Intesa Sanpaolo Net Income vs. Gross Profit

IES Stock  EUR 3.80  0.07  1.81%   
Considering Intesa Sanpaolo's profitability and operating efficiency indicators, Intesa Sanpaolo SpA may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess Intesa Sanpaolo's ability to earn profits and add value for shareholders.
For Intesa Sanpaolo profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Intesa Sanpaolo to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Intesa Sanpaolo SpA utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Intesa Sanpaolo's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Intesa Sanpaolo SpA over time as well as its relative position and ranking within its peers.
  
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Please note, there is a significant difference between Intesa Sanpaolo's value and its price as these two are different measures arrived at by different means. Investors typically determine if Intesa Sanpaolo is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Intesa Sanpaolo'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.

Intesa Sanpaolo SpA Gross Profit vs. Net Income Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Intesa Sanpaolo's current stock value. Our valuation model uses many indicators to compare Intesa Sanpaolo value to that of its competitors to determine the firm's financial worth.
Intesa Sanpaolo SpA is rated below average in net income category among its peers. It is rated below average in gross profit category among its peers fabricating about  4.26  of Gross Profit per Net Income. 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 Intesa Sanpaolo's earnings, one of the primary drivers of an investment's value.

Intesa Gross Profit 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.

Intesa Sanpaolo

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
4.35 B
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.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

Intesa Sanpaolo

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
18.55 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.

Intesa Gross Profit Comparison

Intesa Sanpaolo is rated fifth overall in gross profit category among its peers.

Intesa Sanpaolo Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Intesa Sanpaolo, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Intesa Sanpaolo will eventually generate negative long term returns. The profitability progress is the general direction of Intesa Sanpaolo's change in net profit over the period of time. It can combine multiple indicators of Intesa Sanpaolo, 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.
Intesa Sanpaolo S.p.A. provides various banking products and services. The company was founded in 1925 and is headquartered in Turin, Italy. Intesa Sanpaolo operates under Banks - Regional - Europe classification in Germany and is traded on Frankfurt Stock Exchange. It employs 91328 people.

Intesa Profitability Driver Comparison

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

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

Intesa Sanpaolo Pair Trading

Intesa Sanpaolo SpA Pair Trading Analysis

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

In addition to having Intesa Sanpaolo 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.

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Absolute Returns ETFs Theme
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Other Information on Investing in Intesa Stock

To fully project Intesa Sanpaolo's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Intesa Sanpaolo SpA 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 Intesa Sanpaolo's income statement, its balance sheet, and the statement of cash flows.
Potential Intesa Sanpaolo investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Intesa Sanpaolo investors may work on each financial statement separately, they are all related. The changes in Intesa Sanpaolo's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Intesa Sanpaolo'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.