Essent Net Income vs Cost Of Revenue Analysis

ESNT Stock

USD 53.68 0.30 0.56%

Essent financial indicator trend analysis is much more than just examining Essent Group latest accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Essent Group is a good investment. Please check the relationship between Essent Net Income and its Cost Of Revenue accounts. Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Essent Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.

Net Income vs Cost Of Revenue

Net Income vs Cost Of Revenue Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of Essent Group Net Income account and Cost Of Revenue. At this time, the significance of the direction appears to have almost identical trend.

The correlation between Essent's Net Income and Cost Of Revenue is 0.93. Overlapping area represents the amount of variation of Net Income that can explain the historical movement of Cost Of Revenue in the same time period over historical financial statements of Essent Group, assuming nothing else is changed. The correlation between historical values of Essent's Net Income and Cost Of Revenue is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Net Income of Essent Group are associated (or correlated) with its Cost Of Revenue. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Cost Of Revenue has no effect on the direction of Net Income i.e., Essent's Net Income and Cost Of Revenue go up and down completely randomly.

Correlation Coefficient

0.93

Relationship Direction	Positive
Relationship Strength	Very Strong

View All Relationships

Net Income

Net income is one of the most important fundamental items in finance. It plays a large role in Essent Group financial statement analysis. It represents the amount of money remaining after all of Essent Group operating expenses, interest, taxes and preferred stock dividends have been deducted from a company total revenue.

Cost Of Revenue

Cost of Revenue is found on Essent Group income statement and represents the costs associated with goods and services Essent provides. Indirect cost, such as salaries, is not included. In other words, cost of revenue is the total cost incurred to obtain a sale. It is more than the traditional cost of goods sold, since it includes specific selling and marketing activities.

Most indicators from Essent's fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Essent Group current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Essent Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.

At this time, Essent's Issuance Of Capital Stock is comparatively stable compared to the past year. Enterprise Value Over EBITDA is likely to gain to 1,374 in 2024, whereas Sales General And Administrative To Revenue is likely to drop 0.10 in 2024.

	2021	2022	2023	2024 (projected)
Gross Profit	805.3M	800.4M	890.3M	458.7M
Total Revenue	972.1M	972.1M	1.1B	581.9M

Gross Profit Total Revenue

Essent fundamental ratios Correlations

	Common Stock Shares Outstanding	Total Assets	Other Current Liab	Total Stockholder Equity	Other Liab	Property Plant And Equipment Net	Net Debt	Retained Earnings	Cash	Non Current Assets Total	Non Currrent Assets Other	Other Assets	Long Term Debt	Cash And Short Term Investments	Net Receivables	Common Stock Total Equity	Short Term Investments	Other Stockholder Equity	Total Liab	Property Plant And Equipment Gross	Total Current Assets	Common Stock	Property Plant Equipment	Total Current Liabilities	Net Tangible Assets	Accounts Payable
Common Stock Shares Outstanding		0.81	0.01	0.74	0.65	0.31	0.82	0.66	-0.35	0.7	0.04	0.02	0.67	0.82	0.84	0.81	0.8	0.87	0.84	0.35	0.48	0.81	0.36	0.84	0.76	0.48
Total Assets	0.81		-0.22	0.92	0.84	0.52	0.77	0.87	0.05	0.75	0.07	0.12	0.9	1.0	0.99	0.8	0.85	0.9	0.99	0.56	0.67	0.76	0.61	0.69	0.99	0.66
Other Current Liab	0.01	-0.22		-0.06	0.08	0.25	-0.03	0.0	-0.1	-0.29	0.38	0.71	-0.08	-0.25	-0.12	0.06	-0.45	-0.16	-0.26	-0.42	-0.67	0.02	-0.21	0.23	-0.24	-0.51
Total Stockholder Equity	0.74	0.92	-0.06		0.96	0.73	0.8	0.98	0.05	0.67	0.28	0.31	0.95	0.92	0.91	0.75	0.77	0.83	0.9	0.49	0.6	0.72	0.56	0.65	0.92	0.6
Other Liab	0.65	0.84	0.08	0.96		0.8	0.72	0.98	0.09	0.49	0.29	0.5	0.88	0.83	0.84	0.69	0.63	0.73	0.79	0.42	0.48	0.66	0.55	0.56	0.85	0.5
Property Plant And Equipment Net	0.31	0.52	0.25	0.73	0.8		0.57	0.81	-0.03	0.32	0.59	0.59	0.64	0.49	0.51	0.28	0.2	0.3	0.45	0.56	0.28	0.22	0.68	0.21	0.57	0.22
Net Debt	0.82	0.77	-0.03	0.8	0.72	0.57		0.79	-0.53	0.62	0.15	0.19	0.76	0.77	0.76	0.48	0.73	0.64	0.79	0.53	0.45	0.46	0.55	0.72	0.78	0.55
Retained Earnings	0.66	0.87	0.0	0.98	0.98	0.81	0.79		0.03	0.57	0.3	0.43	0.92	0.86	0.86	0.65	0.68	0.73	0.84	0.51	0.52	0.61	0.61	0.58	0.89	0.56
Cash	-0.35	0.05	-0.1	0.05	0.09	-0.03	-0.53	0.03		-0.05	0.04	0.07	0.14	0.05	0.04	0.23	-0.08	0.11	0.0	-0.2	0.08	0.22	-0.14	-0.19	0.03	0.01
Non Current Assets Total	0.7	0.75	-0.29	0.67	0.49	0.32	0.62	0.57	-0.05		0.44	-0.36	0.7	0.76	0.71	0.63	0.67	0.74	0.8	0.44	0.8	0.61	0.33	0.59	0.71	0.65
Non Currrent Assets Other	0.04	0.07	0.38	0.28	0.29	0.59	0.15	0.3	0.04	0.44		0.13	0.26	0.07	0.06	0.11	-0.23	0.03	0.08	0.05	0.21	0.05	0.05	0.05	0.08	0.07
Other Assets	0.02	0.12	0.71	0.31	0.5	0.59	0.19	0.43	0.07	-0.36	0.13		0.24	0.08	0.18	0.11	-0.17	-0.01	0.02	-0.05	-0.49	0.06	0.24	0.15	0.16	-0.25
Long Term Debt	0.67	0.9	-0.08	0.95	0.88	0.64	0.76	0.92	0.14	0.7	0.26	0.24		0.9	0.89	0.72	0.77	0.82	0.9	0.43	0.57	0.7	0.49	0.71	0.89	0.57
Cash And Short Term Investments	0.82	1.0	-0.25	0.92	0.83	0.49	0.77	0.86	0.05	0.76	0.07	0.08	0.9		0.98	0.81	0.87	0.91	0.99	0.55	0.69	0.77	0.59	0.69	0.99	0.67
Net Receivables	0.84	0.99	-0.12	0.91	0.84	0.51	0.76	0.86	0.04	0.71	0.06	0.18	0.89	0.98		0.84	0.83	0.91	0.97	0.5	0.59	0.8	0.58	0.73	0.97	0.55
Common Stock Total Equity	0.81	0.8	0.06	0.75	0.69	0.28	0.48	0.65	0.23	0.63	0.11	0.11	0.72	0.81	0.84		0.7	0.95	0.8	0.13	0.48	0.99	0.2	0.74	0.73	0.42
Short Term Investments	0.8	0.85	-0.45	0.77	0.63	0.2	0.73	0.68	-0.08	0.67	-0.23	-0.17	0.77	0.87	0.83	0.7		0.88	0.89	0.44	0.67	0.73	0.38	0.7	0.82	0.67
Other Stockholder Equity	0.87	0.9	-0.16	0.83	0.73	0.3	0.64	0.73	0.11	0.74	0.03	-0.01	0.82	0.91	0.91	0.95	0.88		0.92	0.28	0.63	0.95	0.3	0.78	0.84	0.55
Total Liab	0.84	0.99	-0.26	0.9	0.79	0.45	0.79	0.84	0.0	0.8	0.08	0.02	0.9	0.99	0.97	0.8	0.89	0.92		0.53	0.7	0.77	0.55	0.73	0.97	0.7
Property Plant And Equipment Gross	0.35	0.56	-0.42	0.49	0.42	0.56	0.53	0.51	-0.2	0.44	0.05	-0.05	0.43	0.55	0.5	0.13	0.44	0.28	0.53		0.54	0.09	0.94	0.08	0.62	0.42
Total Current Assets	0.48	0.67	-0.67	0.6	0.48	0.28	0.45	0.52	0.08	0.8	0.21	-0.49	0.57	0.69	0.59	0.48	0.67	0.63	0.7	0.54		0.47	0.39	0.23	0.66	0.72
Common Stock	0.81	0.76	0.02	0.72	0.66	0.22	0.46	0.61	0.22	0.61	0.05	0.06	0.7	0.77	0.8	0.99	0.73	0.95	0.77	0.09	0.47		0.13	0.75	0.68	0.41
Property Plant Equipment	0.36	0.61	-0.21	0.56	0.55	0.68	0.55	0.61	-0.14	0.33	0.05	0.24	0.49	0.59	0.58	0.2	0.38	0.3	0.55	0.94	0.39	0.13		0.12	0.68	0.28
Total Current Liabilities	0.84	0.69	0.23	0.65	0.56	0.21	0.72	0.58	-0.19	0.59	0.05	0.15	0.71	0.69	0.73	0.74	0.7	0.78	0.73	0.08	0.23	0.75	0.12		0.63	0.39
Net Tangible Assets	0.76	0.99	-0.24	0.92	0.85	0.57	0.78	0.89	0.03	0.71	0.08	0.16	0.89	0.99	0.97	0.73	0.82	0.84	0.97	0.62	0.66	0.68	0.68	0.63		0.66
Accounts Payable	0.48	0.66	-0.51	0.6	0.5	0.22	0.55	0.56	0.01	0.65	0.07	-0.25	0.57	0.67	0.55	0.42	0.67	0.55	0.7	0.42	0.72	0.41	0.28	0.39	0.66

Click cells to compare fundamentals

Essent Account Relationship Matchups

Essent fundamental ratios Accounts

	2019	2020	2021	2022	2023	2024 (projected)
Common Stock Shares Outstanding	98.2M	106.4M	111.6M	107.7M	107.1M	88.6M
Total Assets	3.9B	5.2B	5.7B	5.7B	6.5B	3.3B
Other Current Liab	(224.2M)	(321.7M)	(419.8M)	(2.4M)	361.2M	379.2M
Total Stockholder Equity	3.0B	3.9B	4.2B	4.5B	5.1B	5.4B
Other Liab	281.0M	305.1M	373.7M	516.1M	593.5M	623.2M
Property Plant And Equipment Net	17.3M	15.1M	11.9M	19.6M	41.3M	43.4M
Net Debt	152.9M	218.9M	338.3M	339.6M	318.1M	334.0M
Retained Earnings	1.8B	2.2B	2.8B	3.5B	4.1B	4.3B
Cash	71.4M	102.8M	81.5M	81.2M	141.8M	72.7M
Non Current Assets Total	3.4B	4.6B	5.0B	19.6M	4.0B	2.2B
Non Currrent Assets Other	(47.7M)	(49.4M)	(44.2M)	(4.8B)	3.6B	3.7B
Other Assets	(3.0B)	(4.1B)	(4.3B)	5.3B	4.8B	5.0B
Long Term Debt	248.6M	223.7M	224.2M	321.7M	370.0M	388.5M
Cash And Short Term Investments	3.4B	4.7B	5.0B	4.8B	5.4B	2.9B
Net Receivables	40.7M	50.1M	46.2M	57.4M	63.3M	33.4M
Short Term Investments	3.4B	4.6B	5.0B	4.7B	1.8B	2.5B
Liabilities And Stockholders Equity	3.9B	5.2B	5.7B	5.7B	6.5B	3.3B
Other Stockholder Equity	1.1B	1.6B	1.4B	1.4B	1.3B	1.1B
Total Liab	888.6M	1.3B	1.5B	1.3B	1.4B	781.8M
Property Plant And Equipment Gross	7.0M	7.6M	17.3M	15.1M	17.4M	10.3M
Total Current Assets	3.5B	4.7B	5.1B	390.7M	2.5B	1.6B
Accumulated Other Comprehensive Income	56.2M	138.3M	50.7M	(382.8M)	(280.5M)	(266.5M)
Property Plant Equipment	17.3M	15.1M	11.9M	19.6M	22.5M	11.5M
Total Current Liabilities	224.2M	321.7M	419.8M	418.5M	366.5M	358.9M
Net Tangible Assets	3.0B	3.9B	4.2B	4.5B	5.1B	2.6B
Accounts Payable	66.5M	87.9M	407.4M	104.5M	120.1M	90.6M
Non Current Liabilities Total	473.9M	626.8M	373.7M	843.0M	1.0B	1.1B
Other Current Assets	933.9M	1.4B	1.1B	1.3B	2.5B	2.6B
Long Term Investments	3.4B	4.7B	5.0B	4.7B	5.5B	3.3B
Short Long Term Debt	224.2M	321.7M	419.8M	420.9M	421.9M	268.1M
Short Term Debt	224.2M	321.7M	419.8M	420.9M	5.3M	5.0M
Intangible Assets	18.3M	19.9M	15.1M	13.9M	84.2M	88.4M
Retained Earnings Total Equity	1.8B	2.2B	2.8B	3.5B	4.0B	4.2B
Deferred Long Term Liab	249.6M	305.1M	373.7M	356.8M	410.3M	222.0M
Capital Surpluse	1.1B	1.6B	1.4B	1.4B	1.6B	1.3B
Non Current Liabilities Other	348.2M	625.4M	592.8M	379.4M	436.3M	427.7M
Short Long Term Debt Total	224.2M	321.7M	419.8M	420.9M	459.9M	332.6M

Essent Investors Sentiment

The influence of Essent's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Essent. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.

Investor biases related to Essent's public news can be used to forecast risks associated with an investment in Essent. The trend in average sentiment can be used to explain how an investor holding Essent can time the market purely based on public headlines and social activities around Essent Group. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.

Essent's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Essent's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Essent's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Essent.

Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Essent in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Essent's short interest history, or implied volatility extrapolated from Essent options trading.

Pair Trading with Essent

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Essent position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Essent will appreciate offsetting losses from the drop in the long position's value.

Moving together with Essent Stock

0.8

ACT

Enact Holdings Financial Report 1st of May 2024

Pair Corr

Moving against Essent Stock

0.5

JRVR

James River Group Financial Report 7th of May 2024

Pair Corr

The ability to find closely correlated positions to Essent could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Essent when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Essent - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Essent Group to buy it.

The correlation of Essent is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Essent moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Essent Group moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Correlation analysis and pair trading evaluation for Essent can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.

Pair Correlation Correlation Matching

When determining whether Essent Group is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Essent Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Essent Group Stock. Highlighted below are key reports to facilitate an investment decision about Essent Group Stock:

How To Invest In Essent

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Is Essent Stock a good investment?

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What is Essent's Net Worth?

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Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Essent Group. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in board of governors.

You can also try the Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.

Complementary Tools for Essent Stock analysis

When running Essent's price analysis, check to measure Essent's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Essent is operating at the current time. Most of Essent's value examination focuses on studying past and present price action to predict the probability of Essent's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Essent's price. Additionally, you may evaluate how the addition of Essent to your portfolios can decrease your overall portfolio volatility.

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Is Essent's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Essent. If investors know Essent will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Essent listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

0.199

Dividend Share

Earnings Share

6.5

Revenue Per Share

10.215

Quarterly Revenue Growth

0.242

The market value of Essent Group is measured differently than its book value, which is the value of Essent that is recorded on the company's balance sheet. Investors also form their own opinion of Essent's value that differs from its market value or its book value, called intrinsic value, which is Essent's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Essent's market value can be influenced by many factors that don't directly affect Essent's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Essent's value and its price as these two are different measures arrived at by different means. Investors typically determine if Essent is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Essent's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

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Essent Net Income vs Cost Of Revenue Analysis

Net Income vs Cost Of Revenue

Net Income vs Cost Of Revenue Correlation Analysis

Correlation Coefficient

Net Income

Cost Of Revenue

Essent fundamental ratios Correlations

Essent Account Relationship Matchups

High Positive Relationship

High Negative Relationship

Essent fundamental ratios Accounts

Essent Investors Sentiment

Pair Trading with Essent

Moving together with Essent Stock

Moving against Essent Stock

Complementary Tools for Essent Stock analysis

COMMON DESTINATIONS

MAIN CATEGORIES

COMPANY

Cash And Short Term Investments	+ 1.0	Total Assets
Net Receivables	+ 0.99	Total Assets
Total Liab	+ 0.99	Total Assets
Net Tangible Assets	+ 0.99	Total Assets
Total Liab	+ 0.99	Cash And Short Term Investments
Net Tangible Assets	+ 0.99	Cash And Short Term Investments

Total Current Assets	- 0.67	Other Current Liab
Cash	- 0.53	Net Debt
Accounts Payable	- 0.51	Other Current Liab
Total Current Assets	- 0.49	Other Assets
Short Term Investments	- 0.45	Other Current Liab
Property Plant And Equipment Gross	- 0.42	Other Current Liab