Gorman Rupp Net Income vs. Current Valuation
Will Stock sector continue expanding? Could Gorman diversify its offerings? Factors like these will boost the valuation of Gorman Rupp. Market participants price Gorman higher when confident in its future expansion prospects. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Gorman Rupp data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Understanding Gorman Rupp requires distinguishing between market price and book value, where the latter reflects Gorman's accounting equity. The concept of intrinsic value—what Gorman Rupp's is actually worth based on fundamentals—guides informed investors toward better entry and exit points. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Market sentiment, economic cycles, and investor behavior can push Gorman Rupp's price substantially above or below its fundamental value.
Please note, there is a significant difference between Gorman Rupp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Gorman Rupp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. In contrast, Gorman Rupp's trading price reflects the actual exchange value where willing buyers and sellers reach mutual agreement.
Gorman Rupp Current Valuation vs. Net Income Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Gorman Rupp's current stock value. Our valuation model uses many indicators to compare Gorman Rupp value to that of its competitors to determine the firm's financial worth. Gorman Rupp is rated below average in net income category among its peers. It is rated # 2 in current valuation category among its peers reporting about 41.70 of Current Valuation per Net Income. 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 Gorman Rupp's earnings, one of the primary drivers of an investment's value.Gorman Current Valuation 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.
Gorman Rupp |
| = | 40.12 M |
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.
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.
Gorman Rupp |
| = | 1.67 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.
Gorman Current Valuation vs Competition
Gorman Rupp is rated # 2 in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Industrials industry is currently estimated at about 15.8 Billion. Gorman Rupp retains roughly 1.67 Billion in current valuation claiming about 11% of equities under Industrials industry.
Gorman Rupp Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Gorman Rupp, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Gorman Rupp will eventually generate negative long term returns. The profitability progress is the general direction of Gorman Rupp's change in net profit over the period of time. It can combine multiple indicators of Gorman Rupp, 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.
The Gorman-Rupp Company designs, manufactures, and sells pumps and pump systems in the United States and internationally. The Gorman-Rupp Company was founded in 1933 and is headquartered in Mansfield, Ohio. Gorman Rupp operates under Specialty Industrial Machinery classification in the United States and is traded on New York Stock Exchange. It employs 1150 people.
Gorman Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Gorman Rupp. 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 Gorman Rupp 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 Gorman Rupp's important profitability drivers and their relationship over time.
Gorman Rupp Earnings per Share Projection vs Actual
Use Gorman Rupp 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 Gorman Rupp 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 Gorman Rupp will appreciate offsetting losses from the drop in the long position's value.Gorman Rupp Pair Trading
Gorman Rupp Pair Trading Analysis
The ability to find closely correlated positions to Gorman Rupp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Gorman Rupp 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 Gorman Rupp - 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 Gorman Rupp to buy it.
The correlation of Gorman Rupp 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 Gorman Rupp moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Gorman Rupp 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 Gorman Rupp 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 Gorman Rupp position
In addition to having Gorman Rupp 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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It encompasses large technology companies, automotive makers, security firms, and thematic ETFs across multiple industries. These entities are directly or indirectly involved in shaping the development and marketing of self-driving vehicles. The Driverless Cars theme has 30 constituents at this time.
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Check out Risk vs Return Analysis. For information on how to trade Gorman Stock refer to our How to Trade Gorman Stock guide.You can also try the Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
To fully project Gorman Rupp's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Gorman Rupp 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 Gorman Rupp's income statement, its balance sheet, and the statement of cash flows.