Qurate Retail Group Inc (QRTEA): Profitability Analysis & Investment Opportunity

Investment opportunity: Qurate Retail Group Inc. (QRTEA)

Content summarization: Qurate Retail Group Inc. (QRTEA) shows strong momentum and potential for growth. With a high momentum score and positive earnings estimates, now could be the right time to enter the stock and take advantage of its upward trend. Despite its fast pace, QRTEA is still undervalued, making it an attractive investment option. Additionally, QRTEA has passed the fast-paced momentum bargain screen, further indicating its potential for success. Consider investing in QRTEA as it fits the criteria for a winning stock pick.

Profitability analysis:
– Average gross profit margin: 0.3327 (past 4 years) vs. 0.312 (TTM)
– Average EBITDA margin: 0.0432 (past 4 years) vs. 0.0692 (TTM)
– Average operating income margin: 0.0986 (past 4 years) vs. 0.0686 (TTM)
– Average net income margin: -0.0348 (past 4 years) vs. 0.0068 (TTM)
– Earnings per share (last fiscal year): -6.83

Market correlations:
– Correlation score of -0.5 between Qurate stock pricing and Qurate search trend value from Google.
– Correlation score of -0.68 between Qurate stock pricing and its stock trending volume.

Overall, Qurate Retail Group Inc. (QRTEA) shows strong momentum and potential for growth, making it an attractive investment opportunity.

Qurate Retail Group Inc (QRTEA): Profitability Analysis & Investment Opportunity

Introduction
Qurate Retail Group Inc. (QRTEA) is a stock that presents an investment opportunity for investors who follow a momentum investing strategy. While the traditional momentum parameters may pose risks at times, a safer approach could be to invest in bargain stocks with recent price momentum. QRTEA has shown strong price momentum and is currently attractively priced. The stock has gained momentum in the past weeks, reflecting growing interest from investors. With a strong momentum score and upward trend in earnings estimates, QRTEA is an ideal candidate for investors looking to take advantage of its momentum.

Momentum and Price Performance
QRTEA’s recent price momentum has been impressive, with a four-week price change that has outperformed the market. This indicates that the stock is moving higher regardless of market direction, making it a favorable choice for momentum investors. The momentum score of QRTEA also suggests that now is the right time to enter the stock and benefit from its momentum. Additionally, the stock has been assigned a strong buy rating by analysts, further supporting its potential for success.

Valuation and Potential Upside
Despite its fast-paced momentum, QRTEA is still considered undervalued based on its price-to-sales ratio. This valuation metric is an important factor to consider when investing in stocks, and QRTEA appears to have plenty of room to run. Investors can take advantage of the stock’s momentum and attractive valuation to potentially earn significant returns.

Historical Profitability Metrics
Analyzing QRTEA’s historical profitability metrics over the past four years compared to its current metrics reveals some interesting trends. The average gross profit margin has decreased slightly from 0.3327 to 0.312, indicating a potential decline in profitability. However, the average EBITDA margin has shown improvement, increasing from 0.0432 to 0.06922. The average operating income margin has also decreased slightly from 0.0986 to 0.06858. The most significant improvement can be seen in the average net income margin, which has shifted from negative -0.0348 to a positive 0.0068. These trends suggest that QRTEA’s profitability has improved in recent times.

Earnings per Share
QRTEA’s earnings per share (EPS) from the last fiscal year report was -6.83. While this may indicate a loss, it is important to note that EPS can fluctuate from year to year. Investors should consider other factors such as the company’s growth potential and future earnings estimates when evaluating the stock’s profitability.

Correlation with Search Trends and Stock Volume
There is a negative correlation score of -0.5 between QRTEA’s stock pricing and the company’s name search trend value on Google. This suggests that as the stock price decreases, the search interest in the company increases. Additionally, there is a stronger negative correlation score of -0.68 between QRTEA’s stock pricing and its stock trending volume. This indicates that as the stock price decreases, the trading volume tends to increase. These correlations can provide insights into investor sentiment and potential market trends.

Conclusion
In conclusion, QRTEA presents an investment opportunity for momentum investors due to its strong price momentum, attractive valuation, and positive earnings estimates. While the historical profitability metrics show some fluctuations, the recent improvement in net income margin suggests that the company’s profitability is on an upward trend. The negative correlations with search trends and stock volume indicate potential market trends that investors can consider. Overall, QRTEA is a stock worth considering for investors looking to capitalize on its momentum and potential for future growth.