Zip (Australia) Analysis

frosti
2022-07-28

Zip Market Capitalization

The company currently falls under 'Nano-Cap' category with current market capitalization of 1.77M. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Zip's market, we take the total number of its shares issued and multiply it by Zip's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and these looking for more risk prefer small-cap and mid-cap equities.

Zip Profitablity

Zip's profitability indicators refer to fundamental financial ratios that showcase Zip's ability to generate income relative to its revenue or operating costs. If, let's say, Zip is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Zip's executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Zip's profitability requires more research than a typical breakdown of Zip's financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.

The company has Profit Margin (PM) of(77.86) %, which may suggest that it does not properly executes on its current pricing strategies or is unable to control all of the operational costs. This is way below average. Similarly, it shows Operating Margin (OM) of(72.9) %, which suggests for every $100 dollars of sales, it generated a net operating loss of -0.73.

$Zip Co Ltd(ZIP.AU)$

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Ah_Meng
    2022-07-29
    Ah_Meng
    Just checked... it's market cap just crossed $1B... is there a mistake in the time frame of this article? That is way before the rally or a typo for B to M? A billion dollars should not be nano cap?!
  • Ah_Meng
    2022-07-29
    Ah_Meng
    I didn't know Zip is nano cap with market cap of only 1.77M even after these days of fierce rallies! Thanks for sharing. I will check it out...
  • hh488
    2022-07-28
    hh488
    Wow, understand it's biz is one thing. Understanding zip ratio is another. [Thinking]
  • doubleZ
    2022-07-28
    doubleZ
    Yup risky. But one can consider having an AU stock to diversify
  • GenXCrypto
    2022-11-05
    GenXCrypto
    i'm holding a small amount of Zip at 63c buy price. worth a small punt at these levels imo.
  • rachhy
    2022-07-28
    rachhy
    good to know
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