Safe Haven Profitability Portfolio Stocks: Marvell Technology Group (NASDAQ:MRVL), Automatic Data Processing (ADP)

Marvell Technology Group (NASDAQ:MRVL) also making a luring appeal, share price swings at $15.85 with percentage change of -1.03% in most recent trading session.  Marvell (MRVL) reported that Gary Ignatin has joined Marvell as Senior Vice President of Corporate Development. Gary’s primary responsibilities at Marvell will be corporate development, long-term strategy, and leading strategic growth initiatives, all areas in which he has deep experience.

“The competitive landscape of the semiconductor industry is changing,” said Matt Murphy, Marvell’s President and Chief Executive Officer. “Gary is a proven leader, and having someone of his caliber to assess new opportunities and drive long-term strategy will be invaluable.”

Profitability Valuation

The profit margin can answer significantly to find consistent trends in a firm’s earnings, the Co has positive 4.30% profit margin that indicates every dollar of sales a firm actually keeps in earnings, and the larger number indicates improving and vise worse. Gross profit margin, operating profit margin are its sub parts that firm has 53.40% and 3.90% respectively. Moving toward returns ratio, MRVL has returns on investment of -19.90% which indicates firm’s investment efficiency or to compare the efficiency of a number of different investments.

While returns on assets calculated as 2.20% that gives an idea about how efficient management is at using its assets to generate earnings. It has returns on equity of 2.50%, 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 2.80 on scale of 1-5 with week’s performance of 1.39%.

Moving toward ratio analysis, it has current ratio of 4.50 and quick ratio was calculated as 4.10. The debt to equity ratio appeared as 0.01 for seeing its liquidity position. The firm attains analyst recommendation of 2.80 out of 1-5 scale with week’s performance of 1.39%.

Moving on tracing line, Automatic Data Processing, Inc. (NASDAQ:ADP) need to consider for profitability analysis, in latest session share price swings at $102.83 with percentage change of -0.16%.

The Co has positive 14.10% profit margin to find consistent trends in a firm’s earnings. Gross profit margin and operating profit margin are its sub parts that firm have 43.50% and 21.10% respectively. ADP has returns on investment of 22.80%. The returns on assets were 4.00% that gives an idea about how efficient management is at using its assets to generate earnings. It has returns on equity of 39.70%, which is measuring profitability by disclosing how much profit generates by ADP with the shareholders’ money.

The firm attains analyst recommendation of 2.70 on scale of 1-5 with week’s performance of 3.12%. The firm current ratio calculated as 1.10, this value is acceptable if it lies in 1.3% to 3%. But it varies industry to industry. To strengthen these views, active industry firm has Quick Ratio of 1.10, which indicates firm has sufficient short-term assets to cover its immediate liabilities. In addition, the firm has debt to equity ratio of 0.52, sometimes it remain same with long term debt to equity ratio.

 

About Richard Avery

He is a capital projects manager and process design engineer at a large-cap company. He has renowned MBA degree. Before joining SWR, he was a freelance writer for renounce tech websites. He is currently studying for CFP exam. Interests: Tech stocks, Economic Markets, Blue-chips.

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