Hesai Group Price To Book vs. Operating Margin

HSAI Stock   9.53  1.53  19.12%   
Considering Hesai Group's profitability and operating efficiency indicators, Hesai Group American 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 Hesai Group's ability to earn profits and add value for shareholders. The Hesai Group's current Operating Cash Flow Sales Ratio is estimated to increase to 0.03, while Price To Sales Ratio is projected to decrease to 3.99. As of now, Hesai Group's Net Income Per E B T is increasing as compared to previous years.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.560.3524
Way Up
Slightly volatile
For Hesai Group profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Hesai Group to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Hesai Group American utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Hesai Group's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Hesai Group American over time as well as its relative position and ranking within its peers.
  
Check out Risk vs Return Analysis.
Is Automotive Parts & 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 Hesai Group. If investors know Hesai 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 Hesai Group listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share
(0.42)
Revenue Per Share
14.349
Quarterly Revenue Growth
0.042
Return On Assets
(0.06)
Return On Equity
(0.12)
The market value of Hesai Group American is measured differently than its book value, which is the value of Hesai that is recorded on the company's balance sheet. Investors also form their own opinion of Hesai Group's value that differs from its market value or its book value, called intrinsic value, which is Hesai Group'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 Hesai Group's market value can be influenced by many factors that don't directly affect Hesai Group'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 Hesai Group's value and its price as these two are different measures arrived at by different means. Investors typically determine if Hesai Group is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Hesai Group'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.

Hesai Group American Operating Margin vs. Price To Book Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Hesai Group's current stock value. Our valuation model uses many indicators to compare Hesai Group value to that of its competitors to determine the firm's financial worth.
Hesai Group American is rated # 3 in price to book category among its peers. It is rated below average in operating margin category among its peers . As of now, Hesai Group's Operating Profit Margin is decreasing as compared to previous years. 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 Hesai Group's earnings, one of the primary drivers of an investment's value.

Hesai Operating Margin vs. Price To Book

Price to Book (P/B) ratio is used to relate a company book value to its current market price. A high P/B ratio indicates that investors expect executives to generate more returns on their investments from a given set of assets. Book value is the accounting value of assets minus liabilities.

Hesai Group

P/B

 = 

MV Per Share

BV Per Share

 = 
1.89 X
Price to Book ratio is mostly used in financial services industries where assets and liabilities are typically represented by dollars. Although low Price to Book ratio generally implies that the firm is undervalued, it is often a good indicator that the company may be in financial or managerial distress and should be investigated more carefully.
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.

Hesai Group

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
(0.21) %
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.

Hesai Operating Margin Comparison

Hesai Group is currently under evaluation in operating margin category among its peers.

Hesai Group Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Hesai Group, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Hesai Group will eventually generate negative long term returns. The profitability progress is the general direction of Hesai Group's change in net profit over the period of time. It can combine multiple indicators of Hesai Group, 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-254.3 M-241.6 M
Net Interest Income96.7 M50.2 M
Interest Income99.8 M50.9 M
Operating Income-571.6 M-543 M
Net Loss-476 M-452.2 M
Income Before Tax-475.3 M-451.5 M
Total Other Income Expense Net96.3 M101.1 M
Net Loss-672.5 M-706.1 M
Net Loss-476 M-452.2 M
Income Tax Expense658 K690.9 K
Change To Netincome198.4 M208.3 M
Net Loss(3.81)(4.01)
Income Quality(0.12)(0.11)
Net Income Per E B T 1.00  1.10 

Hesai Profitability Driver Comparison

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

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

Hesai Group Pair Trading

Hesai Group American Pair Trading Analysis

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

In addition to having Hesai Group 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 Consumption Thematic Idea Now

Consumption
Consumption Theme
Companies that deliver final goods such as cars or clothing for consumption by consumers. The Consumption theme has 19 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 Consumption Theme or any other thematic opportunities.
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When determining whether Hesai Group American offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Hesai Group's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Hesai Group American Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Hesai Group American Stock:
Check out Risk vs Return Analysis.
You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
To fully project Hesai Group's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Hesai Group American 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 Hesai Group's income statement, its balance sheet, and the statement of cash flows.
Potential Hesai Group investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Hesai Group investors may work on each financial statement separately, they are all related. The changes in Hesai Group's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Hesai Group'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.