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Rakuten Group (TSE:4755) Profitability Rank

: 5 (As of Dec. 2023)
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Rakuten Group has the Profitability Rank of 5.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

Rakuten Group's Operating Margin % for the quarter that ended in Dec. 2023 was -5.74%. As of today, Rakuten Group's Piotroski F-Score is 5.


Competitive Comparison

For the Internet Retail subindustry, Rakuten Group's Profitability Rank, along with its competitors' market caps and Profitability Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Rakuten Group Profitability Rank Distribution

For the Retail - Cyclical industry and Consumer Cyclical sector, Rakuten Group's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Rakuten Group's Profitability Rank falls into.



Rakuten Group Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Rakuten Group has the Profitability Rank of 5.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Rakuten Group's Operating Margin % for the quarter that ended in Dec. 2023 is calculated as:

Operating Margin %=Operating Income (Q: Dec. 2023 ) / Revenue (Q: Dec. 2023 )
=-33279 / 580076
=-5.74 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Rakuten Group has an F-score of 5 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

4. Consistency of the profitability

5. Predictability Rank


Rakuten Group Profitability Rank Related Terms

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Rakuten Group (TSE:4755) Business Description

Traded in Other Exchanges
Address
4-12-3 Higashishinagawa, Shinagawa Seaside Rakuten Tower, Shinagawa-ku, Tokyo, JPN, 140-0002
Rakuten is a leading e-commerce and fintech service provider in Japan. It has built up a comprehensive Rakuten ecosystem in Japan, including Rakuten Ichiba for e-commerce, Rakuten Travel, Rakuten Card, Rakuten Bank, Rakuten Securities, and decided to become the fourth mobile network operator in Japan, started its full service in April 2020. Mergers and acquisitions in internet and e-finance businesses have driven growth. The loyalty programme, Rakuten Super Points, has encouraged cross-use of services in its ecosystem. About 80% of its revenue is generated from the Japanese market.

Rakuten Group (TSE:4755) Headlines

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