Liberty Broadband Operating Margin vs. Return On Asset

LBRDK Stock  USD 76.38  1.12  1.45%   
Based on the measurements of profitability obtained from Liberty Broadband's financial statements, Liberty Broadband Srs may not be well positioned to generate adequate gross income at the present time. It has a very high chance of underperforming in January. Profitability indicators assess Liberty Broadband's ability to earn profits and add value for shareholders.

Liberty Broadband Operating Profit Margin

0.0707

Operating Cash Flow Sales Ratio is expected to rise to 0.02 this year, although the value of Price To Sales Ratio will most likely fall to 11.48. At this time, Liberty Broadband's Accumulated Other Comprehensive Income is quite stable compared to the past year. Net Income Applicable To Common Shares is expected to rise to about 1.5 B this year, although the value of Total Other Income Expense Net will most likely fall to about 645.2 M.
For Liberty Broadband profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Liberty Broadband to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Liberty Broadband Srs utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Liberty Broadband's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Liberty Broadband Srs over time as well as its relative position and ranking within its peers.
  

Liberty Broadband's Revenue Breakdown by Earning Segment

Check out Correlation Analysis.
Is Cable & Satellite 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 Liberty Broadband. If investors know Liberty 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 Liberty Broadband 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
(0.10)
Earnings Share
5.43
Revenue Per Share
6.977
Quarterly Revenue Growth
0.092
Return On Assets
0.0036
The market value of Liberty Broadband Srs is measured differently than its book value, which is the value of Liberty that is recorded on the company's balance sheet. Investors also form their own opinion of Liberty Broadband's value that differs from its market value or its book value, called intrinsic value, which is Liberty Broadband'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 Liberty Broadband's market value can be influenced by many factors that don't directly affect Liberty Broadband'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 Liberty Broadband's value and its price as these two are different measures arrived at by different means. Investors typically determine if Liberty Broadband is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Liberty Broadband'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.

Liberty Broadband Srs Return On Asset vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Liberty Broadband's current stock value. Our valuation model uses many indicators to compare Liberty Broadband value to that of its competitors to determine the firm's financial worth.
Liberty Broadband Srs is rated second overall in operating margin category among its peers. It also is rated second overall in return on asset category among its peers reporting about  0.03  of Return On Asset per Operating Margin. The ratio of Operating Margin to Return On Asset for Liberty Broadband Srs is roughly  31.81 . At this time, Liberty Broadband's Operating Profit Margin is quite stable compared to the past year. Comparative valuation analysis is a catch-all technique that is used if you cannot value Liberty Broadband 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.

Liberty Return On Asset 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.

Liberty Broadband

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.11 %
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.
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.

Liberty Broadband

Return On Asset

 = 

Net Income

Total Assets

 = 
0.0036
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.

Liberty Return On Asset Comparison

Liberty Broadband is currently under evaluation in return on asset category among its peers.

Liberty Broadband Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Liberty Broadband, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Liberty Broadband will eventually generate negative long term returns. The profitability progress is the general direction of Liberty Broadband's change in net profit over the period of time. It can combine multiple indicators of Liberty Broadband, 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 Income52 M54.6 M
Operating Income73 M69.3 M
Income Before Tax888 M700.7 M
Total Other Income Expense Net815 M645.2 M
Net Income688 M561.5 M
Income Tax Expense200 M139 M
Net Income Applicable To Common Shares1.4 B1.5 B
Net Income From Continuing Ops661 M660.1 M
Non Operating Income Net OtherB2.1 B
Interest Income236.2 M224.4 M
Net Interest Income-193 M-183.3 M
Change To Netincome-1.5 B-1.4 B
Net Income Per Share 4.68  2.58 
Income Quality 0.02  0.02 
Net Income Per E B T 0.77  0.62 

Liberty Profitability Driver Comparison

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

Use Liberty Broadband 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 Liberty Broadband 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 Liberty Broadband will appreciate offsetting losses from the drop in the long position's value.

Liberty Broadband Pair Trading

Liberty Broadband Srs Pair Trading Analysis

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

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When determining whether Liberty Broadband Srs is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Liberty Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Liberty Broadband Srs Stock. Highlighted below are key reports to facilitate an investment decision about Liberty Broadband Srs Stock:
Check out Correlation Analysis.
You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
To fully project Liberty Broadband's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Liberty Broadband Srs 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 Liberty Broadband's income statement, its balance sheet, and the statement of cash flows.
Potential Liberty Broadband investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Liberty Broadband investors may work on each financial statement separately, they are all related. The changes in Liberty Broadband's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Liberty Broadband'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.