BBB Foods Short Ratio vs. Current Valuation

TBBB Stock   28.10  0.48  1.68%   
Based on BBB Foods' profitability indicators, BBB Foods 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 BBB Foods' ability to earn profits and add value for shareholders. As of December 5, 2024, Price To Sales Ratio is expected to decline to 0.20. In addition to that, EV To Sales is expected to decline to 0.43. At present, BBB Foods' Accumulated Other Comprehensive Income is projected to increase significantly based on the last few years of reporting. The current year's Net Income Per E B T is expected to grow to 3.19, whereas Net Interest Income is forecasted to decline to (1.3 B).
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.120.1597
Way Down
Slightly volatile
Operating Profit Margin0.01220.018
Way Down
Slightly volatile
Return On Equity0.130.0661
Way Up
Slightly volatile
For BBB Foods profitability analysis, we use financial ratios and fundamental drivers that measure the ability of BBB Foods to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well BBB Foods utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between BBB Foods's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of BBB Foods over time as well as its relative position and ranking within its peers.
  
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For information on how to trade BBB Stock refer to our How to Trade BBB Stock guide.
Is Consumer Staples Distribution & Retail 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 BBB Foods. If investors know BBB 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 BBB Foods 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
2.497
Earnings Share
(0.15)
Revenue Per Share
445.624
Quarterly Revenue Growth
0.275
The market value of BBB Foods is measured differently than its book value, which is the value of BBB that is recorded on the company's balance sheet. Investors also form their own opinion of BBB Foods' value that differs from its market value or its book value, called intrinsic value, which is BBB Foods' 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 BBB Foods' market value can be influenced by many factors that don't directly affect BBB Foods' 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 BBB Foods' value and its price as these two are different measures arrived at by different means. Investors typically determine if BBB Foods is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, BBB Foods' 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.

BBB Foods Current Valuation vs. Short Ratio Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining BBB Foods's current stock value. Our valuation model uses many indicators to compare BBB Foods value to that of its competitors to determine the firm's financial worth.
BBB Foods is currently regarded as top stock in short ratio category among its peers. It also is currently regarded number one company in current valuation category among its peers reporting about  596,669,504  of Current Valuation per Short Ratio. 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 BBB Foods' earnings, one of the primary drivers of an investment's value.

BBB Current Valuation vs. Short Ratio

Short Ratio is typically used by traders and speculators to identify trends in current market sentiment for a particular equity instrument. In its simple terms this ratio shows how many days it will take all current short sellers to cover their positions if the price of a stock begins to rise.

BBB Foods

Short Ratio

 = 

Short Interest

Average Trading Volume

 = 
6.12 X
The higher the Short Ratio, the longer it would take to buy back the borrowed shares. In theory, the more short positions are currently outstanding, the faster it will be to cover shorted positions.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.

BBB Foods

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
3.65 B
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.

BBB Current Valuation vs Competition

BBB Foods is currently regarded number one company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Consumer Staples industry is at this time estimated at about 137.53 Billion. BBB Foods holds roughly 3.65 Billion in current valuation claiming about 2.66% of stocks in Consumer Staples industry.

BBB Foods Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in BBB Foods, profitability is also one of the essential criteria for including it into their portfolios because, without profit, BBB Foods will eventually generate negative long term returns. The profitability progress is the general direction of BBB Foods' change in net profit over the period of time. It can combine multiple indicators of BBB Foods, 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 Income979.5 MB
Net Interest Income-1.3 B-1.3 B
Interest Income19.1 M11.8 M
Operating Income912.9 M590.4 M
Net Loss-352.1 M-369.7 M
Income Before Tax-116 M-121.8 M
Total Other Income Expense Net-894.8 M-939.5 M
Net Loss-100.9 M-106 M
Income Tax Expense236 M138 M
Net Loss(10.91)(11.46)
Income Quality(31.12)(29.57)
Net Income Per E B T 3.03  3.19 

BBB Profitability Driver Comparison

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

Use BBB Foods 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 BBB Foods 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 BBB Foods will appreciate offsetting losses from the drop in the long position's value.

BBB Foods Pair Trading

BBB Foods Pair Trading Analysis

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

In addition to having BBB Foods 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?

Run Convertibles Funds Thematic Idea Now

Convertibles Funds
Convertibles Funds Theme
Funds or Etfs that invest in debt that is expected to be converted into a predetermined amount of the company equity at some future date. The Convertibles Funds theme has 13 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 Convertibles Funds Theme or any other thematic opportunities.
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When determining whether BBB Foods offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of BBB Foods' 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 Bbb Foods Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Bbb Foods Stock:
Check out World Market Map.
For information on how to trade BBB Stock refer to our How to Trade BBB Stock guide.
You can also try the Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.
To fully project BBB Foods' future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of BBB Foods 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 BBB Foods' income statement, its balance sheet, and the statement of cash flows.
Potential BBB Foods investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although BBB Foods investors may work on each financial statement separately, they are all related. The changes in BBB Foods's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on BBB Foods'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.