Vodacom Profit Margin vs. Current Valuation

VOD Stock   10,664  38.00  0.36%   
Taking into consideration Vodacom's profitability measurements, Vodacom Group 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 Vodacom's ability to earn profits and add value for shareholders.
For Vodacom profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Vodacom to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Vodacom Group utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Vodacom's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Vodacom Group 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 Vodacom's value and its price as these two are different measures arrived at by different means. Investors typically determine if Vodacom is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Vodacom'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.

Vodacom Group Current Valuation vs. Profit Margin Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Vodacom's current stock value. Our valuation model uses many indicators to compare Vodacom value to that of its competitors to determine the firm's financial worth.
Vodacom Group is rated third in profit margin category among its peers. It is rated third in current valuation category among its peers reporting about  1,712,488,800,039  of Current Valuation per Profit Margin. 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 Vodacom's earnings, one of the primary drivers of an investment's value.

Vodacom Current Valuation vs. Profit Margin

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.

Vodacom

Profit Margin

 = 

Net Income

Revenue

X

100

 = 
0.15 %
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.
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.

Vodacom

Enterprise Value

 = 

Market Cap + Debt

-

Cash

 = 
262.87 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.

Vodacom Current Valuation vs Competition

Vodacom Group is rated third in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Telecom Services industry is at this time estimated at about 837.65 Billion. Vodacom totals roughly 262.87 Billion in current valuation claiming about 31% of equities listed under Telecom Services industry.

Vodacom Profitability Driver Comparison

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

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Our tools can tell you how much better you can do entering a position in Vodacom without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.

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Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
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Use Investing Themes to Complement your Vodacom position

In addition to having Vodacom 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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Airlines
Airlines Theme
Domestic and international airlines and airline services. The Airlines theme has 39 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 Airlines Theme or any other thematic opportunities.
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Other Information on Investing in Vodacom Stock

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