is rated below average in return on equity category among its peers reporting about  0.01  of Return On Equity per Price To Sales. The ratio of Price To Sales to Return On Equity for DT Midstream is roughly  105.80 . At this time, DT Midstream's Price To Sales Ratio is very stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value DT Midstream 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.

DTM Return On Equity vs. Price To Sales

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.

DT Midstream

P/S

 = 

MV Per Share

Revenue Per Share

 = 
10.24 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.
Return on Equity or ROE tells company stockholders how effectually their money is being utilized or reinvested. It is a useful ratio when analyzing company profitability or the management effectiveness given the capital invested by the shareholders. ROE shows how efficiently a company utilizes investments to generate income.

DT Midstream

Return On Equity

 = 

Net Income

Total Equity

 = 
0.0968
For most industries, Return on Equity between 10% and 30% are considered desirable to provide dividends to owners and have funds for the future growth of the company. Investors should be very careful using ROE as the only efficiency indicator because ROE can be high if a company is heavily leveraged.

DTM Return On Equity Comparison

DT Midstream is currently under evaluation in return on equity category among its peers.

DT Midstream Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in DT Midstream, profitability is also one of the essential criteria for including it into their portfolios because, without profit, DT Midstream will eventually generate negative long term returns. The profitability progress is the general direction of DT Midstream's change in net profit over the period of time. It can combine multiple indicators of DT Midstream, 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-8 M-8.4 M
Net Interest Income-132.3 M-138.9 M
Interest IncomeM1.9 M
Operating Income467 M467.7 M
Net Income From Continuing Ops360 M341.6 M
Income Before Tax500 M452.3 M
Total Other Income Expense Net33 M34.6 M
Net Income Applicable To Common Shares425.5 M313.3 M
Net Income384 M345.9 M
Income Tax Expense104 M104.1 M
Non Operating Income Net Other162.2 M150.2 M
Change To Netincome150.7 M122.5 M
Net Income Per Share 3.96  2.49 
Income Quality 2.08  1.44 
Net Income Per E B T 0.77  0.58 

DTM Profitability Driver Comparison

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

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

DT Midstream Pair Trading

DT Midstream Pair Trading Analysis

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

In addition to having DT Midstream 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 Office Supplies Thematic Idea Now

Office Supplies
Office Supplies Theme
Companies producing and selling office supplies, and accessories. The Office Supplies theme has 43 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 Office Supplies Theme or any other thematic opportunities.
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When determining whether DT Midstream is a strong investment it is important to analyze DT Midstream'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 DT Midstream's future performance. For an informed investment choice regarding DTM Stock, refer to the following important reports:
Check out Investing Opportunities.
To learn how to invest in DTM Stock, please use our How to Invest in DT Midstream guide.
You can also try the Risk-Return Analysis module to view associations between returns expected from investment and the risk you assume.
To fully project DT Midstream's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of DT Midstream 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 DT Midstream's income statement, its balance sheet, and the statement of cash flows.
Potential DT Midstream investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although DT Midstream investors may work on each financial statement separately, they are all related. The changes in DT Midstream's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on DT Midstream'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.