Smith Nephew Shares Owned By Insiders vs. Operating Margin

SNN Stock  USD 25.30  0.37  1.44%   
Based on the key profitability measurements obtained from Smith Nephew's financial statements, Smith Nephew SNATS 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 Smith Nephew's ability to earn profits and add value for shareholders. At this time, Smith Nephew's Price To Sales Ratio is very stable compared to the past year. As of the 5th of December 2024, Days Sales Outstanding is likely to grow to 73.14, while Sales General And Administrative To Revenue is likely to drop 0.07. At this time, Smith Nephew's Income Quality is very stable compared to the past year. As of the 5th of December 2024, Net Income Per E B T is likely to grow to 1.10, while Accumulated Other Comprehensive Income is likely to drop (404.2 M).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.580.7014
Significantly Down
Slightly volatile
Net Profit Margin0.0450.0474
Notably Down
Slightly volatile
Operating Profit Margin0.07280.0766
Notably Down
Slightly volatile
Pretax Profit Margin0.04960.0523
Notably Down
Slightly volatile
Return On Assets0.0250.0263
Notably Down
Slightly volatile
Return On Equity0.04790.0504
Notably Down
Slightly volatile
For Smith Nephew profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Smith Nephew to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Smith Nephew SNATS utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Smith Nephew's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Smith Nephew SNATS over time as well as its relative position and ranking within its peers.
  
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Is Health Care Equipment & Supplies 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 Smith Nephew. If investors know Smith 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 Smith Nephew 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
0.244
Dividend Share
0.375
Earnings Share
0.69
Revenue Per Share
2.5904
Quarterly Revenue Growth
0.034
The market value of Smith Nephew SNATS is measured differently than its book value, which is the value of Smith that is recorded on the company's balance sheet. Investors also form their own opinion of Smith Nephew's value that differs from its market value or its book value, called intrinsic value, which is Smith Nephew'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 Smith Nephew's market value can be influenced by many factors that don't directly affect Smith Nephew'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 Smith Nephew's value and its price as these two are different measures arrived at by different means. Investors typically determine if Smith Nephew is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Smith Nephew'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.

Smith Nephew SNATS Operating Margin vs. Shares Owned By Insiders Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Smith Nephew's current stock value. Our valuation model uses many indicators to compare Smith Nephew value to that of its competitors to determine the firm's financial worth.
Smith Nephew SNATS is currently regarded as top stock in shares owned by insiders category among its peers. It is rated fourth in operating margin category among its peers reporting about  5.80  of Operating Margin per Shares Owned By Insiders. At this time, Smith Nephew's Operating Profit Margin is very stable compared to the past year. 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 Smith Nephew's earnings, one of the primary drivers of an investment's value.

Smith Operating Margin vs. Shares Owned By Insiders

Shares Owned by Insiders show the percentage of outstanding shares owned by insiders (such as principal officers or members of the board of directors) or private individuals and entities with over 5% of the total shares outstanding. Company executives or private individuals with access to insider information share information about a firm's operations that is not available to the general public.

Smith Nephew

Insiders Shares

 = 

Executives Shares

+

Employees

 = 
0.02 %
Although the research on effects of insider trading on prices and volatility is still relatively inconclusive, and investors are advised to pay close attention to the distribution of equities among company's stakeholders to avoid many problems associated with the disclosure of price-sensitive information.
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.

Smith Nephew

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.12 %
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.

Smith Operating Margin Comparison

Smith Nephew is currently under evaluation in operating margin category among its peers.

Smith Nephew Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Smith Nephew, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Smith Nephew will eventually generate negative long term returns. The profitability progress is the general direction of Smith Nephew's change in net profit over the period of time. It can combine multiple indicators of Smith Nephew, 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-385 M-404.2 M
Operating Income425 M531.6 M
Income Before Tax290 M483.7 M
Total Other Income Expense Net-135 M-128.2 M
Net Income263 M480.5 M
Income Tax Expense27 M25.6 M
Net Income Applicable To Common Shares256.4 M499 M
Net Income From Continuing Ops263 M414.6 M
Interest Income34 M25.4 M
Net Interest Income-105 M-110.2 M
Change To Netincome266.8 M280.1 M
Net Income Per Share 0.30  0.30 
Income Quality 2.10  2.20 
Net Income Per E B T 0.91  1.10 

Smith Profitability Driver Comparison

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

Use Smith Nephew 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 Smith Nephew 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 Smith Nephew will appreciate offsetting losses from the drop in the long position's value.

Smith Nephew Pair Trading

Smith Nephew SNATS Pair Trading Analysis

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

In addition to having Smith Nephew 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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Gambling
Gambling Theme
Companies that are related to providing gambling services across multiple geographical areas by investing, exploring, or producing software, hardware, and related infrastructure for running gambling operations or trading speculative assets. The Gambling theme has 38 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 Gambling Theme or any other thematic opportunities.
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When determining whether Smith Nephew SNATS offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Smith Nephew'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 Smith Nephew Snats Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Smith Nephew Snats Stock:
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You can also try the Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
To fully project Smith Nephew's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Smith Nephew SNATS 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 Smith Nephew's income statement, its balance sheet, and the statement of cash flows.
Potential Smith Nephew investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although Smith Nephew investors may work on each financial statement separately, they are all related. The changes in Smith Nephew's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Smith Nephew'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.