Snap On Net Income vs. Profit Margin
| SNA Stock | USD 356.96 2.18 0.61% |
Net Income | First Reported 1989-06-30 | Previous Quarter 271.2 M | Current Value 251.1 M | Quarterly Volatility 74 M |
| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Gross Profit Margin | 0.54 | 0.56 |
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| Net Profit Margin | 0.19 | 0.18 |
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| Operating Profit Margin | 0.25 | 0.24 |
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| Pretax Profit Margin | 0.25 | 0.24 |
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| Return On Assets | 0.0686 | 0.12 |
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| Return On Equity | 0.12 | 0.18 |
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For Snap On profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Snap On to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Snap On utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Snap On's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Snap On over time as well as its relative position and ranking within its peers.
Snap |
Snap On's Revenue Breakdown by Earning Segment
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Is Industrial Machinery & Supplies & Components 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 Snap On. If investors know Snap 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 Snap On 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 0.042 | Dividend Share 7.44 | Earnings Share 19.47 | Revenue Per Share 96.839 | Quarterly Revenue Growth (0.01) |
The market value of Snap On is measured differently than its book value, which is the value of Snap that is recorded on the company's balance sheet. Investors also form their own opinion of Snap On's value that differs from its market value or its book value, called intrinsic value, which is Snap On'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 Snap On's market value can be influenced by many factors that don't directly affect Snap On'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 Snap On's value and its price as these two are different measures arrived at by different means. Investors typically determine if Snap On is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Snap On'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.
Snap On Profit Margin vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Snap On's current stock value. Our valuation model uses many indicators to compare Snap On value to that of its competitors to determine the firm's financial worth. Snap On is currently regarded as top stock in net income category among its peers. It also is currently regarded as top stock in profit margin category among its peers . The ratio of Net Income to Profit Margin for Snap On is about 4,956,372,549 . At present, Snap On's Net Income is projected to increase 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 Snap On's earnings, one of the primary drivers of an investment's value.Snap On's Earnings Breakdown by Geography
Snap Profit Margin 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.
Snap On |
| = | 1.01 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.
Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
Snap On |
| = | 0.20 % |
In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.
Snap Profit Margin Comparison
Snap On is currently under evaluation in profit margin category among its peers.
Snap On Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Snap On, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Snap On will eventually generate negative long term returns. The profitability progress is the general direction of Snap On's change in net profit over the period of time. It can combine multiple indicators of Snap On, 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 | -449.5 M | -427 M | |
| Operating Income | 1.3 B | 1.4 B | |
| Income Before Tax | 1.3 B | 1.4 B | |
| Total Other Income Expense Net | 17.6 M | 18.5 M | |
| Net Income | 1 B | 1.1 B | |
| Income Tax Expense | 293.4 M | 308.1 M | |
| Net Income Applicable To Common Shares | 1 B | 1.1 B | |
| Net Income From Continuing Ops | 1 B | 632.6 M | |
| Non Operating Income Net Other | 48.9 M | 51.3 M | |
| Interest Income | 40.2 M | 28.8 M | |
| Net Interest Income | -9.7 M | -10.2 M | |
| Change To Netincome | 67 M | 83.4 M | |
| Net Income Per Share | 15.42 | 16.19 | |
| Income Quality | 0.65 | 0.80 | |
| Net Income Per E B T | 0.68 | 0.50 |
Snap Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Snap On. 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 Snap On 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 Snap On's important profitability drivers and their relationship over time.
Use Snap On 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 Snap On 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 Snap On will appreciate offsetting losses from the drop in the long position's value.Snap On Pair Trading
Snap On Pair Trading Analysis
The ability to find closely correlated positions to Snap On could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Snap On 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 Snap On - 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 Snap On to buy it.
The correlation of Snap On 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 Snap On moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Snap On 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 Snap On 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 Snap On position
In addition to having Snap On 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?
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Check out World Market Map. For information on how to trade Snap Stock refer to our How to Trade Snap Stock guide.You can also try the Economic Indicators module to top statistical indicators that provide insights into how an economy is performing.
To fully project Snap On's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Snap On 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 Snap On's income statement, its balance sheet, and the statement of cash flows.