Switch to:
E*TRADE Financial Corp (NAS:ETFC)
Net Margin
28.06% (As of Jun. 2016)

Net margin is calculated as net income divided by its revenue. E*TRADE Financial Corp's net income for the three months ended in Jun. 2016 was $133 Mil. E*TRADE Financial Corp's revenue for the three months ended in Jun. 2016 was $474 Mil. Therefore, E*TRADE Financial Corp's net margin for the quarter that ended in Jun. 2016 was 28.06%.

ETFC' s Net Margin Range Over the Past 10 Years
Min: -468.76   Max: 26.26
Current: 15.37

-468.76
26.26
ETFC's Net Margin is ranked higher than
54% of the 676 Companies
in the Global Capital Markets industry.

( Industry Median: 11.88 vs. ETFC: 15.37 )

Definition

Net margin - also known as net profit margin is the ratio of Net Income divided by net sales or Revenue, usually presented in percent.

E*TRADE Financial Corp's Net Margin for the fiscal year that ended in Dec. 2015 is calculated as

Net Margin=Net Income (A: Dec. 2015 )/Revenue (A: Dec. 2015 )
=268/1363
=19.66 %

E*TRADE Financial Corp's Net Margin for the quarter that ended in Jun. 2016 is calculated as

Net Margin=Net Income (Q: Jun. 2016 )/Revenue (Q: Jun. 2016 )
=133/474
=28.06 %

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company’s profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.

But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.


Related Terms

Net Income, Revenue, Cost of Goods Sold, Selling, General, & Admin. Expense, Research & Development, Depreciation, Depletion and Amortization, Interest Expense, Non-Recurring Items, Tax Expense


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

E*TRADE Financial Corp Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
netmargin 26.26-468.76-26.58-58.54-1.377.69-6.575.3417.2319.66

E*TRADE Financial Corp Quarterly Data

Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16
netmargin 20.4215.7520.929.459.0768.07-259.3220.2732.4228.06
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
FEEDBACK