Graham Holdings Net Income vs. Cash And Equivalents
| GHC Stock | USD 922.12 32.81 3.44% |
Net Income | First Reported 1989-09-30 | Previous Quarter -21.1 M | Current Value 72.5 M | Quarterly Volatility 80.7 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.42 | 0.2972 |
|
|
For Graham Holdings profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Graham Holdings to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Graham Holdings Co utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Graham Holdings's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Graham Holdings Co over time as well as its relative position and ranking within its peers.
Graham |
Graham Holdings' Revenue Breakdown by Earning Segment
Check out Risk vs Return Analysis.
Is Diversified Consumer Services 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 Graham Holdings. If investors know Graham 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 Graham Holdings 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 1.549 | Dividend Share 6.81 | Earnings Share 51.18 | Revenue Per Share 1.1 K | Quarterly Revenue Growth 0.086 |
The market value of Graham Holdings is measured differently than its book value, which is the value of Graham that is recorded on the company's balance sheet. Investors also form their own opinion of Graham Holdings' value that differs from its market value or its book value, called intrinsic value, which is Graham Holdings' 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 Graham Holdings' market value can be influenced by many factors that don't directly affect Graham Holdings' 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 Graham Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if Graham Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Graham Holdings' 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.
Graham Holdings Cash And Equivalents vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Graham Holdings's current stock value. Our valuation model uses many indicators to compare Graham Holdings value to that of its competitors to determine the firm's financial worth. Graham Holdings Co is rated # 2 in net income category among its peers. It is rated # 5 in cash and equivalents category among its peers creating about 0.82 of Cash And Equivalents per Net Income. The ratio of Net Income to Cash And Equivalents for Graham Holdings Co is roughly 1.21 . At present, Graham Holdings' Net Income is projected to decrease significantly 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 Graham Holdings' earnings, one of the primary drivers of an investment's value.Graham Cash And Equivalents vs. Net Income
Net income is the profit of a company for the reporting period, which is derived after taking revenues and gains and subtracting all expenses and losses. Net income is one of the most-watched numbers by money managers as well as individual investors.
Graham Holdings |
| = | 205.29 M |
Because income is reported on the Income Statement of a company and is measured in dollars some investors prefer to use Profit Margin, which measures income as a percentage of sales.
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.
Graham Holdings |
| = | 169.32 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).
Graham Cash And Equivalents Comparison
Graham Holdings is currently under evaluation in cash and equivalents category among its peers.
Graham Holdings Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Graham Holdings, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Graham Holdings will eventually generate negative long term returns. The profitability progress is the general direction of Graham Holdings' change in net profit over the period of time. It can combine multiple indicators of Graham Holdings, 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 Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 614.3 M | 645.1 M | |
| Operating Income | 69.4 M | 65.9 M | |
| Income Before Tax | 299 M | 380.2 M | |
| Total Other Income Expense Net | 229.6 M | 241.1 M | |
| Net Income | 205.3 M | 259.1 M | |
| Income Tax Expense | 87.3 M | 99.1 M | |
| Net Income Applicable To Common Shares | 77.1 M | 73.3 M | |
| Net Income From Continuing Ops | 211.7 M | 205.1 M | |
| Non Operating Income Net Other | 30.5 M | 29 M | |
| Interest Income | 7.1 M | 7.7 M | |
| Net Interest Income | -56.2 M | -59 M | |
| Change To Netincome | 119.1 M | 125.1 M | |
| Net Income Per Share | 44.25 | 24.18 | |
| Income Quality | 1.27 | 2.07 | |
| Net Income Per E B T | 0.69 | 0.54 |
Graham Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Graham Holdings. 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 Graham Holdings 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 Graham Holdings' important profitability drivers and their relationship over time.
Use Graham Holdings 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 Graham Holdings 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 Graham Holdings will appreciate offsetting losses from the drop in the long position's value.Graham Holdings Pair Trading
Graham Holdings Co Pair Trading Analysis
The ability to find closely correlated positions to Graham Holdings could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Graham Holdings 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 Graham Holdings - 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 Graham Holdings Co to buy it.
The correlation of Graham Holdings 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 Graham Holdings moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Graham Holdings 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 Graham Holdings 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 Graham Holdings position
In addition to having Graham Holdings 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 ESG Investing Thematic Idea Now
ESG Investing
Sustainable investments that promote the conservation of the natural world, social resposibility, freindly employees policies and strong governance. The ESG Investing theme has 51 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 ESG Investing Theme or any other thematic opportunities.
| View All Next | Launch |
Check out Risk vs Return Analysis. You can also try the Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
To fully project Graham Holdings' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Graham Holdings 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 Graham Holdings' income statement, its balance sheet, and the statement of cash flows.