Marvell Technology Group Ltd. (NASDAQ:MRVL) share price swings at $19.28 with percentage change of -1.48% in most recent trading session.
The profit margin can answer significantly to find consistent trends in a firm’s earnings, MRVL has positive 15.40% profit margin that indicates every dollar of sales a firm actually keeps in earnings, and the larger number indicates improving and vise worse. A firm’s profit is calculated at three levels on its income statement, beginning with the most basic gross profit and building up to the most comprehensive net profit. Between these two lies operating profit. The firm has gross profit margin of 60.10% and operating profit margin calculated as 13.00%. Moving toward returns ratio, MRVL has returns on investment of 10.10% which indicates firm’s investment efficiency or to compare the efficiency of a number of different investments and it refers to the proceeds obtained from the sale of
the investment of interest.
While returns on assets calculated as 6.20% that gives an idea about how efficient management is at using its assets to generate earnings. ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. It is usually indicates an upward profit trend as well. ROA is most useful for comparing companies in the same industry as different industries use assets differently Marvell Technology Group Ltd. (NASDAQ:MRVL) has returns on equity of 7.60%, which is measuring a corporation’s profitability by revealing how much profit generates by MRVL with the shareholders’ money. The firm attains analyst recommendation of 2.10 on scale of 1-5 with week’s performance of 3.05%.
Effective Investment Valuation
To persist focus on investment valuation, the firm also have significant role in eyes of active investors, it has price to earnings growth of 2.08, which is a valuation metric for determining relative trade-off among price of a stock. It is useful, but ultimately financial modeling is the best way to account for all aspects of a firm’s growth profile when performing a valuation. Building a Discounted Cash Flow (DCF) model typically takes into account about 5 years of forecasted growth, plus a terminal value, to arrive at the net present value of the business.
MRVL has price to earnings growth ratio of 2.08, it is adding factors in a stock’s estimated earnings growth into its current valuation that showed 29.35 by price to earnings ratio. Furthermore, it has price to sale ratio of 5.07 that signifies the value placed on each dollar of a firm’s sales or incomes. The firm’s price to book was 1.39, which can be compared with current price to get idea about under or overvalue of stock. Forward Price to Earnings ratio of MRVL attains value of 12.67 that is projecting or estimating EPS for the next 12-months and its follow by traders who believe on anticipates of a firm’s future rather than past performance.
To have technical views, liquidity ratio of Marvell Technology Group Ltd. (NASDAQ:MRVL) calculated as 2.50 to match up with its debt to equity ratio of 0.25. The float short ratio was 1.64%; as compared to Short Ratio were 1.04. The firm has institutional ownership of 84.40%, while insider ownership included 0.80%.