Financial managers and analysts can discern how profitable a company is based on profitability ratios. A company is profitable when its expenses and other costs associated with producing products or offering services for customers is lower than its related earnings and income. A company may not generate profit but be able to stay in business for some period. Many growth-oriented start-up companies initially run their business based on investors’ capital before they earn any income or profit. However, a business without profit cannot sustain its business in the long run.
Profitability ratios show a company’s overall efficiency and performance. We can divide profitability ratios into two types: margins and returns. Ratios that show margins represent the firm’s ability to translate sales dollars into profits at various stages of measurement. Ratios that show returns represent the firm’s ability to measure the overall efficiency of the firm in generating returns for its shareholders.
Fulton Financial Corp (NASDAQ:FULT) has the market capitalization of $ 2.27B. The stock has P/B ratio of 1.12 while EPS was 0.83. Institutional ownership of the company was 59% while 174.03M shares were outstanding. Net profit margin of the Company was 25.40%. Share of the company moved above its SMA 50 with -2.94%. ROE ratio was 7.40% while ROI was 18.30%.
Discover Financial Services (NYSE:DFS) has return on equity ratio of 20.20%. The company has $ 22.55B in market worth. Earnings per share of the company were 4.85 while 427.48M shares were outstanding. The company earned $ 2.15B in prior twelve months.
EP Energy Corp (NYSE:EPE) has 2.51 institutional ownership while its EPS ratio was 2.51. The company has 248.79M shares outstanding while market capitalization of the company was $ 945.44M. Price to book ratio was 0.21. Net profit margin of the company was 21.20%. Stock volatility for the month was booked as 8.33% while for the week was recorded as 8.81%.
Bank of Nova Scotia (NYSE:BNS) has market capitalization of $ 49.06B while its Price to book ratio was 1.35. The company offered EPS of 4.12 while its 1.20B shares were outstanding. its operating profit margin was 56.00%. The company earned $5.01B in prior 12 months. ROE ratio was 14.40% while ROA was 0.80%.