Russel Metals Operating Margin vs. Net Income

RUS Stock  CAD 44.35  0.60  1.33%   
Based on Russel Metals' profitability indicators, Russel Metals is performing exceptionally good at this time. It has a great probability to showcase excellent profitability results in January. Profitability indicators assess Russel Metals' ability to earn profits and add value for shareholders.

Russel Metals Operating Profit Margin

0.13

At this time, Russel Metals' Price To Sales Ratio is very stable compared to the past year. As of the 15th of December 2024, Days Sales Outstanding is likely to grow to 55.67, while EV To Sales is likely to drop 0.37. At this time, Russel Metals' Net Income Per Share is very stable compared to the past year.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.220.2123
Sufficiently Up
Slightly volatile
Operating Profit Margin0.130.1243
Sufficiently Up
Slightly volatile
For Russel Metals profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Russel Metals to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Russel Metals utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Russel Metals's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Russel Metals 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 Russel Metals' value and its price as these two are different measures arrived at by different means. Investors typically determine if Russel Metals is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Russel Metals' 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.

Russel Metals Net Income vs. Operating Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Russel Metals's current stock value. Our valuation model uses many indicators to compare Russel Metals value to that of its competitors to determine the firm's financial worth.
Russel Metals is currently regarded as top stock in operating margin category among its peers. It also is currently regarded as top stock in net income category among its peers making up about  5,939,866,370  of Net Income per Operating Margin. At this time, Russel Metals' Operating Profit Margin is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value Russel Metals by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Russel Metals' Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

Russel Net Income 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.

Russel Metals

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.04 %
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.
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.

Russel Metals

Net Income

 = 

(Rev + Gain)

-

(Exp + Loss)

 = 
266.7 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.

Russel Net Income Comparison

Russel Metals is currently under evaluation in net income category among its peers.

Russel Metals Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Russel Metals, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Russel Metals will eventually generate negative long term returns. The profitability progress is the general direction of Russel Metals' change in net profit over the period of time. It can combine multiple indicators of Russel Metals, 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 Income118.7 M124.6 M
Operating Income560.2 M588.2 M
Income Before Tax348.7 M366.1 M
Total Other Income Expense Net-211.5 M-200.9 M
Net Income266.7 M280 M
Income Tax Expense82 M45.2 M
Net Income From Continuing Ops266.7 M169.7 M
Net Income Applicable To Common Shares427.7 M449.1 M
Interest Income19.9 M23.9 M
Net Interest Income-8.9 M-9.3 M
Change To Netincome-87.6 M-83.2 M
Net Income Per Share 4.33  4.55 
Income Quality 1.73  1.64 
Net Income Per E B T 0.76  0.57 

Russel Profitability Driver Comparison

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

Use Russel Metals 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 Russel Metals 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 Russel Metals will appreciate offsetting losses from the drop in the long position's value.

Russel Metals Pair Trading

Russel Metals Pair Trading Analysis

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

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Pharmaceutical Products
Pharmaceutical Products Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Pharmaceutical Products theme has 61 constituents at this time.
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Other Information on Investing in Russel Stock

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